MN SF2930

Changes lawful gambling tax from 8.5% to a flat rate of 5% on gross receipts less prizes actually paid, effective July 1, 2023.

Exempts paper or electronic pull-tab deals or games, tipboard deals or games, and electronic linked bingo from the new tax rate.

Repeals Minnesota Statutes section 297E.02, subdivision 6, which imposed a progressive combined net receipts tax with rates ranging from 9% to 36% based on income brackets.

New flat 5% tax is in lieu of sales tax under section 297A.62 and all local taxes and license fees, except certain specified fees and taxes.

Tax is payable by the organization or party conducting the gambling, either directly or indirectly.