Plain English Breakdown
The plain English breakdown is still being put together. The official documents below are already here.
HF4716 • 2026
Construction materials sales and use tax exemption provided for projects financed through an act relating to capital investment.
Construction materials sales and use tax exemption provided for projects financed through an act relating to capital investment.
Taxes
Passed Legislature
This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.
Bill History
-
2026-03-25
House
Introduction and first reading, referred to Taxes
Official Summary Text
Construction materials sales and use tax exemption provided for projects financed through an act relating to capital investment.
Current Bill Text
Read the full stored bill text
A bill for an act relating to taxation; sales and use; providing an exemption for construction materials for certain projects financed through an act relating to capital investment. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: Section 1. new text begin CONSTRUCTION MATERIALS PURCHASED BY CONTRACTORS; EXEMPTION FOR CERTAIN PUBLIC ENTITIES. new text end new text begin Subdivision 1. new text end new text begin Exemption; refund. new text end new text begin (a) Materials, supplies, and equipment purchased by a contractor, subcontractor, or builder and used in the construction, reconstruction, repair, maintenance, or improvement of eligible capital projects financed in whole or in part by the following public entities are exempt: new text end new text begin (1) the state of Minnesota; and new text end new text begin (2) local governments as defined in Minnesota Statutes, section 297A.70, subdivision 2, paragraph (d), clause (2). new text end new text begin (b) The tax must be imposed and collected as if the rates under Minnesota Statutes, section 297A.62, subdivisions 1 and 1a, applied and then refunded in the same manner provided for projects under Minnesota Statutes, section 297A.75, subdivision 1, clause (17). Refunds for eligible purchases must not be issued until after June 30, 2026. new text end new text begin (c) For the purposes of this section, "eligible capital project" means a capital project subject to Minnesota Statutes, section 16A.642, 16A.695, or 16A.86, that receives a direct appropriation or grant from an appropriation of state money in a bill enacted in 2026. new text end new text begin Subd. 2. new text end new text begin Appropriation. new text end new text begin The amount required to pay the refunds under subdivision 1 is appropriated from the general fund to the commissioner of revenue. new text end new text begin EFFECTIVE DATE. new text end new text begin This section is effective for sales and purchases made after June 30, 2026. new text end