https://minnesotalawyer.com/statutes/chapter-297h/Recent content in Chapter 297H — Solid Waste Management Tax Definitions on MinnesotaLawyer.comHugoen-ushttps://minnesotalawyer.com/statutes/chapter-297h/297h.01/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.01/This section defines the key terms used in Minnesota’s solid waste management tax law. It explains what counts as a residential or commercial waste generator, what mixed and nonmixed waste means, who is a waste management service provider, and what a self-hauler is.https://minnesotalawyer.com/statutes/chapter-297h/297h.02/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.02/Minnesota charges a 9.75% tax on household trash (mixed municipal solid waste) collection services. This tax applies to the price you pay for garbage pickup. When a city or county subsidizes waste services or bills through property taxes, the tax is based on the market price of the service.https://minnesotalawyer.com/statutes/chapter-297h/297h.03/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.03/Businesses and other commercial waste generators in Minnesota pay a 17% tax on mixed municipal solid waste management services. This is a higher rate than the 9.75% that residential customers pay. The same rules about subsidized services and pay-per-bag systems apply.https://minnesotalawyer.com/statutes/chapter-297h/297h.04/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.04/Nonmixed municipal solid waste, such as construction debris, industrial waste, and infectious waste, is taxed at 60 cents per noncompacted cubic yard. For infectious and pathological waste, the rate is 60 cents per 150 pounds. The tax method must match how the service fee is calculated.https://minnesotalawyer.com/statutes/chapter-297h/297h.05/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.05/People who haul their own waste (self-haulers) must pay the solid waste management tax when they deliver waste to a facility. Mixed waste is taxed at the 17% commercial rate. Nonmixed waste like construction debris, industrial waste, and medical waste is taxed at 60 cents per cubic yard.https://minnesotalawyer.com/statutes/chapter-297h/297h.06/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.06/Certain waste and services are exempt from the solid waste management tax. Key exemptions include recyclable materials separated by the generator, waste from outside Minnesota, source-separated compostable materials delivered to certified facilities, construction debris from presidential disaster areas, and landfill daily cover approved by the state.https://minnesotalawyer.com/statutes/chapter-297h/297h.07/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.07/The solid waste management tax must be shown as a separate line item on your garbage bill. It must be labeled as the ‘solid waste management tax.’https://minnesotalawyer.com/statutes/chapter-297h/297h.08/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.08/Waste management service providers must report and pay the solid waste management tax to the state on the same schedule used for sales tax. Cities and counties that sell garbage bags or stickers must also report and remit the tax included in those sales.https://minnesotalawyer.com/statutes/chapter-297h/297h.09/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.09/Waste service providers who use accrual accounting and have already sent the solid waste management tax to the state can get a credit when a customer’s bill becomes uncollectible. The credit is limited to the tax portion of the bad debt.https://minnesotalawyer.com/statutes/chapter-297h/297h.10/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.10/The solid waste management tax is enforced using the same rules that apply to Minnesota sales tax. This includes the audit, assessment, appeal, collection, refund, penalty, and interest provisions found in chapters 270C and 289A.https://minnesotalawyer.com/statutes/chapter-297h/297h.11/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.11/Waste service providers must separately list the solid waste management tax on bills, accurately track and send collected taxes to the state, and work with the Department of Revenue to ensure generators pay. A provider who collects the tax but does not send it in, or fails to list it on bills, is personally liable.https://minnesotalawyer.com/statutes/chapter-297h/297h.115/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.115/If the regular solid waste management tax was not paid on waste services, a use tax applies at the same rates. Residential generators pay 9.75%, commercial generators pay 17%, and nonmixed waste is taxed by volume. Self-haulers also owe use tax if the regular tax was not collected at the facility.https://minnesotalawyer.com/statutes/chapter-297h/297h.12/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.12/The Pollution Control Agency must create educational materials about the solid waste management tax for waste generators across the state. The information should explain how this tax replaced the old sales tax on waste services and the solid waste generator assessment, and where the tax revenue goes.https://minnesotalawyer.com/statutes/chapter-297h/297h.13/Mon, 01 Jan 0001 00:00:00 +0000https://minnesotalawyer.com/statutes/chapter-297h/297h.13/Revenue from the solid waste management tax goes to the state treasury. Seventy percent goes to the environmental fund, 3% goes to a resource management account for county distribution, and the rest goes to the general fund. The Department of Revenue must report tax receipts to legislative committees twice a year.