Minnesota Internet Tax Freedom Act elements.
Identify in MN code 297A the individual engaged in ecommerce as an entity-exemption.
eCommerce is any transaction involving shopping cart technology as defined by the collection of ecommerce patents owned by Soverain.
Update 297A to reflect that all eCommerce transactions are subject to Use tax only, not Sales tax.
Exempt (up to $250,000 yearly) all Minnesota eCommerce transactions in 297A.
Enact a resolution directing creation of a Revenue Commission rule that raises the Use tax exemption from $770 to $250,000.
Enact a resolution directing creation of a Revenue Commission rule whereby no seller shall collect online sales tax from any buyer and that all MN ecommerce sales are subject to Use tax to be paid by buyer only as a Use tax.
MN buyers and sellers who engage in eCommerce over $250k will be exempt from filing any remittance based on the federal ITFA and cannot ever be required to remit retroactively for the years covered by the federal ITFA.
If the federal moratorium, whichexpires in 2014, is not extended, MN buyers who engage in eCommerce over $250k / year will submit a volition-based Use tax report and remittance and sellers will continue to exclude internet sales from their sales tax remittance.
____
Minnesota Internet Tax freedom Act - MN-ITFA
Volition-based sales tax remittance
Starting at $250k / year
Minnesota - A model for the nation
Jamie.Delton@gmail.com
651-224-6564
http://www.JamieforStateRep.com/
Monday, January 10, 2011
Subscribe to:
Posts (Atom)
