[{"_1":2,"_111":-5,"_112":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6363841,"mediaKeyId","2165629-99e4a0da0ef526c7fa120d9487e8d955","parentId",2165629,"title","Senate File 46 would create a 30‑day safe harbor for nonresident workers' Minnesota tax liability","audioSeconds",1764,"startMs",4839000,"endMs",6603000,"viewUrl","/Search/View?dp=1&key=2165629-99e4a0da0ef526c7fa120d9487e8d955&start=4839&end=6603","thumbnailUrl","https://assets.pipeline.soar.com/2165629-99e4a0da0ef526c7fa120d9487e8d955/thumbnail_4839000.jpg","articleUrl","/articles/6363841/Minnesota/Senate-File-46-would-create-a-30day-safe-harbor-for-nonresident-workers-Minnesota-tax-liability","mediaUrl","https://secure.pipeline.soar.com/6363841-e18a786a5c90cbe2cde715af42d49141/orig.mp4?Expires=1775916073&Signature=gy8QetdufNBwMDNgiYWJw2bhFrA2dCWpucZ5FTzhy5z~OUMqF38kKQDHI-n4WOSo05WzPByc65aS-Lszm~JX9yXrAiP6Ix5JGMeoQ360Rp6btbT12AcRsE3j9sr3SVs8WBWTSTZuJr32M4kxG0WrImgAb2eTeuKmaVRr-khoQX1Pcil-sJHdFm-ISbdHxFoo2~Xt0Ga1YzoMX97da7rbr7ExFnYs~zeprMlys-lsq7AUcrtgluvSJL1h4cLGYhYwwj7va6R3Xgz~~KkR172yTGBMA5cfN4if1C37HadVHAiDqIWQbobmQb-0TjWcduxzoXiBfRBfhtM1-JpV~vrHyw__&Key-Pair-Id=KUT5TJCACFTXG","author","Minnesota Senate Media Services","date","2025-01-28T00:00:00Z","article","Senator Rest introduced Senate File 46, which would create a 30‑day safe harbor for qualifying nonresident employees who perform employment duties in Minnesota for short periods during the taxable year.

The sponsor described the bill as a compliance‑and‑administration fix that counts days worked in Minnesota (using a time‑and‑attendance system or employee records) rather than attempting to apportion income based on estimated earnings in the state. \"The 30 day threshold applies to both personal income tax liability of the employee and the withholding requirement for employers,\" a witness explained, and supporters said days are easier to count than dollars.

Supporters included the Minnesota Business Partnership and the Minnesota CPA Society. Gavin Hanson of the Minnesota Business Partnership said the bill \"provides clarity and simplicity\" for employees and employers who travel for brief work assignments. Gino Fragnito of the Minnesota CPA Society said the measure would reduce compliance burdens and administrative costs for the Department of Revenue. Douglas Lindholm, a national tax practitioner who testified remotely, described long‑running efforts to secure a uniform federal solution and urged states to adopt a 30‑day standard to reduce widespread noncompliance and avoid tens of thousands of small, low‑dollar returns.

The bill includes a reciprocity provision: Minnesota would apply the safe harbor only to workers who reside in states that provide a substantially similar exclusion or that do not impose an individual income tax. The sponsor offered an authors' oral amendment to tighten timing language, which was introduced and accepted by the committee during the hearing.

Action: The committee adopted the sponsor's author's amendment (oral amendment changing wording on two lines) and laid SF 46 over for possible inclusion in the omnibus tax bill. The transcript recorded no roll‑call vote on final passage; the committee directed staff to review fiscal estimates and the Department of Revenue noted the fiscal note is sensitive to filing patterns and remote‑work trends.

