MN SF1877

Creates a new sales and use tax exemption for all sales of electricity effective for sales and purchases made after June 30, 2023.

Expands the residential heating fuel exemption to include electricity sold for residential use during November through April to customers metered and billed as residential users whose primary source of residential heat is electricity, effective after June 30, 2023.

Amends industrial production and taxable services exemptions to clarify that electricity used for space heating, cooling, or lighting is only exempt if it exceeds average climate control or lighting for the production area and is necessary to produce that particular product or service.

Removes electricity from the list of items excluded from exemptions in publication materials and television commercial production exemptions, effective after June 30, 2023.

All amendments to existing tax code sections 297A.67 and 297A.68 are effective for sales and purchases made after June 30, 2023, except one publication materials amendment which takes effect after June 30, 2021.