Purpose

To modify how the state’s commissioner of revenue can issue revenue rulings, create a process for requesting revenue rulings, charge and collect fees for those requests, require reporting related to this process, and make related amendments to Minnesota law.

Main Provisions

• The bill changes rulemaking rules to clarify what counts as a "rule" and what does not.
• It creates procedures for the commissioner of revenue to issue revenue rulings and to handle requests for revenue rulings, including the possibility of charging fees for those requests.
• It requires certain reports (presumably about the revenue rulings process and related activities).
• It amends several Minnesota Statutes (2024) to implement these changes, including sections 14.03 subdivision 3 and parts of Title 270C.

What counts as a "rule" (definition changes)

• The bill narrows the official definition of a rule. Items that would not be considered rules include:
  • Rules concerning only the internal management of an agency or other agencies that do not directly affect the public’s rights or procedures.
  • Application deadlines on forms and the form instructions unless they impose substantive requirements beyond statute or rule.
  • Curricula adopted by an agency to implement a statute or rule that set minimum educational requirements for regulated persons, as long as topic areas are defined in statute or rule.
  • Procedures for sharing data between government agencies if they follow data practices laws.
• Additional exclusions (Section 1.b) from being considered rules include:
  • Rules of the commissioner of corrections about release, placement, term, and supervision of inmates, internal management of institutions, and related rules.
  • Weight-limit rules on highways if indicated to the public by signs.
  • Opinions of the attorney general.
  • The data element dictionary and annual data acquisition calendar for the Department of Education (to the extent allowed by statute).
  • Occupational safety and health standards (OSH) as defined in law.
  • Revenue notices, rulings, and tax information bulletins of the commissioner of revenue.
  • Uniform conveyancing forms adopted by the commissioner of commerce.
  • Standards adopted by the Electronic Real Estate Recording Commission.
  • Interpretive guidelines from the Department of Human Services (to the extent provided by certain chapters) or from the Department of Children, Youth and Families (to the extent provided in other chapters).

Notable Changes to Law

• The definition of a "rule" is narrowed, which can reduce what requires formal rulemaking procedures.
• Revenue rulings and related guidance from the commissioner of revenue are defined and governed in a way that distinguishes them from formal rules.
• Fees for revenue ruling requests are contemplated, and reporting related to these rulings is required.
• The bill cross-references several other statutes and agencies to clarify what types of guidance or forms are exempt from rulemaking.

Implications and Public Impact

• Tax guidance in the form of revenue rulings and rulings-driven bulletins may be treated differently from formal rules, potentially simplifying or accelerating certain guidance processes.
• Individuals or entities seeking tax guidance from the commissioner of revenue may face fees to obtain revenue rulings.
• Agencies and the public should expect clearer boundaries between what constitutes a formal rule and what is guidance or other non-rule material.

Relevant Statutory References (context)

• Minnesota Statutes 2024 section 14.03 subdivision 3 (as amended) and section 14.02 subdivision 4 (definitions of rule).
• Minnesota Statutes 2024 sections 270C.07, 270C.08, 270C.085, 270C.15 (amended).
• Related references to data practices (chapter 13), Department of Education provisions (125B.07), occupational safety and health standards (182.655), and other agency-specific provisions (e.g., 507.09, 507.0945, chapters 245A and 142B).

Relevant Terms - revenue rulings - commissioner of revenue - rulemaking - rule - internal management - data practices - requests for revenue rulings - fees - reports - Minnesota Statutes 2024 - 14.03 subdivision 3 - 14.02 subdivision 4 - 270C.07 - 270C.08 - 270C.085 - 270C.15 - revenue notices - tax information bulletins - Department of Education - data element dictionary - annual data acquisition calendar - Occupational Safety and Health (OSH) standards - Uniform conveyancing forms - Electronic Real Estate Recording Commission - interpretive guidelines - Chapters 245A and 142B