Vendor allowance provision

SF 44 modifies Minnesota's sales tax rules to establish a "vendor allowance," allowing retailers with $10,000 or more in annual sales tax liability to keep a portion of collected tax as compensation for collection costs. The allowance equals a percentage of eligible taxes collected (with a minimum $10 per reporting period), calculated under new section 297A.816. It affects most retailers (excluding construction material vendors under specific conditions), requiring them to report and remit the remaining tax via electronic payment by specified deadlines. The bill takes effect for sales after June 30, 2025, and updates tax code sections 289A.20 and 297A.77.