# Mn sales tax rant



## swmnhay

Picked up a few things at local chain farm supply store.You always have to remind cashier of farm use exemption.She says it didn't take off any for farm use.Their excuse is you might use it for non farm use.I got some field marker flags.To mark stuff on the FARM.Some WD-40 to help in repairing FARM eq.Picked up a couple traps for rodent control on the FARM.
they also raised the sales tax to 7.35 from 6.85 sometime.I also had picked up some grease at elevator the other day and they said they have to charge tax on it now.They also added repair labor as being taxable this yr.

MN is one of the best welfare states in the nation I guess the rest of use that work have to pay for it.


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## Teslan

Isn't labor a service? Here that isn't taxable farm or not. For now that is.... So if you have to have a head gasket replaced you have a $30 part and $1000 labor bill. All taxable? You better move.


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## swmnhay

Teslan said:


> Isn't labor a service? Here that isn't taxable farm or not. For now that is.... So if you have to have a head gasket replaced you have a $30 part and $1000 labor bill. All taxable? You better move.


Yea the $1000 would be taxed,the $30 wouldn't be.They just changed the labor to taxable as of Jan 1.Could get quite a tax bill on a major repair bill now.


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## Teslan

Was that a thing the people voted in? Or the politicians just pushed through with no public input.


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## swmnhay

Teslan said:


> Was that a thing the people voted in? Or the politicians just pushed through with no public input.


Politicians.

Mn sales tax on ag stuff is confuseing as hell.Gates and fenceing are taxed.Concrete is taxed.Labor on farm repairs is now taxed.

I think farm tileing and conservation work are taxed.Dirt work,terraces,etc.???I got a major project set for this fall going to add $15K in tax to the bill if it is taxable.

Parts,New or used eq,ag inputs seed,fert,chem,etc.Fuel,oil are not taxed.


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## deadmoose

Cy- cant remember which. Bought some wood posts and t posts at tsc this past weekend. I think it was the wood ones non taxed.

Sales tax was 6.5% Now 6.875%. That was somehow voter approved under guise of clean water? So far I know it has funded dog parks and arts. Very shady promotion. About akin to a McD commercial showing real food or the drug commercials.

"	Shall the Minnesota Constitution be amended to dedicate funding to protect our drinking water sources; to protect, enhance, and restore our wetlands, prairies, forests, and fish, game, and wildlife habitat; to preserve our arts and cultural heritage; to support our parks and trails; and to protect, enhance, and restore our lakes, rivers, streams, and groundwater by increasing the sales and use tax rate beginning July 1, 2009, by three-eighths of one percent


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## JD3430

Rumors flying around PA that we're going from 6 to 7% sales tax. 
We're already highest in country in gas tax and we've got a 3.07% state income tax, too. That's also rumored to be going up. 
Sad thing is our roads are so bad, they're dangerous. I see zero improvement despite collecting the highest state gas tax in the country .51 cents per gallon on gas, .64 cents per gallon on diesel!!!!
Then add 18 or 24 more cents per gallon for the federal govt. diesel fuel in PA is almost 1/3 tax!!! 
Yet our roads look like wagon trails strafed by an A-6 Warthog.

Minnesota sounds like it's in a contest with PA to see who can be the highest tax state.


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## deadmoose

http://www.revenue.state.mn.us/individuals/individ_income/Pages/Minnesota_Income_Tax_Rates_and_Brackets.aspx

We dont have a bracket that low.


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## mlappin

WTF? Keep it simple, Indiana went from 6% to 7% sales tax, still easy to figure in ones head, unless you're under 35 that is and don't have your calculator handy.

If you buy firewood at a hay sale now the one on Friday is not taxed, the Saturday hay sale collects sales tax on it. They claim the state has reclassified fire wood as a fuel. I told em it's going in the boiler on the right side and thats the side that feeds the shop. Regardless it's BS as our farm fuel ain't taxed.

Just keep track of all your receipts, then enter any sales tax you paid but shouldn't have had to under other tax's paid.


