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Committee hears bill to modernize telecom equipment sales-tax exemption by removing the word "primarily"
Summary
House File 9 51 would delete the word "primarily" from a sales‑tax exemption for machinery and equipment used to provide telecommunications or pay‑TV services, aiming to align the statute with modern multi‑service networks. Industry trade groups supported the change; at least one committee member flagged estimated fiscal cost.
Chair Davids and committee members considered a proposal to update Minnesota's sales tax exemption for communications infrastructure. House File 9 51 would remove the word "primarily" from the statute that exempts machinery and equipment used to provide telecommunications or pay‑television services.
Sarah Pisick, representing CTIA (a wireless-industry trade group), told the committee that the underlying statute dates to 2001 and that modern networks now carry bundled services—internet access, voice, streaming and other data—on the same…
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