We will occasionally meet a company owner who is personally motivated to sell but feels that there are several things that need to be improved before the company is ready to be put on the market. This might involve hiring a key manager. Or finishing a major internal initiative. We certainly maintain that there is…
What is the Program? Legislation passed in 2001—the Sustainable Forest Incentive Act (SFIA)—allows annual payments to be made to enrolled owners of forested land as an incentive to practice long-term sustainable forest management. Who is Eligible? To enroll in the sustainable forest incentive program, you must meet all of the following requirements: You own 20…
This property classification, enacted in 2008, provides a reduced class rate of 0.65 percent to forested property that is subject to a current forest management (stewardship) plan and that meets other requirements. There is no minimum term of enrollment; property will receive the reduced class rate as long as it is enrolled and continues to…
The Green Acres Program provides property tax relief for owners of agricultural property in areas where the market value of land is being affected by development pressure, sales of recreational land, or other non-agricultural factors. Green Acres (Minnesota Agricultural Property Tax Law) This fact sheet provides information to property owners who currently have land enrolled…
What is a Special Agricultural Homestead? The Special Agricultural Homestead provision extends homestead status to property owners who do not live on their farm but actively farm their land or who have a spouse or a child who actively farms the land. Homestead status can result in lower property taxes than property that is not…
Background During the 2001 legislative session, Minnesota enacted the first state property levy since taxes payable in 1967. The tax is only on certain properties and was enacted as part of a property tax reform law. Revenue from the tax is deposited in the state general fund. Is my property affected by state general tax?…
Special Homestead Classification: Class 1b Special Homestead Classification: Class 1b provides a reduced class rate for qualifying blind/disabled property owners. What is Class 1b? Class 1b provides a reduced class rate for homestead property of any person who qualifies as blind or as permanently and totally disabled. The Class 1b blind/disabled homestead is different than…
This fact sheet is the second in a series of three fact sheets that were designed to assist taxpayers in the understanding of the basic concepts of their annual assessment and property tax administration. Please see Fact Sheets 12a and 12c for additional information. Property Tax Assessment Process Minnesota has what is known as an…
This fact sheet is the first in a series of three fact sheets that were designed to assist tax payers in the understanding of the basic concepts of their annual assessment and property tax administration. Please see Fact Sheets 12b and 12c for additional information. Why do we have property taxes? The money raised by…
Each spring your county sends you a property tax bill. Three factors that affect your tax bill are: the amount your local governments (town, city, county, etc.) spend to provide services to your community, the estimated market value of your property, and the classification of your property (how it is used). The assessor determines the…
In Minnesota, property is classified according to its use on the assessment date – January 2. If the property is not currently being used, it is classified according to its most probable, highest and best use. Highest and best use is the use that is financially feasible, physically possible, legally permissible, and maximally productive. There…
Minnesota sales tax applies to lawn and garden maintenance, indoor plant care, tree and shrub services, and other taxable services discussed in this fact sheet. For more information, see: Fact Sheet 121B, Landscaping Construction Contracts Fact Sheet 121C, Nursery and Greenhouse Production Lawn and Garden Maintenance, Other Services Most lawn and gardening services are taxable,…
Minnesota sales tax does not apply to landscaping construction contracts for improvements to real property, but sales tax does apply to landscaping maintenance contracts to maintain a pre-existing garden or lawn. For information see: Fact Sheet 121A, Lawn and Garden Maintenance, Tree and Shrub Services Fact Sheet 121C, Nursery and Greenhouse Production Landscaping Construction Contracts…
In today’s world, new technologies have made it possible for employers to monitor many aspects of their employees’ activity. Recent surveys have found that a majority of employers do monitor their employees. Employee privacy rights revolve around one basic conflict: employers want to be able to ensure that their employees are being productive, but employees…
Unfair Competition Unfair competition is not a tort with specific elements; instead it describes a general category of torts which courts recognize for the protection of commercial interests. Rehabilitation Specialists, Inc. v. Koering, 404 N.W.2d 301, 305 (Minn. App. 1987) citing W. Prosser and W. Keeton, The Law of Torts § 130, at 1015 (5th…
Background and Origin The Minnesota Business Corporation Act is Minnesota’s adopted version of the Model Business Corporation Act (MBCA), a body of law first published in 1950 with the purpose of setting forth a universal understanding of the requirements of business incorporation. The MBCA is a product of the American Bar Association, and a committee…
2014 Update on Karon Waivers and Spousal Maintenance When divorcing spouses enter into a spousal maintenance agreement, they often include a “Karon waver.” However, many Karon waivers do not include language required by Minnesota Statutes and Minnesota case law. As a result, these Karon waivers are not enforceable. The article below was written by Steven P….
