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Minnesota Sales Tax

On this page you will find handy sales and use tax information about Minnesota.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Minnesota that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

6.875% The state has reduced rates for sales of certain types of items.
Range of Local Rates

0% – 3% Some local jurisdictions do not impose a sales tax.
Local Rates Apply to Use Tax

Yes
Remote Seller Nexus Rules
CLICK-THROUGH NEXUS

7/1/2013
AFFILIATE NEXUS

10/1/2018 – see state notice
ECONOMIC NEXUS

10/1/2018 – see state notice

New thresholds: 10/1/2019
MARKETPLACE NEXUS

10/1/2018 – see state notice

New thresholds: 10/1/2019
Administration Information
Streamlined Sales Tax Status

Full Member
NUMBER OF TAXING AUTHORITIES

70 Sales Tax Jurisdictions

HOME RULE AUTHORITIES

N/A
Sales Tax Sourcing (Intrastate)

Destination
Sales Tax Return Due Date

The 20th of the month following the reporting period
Exemption Information
RESALE CERTIFICATE

Minnesota Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: Resale, qualifying capital equipment, agricultural production, industrial production/manufacturing, multiple points of use, direct mail, qualified data centers, clothing

 

Entity types of exemptions: Certain nonprofit and charitable organizations, educational organizations, and religious organizations, government (limited), federal and diplomatic, state is required to use a Direct Pay, locals are limited and not exempt from all local tax types

 

Minnesota Exemption Certificate Forms
State Links
State Tax Web Page

Minnesota Department of Revenue
Rate Look-Up Page

Minnesota Sales Tax Rate Look-Up
Registration Link

Register for Minnesota Sales Tax
History & Fun Facts
HISTORY

Minnesota enacted its sales tax in 1967 at an initial rate of 3%.

 

Minnesota amended its sales and use tax laws in 2003 to conform with the Streamlined Sales and Use Tax Agreement.
FUN FACTS
  • Clothing is exempt from Minnesota sales tax, however, the exemption does not include sports and recreational equipment, protective equipment, and clothing made of fur.

Your Guide to Sales Tax in the Midwest

To catch you up and cut down your research time, we’ve compiled some of the essential Midwestern sales tax trends for 2024 that you need to know.

State Notices & Resources for Remote Sellers

Use this state by state guide to find each state\’s initial guidance on how to proceed post-Wayfair, state resources such as FAQs, and any state activity such as going through a legislative process that impacts remote sellers.

Economic Nexus State by State Chart

Key information such as effective dates, thresholds, and includable sales for out-of-state sellers making sales into states that have enacted economic nexus legislation both before and after the South Dakota v. Wayfair Supreme Court decision.

Minnesota Enacts Marketplace and Affiliate Nexus Legislation

Minnesota amended its definition of a retailer maintaining a place of business in the state as part of numerous sales and use tax nexus amendments.

October 1, 2018 Remote Seller Deadline for Multiple States

The October 1, 2018 remote seller compliance deadline is approaching for a number of states. Click on the links below for our previous news items with more details. Alabama Enacts Economic Nexus Provision Illinois Enacts Economic Nexus Legislation Indiana Enacts…

House Introduces Online Sales Simplicity and Small Business Relief Act of 2018

On September 13, 2018, Rep. Jim Sensenbrenner (R-WI) and additional U.S. House members introduced the Online Sales Simplicity and Small Business Relief Act of 2018.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.

Multistate Tax Commission Announces Tax Amnesty Program for Online Sellers

The MTC organized a tax amnesty program for online sellers, running from August 17 to November 1, 2017. The voluntary disclosure program allowed sellers to start remitting sales tax on future sales without penalty or liability for unpaid, prior accumulated sales tax in 25 participating states.

No Regulation Without Representation Act of 2017 Introduced

Under the proposed House bill, a state may tax or regulate a person’s activity in interstate commerce only when the person is physically present in the state during the period in which the tax or regulation is imposed.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

House Introduces Remote Transactions Parity Act of 2015

U.S. House of Representatives introduced the Remote Transactions Parity Act of 2015 on 06/15/15. More…

Senate Introduces Marketplace Fairness Act of 2015

On March 10, 2015, a bipartisan group of senators introduced the Marketplace Fairness Act of 2015.

Minnesota Enacts Click Through Nexus Legislation

Under the legislation, a retailer is presumed to have a solicitor in Minnesota if it enters into an agreement with a resident under which the resident refers potential customers, often by a link, to the seller.

Federal Government Introduces New Remote Seller Bill

The federal Marketplace Fairness Act of 2013 was introduced in the House of Representatives and the Senate on February 14, 2013.

Minnesota Introduces Bills Proposing to Tax Some Internet Sales

The Minnesota House of Representatives and the Minnesota Senate have both introduced bills that are similar to the New York \”Amazon law.\”

MN Executive and Legislative Branches to Sever Contracts with Foreign Vendors.

Beginning in 2006, vendors holding contracts to provide goods or services to the Minnesota Department of Administration and the Minnesota Legislature must have a tax business identification number to indicate that they are registered to collect sales tax in the…