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## stack em up

Gotta pay for the welfare somehow. It's an absolute racket. Maybe the system rules need to change now that we are the minority...


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## Vol

This is a year old but probably is still very close.

Regards, Mike

http://www.zerohedge.com/news/2014-04-18/these-are-americas-most-and-least-taxing-states-and-everything-inbetween


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## Grateful11

NC completely revamped their Farm Tax system since McCrory got into office and next is the Gas Tax and nearly everything related to driving and ownership of vehicles.

Here's their proposal: I'm ok with the drop in gas tax but it's going to end up costing us more especially the 6.5% tax on insurance premiums, a completely new tax. I thought Republicans were being sent to Raleigh to save us money.

http://www.charlotteobserver.com/news/politics-government/article19104330.html

Transportation taxes

Gas tax: Now 36 cents. Will change to 35 cents in July and 34 cents in January. Proposed: 30 cents through the end of 2016. I heard but not confirmed that the gas tax is wide open after that to do whatever they need to raise revenue but that will be after the next big election so if they have to raise the gas tax back up it won't make look so bad right before the 2016 election.

Highway use tax on car sales: Now 3 percent. Proposed: 4 percent.

Auto insurance premiums: Proposed new 6.5 percent tax.

DMV fees

8-year driver's license: Now $32. Proposed: $48.

Learner's permit: Now $15. Proposed: $22.50.

Vehicle title: Now $40. Proposed: $60.

New car registration: Now $51. Proposed: $76.50.

Annual car tag renewal: Now $28. Proposed: $42.

My brother told me yesterday that he talked to their counties House Rep. and he says the gist of the these changes is NC is falling short on tax revenue and that Medicaid (not Medicare), even though NC elected not to expand Medicaid with Fed money, is killing the state.

---------------------

Also I've heard the new Farm Tax overhaul is causing quite few older farmers to get out sooner than they wanted to.

The basics of the new NC Farm Tax Exemption:

https://www.carolinafarmstewards.org/nc-sales-tax-exemption-for-beginning-farmers/

Read more here: http://www.charlotteobserver.com/news/politics-government/article19104330.html#storylink=


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## swmnhay

deadmoose said:


> Cy- cant remember which. Bought some wood posts and t posts at tsc this past weekend. I think it was the wood ones non taxed.
> Sales tax was 6.5% Now 6.875%. That was somehow voter approved under guise of clean water? So far I know it has funded dog parks and arts. Very shady promotion. About akin to a McD commercial showing real food or the drug commercials.
> "	Shall the Minnesota Constitution be amended to dedicate funding to protect our drinking water sources; to protect, enhance, and restore our wetlands, prairies, forests, and fish, game, and wildlife habitat; to preserve our arts and cultural heritage; to support our parks and trails; and to protect, enhance, and restore our lakes, rivers, streams, and groundwater by increasing the sales and use tax rate beginning July 1, 2009, by three-eighths of one percent


Some towns have a additional sales tax.Worthington added a sales tax to renovate the old jr high auditorium.It's been renovated but the tax remains.Most states have either a state income tax or sales tax MN has both.There has been a lot of bussiness that have moved across the border to SD because of all of MN taxes in this area.


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## Bonfire

Grateful11 said:


