MN SF44

Retailers may retain a portion of collected sales tax as compensation for costs of collecting and administering the tax, effective for sales after June 30, 2025

Vendor allowance rates are tiered: 1.5% for vendors with liability up to $60,000; $900 plus 1% of amounts between $60,000-$600,000; and $6,300 plus 0.5% of amounts over $600,000

Minimum allowance is the lesser of $10 or the total eligible taxes collected during the reporting period

Use taxes paid by retailers on their own purchases are excluded from the vendor allowance calculation

"Net liability" for sales tax remittance purposes is redefined as liability minus the vendor allowance amount