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HF1687 (Legislative Session 94 (2025-2026))

Sales and use tax exemption provided for sales to nonprofit bird preservation organizations.

Related bill: SF345

AI Generated Summary

Purpose of the Bill

The bill aims to provide a sales and use tax exemption for nonprofit bird preservation organizations in Minnesota. The purpose is to support these organizations in their efforts to develop, preserve, restore, or maintain habitats for waterfowl, pheasants, and quail.

Main Provisions

  • Tax Exemption: The bill introduces a tax exemption for sales to nonprofit bird preservation organizations. This applies to items used specifically for habitat-related activities within Minnesota, such as development, preservation, restoration, and maintenance.
  • Definition: A nonprofit bird preservation organization is defined under this bill as one whose primary mission is habitat support for specified bird species and is recognized as tax-exempt under section 501(c)(3) of the Internal Revenue Code.

Significant Changes to Existing Law

  • The bill amends Minnesota Statutes 2024, section 297A.70, by adding a specific subdivision that provides these tax exemptions.
  • Exemptions Not Applicable To:
    1. Sales related to construction or reconstruction materials when these are purchased under a lump-sum contract that includes both labor and materials.
    2. Certain goods including lodging, prepared food, candy, soft drinks, taxable cannabis products, and alcoholic beverages.
    3. The leasing of motor vehicles.

Relevant Terms

nonprofit bird preservation organizations, sales tax exemption, waterfowl, pheasants, quail, habitat restoration, nonprofit tax-exempt, section 501(c)(3), Minnesota tax law.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
February 26, 2025HouseFloorActionIntroduction and first reading, referred toTaxes

Citations

 
[
  {
    "analysis": {
      "added": [
        "New exemption status for qualifying organizations."
      ],
      "removed": [],
      "summary": "Reference to federal tax exemption status for nonprofit bird preservation organizations.",
      "modified": []
    },
    "citation": "501(c)(3)"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Defines lodging as used in sales tax exemptions.",
      "modified": []
    },
    "citation": "297A.61"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Defines alcoholic beverages for sales tax purposes.",
      "modified": []
    },
    "citation": "297A.67"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Relates to leasing of motor vehicles in context of sales tax exemptions.",
      "modified": []
    },
    "citation": "297B.01"
  }
]

Sponsors