Minnesota SF172 establishes a sales tax allowance for small businesses with 15 or fewer employees.

Minnesota SF172 amends the state's sales tax law to allow qualifying retailers to retain a portion of sales tax collected as an allowance. A qualifying retailer is defined as one with 15 or fewer employees during each of the 12 months before the reporting period. The allowance is calculated as half of one percent of the tax collected, up to a maximum of $500. This allowance cannot reduce the tax owed to less than zero. The bill excludes use taxes paid by the retailer on their own purchases and local sales and use taxes collected by the retailer from the allowance calculation.

Minnesota SF172 establishes a sales tax allowance for small businesses with 15 or fewer employees.

Minnesota SF172 amends the state's sales tax law to allow qualifying retailers to retain a portion of sales tax collected as an allowance. A qualifying retailer is defined as one with 15 or fewer employees during each of the 12 months before the reporting period. The allowance is calculated as half of one percent of the tax collected, up to a maximum of $500. This allowance cannot reduce the tax owed to less than zero. The bill excludes use taxes paid by the retailer on their own purchases and local sales and use taxes collected by the retailer from the allowance calculation.