MN SF3191

Impose a 6 percent gross receipts tax on short-term rental lodging where a purchaser rents property for less than 30 consecutive days.

Short-term rental operators (online marketplaces) are required to collect the tax on behalf of property owners; direct owners renting without an operator must collect and remit the tax themselves.

Gross receipts exclude separately stated taxes, cash discounts, and coupons not reimbursed by third parties; the tax applies to residential property rented more than 14 days per year but excludes hotel rooms and individual rooms in residential homesteads.

Tax administration follows existing procedures under chapters 270C and 289A applicable to sales taxes, including audit, assessment, refund, penalty, and interest provisions.

All revenue from the tax, including penalties and interest, deposits into the housing development fund for the workforce and affordable homeownership development program, effective for receipts after December 31, 2023.