MN HF1027

Modifies the calculation of combined net receipts tax for lawful gambling organizations by excluding amounts expended for lawful purpose contributions under section 349.12, subdivision 25, paragraph (a), clauses (1) to (7) and (9) to (26).

Establishes a progressive tax rate schedule for combined net receipts: 9% on receipts not over $87,500; 18% on amounts between $87,500 and $122,500; 27% on amounts between $122,500 and $157,500; and 36% on amounts over $157,500.

Exempts gross receipts derived from sports-themed tipboards (where winning numbers are determined by professional sporting event outcomes) from taxation under this section.

Removes the conditional rate adjustment provision that previously allowed the commissioner to certify lower tax rates if estimated revenue equaled or exceeded $94,800,000 for fiscal year 2016.

Effective July 1, 2019.