Minnesota Legislature
SF 581
as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:13am
Current Version - as introduced
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A bill for an act
relating to taxation; sales and use; repealing June accelerated tax payment;
amending Minnesota Statutes 2008, sections 289A.18, subdivision 4; 289A.20,
subdivision 4; 297F.09, subdivisions 1, 2; 297F.25, subdivision 2; repealing
Minnesota Statutes 2008, sections 289A.60, subdivision 15; 297F.09, subdivision
10; 297G.09, subdivision 9.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2008, section 289A.18, subdivision 4, is amended to
read:
Subd. 4.
Sales and use tax returns.
(a) Sales and use tax returns must be filed on or
before the 20th day of the month following the close of the preceding reporting period,
except that annual use tax returns provided for under section 289A.11, subdivision 1, must
be filed by April 15 following the close of the calendar year, in the case of individuals.
Annual use tax returns of businesses, including sole proprietorships, and annual sales tax
returns must be filed by February 5 following the close of the calendar year.
deleted text begin (b) Returns for the June reporting period filed by retailers required to remit their
June liability under section 289A.20, subdivision 4, paragraph (b), are due on or before
August 20.deleted text end
deleted text begin (c)deleted text end new text begin (b) new text end If a retailer has an average sales and use tax liability, including local sales and
use taxes administered by the commissioner, equal to or less than $500 per month in any
quarter of a calendar year, and has substantially complied with the tax laws during the
preceding four calendar quarters, the retailer may request authorization to file and pay the
taxes quarterly in subsequent calendar quarters. The authorization remains in effect during
the period in which the retailer's quarterly returns reflect sales and use tax liabilities of less
than $1,500 and there is continued compliance with state tax laws.
deleted text begin (d)deleted text end new text begin (c) new text end If a retailer has an average sales and use tax liability, including local sales and
use taxes administered by the commissioner, equal to or less than $100 per month during a
calendar year, and has substantially complied with the tax laws during that period, the
retailer may request authorization to file and pay the taxes annually in subsequent years.
The authorization remains in effect during the period in which the retailer's annual returns
reflect sales and use tax liabilities of less than $1,200 and there is continued compliance
with state tax laws.
deleted text begin (e)deleted text end new text begin (d) new text end The commissioner may also grant quarterly or annual filing and payment
authorizations to retailers if the commissioner concludes that the retailers' future tax
liabilities will be less than the monthly totals identified in paragraphs new text begin (b) and new text end (c) deleted text begin and (d)deleted text end .
An authorization granted under this paragraph is subject to the same conditions as an
authorization granted under paragraphs new text begin (b) and new text end (c) deleted text begin and (d)deleted text end .
deleted text begin (f)deleted text end new text begin (e) new text end A taxpayer who is a materials supplier may report gross receipts either on:
(1) the cash basis as the consideration is received; or
(2) the accrual basis as sales are made.
As used in this paragraph, "materials supplier" means a person who provides materials
for the improvement of real property; who is primarily engaged in the sale of lumber and
building materials-related products to owners, contractors, subcontractors, repairers,
or consumers; who is authorized to file a mechanics lien upon real property and
improvements under chapter 514; and who files with the commissioner an election to file
sales and use tax returns on the basis of this paragraph.
deleted text begin (g)deleted text end new text begin (f) new text end Notwithstanding paragraphs (a) to deleted text begin (f)deleted text end new text begin (e)new text end , a seller that is not a Model 1, 2, or
3 seller, as those terms are used in the Streamlined Sales and Use Tax Agreement, that
does not have a legal requirement to register in Minnesota, and that is registered under the
agreement, must file a return by February 5 following the close of the calendar year in
which the seller initially registers, and must file subsequent returns on February 5 on an
annual basis in succeeding years. Additionally, a return must be submitted on or before
the 20th day of the month following any month by which sellers have accumulated state
and local tax funds for the state in the amount of $1,000 or more.
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end
Sec. 2.
Minnesota Statutes 2008, section 289A.20, subdivision 4, is amended to read:
Subd. 4.
Sales and use tax.
