Minnesota 2025-2026 Regular Session

Minnesota House Bill HF792 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 motor vehicles; exempting veterans from certain motor vehicle
3	3	1.3 registration taxes and fees, including certain registration taxes, license plate fees,
4	4	1.4 title fees, driver's license and identification card fees, and motor vehicle sales taxes;
5	5	1.5 amending Minnesota Statutes 2024, sections 168.012, subdivision 13; 171.06,
6	6	1.6 subdivision 2c; 297B.03.
7	7	1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
8	8	1.8 Section 1. Minnesota Statutes 2024, section 168.012, subdivision 13, is amended to read:
9	9	1.9 Subd. 13.Vehicles registered by certain veterans.(a) A passenger automobile, one-ton
10	10	1.10pickup truck, motorcycle, or recreational vehicle registered by a veteran with a total
11	11	1.11service-connected disability, as defined in section 171.01, subdivision 51 197.447, is not
12	12	1.12subject to:
13	13	1.13 (1) registration taxes under this chapter;
14	14	1.14 (2) administrative fees imposed under subdivision 1c;
15	15	1.15 (3) filing fees and surcharges imposed under section 168.33, subdivision 7; or
16	16	1.16 (4) plate and validation sticker fees imposed under this chapter, including but not limited
17	17	1.17to:
18	18	1.18 (i) fees under section 168.12, subdivision 5;
19	19	1.19 (ii) fees identified in any section authorizing special plates; and
20	20	1.20 (iii) transfer fees.
21	21	1.21 (b) The exemptions under this subdivision apply to a motor vehicle that is jointly
22	22	1.22registered by a qualifying veteran and a spouse or domestic partner.
23	23	1Section 1.
24	24	REVISOR KRB/NS 25-0283901/29/25
25	25	State of Minnesota
26	26	This Document can be made available
27	27	in alternative formats upon request
28	28	HOUSE OF REPRESENTATIVES
29	29	H. F. No. 792
30	30	NINETY-FOURTH SESSION
31	31	Authored by Myers02/17/2025
32	32	The bill was read for the first time and referred to the Committee on Transportation Finance and Policy 2.1 (c) The fees identified under paragraph (a), clause (4), do not include:
33	33	2.2 (1) a fee for personalized plates under section 168.12, subdivision 2a; or
34	34	2.3 (2) a required contribution or donation for a special plate, including but not limited to
35	35	2.4a contribution under sections 168.1255, subdivision 1, clause (6); 168.1258, subdivision 1,
36	36	2.5clause (4); 168.1259, subdivision 2, paragraph (a), clause (5); 168.1287, subdivision 1,
37	37	2.6clause (5); 168.129, subdivision 1, clause (5); 168.1295, subdivision 1, paragraph (a), clause
38	38	2.7(5); 168.1296, subdivision 1, paragraph (a), clause (5); and 168.1299, subdivision 1, clause
39	39	2.8(3).
40	40	2.9 (d) A qualifying veteran may register no more than two motor vehicles at the same time
41	41	2.10with the exemptions under this subdivision. Nothing in this paragraph prevents registration
42	42	2.11of additional motor vehicles as otherwise provided in this chapter.
43	43	2.12 EFFECTIVE DATE.This section is effective the day following final enactment and
44	44	2.13applies to taxes payable for a registration period starting on or after January 1, 2026.
45	45	2.14 Sec. 2. Minnesota Statutes 2024, section 171.06, subdivision 2c, is amended to read:
46	46	2.15 Subd. 2c.Exemption; certain veterans.For an applicant who is a veteran with a total
47	47	2.16service-connected disability, as defined in section 197.447, the commissioner must not
48	48	2.17impose:
49	49	2.18 (1) a license or endorsement fee, including fees and surcharges specified under:
50	50	2.19 (i) subdivisions 2 and 2a; and
51	51	2.20 (ii) section 171.02, subdivision 3;
52	52	2.21 (2) a filing fee under subdivision 2 or section 171.061, subdivision 4; or
53	53	2.22 (3) a fee for an identification card under section 171.07, subdivision 3 or 3a.
54	54	2.23 EFFECTIVE DATE.This section is effective January 1, 2026.
55	55	2.24 Sec. 3. Minnesota Statutes 2024, section 297B.03, is amended to read:
56	56	2.25 297B.03 EXEMPTIONS.
57	57	2.26 There is specifically exempted from the provisions of this chapter and from computation
58	58	2.27of the amount of tax imposed by it the following:
59	59	2.28 (1) purchase or use, including use under a lease purchase agreement or installment sales
60	60	2.29contract made pursuant to section 465.71, of any motor vehicle by the United States and its
61	61	2Sec. 3.