Ending: Sponsors said the bill would modernize Minnesota's withholding and filing obligations to match contemporary workforce mobility and reduce administrative burdens on employers and the Department of Revenue; staff will return with updated revenue estimates.","mediaType","Video","parentTitle","Committee on Taxes - 01/28/25","oneSentenceSummary","Senate File 46 would exempt from Minnesota withholding and income tax compensation paid to qualifying nonresident individuals who perform employment duties in Minnesota for 30 days or fewer in a taxable year, subject to reciprocity with the worker's state of residence.","taxTitle","2025 Legislature MN, Minnesota","taxId",77817,"location","Minnesota","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6363856,"Walz budget would cut statewide sales tax rate, expand tax to many services",3105,92000,3197000,"/Search/View?dp=1&key=2165629-99e4a0da0ef526c7fa120d9487e8d955&start=92&end=3197","https://assets.pipeline.soar.com/2165629-99e4a0da0ef526c7fa120d9487e8d955/thumbnail_92000.jpg","/articles/6363856/Minnesota/Walz-budget-would-cut-statewide-sales-tax-rate-expand-tax-to-many-services","https://secure.pipeline.soar.com/6363856-34ce272e54b2b162433548d6e4a30a44/orig.mp4?Expires=1775916073&Signature=R8-rrCP3dZi8n5quJY4UXuxgcoDp8TDzzVSE5Vjh312grG5782oEy0wlRQ3viIhG2nsCBPrFqjMl5nS77bohYJB8N0CoynoyMrY8xPM69CKTAAs5lSD0rpC4NSQpDDfUMz0N9KC~r70q3cljXUH9Uo2WNHqf-wHoj~zgL1t5DjzQtezXkRkqXCserxYmvDkXaUEgJjK4mDlVeIVRBUP4jZ0RLSCU7Go~2RwjWhkXa9nPTgRkQOB6ZXrCvYYF1hZn6Z-aI4aSVGGoxbNnWtSv2USUEJ90IQABzbiLWWx5-HgaXNjUFBmht4B1qVxpL0IGQnEYNHy6vMixselZVDJ4kQ__&Key-Pair-Id=KUT5TJCACFTXG","Commissioner Paul Marquardt, commissioner of revenue, presented Governor Tim Walz and Lieutenant Governor Flanagan's tax proposals to the Minnesota Senate Tax Committee, outlining a proposal to lower the state general sales tax rate and to extend the tax to additional professional services.

Marquardt told the committee the plan would reduce the statewide general sales tax rate by 0.075 percentage point, from 6.5% to 6.425%, and would broaden the base to include many professional services such as legal, brokerage, banking and accounting services. \"This would be the first sales tax rate cut in state history,\" Marquardt said, and he described the change as paired with base broadening to move Minnesota toward a more service‑oriented tax base.

The governor's package would also preserve existing carve‑outs for specific items and services (for example, legal aid and child tax credits) and would not impose business‑to‑business taxes, Marquardt said, adding that the administration intends to avoid so‑called \"tax pyramiding\" that layers taxes on business inputs. He described the estimated fiscal effect as a $95 million annual reduction tied to the rate cut and roughly $203 million a year in new revenue from taxing expanded services, yielding a net increase reflected in the governor's revenue estimates for the next biennia.

Why it matters: Committee members pressed for more detail and asked the administration to return with bill language, precise revenue estimates and spreadsheets showing distributional impacts. Several senators said they welcomed a conversation about \"fair taxes\" but worried the combined package could raise more revenue overall than the headline rate cut suggests.

Committee discussion and follow up: Senators raised questions about administrative and legal limits. Senator Drazkowski pointed out a statutory provision he summarized as \"a fee is a tax,\" and asked whether fees or novel charging arrangements could be treated differently. Marquardt replied that carve‑outs were included in the revenue estimate and that language will be scrutinized when bill text arrives. Senators also asked whether the change could violate the Streamlined Sales and Use Tax Agreement; Marquardt said the department would review that issue when bill language is drafted.

Policy details recorded in the hearing materials and the presentation: the reduction of 0.075 percentage point, the projected $95 million annual revenue loss from the rate cut, an approximately $203 million annual increase from expanding services, and administration statements that the package would solve a portion of a long‑term structural deficit (the presentation cited solving roughly half of a stated $3.5 billion long‑term structural gap). Marquardt also listed related tax items in the governor's package: an expansion of the research and development credit, a sustainable aviation fuel (SAF) credit, fraud‑prevention funding, a short‑line railroad modernization credit timing change, and a proposed pass‑through audit unit for corporate franchise tax compliance.

