SF 2932

as introduced - 91st Legislature (2019 - 2020) Posted on 02/11/2020 03:13pm

A bill for an act
relating to taxation; sales and use; providing an exemption for a certain nonprofit
arena board and construction of a certain ice arena; amending Minnesota Statutes
2018, sections 297A.70, by adding a subdivision; 297A.71, by adding a subdivision;
Minnesota Statutes 2019 Supplement, section 297A.75, subdivision 1.

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

Section 1.

Minnesota Statutes 2018, section 297A.70, is amended by adding a subdivision
to read:

new text begin Subd. 22. new text end

new text begin Nonprofit arena board. new text end

new text begin Sales to an organization that exists primarily for the
purpose of owning or operating facilities that are part of the Lake of the Woods International
Arena are exempt if the organization is a private, nonprofit corporation exempt from federal
income taxation under section 501(c)(3) of the Internal Revenue Code.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after June
30, 2020.
new text end

Sec. 2.

Minnesota Statutes 2018, section 297A.71, is amended by adding a subdivision to
read:

new text begin Subd. 53. new text end

new text begin International arena construction. new text end

new text begin (a) Materials and supplies used or consumed
in, and equipment incorporated into, the construction or improvement of the Lake of the
Woods International Arena are exempt. The tax on purchases exempt under this subdivision
must be imposed and collected as if the rate under section 297A.62, subdivision 1, applied
and then refunded in the manner provided in section 297A.75.
new text end

new text begin (b) The exemption under this subdivision is effective for purchases made after March
30, 2018, and before April 1, 2020.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from March 30, 2018.
new text end

Sec. 3.

Minnesota Statutes 2019 Supplement, section 297A.75, subdivision 1, is amended
to read:

Subdivision 1.

Tax collected.

The tax on the gross receipts from the sale of the following
exempt items must be imposed and collected as if the sale were taxable and the rate under
section 297A.62, subdivision 1, applied. The exempt items include:

(1) building materials for an agricultural processing facility exempt under section
297A.71, subdivision 13;

(2) building materials for mineral production facilities exempt under section 297A.71,
subdivision 14;

(3) building materials for correctional facilities under section 297A.71, subdivision 3;

(4) building materials used in a residence for veterans with a disability exempt under
section 297A.71, subdivision 11;

(5) elevators and building materials exempt under section 297A.71, subdivision 12;

(6) materials and supplies for qualified low-income housing under section 297A.71,
subdivision 23;

(7) materials, supplies, and equipment for municipal electric utility facilities under
section 297A.71, subdivision 35;

(8) equipment and materials used for the generation, transmission, and distribution of
electrical energy and an aerial camera package exempt under section 297A.68, subdivision
37;

(9) commuter rail vehicle and repair parts under section 297A.70, subdivision 3, paragraph
(a), clause (10);

(10) materials, supplies, and equipment for construction or improvement of projects and
facilities under section 297A.71, subdivision 40;

(11) materials, supplies, and equipment for construction, improvement, or expansion
of:

(i) an aerospace defense manufacturing facility exempt under Minnesota Statutes 2014,
section 297A.71, subdivision 42;

(ii) a biopharmaceutical manufacturing facility exempt under section 297A.71, subdivision
45;

(iii) a research and development facility exempt under Minnesota Statutes 2014, section
297A.71, subdivision 46; and

(iv) an industrial measurement manufacturing and controls facility exempt under
Minnesota Statutes 2014, section 297A.71, subdivision 47;

(12) enterprise information technology equipment and computer software for use in a
qualified data center exempt under section 297A.68, subdivision 42;

(13) materials, supplies, and equipment for qualifying capital projects under section
297A.71, subdivision 44, paragraph (a), clause (1), and paragraph (b);

(14) items purchased for use in providing critical access dental services exempt under
section 297A.70, subdivision 7, paragraph (c);

(15) items and services purchased under a business subsidy agreement for use or
consumption primarily in greater Minnesota exempt under section 297A.68, subdivision
44;

(16) building materials, equipment, and supplies for constructing or replacing real
property exempt under section 297A.71, subdivisions 49; 50, paragraph (b); deleted text begin and deleted text end 51 new text begin ; and
53 new text end ; and

(17) building materials, equipment, and supplies for qualifying capital projects under
section 297A.71, subdivision 52.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from March 30, 2018.
new text end