The proposed bill establishes an excise tax on social media platform businesses in Minnesota, specifically targeting those that collect consumer data. The new legal language introduces a section in Minnesota Statutes, chapter 295, titled "Social Media Gross Receipts Tax," which outlines the tax's imposition based on the number of Minnesota users from whom data is collected. Key definitions are provided, including terms such as "consumer," "consumer data," and "social media platform business," which is defined as a for-profit entity that collects data from over 100,000 Minnesota consumers in a month.

Additionally, the bill includes provisions for record-keeping, tax credits for taxes paid to other jurisdictions, and the administration of the tax, which will follow existing tax laws. Revenues from this tax will be deposited into the general fund, and the tax will be considered a personal debt of the entity required to file a return. The effective date for this tax is set for consumer data collected after December 31, 2025.