If we can help you over the phone, please include your phone number. Research estimates of how state House and Senate bills could affect revenues and the Minnesota tax system. Our partner TaxJar can manage your sales tax calculations, returns and filing for you so you don't need to worry about mistakes or deadlines. © 2021 SalesTaxHandbook. Let us know in a single click. Usage is subject to our Terms and Privacy Policy. The state sales tax rate in Minnesota is 6.875%. (Find a Form.). Sales Tax applies to most retail sales of goods and some services in Minnesota. For Tax Years 2017 to 2020 Minnesota tax laws were changed to provide conformity with federal business expensing rules under Section 179 of the Internal Revenue Code (IRC). This table lists each changed tax jurisdiction, the amount of the change, and the towns and cities in which the modified tax rates apply. Tax rates on long-term capital gains and qualified dividends did not change for … The Minnesota addition is not required for federal expensing claimed on business property that qualifies for federal and state Section 179 expensing. Minnesota sales and use tax payment grace period extended to May 20. Minnesota tax laws were changed to provide conformity with federal business expensing rules under Section 179 of the Internal Revenue Code (IRC). On January 1, 2020, rates will change in close to 25 states. The sales tax rate is always 7.875% Every 2020 combined rates mentioned above are the results of Minnesota state rate (6.875%), the Minnesota cities rate (0.5%), and in some case, special rate (0.5%). COVID-19 Penalty Relief: You may ask us to cancel or reduce filing or payment penalties if you have a reasonable cause or are negatively affected by the COVID-19 pandemic. Over the past year, there have been thirteen local sales tax rate changes in Minnesota. Minnesota HF2125 2019-2020 Federal tax law changes conformity and nonconformity provided; and various tax law provisions modified including individual income and corporate franchise taxes, sales and use taxes, property taxes, local government aids, tobacco taxes, and special taxes. We read every comment! All rights reserved. The most efficient way to manage sales tax rate changes is to use sales tax automation software to calculate the tax due. Affected taxpayers may amend their Minnesota returns to reduce their Section 179 addition by the amount attributable to the qualifying property. SalesTaxHandbook visitors qualify for a free month by signing up via our partner program here. Changes in Local Sales and Use Tax Rates – Effective January 1, 2020 NOVEMBER 27, 2019 (LINCOLN, NEB.) Sales & Use Tax. Comparing just the second and third quarters of 2020 with the same period a year earlier, the state tax revenues in Minnesota were 5.7% lower. During the first nine months of 2020, state tax revenues in Minnesota came in at 4.2 % below the same period a year earlier, the 22nd greatest decline among the 50 states and the District of Columbia, according to the Tax Foundation. Annual summaries of Minnesota tax law changes enacted during each legislative session. Beginning July 1, 2020 one South Dakota community will implement a new municipal tax rate. Just two days after ordering Minnesota restaurants to close their dining rooms, Minnesota Gov. District Rate; Minnesota State: 6.875%: Saint Louis County: 0.500%: Duluth: 1.500%: Total: 8.875%: Duluth Details Duluth, MN is in Saint Louis County. For more information contact our healthcare industry team. This table lists each changed tax jurisdiction, the amount of the change, and the towns and cities in which the modified tax rates apply. , updates, and resources, see our list of nationwide sales tax rate that is Effective throughout all Gage! 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