The chair and committee members instructed staff and the Department of Revenue to provide language and detailed revenue estimates; the committee did not take testimony on the tax provisions at this hearing and deferred public testimony until bill language is available. Marquardt and legislative staff said they will return with more granular estimates and clarifying spreadsheets.

Ending: The committee left the matter open and scheduled further consideration once formal bill language and updated revenue estimates are provided. Members emphasized they will scrutinize distributional impacts and potential local government cost shifts in later hearings.","Commissioner Paul Marquardt presented Governor Tim Walz's sales tax proposal to the Senate Tax Committee, which would reduce the state general sales tax rate by 0.075 percentage point and extend the tax to many professional services.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6363846,"Lawmakers consider narrowing exemptions, clarifying sales tax for landscaping services",671,4092000,4763000,"/Search/View?dp=1&key=2165629-99e4a0da0ef526c7fa120d9487e8d955&start=4092&end=4763","https://assets.pipeline.soar.com/2165629-99e4a0da0ef526c7fa120d9487e8d955/thumbnail_4092000.jpg","/articles/6363846/Minnesota/Lawmakers-consider-narrowing-exemptions-clarifying-sales-tax-for-landscaping-services","https://secure.pipeline.soar.com/6363846-bfee8c69efac681723961ee118767160/orig.mp4?Expires=1775916073&Signature=liU~1npKsIkjybKQe5qrOH~5f6Z-Q4DpYqZ8~hkHAQFtr9YabDkUJNjku15gg1mTbZ9QIJ1etLdw0lgpxBM3sZAUIekaZgraUUoNzyX3D9dfIgVirHpuHoFuIcc~~zkhFnLlXnAx6IfU6fC5dTQ0gSYbeFJGibQwsNVr6jh1z2JzaNyO8SV8UXBka9eqNWVdiA4lmLatGVGI09IBrdPr8F10CYYijmIt5BOBWMDJP0Jzi7Kr4S294NPNeabru1Aw74j4nzYFYMoAeAhJqMaWLmEL7mfrWNCNTJ5vPB1Z8y5QriufVywZ97afj8MwBxb9JF8SGHSai1fzanAd9j-MVw__&Key-Pair-Id=KUT5TJCACFTXG","Senator Klein brought Senate File 297 to the Tax Committee seeking to resolve long‑standing confusion in the nursery and landscape sector over when sales tax applies to detachable equipment parts and to clarify the tax treatment of land‑clearing services.

\"This bill came forward from the landscaping industry itself to simplify their tax exemptions,\" Klein said. Section 1 would treat detachable accessories and replaceable units (for example, chainsaw chains and lawnmower blades) as taxable items rather than exempt depending on use. Section 2 would make land‑clearing services for tree, brush, shrub and stump removal non‑taxable to remove ambiguity over whether removal tied to property development or renovation should be taxed.

Witnesses from the landscaping industry told the committee vendors and small business owners face recordkeeping and audit risk when the same detachable part might be used for a taxable and a nontaxable service on the same day. Gregg Krogstad, CEO of Rainbow Tree Care, said his company already often pays tax on such parts to avoid audit risk and that clear rules would reduce compliance burden. \"We would rather pay the sales tax and continue to work and remove this confusion and unnecessary complexities,\" he testified.

Action: The committee laid Senate File 297 over for omnibus consideration; the bill includes a fiscal note and the committee said it will review the Revenue Department estimate during bill drafting.

