HF 1695

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxes; sales and use tax; exempting sales 
  1.3             made by certain businesses; amending Minnesota 
  1.4             Statutes 2000, section 297A.68, by adding a 
  1.5             subdivision. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2000, section 297A.68, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 35.  [SALES BY CERTAIN BUSINESSES.] The first 
  1.10  $1,000,000 in gross sales made by a business in any calendar 
  1.11  year are exempt if the following conditions are met: 
  1.12     (1) the business is located in a city with a population of 
  1.13  less than 1,200 people; 
  1.14     (2) the city in which the business is located is more than 
  1.15  five miles from the boundary of any city with a population of 
  1.16  10,000 or more; 
  1.17     (3) the business is owned and operated by a person who 
  1.18  lives in the same city; and 
  1.19     (4) the business is not owned by, or a franchise of, a 
  1.20  multinational corporation or a firm dominant in its field of 
  1.21  operation, as defined in section 645.445, subdivision 3. 
  1.22     For purposes of this subdivision, "gross sales" includes 
  1.23  all sales made by the business, regardless of their taxability 
  1.24  under the rest of the chapter. 
  1.25     [EFFECTIVE DATE.] This section is effective for sales made 
  2.1   after January 1, 2002.