Minnesota Administrative Rules

The Department of Revenue's Rulemaking Docket contains information and links about our current rulemaking activities. You can find the status of each proposed rule, rule drafts, published notices, and contact information for giving comments on proposed rules. You will also find information about the rules the Department has adopted within the past three years.

ORDER ADOPTING AMENDMENT OF RULES

Adoption of Permanent Exempt Rule Governing Commissioner Filed Returns: Amending Minnesota Rules, part 8160.0620, subparts 1 and 6; Revisor ID: R-04682

WHEREAS:
1. The rulemaking provisions of Minnesota Statues, Chapter 14, are unnecessary when, as in this case, amendments are made to a rule that: a) incorporate specific changes set forth in applicable statutes when no interpretation of law is required; or b) make changes that do not alter the sense, meaning or effect of a rule. Minnesota Statutes, section 14.388.

2. The attached Findings & Statement of Supporting Reasons justifies the good cause exemption from rulemaking provided by Minnesota Statutes, section 14.388, and is hereby incorporated by reference.

3. This rulemaking complies with all applicable law, including procedural requirements in Minnesota Statutes, section 14.388 and Minnesota Rules, part 1400.2400.

4. The Office of Administrative Hearings received two written comments and OAH Administrative Law Judge Kimberly Middendorf approved the rules on May 27, 2021.

5. The attached certified copy of the rule demonstrates the Office of the Revisor has approved its form, as required by Minnesota Statutes, section 14.386, paragraph (a)(1), and Minnesota Rules, part 1400.2400.

IT IS ORDERED that the above-captioned rule, in the form certified as approved by the Office of the Revisor, is adopted pursuant to authority vested in me by: 1) Minnesota Statutes, SECTION 297E.06, SUBDIVISION 4(e), WHICH PROVIDES THAT the Commissioner of Revenue shall have authority to “prescribe standards for [annual financial] audits…”; and 2) Minnesota Statutes, SECTION 270C.06, WHICH PROVIDES THAT the Commissioner of Revenue shall “make, publish, and distribute rules for the administration and enforcement of…state tax laws.” Under these statutes, the Commissioner of Revenue has authority to amend this rule.

Signed by Robert Doty, Commissioner of Revenue, on July 8, 2021

NOTICE OF INTENT TO REPEAL OBSOLETE RULES

Proposed Repeal of Obsolete Rules Governing Minnesota Gross Income for Individuals Who are Part-Year Residents or Nonresidents of Minnesota, Minnesota Rules, 8002.0200, subpart 4; Revisor’s ID Number R-04619

Introduction. The Department of Revenue intends to repeal obsolete rules under the rulemaking process in the Administrative Procedure Act, Minnesota Statutes, section 14.3895. You may submit written comments on the proposed repeal of obsolete rules until June 25, 2021.

Agency Contact Person. You must submit comments or questions on the rules to:

            Grant McColley

            Minnesota Department of Revenue

            600 North Robert St., St. Paul, MN, 55102

            Office: 651-556-4942

            FAX: 651-296-8229

            Grant.McColley@state.mn.us

or

You may also review the proposed rule and submit written comments via the Office of Administrative Hearings Rulemaking eComments website at https://minnesotaoah.granicusideas.com/discussions.

Subject of the Repeal of Obsolete Rules and Statutory Authority. The proposed obsolete rule subpart concerns an income exclusion for nonresidents for military service performed in Minnesota. The agency identified the proposed obsolete rules to be repealed in its annual obsolete rules report under Minnesota Statutes section 14.05, subdivision 5. The statutory authority to repeal the obsolete rules is found in Minnesota Statutes, section 14.3895. A copy of the proposed obsolete rules to be repealed is published in the State Register and attached to this notice as mailed. The proposed obsolete rules to be repealed may be viewed at: https://www.revenue.state.mn.us/minnesota-administrative-rules.

Comments. You have until 4:30 p.m. on Friday, June 25, 2021, to submit written comment in support of or in opposition to the proposed repeal of obsolete rules and any part or subpart of the repeal. Your comment must be in writing and received by the agency contact person by the due date. The Department encourages comment. Your comment should identify the portion of the proposed obsolete rules to be repealed addressed and the reason for the comment. In addition, you are encouraged to object to the repeal of any part or subpart. You must also make any comments on the legality of the proposed rules during this comment period.

