Minnesota 2025-2026 Regular Session

Minnesota House Bill HF1404 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to transportation; repealing the electric-assisted bicycle rebate; repealing
3	3	1.3 Minnesota Statutes 2024, section 289A.51.
4	4	1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
5	5	1.5 Section 1. REPEALER.
6	6	1.6 Minnesota Statutes 2024, section 289A.51, is repealed.
7	7	1.7 EFFECTIVE DATE.This section is effective the day following final enactment.
8	8	1Section 1.
9	9	REVISOR KRB/HL 25-0375802/11/25
10	10	State of Minnesota
11	11	This Document can be made available
12	12	in alternative formats upon request
13	13	HOUSE OF REPRESENTATIVES
14	14	H. F. No. 1404
15	15	NINETY-FOURTH SESSION 289A.51 ELECTRIC-ASSISTED BICYCLE REBATE.
16	16	Subdivision 1.Definitions.(a) For purposes of this section, the following terms have the
17	17	meanings given.
18	18	(b) "Electric-assisted bicycle" has the meaning given in section 169.011, subdivision 27, except
19	19	that the term is limited to a new electric-assisted bicycle purchased from an eligible retailer.
20	20	(c) "Eligible expenses" means the amount paid for an electric-assisted bicycle and any qualifying
21	21	accessories purchased at the same time as the electric-assisted bicycle, inclusive of sales tax but
22	22	exclusive of any other related charges, including charges for a warranty, service, or delivery.
23	23	(d) "Eligible individual" means an individual who:
24	24	(1) is at least 15 years old;
25	25	(2) is a resident individual taxpayer at the time of application for a rebate certificate and in the
26	26	previous calendar year; and
27	27	(3) was not claimed as a dependent on another return in the taxable year described in subdivision
28	28	3, paragraph (c).
29	29	(e) "Eligible retailer" means a person who has engaged in the business of retail sales of new
30	30	electric-assisted bicycles for at least six months prior to receiving the approval of the commissioner
31	31	under subdivision 5.
32	32	(f) "Qualifying accessories" means a bicycle helmet, lights, lock, luggage rack, basket, bag or
33	33	backpack, fenders, or reflective clothing.
34	34	Subd. 2.Rebate established.An eligible retailer that has been assigned a rebate certificate by
35	35	an eligible individual may apply to the commissioner for a rebate, as provided in this section.
36	36	Subd. 3.Amount of rebate.(a) The amount of a rebate under this section equals the lesser of:
37	37	(1) the applicable percentage, multiplied by the amount of eligible expenses paid by an eligible
38	38	individual; or
39	39	(2) $1,500.
40	40	(b) The applicable percentage equals 75 percent, but is reduced by one percentage point until
41	41	the percentage equals 50 percent, for each $4,000 of the eligible individual's adjusted gross income
42	42	in excess of:
43	43	(1) $50,000 for a married taxpayer filing a joint return; and
44	44	(2) $25,000 for all other filers.
45	45	(c) For the purposes of determining the applicable percentage under paragraph (b) and subdivision
46	46	4, paragraph (a), the commissioner must use the eligible individual's adjusted gross income for the
47	47	taxable year ending in the calendar year prior to the year in which the individual applied for a rebate
48	48	certificate.
49	49	Subd. 4.Commissioner to issue rebate certificates.(a) To qualify for a rebate under this
50	50	section, an eligible individual must apply to the commissioner for a rebate certificate in the manner
51	51	specified by the commissioner prior to purchasing an electric-assisted bicycle. As part of the
52	52	application, the eligible individual must include proof of the individual's adjusted gross income for
53	53	the taxable year specified in subdivision 3, paragraph (c). The commissioner must issue a rebate
54	54	certificate to an eligible individual stating the issuance date, the applicable percentage, and the
55	55	maximum rebate for which the taxpayer is eligible. For a married taxpayer filing a joint return, each
56	56	spouse may apply to the commissioner separately, and the commissioner must issue each spouse a
57	57	separate rebate certificate.
