as introduced - 89th Legislature (2015 - 2016) Posted on 05/06/2015 08:37am
A bill for an act
relating to taxation; sales and use; providing a reduced rate for electricity, natural
or artificial gas, propane, and water sold to restaurants; amending Minnesota
Statutes 2014, section 297A.62, subdivision 1, by adding a subdivision.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Minnesota Statutes 2014, section 297A.62, subdivision 1, is amended to read:
Except as otherwise provided in subdivision 3new text begin or 3a,new text end or in
this chapter, a sales tax of 6.5 percent is imposed on the gross receipts from retail sales as
defined in section 297A.61, subdivision 4, made in this state or to a destination in this
state by a person who is required to have or voluntarily obtains a permit under section
297A.83, subdivision 1.
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This section is effective for sales and purchases made after
June 30, 2015.
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Minnesota Statutes 2014, section 297A.62, is amended by adding a subdivision
to read:
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(a) For retail sales of electricity, natural or artificial
gas, propane, and water purchased and used by a restaurant located in this state, the sales
tax under subdivisions 1 and 1a is imposed on 65 percent of the sales price.
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(b) For purposes of this subdivision, "restaurant" means a facility:
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(1) that is operated for profit;
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(2) where the usual and customary business is the serving of meals to consumers;
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(3) that has a kitchen within the facility; and
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(4) that receives at least 70 percent of its gross receipts from the sale of prepared food.
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(c) For purposes of this subdivision, "prepared food" has the meaning given under
section 297A.61, subdivision 31.
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This section is effective for sales and purchases made after
June 30, 2015.
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