| Ambulance service |
Ambulances sold or leased to an ambulance service (public or private) licensed under Minnesota Statutes 144E.10, Ambulance service licensing
Note: Exemption includes accessory items used to initially equip ambulances and repair and replacement parts for ambulances |
| Disabled veterans |
Any vehicle when the purchaser has grant assistance under U.S. Code, title 38, section 3902
Note: Purchaser must have grant assistance under U.S. Code, title 38, section 3902
Starting July 1, 2024, purchases of a motor vehicle by a veteran having a total service-connected disability are exempt from the Motor Vehicle Sales Tax. |
| Federal government and its agencies |
All vehicles (purchased, leased, or rented) |
| Federally Qualified Health Center |
Vehicles used only as mobile medical units for providing medical and dental services by a federal qualified health center. Leases of these vehicles are taxable. |
| Job opportunity building zone (JOBZ) |
Vehicles primarily garaged, used as part of, or in direct support of, the buyer’s operations carried on in a JOBZ zone. To claim exemption, the business must provide a written statement indicating they:
- are a qualified JOBZ business
- have a Business Subsidy Agreement
|
| Library |
Vehicles used as a bookmobile or delivery vehicle |
| Metropolitan Transit Council |
Buses (purchased or leased) |
| Municipal fire department |
Fire trucks, pumper trucks, hook and ladder trucks, and clearly marked trailers
Note: Exemption includes items used to assemble or initially equip these vehicles or items that are permanently attached to the qualified vehicle |
| Nonprofit group |
Trucks, buses, or automobiles primarily designed to carry at least 10 people.
Note: Limited to groups organized for charitable, religious, or educational purposes to transport goods and people, but not employees. State or local government organizations, schools, universities, or private bus companies do not qualify for this exemption. |
| Police department |
Marked police patrol vehicles
Note: Exemption includes accessory items used to initially equip the vehicle |
| Private non-profit or public school |
Vehicles used as instructional aids in a vehicle body and mechanical repair course.
Note: This exemption does not include vehicles used in driver education programs. |
| Public or private transit operations |
Vehicle used for transit services.
Vehicles used to provide transportation services for the elderly or disabled may also qualify. To qualify, the provider must receive financial assistance or reimbursement under Minnesota Statute 174.24 or 473.384, or operate under Minnesota Statute 174.29, 473.388, or 473.405. |
| Ready-mix producer |
Ready-mix concrete trucks |
| Township |
Snow plows, dump trucks, and other motor vehicles used only for road maintenance
Note: This exemption does not include automobiles, vans, or pickup trucks. This exemption does not apply to purchases by other local governments. |
| Volunteer fire department |
Fire trucks, pumper trucks, hook and ladder trucks, trailers, or components used to assemble these vehicles
Note: Exemption includes components to assemble these vehicles and accessories, replacement parts, and repair parts. |
