Bill > SF937

This bill reduces tax rates for combined net receipts from charitable gambling activities in Minnesota. Currently, organizations pay taxes on their combined net receipts (total gambling income minus certain prizes and specific game types like paper bingo) using a tiered tax rate structure. The bill lowers the tax rates across all income brackets: from 8% to 7% for net receipts up to $87,500; from 17% to 15% for net receipts between $87,500 and $122,500; from 25% to 22% for net receipts between $122,500 and $157,500; and from 33.5% to 30% for net receipts over $157,500. The bill also adjusts the dollar amounts in each tier slightly to reflect the new rate structure. Additionally, the bill maintains an existing exemption for gross receipts from sports-themed tipboards, which are games where winning numbers are determined by professional sports event outcomes. The changes will take effect on July 1, 2025, providing charitable organizations with a reduced tax burden on their gambling-related income.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF0937&ssn=0&y=2025