Local governments exempt on the purchase of motor vehicles leases and construction materials purchases by a contractor or subcontractor provision

Summary

The bill amends Minnesota’s sales‑tax code to let local governments avoid sales tax on motor‑vehicle leases and on construction‑material purchases made by contractors or subcontractors on their behalf. It clarifies which entities count as “local governments” and sets the exemption to begin after June 30 2026. The change aims to reduce costs for municipalities, counties, townships and special districts when they contract for these items.

AI-generated summary — may be incomplete or inaccurate. Verify against the official bill text.

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