Bill > SF3130

This bill modifies the combined net receipts tax rates and brackets for organizations conducting lawful gambling in Minnesota. Currently, organizations pay taxes on their combined net receipts (total gambling gross receipts minus prizes and certain types of bingo/raffle revenues) using a progressive tax rate structure. The bill increases the lower tax brackets by expanding the dollar thresholds and reducing the corresponding tax rates. Specifically, the first tax bracket is raised from $87,500 to $100,000, with the rate dropping from 8% to 3%. Subsequent brackets are similarly adjusted, with lower tax rates and higher income thresholds. For example, the top tax bracket now applies to receipts over $300,000 at 26% (reduced from 33.5%), compared to the previous threshold of $157,500. The bill also maintains an existing exemption for sports-themed tipboard revenues and specifies that these changes will take effect on July 1, 2025. The goal appears to be providing tax relief for organizations engaged in lawful gambling by reducing their tax burden across different levels of net receipts.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF3130&ssn=0&y=2025