290.9201 TAX ON NONRESIDENT ENTERTAINERS.
Subdivision 1. Definitions.
(a) "Entertainer" means an individual who is not a resident of
Minnesota or a state with which Minnesota has a reciprocal agreement under section
who performs acts in Minnesota that amuse, entertain, or inform. For purposes of this section,
"entertainer" includes, but is not limited to, a musician, singer, dancer, comedian, thespian,
athlete, and public speaker.
(b) Entertainment entity means either: (1) an entertainer who is paid compensation for
providing entertainment as an independent contractor, (2) a partnership that is paid compensation
for entertainment provided by entertainers who are partners, or (3) a corporation that is paid
compensation for entertainment provided by entertainers who are shareholders of the corporation.
Subd. 2. Tax on entertainment.
Entertainment entities are subject to a tax in the amount of
two percent of the total compensation received by them during the calendar year for entertainment
performed in Minnesota.
Subd. 3. Credit against tax.
Each calendar year an entertainment entity may take a
nonrefundable credit of $120 against the tax imposed by this section.
Subd. 4.[Repealed, 1990 c 480 art 1 s 45
Subd. 5.[Repealed, 1990 c 480 art 1 s 45
Subd. 6. Exemption from income tax.
Compensation subject to the tax imposed under this
section is not assignable to Minnesota under section
Subd. 7. Withholding on compensation of entertainers.
The tax on compensation of an
entertainer must be withheld at a rate of two percent of all compensation paid to the entertainment
entity by the person or corporation having legal control of the payment of the compensation.
The compensation subject to withholding under this section is not subject to the withholding
provisions of section
290.92, subdivision 2a
, 3, or 28, except the provisions of sections
, paragraph (b),
270C.60, 289A.09, subdivisions 1, paragraph (f)
, and 2,
shall apply to withholding under this section as if the withholding were upon wages.
Subd. 8. Deposit of entertainer withholding.
The person or corporation having legal
control of the payment of compensation taxable under this section shall deposit the earnings
tax with the commissioner.
Subd. 9.[Repealed, 1990 c 480 art 1 s 45
Subd. 10.[Repealed, 1990 c 480 art 1 s 45
Subd. 11. Exception from withholding for public speakers.
The provisions of subdivisions
7 and 8 shall not be effective for compensation paid to nonresident public speakers, if the
compensation paid to the speaker is less than $2,000 or is only a payment of the speaker's
History: 1989 c 28 s 21; 1990 c 480 art 1 s 33,34; 1990 c 604 art 2 s 14; 1992 c 511 art 6 s
15; 1993 c 13 art 2 s 8; 1995 c 264 art 10 s 13; 2005 c 151 art 2 s 17