SF 2461

2nd Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; sales and use; exempting certain 
  1.3             aircraft sales; amending Minnesota Statutes 1998, 
  1.4             section 297A.25, subdivision 5. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  Minnesota Statutes 1998, section 297A.25, 
  1.7   subdivision 5, is amended to read: 
  1.8      Subd. 5.  [OUTSTATE TRANSPORT OR DELIVERY.] The gross 
  1.9   receipts from the following sales of, and storage, use, or 
  1.10  consumption of, tangible personal property are exempt:  
  1.11     (1) property which, without intermediate use, is shipped or 
  1.12  transported outside Minnesota by the purchaser and thereafter 
  1.13  used in a trade or business or is stored, processed, fabricated 
  1.14  or manufactured into, attached to or incorporated into other 
  1.15  tangible personal property transported or shipped outside 
  1.16  Minnesota and thereafter used in a trade or business outside 
  1.17  Minnesota, and which is not thereafter returned to a point 
  1.18  within Minnesota, except in the course of interstate commerce 
  1.19  (storage shall not constitute intermediate use); provided that 
  1.20  the property is not subject to tax in that state or country to 
  1.21  which it is transported for storage or use and provided further 
  1.22  that sales of tangible personal property to be used in other 
  1.23  states or countries as part of a maintenance contract shall be 
  1.24  specifically exempt; or 
  1.25     (2) property which the seller delivers to a common carrier 
  2.1   for delivery outside Minnesota, places in the United States mail 
  2.2   or parcel post directed to the purchaser outside Minnesota, or 
  2.3   delivers to the purchaser outside Minnesota by means of the 
  2.4   seller's own delivery vehicles, and which is not thereafter 
  2.5   returned to a point within Minnesota, except in the course of 
  2.6   interstate commerce; or 
  2.7      (3) aircraft, as defined in section 360.511 and approved by 
  2.8   the Federal Aviation Administration, and which the seller 
  2.9   delivers to a purchaser outside Minnesota or which, without 
  2.10  intermediate use, is shipped or transported outside Minnesota by 
  2.11  the purchaser, but only if the purchaser is not a resident of 
  2.12  Minnesota and provided that the aircraft is not thereafter 
  2.13  returned to a point within Minnesota, except in the course of 
  2.14  interstate commerce or isolated and occasional use and will be 
  2.15  registered in another state or country upon its removal from 
  2.16  Minnesota; this exemption applies even if the purchaser takes 
  2.17  possession of the aircraft in Minnesota and uses the aircraft in 
  2.18  the state exclusively for training purposes for a period not to 
  2.19  exceed ten days prior to removing the aircraft from this state. 
  2.20     Sec. 2.  [EFFECTIVE DATE.] 
  2.21     Section 1 is effective for purchases made after the date of 
  2.22  final enactment.