Skip to main content Skip to office menu Skip to footer
Capital IconMinnesota Legislature
Office of the Revisor of Statutes

HF 3126

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
Version List Authors and Status
Rtf

Bill Text Versions

Engrossments
Introduction Posted on 03/02/2006

Current Version - as introduced

Line numbers 1.1 1.2 1.3 1.4
1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15
1.16 1.17

A bill for an act
 relating to taxation; modifying the withholding rules for payments to contractors;
amending Minnesota Statutes 2005 Supplement, section 290.9705, subdivision 1.

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

Section 1.

Minnesota Statutes 2005 Supplement, section 290.9705, subdivision 1,
is amended to read:


Subdivision 1.

Withholding of payments to out-of-state contractors.

(a) In this
section, "person" means a person, corporation, or cooperative, the state of Minnesota and
its political subdivisions, and a city, county, and school district in Minnesota.

(b) A person who in the regular course of business is hiring, contracting, or having a
contract with a nonresident person or foreign corporation, as defined in Minnesota Statutes
1986, section 290.01, subdivision 5, to perform construction work in Minnesota, shall
deduct and withhold eight percent of deleted text begin cumulative calendar year paymentsdeleted text end new text begin every paymentnew text end
to the contractor deleted text begin which exceed $50,000deleted text end new text begin if the contract exceeds or can be reasonably
expected to exceed $100,000new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for payments made after December
31, 2006.
 new text end