62	62	REVISOR KRB/NS 25-0283901/29/25 3.1agencies and instrumentalities and by any person described in and subject to the conditions
63	63	3.2provided in section 297A.67, subdivision 11;
64	64	3.3 (2) purchase or use of any motor vehicle by any person who was a resident of another
65	65	3.4state or country at the time of the purchase and who subsequently becomes a resident of
66	66	3.5Minnesota, provided the purchase occurred more than 60 days prior to the date such person
67	67	3.6began residing in the state of Minnesota and the motor vehicle was registered in the person's
68	68	3.7name in the other state or country;
69	69	3.8 (3) purchase or use of any motor vehicle by any person making a valid election to be
70	70	3.9taxed under the provisions of section 297A.90;
71	71	3.10 (4) purchase or use of any motor vehicle previously registered in the state of Minnesota
72	72	3.11when such transfer constitutes a transfer within the meaning of section 118, 331, 332, 336,
73	73	3.12337, 338, 351, 355, 368, 721, 731, 1031, 1033, or 1563(a) of the Internal Revenue Code,
74	74	3.13as amended through December 16, 2016;
75	75	3.14 (5) purchase or use of any vehicle owned by a resident of another state and leased to a
76	76	3.15Minnesota-based private or for-hire carrier for regular use in the transportation of persons
77	77	3.16or property in interstate commerce provided the vehicle is titled in the state of the owner or
78	78	3.17secured party, and that state does not impose a sales tax or sales tax on motor vehicles used
79	79	3.18in interstate commerce;
80	80	3.19 (6) purchase or use of a motor vehicle by a private nonprofit or public educational
81	81	3.20institution for use as an instructional aid in automotive training programs operated by the
82	82	3.21institution. "Automotive training programs" includes motor vehicle body and mechanical
83	83	3.22repair courses but does not include driver education programs;
84	84	3.23 (7) purchase of a motor vehicle by an ambulance service licensed under section 144E.10
85	85	3.24when that vehicle is equipped and specifically intended for emergency response or for
86	86	3.25providing ambulance service;
87	87	3.26 (8) purchase of a motor vehicle by or for a public library, as defined in section 134.001,
88	88	3.27subdivision 2, as a bookmobile or library delivery vehicle;
89	89	3.28 (9) purchase of a ready-mixed concrete truck;
90	90	3.29 (10) purchase or use of a motor vehicle by a town for use exclusively for road
91	91	3.30maintenance, including snowplows and dump trucks, but not including automobiles, vans,
92	92	3.31or pickup trucks;
93	93	3Sec. 3.
94	94	REVISOR KRB/NS 25-0283901/29/25 4.1 (11) purchase or use of a motor vehicle by a corporation, society, association, foundation,
95	95	4.2or institution organized and operated exclusively for charitable, religious, or educational
96	96	4.3purposes, except a public school, university, or library, but only if the vehicle is:
97	97	4.4 (i) a truck, as defined in section 168.002, a bus, as defined in section 168.002, or a
98	98	4.5passenger automobile, as defined in section 168.002, if the automobile is designed and used
99	99	4.6for carrying more than nine persons including the driver; and
100	100	4.7 (ii) intended to be used primarily to transport tangible personal property or individuals,
101	101	4.8other than employees, to whom the organization provides service in performing its charitable,
102	102	4.9religious, or educational purpose;
103	103	4.10 (12) purchase of a motor vehicle for use by a transit provider exclusively to provide
104	104	4.11transit service is exempt if the transit provider is either (i) receiving financial assistance or
105	105	4.12reimbursement under section 174.24 or 473.384, or (ii) operating under section 174.29,
106	106	4.13473.388, or 473.405;
107	107	4.14 (13) purchase or use of a motor vehicle by a qualified business, as defined in section
108	108	4.15469.310, located in a job opportunity building zone, if the motor vehicle is principally
109	109	4.16garaged in the job opportunity building zone and is primarily used as part of or in direct
110	110	4.17support of the person's operations carried on in the job opportunity building zone. The
111	111	4.18exemption under this clause applies to sales, if the purchase was made and delivery received
112	112	4.19during the duration of the job opportunity building zone. The exemption under this clause
113	113	4.20also applies to any local sales and use tax;
114	114	4.21 (14) purchase of a leased vehicle by the lessee who was a participant in a lease-to-own
115	115	4.22program from a charitable organization that is:
116	116	4.23 (i) described in section 501(c)(3) of the Internal Revenue Code; and
117	117	4.24 (ii) licensed as a motor vehicle lessor under section 168.27, subdivision 4;
118	118	4.25 (15) purchase of a motor vehicle used exclusively as a mobile medical unit for the
119	119	4.26provision of medical or dental services by a federally qualified health center, as defined
120	120	4.27under title 19 of the Social Security Act, as amended by Section 4161 of the Omnibus Budget
121	121	4.28Reconciliation Act of 1990; and
122	122	4.29 (16) purchase of a motor vehicle by a veteran having a total service-connected disability,
123	123	4.30as defined in section 171.01, subdivision 51 197.447.
124	124	4.31 EFFECTIVE DATE.This section is effective for sales and purchases made after June
125	125	4.3230, 2026.
126	126	4Sec. 3.
127	127	REVISOR KRB/NS 25-0283901/29/25