HF 3165

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to motor vehicle sales tax; exempting school 
  1.3             buses from the tax; amending Minnesota Statutes 2003 
  1.4             Supplement, section 297B.03. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  Minnesota Statutes 2003 Supplement, section 
  1.7   297B.03, is amended to read: 
  1.8      297B.03 [EXEMPTIONS.] 
  1.9      There is specifically exempted from the provisions of this 
  1.10  chapter and from computation of the amount of tax imposed by it 
  1.11  the following:  
  1.12     (1) purchase or use, including use under a lease purchase 
  1.13  agreement or installment sales contract made pursuant to section 
  1.14  465.71, of any motor vehicle by the United States and its 
  1.15  agencies and instrumentalities and by any person described in 
  1.16  and subject to the conditions provided in section 297A.67, 
  1.17  subdivision 11; 
  1.18     (2) purchase or use of any motor vehicle by any person who 
  1.19  was a resident of another state or country at the time of the 
  1.20  purchase and who subsequently becomes a resident of Minnesota, 
  1.21  provided the purchase occurred more than 60 days prior to the 
  1.22  date such person began residing in the state of Minnesota and 
  1.23  the motor vehicle was registered in the person's name in the 
  1.24  other state or country; 
  1.25     (3) purchase or use of any motor vehicle by any person 
  2.1   making a valid election to be taxed under the provisions of 
  2.2   section 297A.90; 
  2.3      (4) purchase or use of any motor vehicle previously 
  2.4   registered in the state of Minnesota when such transfer 
  2.5   constitutes a transfer within the meaning of section 118, 331, 
  2.6   332, 336, 337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 
  2.7   1563(a) of the Internal Revenue Code of 1986, as amended through 
  2.8   December 31, 1999; 
  2.9      (5) purchase or use of any vehicle owned by a resident of 
  2.10  another state and leased to a Minnesota based private or for 
  2.11  hire carrier for regular use in the transportation of persons or 
  2.12  property in interstate commerce provided the vehicle is titled 
  2.13  in the state of the owner or secured party, and that state does 
  2.14  not impose a sales tax or sales tax on motor vehicles used in 
  2.15  interstate commerce; 
  2.16     (6) purchase or use of a motor vehicle by a private 
  2.17  nonprofit or public educational institution for use as an 
  2.18  instructional aid in automotive training programs operated by 
  2.19  the institution.  "Automotive training programs" includes motor 
  2.20  vehicle body and mechanical repair courses but does not include 
  2.21  driver education programs; 
  2.22     (7) purchase of a motor vehicle for use as an ambulance by 
  2.23  an ambulance service licensed under section 144E.10; 
  2.24     (8) purchase of a motor vehicle by or for a public library, 
  2.25  as defined in section 134.001, subdivision 2, as a bookmobile or 
  2.26  library delivery vehicle; 
  2.27     (9) purchase of a ready-mixed concrete truck; 
  2.28     (10) purchase or use of a motor vehicle by a town for use 
  2.29  exclusively for road maintenance, including snowplows and dump 
  2.30  trucks, but not including automobiles, vans, or pickup trucks; 
  2.31     (11) purchase or use of a motor vehicle by a corporation, 
  2.32  society, association, foundation, or institution organized and 
  2.33  operated exclusively for charitable, religious, or educational 
  2.34  purposes, except a public school, university, or library, but 
  2.35  only if the vehicle is: 
  2.36     (i) a truck, as defined in section 168.011, a bus, as 
  3.1   defined in section 168.011, or a passenger automobile, as 
  3.2   defined in section 168.011, if the automobile is designed and 
  3.3   used for carrying more than nine persons including the driver; 
  3.4   and 
  3.5      (ii) intended to be used primarily to transport tangible 
  3.6   personal property or individuals, other than employees, to whom 
  3.7   the organization provides service in performing its charitable, 
  3.8   religious, or educational purpose; 
  3.9      (12) purchase of a motor vehicle for use by a transit 
  3.10  provider exclusively to provide transit service is exempt if the 
  3.11  transit provider is either (i) receiving financial assistance or 
  3.12  reimbursement under section 174.24 or 473.384, or (ii) operating 
  3.13  under section 174.29, 473.388, or 473.405; 
  3.14     (13) purchase or use of a motor vehicle by a qualified 
  3.15  business, as defined in section 469.310, located in a job 
  3.16  opportunity building zone, if the motor vehicle is principally 
  3.17  garaged in the job opportunity building zone and is primarily 
  3.18  used as part of or in direct support of the person's operations 
  3.19  carried on in the job opportunity building zone.  The exemption 
  3.20  under this clause applies to sales, if the purchase was made and 
  3.21  delivery received during the duration of the job opportunity 
  3.22  building zone.  The exemption under this clause also applies to 
  3.23  any local sales and use tax; 
  3.24     (14) purchase of a school bus as defined in section 169.01, 
  3.25  subdivision 6, that is exempt from registration fees under 
  3.26  section 168.012, subdivision 1, clause (2). 
  3.27     [EFFECTIVE DATE.] This section is effective for purchases 
  3.28  made after June 30, 2004.