Ending: Sponsors said the bill aims to reduce administrative burdens for small landscaping firms while clarifying residue policy for local governments and contractors.","Sen. Klein's Senate File 297 would remove some detachable‑parts exemptions and clarify that land‑clearing services are non‑taxable to reduce confusion for landscaping businesses; witnesses said the change would simplify compliance for small firms and the committee laid the bill over.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":104,"_47":105,"_49":106,"_51":107,"_53":108,"_55":56,"_57":58,"_59":109,"_61":62,"_63":64,"_65":110,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6363850,"Senate File 249 would expand existing teacher master's tax credit to special education degrees",0,5446000,"/Search/View?dp=1&key=2165629-99e4a0da0ef526c7fa120d9487e8d955&start=5446&end=5446","https://assets.pipeline.soar.com/2165629-99e4a0da0ef526c7fa120d9487e8d955/thumbnail_5446000.jpg","/articles/6363850/Minnesota/Senate-File-249-would-expand-existing-teacher-masters-tax-credit-to-special-education-degrees","https://secure.pipeline.soar.com/6363850-a68e5bf65f7b8cb555a10394907e572d/orig.mp4?Expires=1775916073&Signature=Vtia20IEb7TxfFaz4ozbkE1UwHmjbW-1YLXppOcT26PU~b0tlec-uwylGb4cQTb-VLHLLujwAx34jGWPZzxbtGFNDiKoyQqZ14e6dZ6uMN4spte6Y8j9e~zPwyaEgxlUkwnliC7JJon0CTd22IqMYTLruvM86qoKwBYcXoX0dKYWKEeJgK825fIOrgT3IERPrTY6KdPi7vFFGoyi4VYlSbZetCGgMcALFFP-~MhLoEJLc5xG0e-~qjNWy3r6N~gC6ZrK~cOWTAR6Lz9-8t0l90cPzwFENDiSvrSZ8G0EfoPH9OPPOlQhNuHQVMc1ogf0JOtedfHq~UAkfo8674nPTA__&Key-Pair-Id=KUT5TJCACFTXG","Senator Johnson Stewart introduced Senate File 249 to the Senate Tax Committee, proposing to expand an existing nonrefundable teacher master's degree income tax credit to include special education master's degrees and to relax timing requirements for licensure.

\"This bill expands the eligibility for current credit to include taxpayers earning a master's degree in special education,\" Senator Johnson Stewart said while explaining that the bill would allow teachers who obtain licensure within six months of finishing a qualifying master's program to claim the credit.

Under current Minnesota law, the nonrefundable credit provides up to $2,500 to current teachers who complete a master's degree in a core content area and meet licensure timing and pedagogy restrictions. SF 249 would add special education fields — including developmental disabilities, early childhood special education, deaf and hard of hearing education, blind and visually impaired education, emotional or behavior disorders, autism spectrum disorders, and learning disabilities — and would remove the prohibition on pedagogy components for special education degrees.

Two testifiers from the deaf and hard‑of‑hearing community described workforce shortages and financial barriers. Stevie Middlebrook, a second‑grade teacher at Metro Deaf School and a current master's student, told the committee she initially struggled to afford graduate school and that vocational rehabilitation and a university grant were not available to all candidates. \"Minnesota has only one teacher preparation program for deaf and hard of hearing education,\" Middlebrook said, adding that the credit could help address shortages.

Alicia Lane, government relations director at the Minnesota Commission of the Deaf, DeafBlind and Hard of Hearing, said the state faces a severe shortage of teachers qualified to serve deaf and hard‑of‑hearing students and that the credit had bipartisan appeal to recruit and retain educators.

Action: The committee laid Senate File 249 over for inclusion in an omnibus tax bill; the bill as introduced retains the current $2,500 nonrefundable credit and sets an effective date of tax year 2025. The committee asked staff to provide prior revenue estimates; staff noted the credit is scalable and may be adjusted in omnibus negotiations.

Ending: Advocates urged the committee to adopt the change to expand the teaching pipeline for special education students; the sponsor and testifiers said they will continue to work with staff on technical drafting and estimates.","Sen. Lindsey Johnson Stewart introduced SF 249 to extend an existing nonrefundable income tax credit for teachers who complete a master's degree to include special education licensure fields; bill was laid over for omnibus consideration.","actionData","errors"]

Article not found

Senate File 46 would create a 30‑day safe harbor for nonresident workers' Minnesota tax liability

Walz budget would cut statewide sales tax rate, expand tax to many services

Lawmakers consider narrowing exemptions, clarifying sales tax for landscaping services

Senate File 249 would expand existing teacher master's tax credit to special education degrees