In 2013 the Minnesota State Legislature passed several disastrous business-to-business tax hikes, and Minnesota families are already feeling the impact from farm to fork. Despite the fact that these taxes are referred to as “business-to-business” taxes, they impact all Minnesota families. The best example of this is a warehousing tax, an idea so bad that the House Tax Chair explained that they “delayed implementation” since they weren’t sure how it would impact businesses.
The reality is, we know exactly how it will impact businesses- this one-of-a-kind tax on companies storing goods in a warehouse that their firm does not own will do several things, and likely it will be a combination of them.
First, don’t be fooled, this is not a tax that will impact businesses despite the name. Businesses won’t pay the extra 6.875% on the cost of doing business in Minnesota, that cost will be passed on to us, the consumers who buy their products. Another option will be for companies to store their goods in warehouses that aren’t located in Minnesota; eventually products make their way on a truck from warehouses to stores, why would businesses pay nearly an extra 7% when they could simply stop their trucks earlier in another state without this increase in cost? Third, warehousing companies (like Murphy Warehousing) have already said that this puts them at a competitive disadvantage and are looking at moving Minnesota jobs to other states.
The legislature is in a Special Session, it is their job to ensure today that Minnesotans receive relief from natural disasters which hit our state, but they also have an opportunity today to repeal this harmful tax before it becomes even more of a disaster.
Fewer jobs, higher costs, and less competition is the path to a better Wisconsin, not the path to a stronger Minnesota. Tell your legislator to undo the democrats end-of-session mistakes and repeal the warehousing tax.
Take Action:Urge your representatives to repeal the warehousing tax.
Help us continue to inform Minnesotans about the destructive new taxes enacted this year and fight to repeal them by making a contribution at “Am I Rich?
One more thing you can do: Suggest “repeal the warehousing tax” at Governor Dayton’s “Un-Session” suggestion site.