I was recently asked this question: Is posting a private email on social media or an online website illegal? Is it illegal to forward it to a group of people? A person emailed her elected official. She called the elected official names and used foul language. The elected official would like to forward the email…
If you are like most companies in the Information Age, your confidential information is critical to your competitive advantage.
What is Your Company’s Confidential Information? Each company has its own confidential information, often called “trade secrets.” For you, this might be client data, prospect databases, client files, formulas, recipes, or processes that give you an advantage over your competitors.
In general, a party should not file a motion for default judgment merely because the opposing party’s pleading was untimely served or filed. Attorneys who are new to filing a motion for default judgment may find the following helpful in determining their options. An attorney asked this question: If a defendant is untimely in serving…
What’s New in 2013 Certain digital products are taxable Starting July 1, 2013, certain digital products are subject to Minnesota sales and use tax. Some exemptions apply; see below for more information. What are digital products? A “digital product” can be any product that is transferred electronically to a customer. Common examples of digital products…
Minnesota Revised Uniform Limited Liability Company Act Nearly 200,000 LLCs formed in Minnesota since 1993 will be affected by the new Minnesota Revised Uniform Limited Liability Company Act, which became law in 2014. On April 8th, 2014, Minnesota Governor Mark Dayton signed into law the Minnesota Revised Uniform Limited Liability Company Act. This law impacts…
NOTICE: The sales and use tax on repair and maintenance of certain equipment and machinery for businesses has been repealed effective April 1, 2014 This article explains how Minnesota sales and use tax applies to different types of labor. What’s New in 2013 Taxable business repair services Starting July 1, 2013, the repair and maintenance…
IMPORTANT: This article is outdated. See guide to Minnesota Sales Tax for Labor, Installation, Construction, and Fabrication, which was updated in 2013. This article explains how Minnesota sales and use tax applies to different types of labor. Installation labor Installation is labor to set an item into position, or to connect, adjust or program…
Update: This tax was repealed on March 21, 2014. The information below is preserved for archival purposes. However, it is no longer in effect. 2014 Law (Repealed) Starting April 1, 2014, business-related storage and warehousing services are subject to sales and use tax. Minnesota sales and use tax is due when a business buys storage…
Introduction A criminal trial isn’t the only time you may need to “plead the Fifth.” You may need to assert your Fifth-Amendment right against self-incrimination in a civil lawsuit, even the middle of a lawsuit. Imagine you were sued, you offered testimony through interrogatories in discovery, and then as the litigation evolved, you were asked…
Installment Sales (See footnote 1.) IRC Section 453 defines the appropriate accounting method for reporting income from an “installment sale.” (See footnote 2.) An installment sale is generally defined as a sale of property at a profit for which the seller will receive one or more payments of the purchase price after the close of…
Get Started: Licensing Requirements & Other Considerations The 21st Amendment to the United States Constitution ended prohibition in 1933. That year, all 50 states adopted some form of three-tier system for regulating liquor sales. The three-tier system, often used to restrict the involvement of manufacturers and wholesalers in the retail liquor industry, still provides the…
Can a broker be liable for tax consequences arising from an ill-advised annuity liquidation? Yes. What about other bad tax advice? Absolutely. In short, a broker can be liable. You may have a claim for negligence against your broker if the broker fails to comply with industry standards, or fails to act as reasonably prudent…
Before entrusting a brokerage firm with your life savings, or any significant portion of it, spend some time evaluating the firm’s financial health. You’ll be glad you did if the firm ultimately perpetrates a securities fraud against you such as churning, selling away, unsuitability, over concentration, a Ponzi scheme, or other common investor legal claims….