Minnesota SF3397 proposes a 2% gross receipts tax on various business-to-business services.

Minnesota SF3397 introduces a gross receipts tax on various business-to-business services, set at 2% of gross receipts. The tax applies to services such as legal, accounting, architectural, and engineering, among others. Trade or business entities providing these services to other businesses in Minnesota must report and remit the tax. The tax is in addition to other taxes imposed on retail sales of services. The bill also provides for credits for taxes paid to other states and outlines procedures for tax collection and administration.

Minnesota SF3397 proposes a 2% gross receipts tax on various business-to-business services.

Minnesota SF3397 introduces a gross receipts tax on various business-to-business services, set at 2% of gross receipts. The tax applies to services such as legal, accounting, architectural, and engineering, among others. Trade or business entities providing these services to other businesses in Minnesota must report and remit the tax. The tax is in addition to other taxes imposed on retail sales of services. The bill also provides for credits for taxes paid to other states and outlines procedures for tax collection and administration.