Sales Tax Fact Sheet - Sales To Governments - Minnesota Department Of Revenue Page 3


tion does not extend to purchases made by contractors
Firefighter personal protective equipment.
performing services on behalf of a town.
Fuel products
The township exemption does not apply to purchases of
for use in ambulances
lodging, prepared food, liquor, and beverages.
for use in marked police vehicles
for use in fire apparatus including fire-suppression
The township exemption does not apply to motor vehi-
support vehicles, if the general appearance is unmis-
cles, except snowplows and dump trucks used for road
takable and the vehicle is not required to register or
display number plates
Note: “Town” means township. It does not include statu-
purchased by transit systems receiving financial assis-
tory or home rule charter cities, counties or special taxing
tance under the public transit subsidy program or met-
ro transit subsidy program
See Fact Sheet 175, Townships, and Revenue Notice 12-
Marked police patrol vehicles, not including repair
08, Exemption for Towns, for more information.
and replacement parts.
Metropolitan Council
Limited local government exemptions
MTC buses. Purchases and leases of buses and repair
Following are specific exemptions that apply to certain
local governments or to certain items purchased by the
Light rail transit. Purchase of vehicles and repair
local government. Also see Fact Sheet 135, Fire Fighting,
parts to equip operations provided for in M. S.
Police, and Emergency Equipment, and Fact Sheet 116,
Petroleum Products, for more information.
Monitoring and electronic surveillance of persons
Ambulance services licensed under Section 144E.10
placed on in-home detention are not taxable services if
(public or private):
required by a court order or by the Minnesota Depart-
Purchases and leases of motor vehicles used as ambu-
ment of Corrections. Beginning July 1, 2013, these
lances or any motor vehicle that is equipped and spe-
services include monitoring and electronic surveillance
cifically intended for emergency response.
provided by an organization at the direction of a coun-
Supplies and equipment used to provide medical care
Repair and replacement parts for ambulances
Tree, bush, and shrub removal services for con-
Bullet-resistant body armor that provides the
struction or maintenance of roads, trails, and firebreaks.
wearer with ballistic and trauma protection.
Solid waste disposal facility (as defined in section
115A.03, subdivision 10). Machinery and equipment,
Chore and homemaking services (i.e., laundry,
except for motor vehicles, used directly for mixed munic-
carpet cleaning, lawn care) sold to local governments to
ipal solid waste management services at the facility.
be provided to the elderly and disabled.
Transit program vehicles. Purchases or leases of
Correctional facilities
motor vehicles to provide transit services are exempt
Meals or drinks furnished, prepared, or served to in-
from sales tax and sales tax on motor vehicles. Vehicles
mates or persons residing at correctional, detention, or
used by public or private transit operations such as city or
detoxification facilities. Sales of food or drinks by caf-
town buses, and vehicles used to provide special trans-
eterias, coffee shops, candy stands or vending ma-
portation services for the elderly or disabled may also
chines are taxable even when sold to residents or pa-
qualify. To qualify for the exemption, the provider must
be receiving financial assistance or reimbursement under
Government entities may be eligible for a refund of
M. S. 174.24 or 473.384, or operate under M. S. 174.29,
sales tax paid on construction materials and supplies
473.388, or 473.405.
used to construct or improve an adult or juvenile
Wastewater treatment facilities. Equipment de-
correctional facility. To qualify, the project must be
signed to process, dewater, and recycle biosolids for
required by state or federal law, rule or regulation. If
wastewater treatment facilities of political subdivisions,
materials are purchased by a contractor or builder, the
and materials incidental to installation of that equipment.
contractor must give a statement to the local govern-
See Revenue Notice 98-17, Biosolids Processing Equip-
ment stating the cost of the construction materials and
supplies and the sales tax paid. Use Form ST11P, Spe-
cial Purchase Refund Claim, to apply for a refund.
Water used directly in providing fire protection
Water used directly in providing fire protection ser-
Emergency rescue vehicles, including fire trucks,
vices by an organized fire department, fire protection
pumper trucks, hook and ladder trucks, clearly marked
district, or fire company regularly charged with the
trailers, and their repair and replacement parts.
Minnesota Revenue, Sales to Governments


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