58	58	(b) The commissioner of revenue may determine the date on which to open applications for a
59	59	rebate certificate, and applications must not be submitted before the date determined by the
60	60	commissioner. Beginning July 1, 2024, and July 1 of each subsequent calendar year for which there
61	61	is an allocation of rebate certificates, the commissioner must allocate rebate certificates on a
62	62	first-come, first-served basis. The commissioner must reserve 40 percent of the certificates for a
63	63	married taxpayer filing a joint return with an adjusted gross income of less than $78,000 or any
64	64	other filer with an adjusted gross income of less than $41,000. Any portion of the reserved amount
65	65	under this paragraph that is not allocated by September 30 is available for allocation to other rebate
66	66	certificate applications beginning on October 1.
67	67	1R
68	68	APPENDIX
69	69	Repealed Minnesota Statutes: 25-03758 (c) The commissioner must not issue rebate certificates totaling more than $2,000,000 in each
70	70	of calendar years 2024 and 2025, except any amount authorized but not allocated in any calendar
71	71	year does not cancel and is added to the allocation for the next calendar year. When calculating the
72	72	amount of remaining allocations, the commissioner must assume that each allocated but unclaimed
73	73	certificate reduces the available allocations by $1,500.
74	74	(d) A rebate certificate that is not assigned to a retailer expires two months after the date the
75	75	certificate was issued and may not be assigned to a retailer after expiration. The amount of any
76	76	expired rebate certificates is added to the available allocation under paragraph (c).
77	77	Subd. 5.Certification of eligible retailers.To be eligible to be assigned a rebate certificate
78	78	under this section, an eligible retailer must apply to the commissioner of revenue to be certified as
79	79	an eligible retailer in the manner specified by the commissioner. The application must include proof
80	80	that the person applying has been actively involved in the business of retail sales of new
81	81	electric-assisted bicycles for at least six months.
82	82	Subd. 6.Application for rebate.(a) An eligible individual who purchases an electric-assisted
83	83	bicycle may assign a rebate certificate to an eligible retailer at the time of purchase. The retailer
84	84	must reduce the price of the electric-assisted bicycle by the amount of the rebate determined under
85	85	subdivision 3.
86	86	(b) The commissioner must establish the form and manner by which a taxpayer may assign a
87	87	rebate certificate to a retailer. The commissioner must establish a process through which retailers
88	88	may quickly verify the validity of a rebate certificate at the time of purchase.
89	89	(c) An eligible retailer that was assigned a rebate certificate may apply to the commissioner for
90	90	a rebate within one month of the date of the sale. The application must be in the manner specified
91	91	by the commissioner. The commissioner must pay to an eligible retailer who meets the requirements
92	92	of this section the amount of the rebate determined under subdivision 3.
93	93	(d) Only an eligible retailer may apply for a rebate under this subdivision. To receive the benefit
94	94	of a rebate under this section, an eligible individual must assign a rebate certificate to an eligible
95	95	retailer.
96	96	(e) A rebate certificate under this section must not be assigned or transferred more than once.
97	97	(f) The commissioner must not pay any rebates under this section after June 30, 2026.
98	98	Subd. 7.Limitations.(a) The commissioner must not issue an eligible individual a rebate
99	99	certificate more than one time. This limitation does not apply to a rebate certificate that expired.
100	100	(b) If an eligible individual purchases an electric-assisted bicycle using a rebate under this
101	101	section and returns the bicycle to an eligible retailer, the eligible retailer must repay to the
102	102	commissioner the amount of the rebate received.
103	103	(c) The commissioner must not issue a rebate certificate to an eligible individual who is subject
104	104	to a claim for a refund under chapter 270A.
105	105	(d) For electric-assisted bicycles purchased using rebates under this section:
106	106	(1) an eligible retailer must charge the same retail price for an electric-assisted bicycle as the
107	107	retailer charges for the same bicycle if it is purchased without a rebate; and
108	108	(2) an eligible retailer must not charge a retail price in excess of the manufacturer's suggested
109	109	retail price.
110	110	Subd. 8.Appropriation.$4,000,000 in fiscal year 2024 is appropriated from the general fund
111	111	to the commissioner to implement the requirements under this section, including but not limited to
112	112	administration and payment of refunds. This is a onetime appropriation and is available until June
113	113	30, 2026.
114	114	Subd. 9.Sunset.This section expires June 30, 2026. The expiration of this section does not
115	115	affect the commissioner's authority to audit or power of examination and assessment for rebates
116	116	claimed under this section.
117	117	2R
118	118	APPENDIX
119	119	Repealed Minnesota Statutes: 25-03758