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Clothing 105 www.taxes.state.mn.us Clothing 105 Fact Sheet Sales Tax Fact Sheet 105 Legislation was passed adopting the Uniform Sales and Use Tax Administration Act proposed by the multistate Stream- lined Sales Tax Project (SSTP). The Act allows Minnesota to enter into the Streamlined Sales and Use Tax Agreement that sets out uniform definitions for administration of the sales and use tax law. Minnesota has adopted those definitions neces- sary to bring our law into conformance with the agreement. The new streamlined definition of clothing effective January 1, 2002 is explained in this fact sheet. Clothing is exempt. Clothing means all human wearing apparel suitable for general use. Clothing does not include clothing accessories or equipment, sports or recreational equipment, and protective equipment, which are taxable. Examples of nontaxable clothing for general use aprons (household and coveralls, work uniforms, incontinent briefs and snowmobile suits and shop) work clothes, etc. inserts boots athletic supporters dancing costumes insoles for shoes slippers baby receiving blankets diaper inserts jackets and coats sneakers bandanas diapers (cloth and dis- karate uniforms sun visors bath robes posable, baby or adult) lab coats sweat shirts and sweat bathing suits and caps disposable clothing for leotards and tights suits beach capes and coats general use mittens socks and stockings belts ear muffs name patches or em- steel toe shoes and boots bibs footlets blems sold attached to suspenders blaze orange jackets and formal wear clothing tennis shoes pants garters and garter belts neckties T-shirts and jerseys boots girdles overshoes tuxedos bowling shirts and shoes gloves for general use pantyhose underwear bridal wear (cloth, leather, canvas, rainwear (ponchos, jack- uniforms (athletic and camouflage jackets and latex, vinyl, etc.) ets, shirts and pants) nonathletic) pants gym suits and shorts rubber pants wedding apparel caps and hats (ski, hunt- hats sandals ing, fishing, golf, hosiery scarves baseball) hospital scrubs shoes and shoe laces costumes hunting jackets and pants shower caps Examples of taxable clothing accessories or equipment Clothing accessories or equipment means incidental items worn on the person or in conjunction with clothing. backpacks costume masks (sold handbags purses bags (overnight, beach, separately from cos- handkerchiefs sunglasses (nonpre- etc.) tume) headbands scription) barrettes crib blankets, sheets, hip waders umbrellas belt buckles (sold sepa- mattress pads, rubber jewelry wallets rately from belt) sheets, etc. money belts and clips watchbands billfolds doll clothes patches or emblems sold watches briefcases hair clips separately wigs and hairpieces cosmetics hairbows perfume hairnets pet clothing Corporate and Sales Tax Division – Mail Station 6330 – St. Paul, MN 55146-6330 This fact sheet is intended to help you become more familiar with Minnesota tax Phone: Twin Cities 651-296-6181 or toll-free 1-800-657-3777 laws and your rights and responsibilities under the laws. Nothing in this fact sheet For TDD, contact Minnesota Relay at 1-800-627-3529, ask for 1-800-657-3777 supersedes, alters, or otherwise changes any provisions of the tax law, administrative rules, court decisions, or revenue notices. Alternative formats available upon request. Stock No. 2800105, Revised 1/02 Minnesota Revenue, Clothing 1 Sports or recreational equipment ing, regardless of whether it is actually used for making Sports or recreational equipment means items designed clothing. for human use and worn in conjunction with an athletic The exemption does not apply to batting, foam, embroi- or recreational activity that are not suitable for general dery thread or fabric specifically manufactured for arts use. Sports and recreational equipment is taxable. and crafts projects, or other materials for craft projects. Examples of taxable sports or recreational equip- These items are taxable. ment: Sewing equipment is taxable. Sewing equipment in- ballet and tap shoes masks or shields, protective, cleated or spiked athletic such as baseball masks, cludes knitting needles, patterns, pins, scissors, sewing shoes chest protectors, mouth machines, sewing needles, tape measures and thimbles. fishermen’s wading vests guards or shin guards and jackets safety shields and visors, Repairing, altering, and storing fishing boots (hip boots and (detachable) for helmets waders) if sold separately clothing gloves for use only in a shell belts and vests Charges for repairing, altering and storing clothing are sporting or athletic activ- shoulder pads and padding taxable. Charges for laundering, cleaning, pressing and ity (baseball, bowling, skates (roller, ice) dyeing clothing are also taxable. Request Fact Sheet 120, boxing, hockey, golf, etc.) ski boots goggles (nonprescription) skin diving suits, goggles, Laundry and Cleaning Services, for more information. hand, elbow, knee guards nose plugs, ear plugs, helmets (all types) fins, equipment, etc. Fur clothing hunting or game pouches sports shoes (cleated or Beginning January 1, 2002, clothing made of fur is no and carriers spiked) longer subject to sales tax. Clothing made of fur means leather glove guards waders life preservers and vests wet suits and fins articles of clothing made of fur on the hide or pelt, and clothing where fur is the component of main value (that is, the value of the fur is more than three times the value Protective equipment of the next most valuable component). Protective equipment means items for human wear and A new gross receipts tax is imposed on fur retailers. The designed as protection of the wearer against injury or tax is 6.5 percent of the gross revenues from the sale of disease or as protection against damage or injury of other clothing made from fur. If you sell fur clothing that was persons or property but not suitable for general use. Pro- subject to sales tax you are now required to pay the fur tective equipment is taxable. clothing tax. Examples of taxable protective equipment For more information on reporting this tax, call the Spe- breathing masks hard hats and liners cial Taxes Division at 651-297-1772 or 1-800-657-3619. clean room apparel & helmets (all types) equipment (reusable and paint or dust respirators disposable) reflective or safety vests, References ear and hearing protectors aprons, gloves, suits, etc. M. S. 297A.67, Subd. 8, Clothing face masks for medical use safety belts M. S. 297A.67, Subd. 9, Baby products face shields safety glasses and goggles M. S. 297A.67, Subd. 27, Sewing materials finger guards (nonprescription) M. S. 295.60, Fur clothing gloves designed for protec- tool belts Revenue Notice 01-04, Special Fur Clothing Tax tion against injury that welding gloves and masks are not suitable for gen- Other fact sheets that you may need: eral use are taxable (e.g., welding, metal boning Items for Business Use Outside Minnesota, #110 gloves) Local Sales and Use Taxes, #164 Sales to Governments, #142 Use Tax for Businesses, #146 Sewing materials and equipment Use Tax for Individuals, #156 Sewing materials are not considered clothing. However, there is a separate exemption for sewing materials that become part of clothing. Sewing materials mean fabric, yarn, thread, zippers, interfacing, buttons, trim, and other items that are usu- ally directly incorporated into the construction of cloth- Revised 1/02 Minnesota Revenue, Clothing 2.
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