> NC completely revamped their Farm Tax system since McCrory got into office and next is the Gas Tax and nearly everything related to driving and ownership of vehicles.
> 
> Here's their proposal: I'm ok with the drop in gas tax but it's going to end up costing us more especially the 6.5% tax on insurance premiums, a completely new tax. I thought Republicans were being sent to Raleigh to save us money.
> 
> http://www.charlotteobserver.com/news/politics-government/article19104330.html
> 
> Transportation taxes
> 
> Gas tax: Now 36 cents. Will change to 35 cents in July and 34 cents in January. Proposed: 30 cents through the end of 2016. I heard but not confirmed that the gas tax is wide open after that to do whatever they need to raise revenue but that will be after the next big election so if they have to raise the gas tax back up it won't make look so bad right before the 2016 election.
> 
> Highway use tax on car sales: Now 3 percent. Proposed: 4 percent.
> 
> Auto insurance premiums: Proposed new 6.5 percent tax.
> 
> DMV fees
> 
> 8-year driver's license: Now $32. Proposed: $48.
> 
> Learner's permit: Now $15. Proposed: $22.50.
> 
> Vehicle title: Now $40. Proposed: $60.
> 
> New car registration: Now $51. Proposed: $76.50.
> 
> Annual car tag renewal: Now $28. Proposed: $42.
> 
> My brother told me yesterday that he talked to their counties House Rep. and he says the gist of the these changes is NC is falling short on tax revenue and that Medicaid (not Medicare), even though NC elected not to expand Medicaid with Fed money, is killing the state.
> 
> ---------------------
> 
> Also I've heard the new Farm Tax overhaul is causing quite few older farmers to get out sooner than they wanted to.
> 
> The basics of the new NC Farm Tax Exemption:
> 
> https://www.carolinafarmstewards.org/nc-sales-tax-exemption-for-beginning-farmers/
> 
> Read more here: http://www.charlotteobserver.com/news/politics-government/article19104330.html#storylink=


I think they're trying to clamp down on the use of the hobby farmers and want only bonafide farmers using the ag use tax exemption. NC sent me a form for a new number the first of July 14. Filled it out, included a couple W-2's, mailed it back and had a new number a couple weeks later. Only thing that really changed for me was a new number/wallet card.

Funny thing about NC. Those residents that live close to the Va border, or any NC resident for that matter, are asked to fill out a form at tax time to claim anything you bought in Va. throughout the tax year. NC wants to charge their residents an additional 1%, (I think) in sales tax for items bought in Va. Va has a sales tax of 5.3% and an income tax. Localities are unable to charge sales tax for local/county funding. Va General Assembly determines that. Va has what they call the Dillion Rule. Basically, Richmond, capital, General Assembly, Governor sets all the rules. Counties can charge fees but not tax. We have real estate and personal property taxes. PP tax is at $3.60/100. Another expense to consider when looking at a $70,000 pickup. One of the reasons my daily driver is 20 years old.


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## deadmoose

Vol said:


> This is a year old but probably is still very close.
> 
> Regards, Mike
> 
> http://www.zerohedge.com/news/2014-04-18/these-are-americas-most-and-least-taxing-states-and-everything-inbetween


According to this PA isn't trying very hard to tax JD.


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## deadmoose

Grateful11 said:


> NC completely revamped their Farm Tax system since McCrory got into office and next is the Gas Tax and nearly everything related to driving and ownership of vehicles.
> 
> Here's their proposal: I'm ok with the drop in gas tax but it's going to end up costing us more especially the 6.5% tax on insurance premiums, a completely new tax. I thought Republicans were being sent to Raleigh to save us money.
> 
> http://www.charlotteobserver.com/news/politics-government/article19104330.html
> 
> Transportation taxes
> 
> Gas tax: Now 36 cents. Will change to 35 cents in July and 34 cents in January. Proposed: 30 cents through the end of 2016. I heard but not confirmed that the gas tax is wide open after that to do whatever they need to raise revenue but that will be after the next big election so if they have to raise the gas tax back up it won't make look so bad right before the 2016 election.
> Highway use tax on car sales: Now 3 percent. Proposed: 4 percent.
> Auto insurance premiums: Proposed new 6.5 percent tax.
> 
> DMV fees
> 
> 8-year driver's license: Now $32. Proposed: $48.
> Learner's permit: Now $15. Proposed: $22.50.
> Vehicle title: Now $40. Proposed: $60.
> New car registration: Now $51. Proposed: $76.50.
> Annual car tag renewal: Now $28. Proposed: $42.
> 
> My brother told me yesterday that he talked to their counties House Rep. and he says the gist of the these changes is NC is falling short on tax revenue and that Medicaid (not Medicare), even though NC elected not to expand Medicaid with Fed money, is killing the state.
> ---------------------
> Also I've heard the new Farm Tax overhaul is causing quite few older farmers to get out sooner than they wanted to.
> The basics of the new NC Farm Tax Exemption:
> https://www.carolinafarmstewards.org/nc-sales-tax-exemption-for-beginning-farmers/
> 
> Read more here: http://www.charlotteobserver.com/news/politics-government/article19104330.html#storylink=


So is that $42 each vehicle? How much after all the other fees to get tabs? Same for new or old? Sounds like all your raised fees are cheap. Comparatively speaking.


