This bill amends Minnesota Statutes 2024, section 297A.70, by adding a new subdivision that provides sales and use tax exemptions specifically for nonprofit animal shelters. The bill defines "animal shelter" as a nonprofit organization involved in rescuing, sheltering, and finding homes for unwanted animals. It outlines that purchases made by these shelters for activities directly related to their mission are exempt from sales tax, with certain exceptions including construction materials for buildings not primarily used by tax-exempt entities, lodging, prepared food, and vehicle leasing.

Additionally, the bill states that sales or adoptions of unwanted animals, as well as the sale of related supplies and equipment, are exempt from sales tax. Fundraising events conducted by animal shelters are also exempt, although there are limits on the number of days these exemptions apply and specific exclusions for events held on leased premises for extended periods or involving gambling activities. The provisions of this bill will take effect for sales and purchases made after June 30, 2025.

Statutes affected:
Introduction: 297A.70