Minnesota Fails To Repeal Tax On Equipment Repairs

While the recent special session of the Minnesota Legislature did address disaster relief for counties hit by severe storms, it failed to repeal the new sales tax on farm equipment repairs that took effect on July 1 of this year.

It is unfortunate that the legislature missed the opportunity to bring relief to farmers and small business owners affected by what one senator called a “man-made disaster” — the problems caused by increased taxes enacted last session.

These new taxes include the equipment repair tax, telecommunications equipment tax and warehousing tax. During negotiations, Democrat leaders and the governor all agreed that they were harmful tax increases which should be repealed but despite that broad agreement they refused to agree reconsidering and repealing any of these three taxes during the special session.