HF 1610

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to the Minnesota State Agricultural Society; authorizing the society to
retain certain admissions sales tax proceeds; amending Minnesota Statutes 2006,
sections 37.13, by adding a subdivision; 289A.31, subdivision 7.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2006, section 37.13, is amended by adding a subdivision
to read:

new text begin Subd. 3. new text end

new text begin Capital improvements. new text end

new text begin The society shall spend the amount of sales
tax retained under section 289A.31, subdivision 7, paragraph (f), exclusively to make
capital improvements to state-owned buildings and facilities on the State Fairgrounds.
The society shall match the amount retained with an equal amount from proceeds from
special assessments levied against commercial exhibits, concessions, and rentals, and
other special user fees specifically designated for capital improvements.
new text end

Sec. 2.

Minnesota Statutes 2006, section 289A.31, subdivision 7, is amended to read:

Subd. 7.

Sales and use tax.

(a) The sales and use tax required to be collected by the
retailer under chapter 297A constitutes a debt owed by the retailer to Minnesota, and the
sums collected must be held as a special fund in trust for the state of Minnesota.

A retailer who does not maintain a place of business within this state as defined by
section 297A.66, subdivision 1, shall not be indebted to Minnesota for amounts of tax that
it was required to collect but did not collect unless the retailer knew or had been advised
by the commissioner of its obligation to collect the tax.

(b) The use tax required to be paid by a purchaser is a debt owed by the purchaser
to Minnesota.

(c) The tax imposed by chapter 297A, and interest and penalties, is a personal debt
of the individual required to file a return from the time the liability arises, irrespective
of when the time for payment of that liability occurs. The debt is, in the case of the
executor or administrator of the estate of a decedent and in the case of a fiduciary, that
of the individual in an official or fiduciary capacity unless the individual has voluntarily
distributed the assets held in that capacity without reserving sufficient assets to pay the tax,
interest, and penalties, in which case the individual is personally liable for the deficiency.

(d) Liability for payment of sales and use taxes includes any responsible person or
entity described in the personal liability provisions of section 270C.56.

(e) Any amounts collected, even if erroneously or illegally collected, from a
purchaser under a representation that they are taxes imposed under chapter 297A are
state funds from the time of collection and must be reported on a return filed with the
commissioner.

new text begin (f) The tax imposed under chapter 297A on sales of tickets to the premises of or
events sponsored by the Minnesota State Agricultural Society and conducted on the State
Fairgrounds during the period of annual State Fair may be retained by the Minnesota
State Agricultural Society if the funds are used and matched as required under section
37.13, subdivision 3.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases after June
30, 2007.
new text end