Minnesota sales tax rate changes, October 2017
- Sales Tax Rate Changes
- Oct 17, 2017 | Gail Cole
Many local sales and use tax rate changes took effect in Minnesota on Oct. 1, 2017.
The following cities imposed a new 0.5% sales and use tax:
- Moose Lake
- New London
Proctor increased the local sales and use tax from 0.5 to 1%.
The following counties imposed a new transit sales and use tax:
- Anoka County: 0.25%
- Carver County: 0.5%
- Dakota County: 0.25%
- Hennepin County: 0.5%
- Ramsey County: 0.5%
- Washington County: 0.25%
- Wright County: 0.5%
Clay County imposed a new general sales and use tax of 0.5%.
The Minneapolis lodging tax rate dropped from 2.625% to 2.125% on Oct. 1, 2017.
Also on that date, the Transit Improvement Area Tax is discontinued and Anoka, Dakota, Hennepin, Ramsey, and Washington Counties each have their own $20 vehicle excise tax. The vehicle excise tax is collected by “any person in the business of selling new or used motor vehicles at retail.” The Minnesota Department of Revenue administers this tax for these cities.
Baxter, Brainerd, Clearwater, Hutchinson, Mankato, New Ulm, Rochester, and Worthington also impose a vehicle excise tax of $20. The cities administer the tax themselves.
Local sales tax doesn’t apply to the sale of motor vehicles in Minnesota. Additional information is available from the Minnesota Department of Revenue.
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