Noncontroversial tax bill

Despite the word “taxes” in its title, the omnibus tax policy bill has bipartisan support, at least in the House Taxes Committee.

Sponsored by Committee Chairman Greg Davids (R-Preston), HF1219 contains mainly noncontroversial tax policy provisions, many put forward by the Revenue Department and supported by the governor. It was approved May 10 and sent to the House Ways and Means Committee.

Tax treatment for those raising horses prompted an amendment from Rep. Steve Gottwalt (R-St. Cloud) which, although opposed by the department and some county assessors, was successfully added, but not before DFLers voiced concerns.

Gottwalt said the definitions relating to equines need clarification. “Horse owners want horses identified as livestock.” He said that county assessors’ treatment of horses as an agricultural pursuit as opposed to a hobby is confusing to some. His amendment would give county assessors clear direction.

However, Assistant Revenue Commissioner Matt Massman said the amendment would create less clarity, and that those with horse operations that meet the agricultural use standard already are included in the lower tax classification.

Provisions in the bill include:

• HF902, sponsored by Rep. David Dill (DFL-Crane Lake), which would modify a 2010 law related to owner-occupant of two resorts. The provision provides that the two properties can be combined for tax purposes if they are each owned by different limited liability companies, as long as they have the same membership;

• HF548, sponsored by Rep. Mark Buesgens (R-Jordan), which would expand the definition of “agricultural products” to include the production for sale of game birds and waterfowl by a Department of Natural Resources-licensed game farm;

• defining of the word “interns” for use in the angel investment credit program and setting an intern minimum wage requirement; and

• eliminating the requirement to physically post the notice of sale of personal property in the county courthouse, and instead require the notice be posted in at least three public places in the county where the seizure takes place.

The bill’s companion, SF869, sponsored by Sen. Julianne Ortman (R-Chanhassen), awaits action on the Senate floor.