Request for Hearing. In addition to submitting comments, you may also request that a hearing be held on the rules. You must make your request in writing and the agency contact person must receive it by 4:30 p.m. on June 25, 2021. Your written request must include your name and address. You must identify the portion of the proposed repealed rules to which you object or state that you oppose the entire set of rules. Any request that does not comply with these requirements is not valid and the agency cannot count it for determining whether it must hold a public hearing. You are also encouraged to state the reason for the request and any changes you want made to the proposed rules.

• Effect of Requests. If 25 or more people submit a written request, the agency will have to meet the requirements of Minnesota Statutes, sections 14.131 to 14.20 for rules adopted after a hearing or the requirements of Minnesota Statutes, sections 14.22 to 14.28 for rules adopted without a hearing, including the preparation of a statement of need and reasonableness and the opportunity for a hearing.

Modifications. The agency might modify its choice of these designated rules or parts proposed for repeal (e.g. fixing a typo or deciding not to repeal a rule because the rule is discovered not to be obsolete), based on comments and information submitted to the agency. If the final rules are identical to the rules originally published in the State Register, the agency will publish a notice of adopting the repealers in the State Register. If the final rules are different from the rules originally published in the State Register, the agency must publish a copy of the changes in the State Register. If the proposed repeal of obsolete rules affects you in any way, the agency encourages you to participate in the rulemaking process.

Alternative Format. Upon request, this information can be made available in an alternative format, such as large print, braille, or audio. To make such a request, please contact the agency contact person at the address or telephone number listed above.

Lobbyist Registration. Minnesota Statutes, chapter 10A, requires each lobbyist to register with the State Campaign Finance and Public Disclosure Board. You may direct questions regarding this requirement to the Campaign Finance and Public Disclosure Board at: Suite 190, Centennial Building, 658 Cedar Street, St. Paul, Minnesota 55155, telephone (651) 539-1180 or 1-800-657-3889.

Repeal and Review of Obsolete Rules. The agency may repeal the obsolete rules at the end of the comment period. The agency will then submit rules and supporting documents to the Office of Administrative Hearings for review for legality. You may ask to be notified of the date that the agency submits the rules. If you want to be so notified, or want to receive a copy of the repealed obsolete rules, or want to register with the agency to receive notice of future rule proceedings, submit your request to the agency contact person listed above.

Signed by: Grant McColley, Legal Analyst, Department of Revenue, Appeals and Legal Services Division

April 26, 2021

Minnesota Department of Revenue

REQUEST FOR COMMENTS

Possible Rules Governing Recordkeeping, Minnesota Rules 8130.7500; Revisor’s ID Number R-04537.

Subject of Rules.  The Minnesota Department of Revenue (“Department”) requests comments on possible rules governing sales and use tax (“SUT”) recordkeeping and consolidated return requirements.  The Department is considering repealing Minnesota Rules, part 8130.7500, subparts 3, 6 and 8, which concern consolidated returns and recordkeeping, and replacing them with a new rule.  The focus of the possible new rule – providing updated SUT tax recordkeeping requirements, including clarifications that address changes in recordkeeping technology.  The Department is also considering using the new rule to make minor changes to Minnesota Rules, part 8130.7500, subpart 3, which provides the conditions under which a person with two or more places of business may elect to file a consolidated SUT return. 

Persons Affected.  The possible replacement rule would affect retailers subject to the state’s SUT recordkeeping requirements and third parties assisting retailers with recordkeeping compliance.  In addition, it could also affect retailers with two or more places of business that elect to file a consolidated SUT return.

Statutory Authority.  The Department’s statutory authority to adopt the possible replacement rule is set forth in Minnesota Statutes: 1) section 297A.77, subd. 5, which provides that SUT taxpayers “shall keep such records…and comply with such rules, as the commissioner may from time to time prescribe”; 2) section 270C.03, which grants the Commissioner of Revenue authority to “administer and enforce the assessment and collection of taxes”; and 3) section 270C.06, which provides that the “commissioner shall from time to time, make, publish, and distribute rules for the administration and enforcement of state tax laws.  The rules have the force of law.”  Under these statutes, the Department has authority to adopt the contemplated replacement rule.

Public Comment.  The purpose of this notice is to allow the public to comment on how the Department might improve the current rule governing SUT recordkeeping and consolidated return requirements – Minnesota Rules, part 8130.7500. 

The Department does not have available for review a draft of the possible replacement rule, but would like to hear from the public on what the Department should address as it considers drafting a replacement of the current rule.  For example, what specific recordkeeping requirements should be clarified to account for changes in recordkeeping technology. 

