MN SF1413

Exempts fees related to natural gas sold for residential use from sales and use tax for billing periods May through October, provided the fees are subject to a cost recovery plan for natural gas price increases that occurred February 13-17, 2021, identified in Minnesota Public Utilities Commission docket G-999/CI-21-135.

Requires fees to be separately stated and labeled as part of the cost recovery plan to qualify for the exemption.

Utilities must apply to the commissioner of revenue by October 1, 2023, for refunds of sales taxes collected on qualifying natural gas fees added to residential customer bills between September 1, 2021, and June 30, 2023.

Utilities must submit a plan to the Minnesota Public Utilities Commission within 90 days of receiving a refund to credit the exempt taxes to residential customers, with any uncredited amounts returned to the commissioner within 60 days of plan approval.

The exemption applies retroactively to all qualifying fees billed between September 1, 2021, and December 31, 2026.