1.1 A bill for an act
1.2 relating to taxation; sales and use; providing an exemption for grain bins and related
1.3 construction materials and supplies and tractor tires; amending Minnesota Statutes
1.4 2024, sections 297A.61, subdivision 12; 297A.69, subdivision 4.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2024, section 297A.61, subdivision 12, is amended to read:
1.7 Subd. 12.Farm machinery.(a) "Farm machinery" means new or used machinery,
1.8equipment, implements, accessories, and contrivances used directly and principally in
1.9agricultural production of tangible personal property intended to be sold ultimately at retail
1.10including, but not limited to:
1.11 (1) machinery for the preparation, seeding, or cultivation of soil for growing agricultural
1.12crops;
1.13 (2) barn cleaners, milking systems, grain dryers, feeding systems including stationary
1.14feed bunks, and similar installations, whether or not the equipment is installed by the seller
1.15and becomes part of the real property; and
1.16 (3) irrigation equipment sold for exclusively agricultural use, including pumps, pipe
1.17fittings, valves, sprinklers, and other equipment necessary to the operation of an irrigation
1.18system when sold as part of an irrigation system, whether or not the equipment is installed
1.19by the seller and becomes part of the real property.
1.20 (b) Farm machinery does not include:
1.21 (1) repair or replacement parts;
1Section 1.
25-02284 as introduced01/27/25 REVISOR EAP/NS
SENATE
STATE OF MINNESOTA
S.F. No. 1541NINETY-FOURTH SESSION
(SENATE AUTHORS: PUTNAM, Kupec, Weber and Dahms)
OFFICIAL STATUSD-PGDATE
Introduction and first reading02/17/2025
Referred to Taxes 2.1 (2) tools, shop equipment, grain bins, fencing material, communication equipment, and
2.2other farm supplies;
2.3 (3) motor vehicles taxed under chapter 297B;
2.4 (4) snowmobiles or snow blowers;
2.5 (5) lawn mowers except those used in the production of sod for sale, or garden-type
2.6tractors or garden tillers; or
2.7 (6) machinery, equipment, implements, accessories, and contrivances used directly in
2.8the production of horses not raised for slaughter, fur-bearing animals, or research animals.
2.9 EFFECTIVE DATE.This section is effective for sales and purchases made after June
2.1030, 2025.
2.11 Sec. 2. Minnesota Statutes 2024, section 297A.69, subdivision 4, is amended to read:
2.12 Subd. 4.Machinery, equipment, and fencing.(a) The following machinery, equipment,
2.13and fencing is exempt:
2.14 (1) farm machinery;
2.15 (2) logging equipment, including chain saws used for commercial logging;
2.16 (3) fencing used for the containment of farmed Cervidae, as defined in section 35.153,
2.17subdivision 3;
2.18 (4) primary and backup generator units used to generate electricity for the purpose of
2.19operating farm machinery, aquacultural production equipment, or logging equipment, or
2.20providing light or space heating necessary for the production of livestock, dairy animals,
2.21dairy products, or poultry and poultry products; and
2.22 (5) aquaculture production equipment.;
2.23 (6) grain bins; and
2.24 (7) tractor tires.
2.25 (b) For purposes of this subdivision, "grain bin" means a fixed structure used to store
2.26grains that maintains temperature or humidity levels, or both, to prevent spoilage and protect
2.27from infestation.
2.28 EFFECTIVE DATE.This section is effective for sales and purchases made after June
2.2930, 2025.
2Sec. 2.
25-02284 as introduced01/27/25 REVISOR EAP/NS