HF171

The bill proposes the introduction of a new tax specifically targeting amusement devices in Minnesota. These devices include things like video games, pinball machines, pool tables, and arcade games, among others. The key points of the bill are:

1. Definition and Scope: Amusement devices are defined as electronic or mechanical devices used for entertainment that are operated by payment. This does not include vending machines, lottery devices, or gaming devices regulated under different laws.

2. Tax Rate: An amusement device gross receipts tax of 6.875% is to be imposed on the total earnings from these devices.

3. Tax Management: This tax will replace the current taxes under chapter 297A for these devices, with specific administration, penalties, and refund processes akin to those applied to other state taxes.

4. Payment and Returns: Owners of these amusement devices must file tax returns in a manner and form as prescribed by the commissioner of revenue, adhering to specified payment schedules.

5. Revenue Utilization: The revenue collected from this tax will be divided, with the majority going to the state’s general fund and a smaller portion allocated as defined by the Minnesota Constitution.

6. Personal Debt: The tax, including any related interest and penalties, will be considered a personal debt of the person responsible for filing the return.

This change aims to clearly regulate and tax amusement devices separately, ensuring organized collection and allocation of tax revenues while defining administrative and legal responsibilities for device owners in Minnesota.