(a) The taxes imposed by chapter 297A are due and
payable to the commissioner monthly on or before the 20th day of the month following the
month in which the taxable event occurred, or following another reporting period as the
commissioner prescribes or as allowed under section 289A.18, subdivision 4, paragraph deleted text begin (f)deleted text end
new text begin (e) new text end or deleted text begin (g)deleted text end new text begin (f)new text end , except that use taxes due on an annual use tax return as provided under section
289A.11, subdivision 1, are payable by April 15 following the close of the calendar year.
deleted text begin
(b) A vendor having a liability of $120,000 or more during a fiscal year ending June
30 must remit the June liability for the next year in the following manner:
deleted text end
deleted text begin
(1) Two business days before June 30 of the year, the vendor must remit 90 percent
of the estimated June liability to the commissioner.
deleted text end
deleted text begin
(2) On or before August 20 of the year, the vendor must pay any additional amount
of tax not remitted in June.
deleted text end
deleted text begin (c)deleted text end new text begin (b) new text end A vendor having a liability of:
(1) $20,000 or more in the fiscal year ending June 30, 2005; or
(2) $10,000 or more in the fiscal year ending June 30, 2006, and fiscal years
thereafter,
must remit all liabilities on returns due for periods beginning in the subsequent calendar
year by electronic means on or before the 20th day of the month following the month in
which the taxable event occurred, or on or before the 20th day of the month following the
month in which the sale is reported under section 289A.18, subdivision 4deleted text begin , except for 90
percent of the estimated June liability, which is due two business days before June 30. The
remaining amount of the June liability is due on August 20deleted text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end
Sec. 3.
Minnesota Statutes 2008, section 297F.09, subdivision 1, is amended to read:
Subdivision 1.
Monthly return; cigarette distributor.
On or before the 18th day
of each calendar month, a distributor with a place of business in this state shall file a
return with the commissioner showing the quantity of cigarettes manufactured or brought
in from outside the state or purchased during the preceding calendar month and the
quantity of cigarettes sold or otherwise disposed of in this state and outside this state
during that month. A licensed distributor outside this state shall in like manner file a
return showing the quantity of cigarettes shipped or transported into this state during the
preceding calendar month. Returns must be made in the form and manner prescribed by
the commissioner and must contain any other information required by the commissioner.
The return must be accompanied by a remittance for the full unpaid tax liability shown by
it. deleted text begin For distributors subject to the accelerated tax payment requirements in subdivision 10,
the return for the May liability is due two business days before June 30th of the year and
the return for the June liability is due on or before August 18th of the year.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end
Sec. 4.
Minnesota Statutes 2008, section 297F.09, subdivision 2, is amended to read:
Subd. 2.
Monthly return; tobacco products distributor.
On or before the 18th
day of each calendar month, a distributor with a place of business in this state shall file
a return with the commissioner showing the quantity and wholesale sales price of each
tobacco product:
(1) brought, or caused to be brought, into this state for sale; and
(2) made, manufactured, or fabricated in this state for sale in this state, during the
preceding calendar month.
Every licensed distributor outside this state shall in like manner file a return showing the
quantity and wholesale sales price of each tobacco product shipped or transported to
retailers in this state to be sold by those retailers, during the preceding calendar month.
Returns must be made in the form and manner prescribed by the commissioner and
must contain any other information required by the commissioner. The return must be
accompanied by a remittance for the full tax liability shown. deleted text begin For distributors subject to the
accelerated tax payment requirements in subdivision 10, the return for the May liability is
due two business days before June 30th of the year and the return for the June liability is
due on or before August 18th of the year.
deleted text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end
Sec. 5.
Minnesota Statutes 2008, section 297F.25, subdivision 2, is amended to read:
Subd. 2.
Payment.
Each taxpayer must remit payments of the taxes to the
commissioner on the same dates prescribed under section 297F.09, subdivision 1, for
cigarette tax returnsdeleted text begin , including the accelerated remittance of the June liabilitydeleted text end .
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end
Sec. 6. new text begin REPEALER.
new text end
new text begin
Minnesota Statutes 2008, sections 289A.60, subdivision 15; 297F.09, subdivision
10; and 297G.09, subdivision 9,
new text end
new text begin
are repealed.
new text end
new text begin EFFECTIVE DATE. new text end
new text begin
This section is effective beginning with June 2010 tax
liabilities.
new text end