Interested persons or groups may submit written comments until 4:30 p.m. on Monday, April 5, 2021.  The Department will not publish a notice of intent to adopt any replacement rule until more than 60 days after this request for comments, at which time a draft of the possible replacement rule would be available for comment.

Submit comments via the Office of Administrative Hearings Rulemaking e-comments website at https://minnesotaoah.granicusideas.com/discussions.

Rule Drafts.  The Department does not anticipate that a draft of any proposed replacement rule will be available before its publication in the notice of intent to adopt.

Agency Contact Person.  Written questions and requests for more information on this Request for Comments should be directed to:

Jim Jordan

Appeals and Legal Services Division

Minnesota Department of Revenue

600 North Robert Street

Mail Station 2220

St. Paul, MN 55146

jim.jordan@state.mn.us

Alternative Format.  Upon request, this information may be made available in an alternative format, such as large print, braille, or audio.  To make such a request, please contact the agency contact person using the contact information above.

NOTE: Comments received in response to this request will not necessarily be included in the formal rulemaking record submitted to the administrative law judge if and when a proceeding to adopt rules is started.  The agency is required to submit to the judge only written comments received after any replacement rule is formally proposed.  If you submitted comments during development of the rule and want to ensure that the judge reviews them, you should resubmit the comments after any replacement rule is proposed.

Possible Amendment to Rules Governing Sales and Use Tax as it Applies to Sales and Purchases of Computer Software

The Department issued a Request for Comment on this proposed rule change on December 26, 2017. The comment period has closed. An advisory committee was formed to inform the Department about current software industry practices and standards. The minutes for these meetings are posted below. The Department is drafting its final proposed rule.

Request for Comment 8130.9910
Request for Comments Published December 26, 2017

Computer Software Advisory Committee Meeting Minutes

• Computer Software Rule Advisory Committee - Meeting Minutes 062718
  First Meeting
• Computer Software Rule Advisory Committee - Meeting Minutes 012218
  Second Meeting
• Computer Software Rule Committee - Minutes 091218
  Third Meeting
• Computer Software Rule Advisory Committee - Minutes 101718
  Fourth Meeting

ORDER ADOPTING AMENDMENT OF RULES

Adoption of Permanent Exempt Rule Governing Annual Audits of Lawful Gambling Organizations: Amending Minnesota Rules, parts 8122.0100; 8122.0150, subparts 6, 9, and 12; 8122.0200, subpart 2; 8122.0250; 8122.0350; 8122.0400, subpart 3; 8122.0450; 8122.0500; 8122.0510; 8122.0550, subparts 3, 4, 5, 6, and 7; and 8122.0650, subparts 1 and 2; Repealing part 8122.0150, subpart 11; Revisor’s ID Number R-4657.

WHEREAS:

1. The rulemaking provisions of Minnesota Statues, Chapter 14, are unnecessary when, as in this case, amendments are made to a rule that: a) incorporate specific changes set forth in applicable statutes when no interpretation of law is required; or b) make changes that do not alter the sense, meaning or effect of a rule. Minnesota Statutes, section 14.388.
2. The attached Findings & Statement of Supporting Reasons justifies the good cause exemption from rulemaking provided by Minnesota Statutes, section 14.388, and is hereby incorporated by reference.
3. This rulemaking complies with all applicable law, including procedural requirements in Minnesota Statutes, section 14.388 and Minnesota Rules, part 1400.2400.
4. The Office of Administrative Hearings received no written comments and OAH Administrative Law Judge Kimberly Middendorf approved the rules on November 5, 2020.
5. The attached certified copy of the rule demonstrates the Office of the Revisor has approved its form, as required by Minnesota Statutes, section 14.386, paragraph (a)(1), and Minnesota Rules, part 1400.2400.

IT IS ORDERED that the above-captioned rule, in the form certified as approved by the Office of the Revisor, is adopted pursuant to authority vested in me by: 1) Minnesota Statutes, SECTION 297E.06, SUBDIVISION 4(e), WHICH PROVIDES THAT the Commissioner of Revenue shall have authority to “prescribe standards for [annual financial] audits…”; and 2) Minnesota Statutes, SECTION 270C.06, WHICH PROVIDES THAT the Commissioner of Revenue shall “make, publish, and distribute rules for the administration and enforcement of…state tax laws.” Under these statutes, the Commissioner of Revenue has authority to amend this rule.

