Minnesota HF5026 creates a sales and use tax exemption for nonprofit carshare organizations.

Minnesota HF5026 amends the sales and use tax law to exempt nonprofit carshare organizations from paying sales and use tax on items used in providing carshare services. This exemption applies to organizations that are exempt from federal taxation under section 501(c)(3) of the Internal Revenue Code. However, the exemption does not cover sales of prepared food, candy, soft drinks, alcoholic beverages, and taxable cannabis products. The exemption takes effect for sales and purchases made after June 30, 2026.

Minnesota HF5026 creates a sales and use tax exemption for nonprofit carshare organizations.

Minnesota HF5026 amends the sales and use tax law to exempt nonprofit carshare organizations from paying sales and use tax on items used in providing carshare services. This exemption applies to organizations that are exempt from federal taxation under section 501(c)(3) of the Internal Revenue Code. However, the exemption does not cover sales of prepared food, candy, soft drinks, alcoholic beverages, and taxable cannabis products. The exemption takes effect for sales and purchases made after June 30, 2026.