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## JD3430

deadmoose said:


> According to this PA isn't trying very hard to tax JD.


"Pennsylvania has one of the highest corporate income tax rates of the states, at 9.9 percent. Only two jurisdictions -- Iowa (12 percent) and the District of Columbia (9.975 percent) -- have higher rates. Not all of the state's taxes are high; a recent report found that Pennsylvania has among the lowest taxes on gas drilling in the country."

The one I'm really focusing in on was the fuel tax. We're the highest in the country.

I agree with you somewhat. PA isnt as bad as some of the other states. MN is ridiculous.


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## deadmoose

Trade ya?


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## Grateful11

deadmoose said:


> So is that $42 each vehicle? How much after all the other fees to get tabs? Same for new or old? Sounds like all your raised fees are cheap. Comparatively speaking.


They may be cheap compared to other states but a 50% increase still seems a bit much to me. Can't wait to see what a Weighted vehicle tag will go to, probably $200 for 13,000 lbs.

$42 for each non-commercial vehicle tag renewal per year.

BTW: According to our local Paper many counties are going to have their Homeowner Insurance rates raised by 19%. It never seems to end lately in NC. I've had one small claim on my Homeowners in 20 years on the home we own now, it's just not right.


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## Vol

Grateful11 said:


> I've had one small claim on my Homeowners in 20 years on the home we own now, it's just not right.


As you know Grateful, the rates are based on the "pool" of insureds......so you are lumped in with many who evidently are frequent claimants. 20% is a sizable increase...even for insurance companies.

Regards, Mike


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## haybaler101

Well, why we are on the tax wagon, I will rant on property taxes. Just got my bill last week here in Sullivan Co. Indiana. Bill went from $8000/year last year to $27,000 this year. 250 acres total, but we added turkey facility assessed at $850,000 and the county finally found my house after 3 years and assessed it at ~$150,000. Bare dirt jumped from $22 per acre to $35/acre. I would complain to the tax board but I have a lot more to lose than gain cause my personal property has not been assesses in about 15 years and might be worth a little more than the $60,000 they have down.


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## Grateful11

I know a guy that filed 3 claims on mostly bogus claims from storm damage, like a whole new roof for one or two broken shingles and a whole new deck for a limb breaking the deck railing and something else. No adjustor was sent out because he had his homeowners through some company half way across the country. They tripled his Homeowners for 3 years. I was standing there while he was telling me this thinking to myself, "while what goes around comes around".


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## deadmoose

My 02 Saturn was $42. My 06 Ram is still close to $100 a year on tags. Brothers new truck reg was $450 ish.

Haybaler101 bad deal. That's too much. Wow.


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## IH 1586

My truck is over $200 was $198 last year and I run less than $4000 on property taxes on 2 house and 7 acres. Very very reasonable when you compare it to NY.


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## deadmoose

I was happy when I got my property tax below $1k. I pay $700 for house on 10 ac. About $1000 total for house and 40 ac.


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## swmnhay

Thinking of all the taxes a person pays in a yr about makes me want to throw up.The harder you work the more you pay,the more you acquire the more you pay.Then when you die they want some more.


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## Hugh

No sales tax in Montana. Buy a new $40,000 truck or tractor, no sales tax. Everything is sales tax free, except for gas and diesel. The biggest advantage of this is, if you have a business, you don't have to worry about sales tax reporting, getting tax exempt, numbers, forms, and etc from wholesale buyers. There is an income tax, but it is very low or non-existent for those of us who make little money farming. If your small retail farm operation sells less than 25m per year, you don't even need a business license. Governments will keep raising taxes until there is a revolt or collapse. Lowering taxes would mean less power for them, and this will rarely happen.


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