Signed on December 28, 2020 by Robert Doty, Commissioner of the Department of Revenue

Minn. R. 8122 Proposed Rule Amendments
Amendment of Rules with Signed Order

Minnesota Board of Assessors

ORDER ADOPTING RULES
Adoption of Rules Governing Licensure, Education, Trainee Registration, Record Retention, and Reinstatement, Minnesota Rules, Chapter 1950; Revisor’s ID Number R-04631, OAH docket number 71-9032-36467

BACKGROUND INFORMATION

1. The Minnesota Board of Assessors has complied with all notice and procedural requirements in Minnesota Statutes, chapter 14, Minnesota Rules, chapter 1400, and other applicable law.

2. The agency received nine written comments and submissions on the rules. No persons requested a public hearing. Therefore, there are not 25 or more requests for a public hearing. The agency received zero requests for notice of submission to the Office of Administrative Hearings.

3. The Board is adding a paragraph to part 1950.1060, subp. 2, specifying that the management and leadership course requirement for Senior Accredited Minnesota Assessor (SAMA) licensure does not apply to a county assessor who, on May 1, 2020, was licensed at the Accredited Minnesota Assessor level and was serving on a probationary appointment pursuant to Minnesota Statute section 273.061, subd. 1. This change to the rule draft is reasonable, because it addresses the potential issue of a county assessor, who is serving on a two-year probationary appointment pending attaining SAMA licensure pursuant to Minnesota Statue § 273.061, subdivision 1, not being able to complete the newly-required course within that two-year period, if the course is not approved and offered during the probationary period. This change does not substantially change the proposed rules, as it only provides an exemption for one of the course requirements for qualifying for SAMA licensure, and it is limited to licensees who meet very specific and unique conditions.

4. The rules are needed and reasonable.

5. A copy of the board’s authorization to adopt the rules is attached

ORDER

The above-named rules, in the form published in the State Register on March 30, 2020, with the modifications as indicated in the Revisor’s draft, file number AR4631, dated May 4, 2020 are adopted under my authority in Minnesota Statutes, section 270.47.

Signed by Executive Secretary Andrea Fish on June 10, 2020

The Department of Revenue recently adopted rule amendments to Minnesota Rules parts 8106.0700 and 8106.0800. These changes were adopted using the good cause exemption rulemaking authority under Minnesota Statutes section 14.388, subdivision 1, clause (3).

The department adopted the attached rule amendments by order on February 19, 2020, after receiving approval from the Office of Administrative Hearings. The amendments were subsequently published in the March 2, 2020, edition of the State Register. The amendments bring rules referencing abstract-level property tax data submissions into conformity with recent law changes that clarified the commissioner of revenue may collect property tax data at the parcel level or higher under the Property Record Information System of Minnesota (PRISM).

This Good Cause Exempt rule was published in the Minnesota State Register on December 30, 2019. The changes are in effect as of December 30, 2019.

Amendments to Rules Governing Licensure, Education, Trainee Registration, Record Retention, and Reinstatement, Minnesota Rules Chapter 1950

The Board of Assessors adopted permanent rules amending Chapter 1950, with amendments that were recommended by the Office of Administrative Hearings. The order and rules were published in the Minnesota State Register on April 1, 2019, and the effective date of the new rule is April 8, 2019.

• Dual Notice BOA Amendments to Chapter 1950
  Dual Notice of Intent to Adopt - Published November 19,2018
• C R-4375 Proposed Permanent Rules Governing Licensure, Education, and Conduct of Assessors
  Proposed Rules submitted to OAH on January 16, 2019
• SONAR-BOA Amendments to Chapter 1950
  SONAR submitted to OAH on January 16, 2019
• BOA Order Adopting Amendments to Chapter Signed
  Published in the State Register on April 1, 2019

Amendment to Rules Governing Combine Group Corporate Franchise Returns, Minnesota Rules 8019.0405

The Department of Revenue has adopted an amendment to Minnesota Rule 8019.0405, using the Good Cause Exempt rulemaking authority under Minnesota Statutes, section 14.388, subdivision 1, clause (3). This technical change will update the current rule to reflect statutory changes made by the Minnesota Legislature in 2009 and 2013.

Minn. Rule 8019.0405 Signed Final Order
Order Published in State Register on January 22,2019

Minn. Rule 8019.0405 Amendments filed with SOS
Revised Rule Published in State Register on January 22, 2019