Dayton dumps sales tax proposals


Under heavy fire from corporations in the state, Minnesota Gov. Mark Dayton has withdrawn his proposal that the state tax services that businesses sell each other, MPR reported.

And Dayton said he is very likely to scrap his proposal that the state tax more services, like haircuts, that businesses charge consumers, the Associated Press reports.

The governor made the announcement at the TwinWest Chamber of Commerce meeting in St. Louis Park on Friday morning, local media reported. From MPR:

Dayton unveiled the "business-to-business" proposal as part of a sweeping tax and budget reform plan, and weathered storms of criticism from business leaders. The governor had proposed new taxes on professional services, including accounting, public relations and legal services.

Without the business services tax, Dayton won't have the money he wanted for a proposed $500-per-family property tax rebate, the Star Tribune reported.

Dayton is retooling his budget proposals in light of a new state economic forecast that predicts a $627 million deficit over the next two years, much less than the $1.1 billion deficit forecast from November. Dayton in January had used the larger figure to make a case for his new tax proposals.

Next Up

Anthony Edwards

Ant takes alpha role after bad loss: 'We need to lock the f*** in'

The Timberwolves' rising star was not happy after Monday's loss to the Pelicans.

parker eisinger

Lakeville football player diagnosed with cancer week before playoffs

The tenth-grader was diagnosed with a form of cancer most commonly found in people aged 65 and older.

University of Minnesota peeping tom suspect

Someone keeps trying to film showering women at U of M

The university has received three reports in the past two weeks.

john Fluevog shoes 1

John Fluevog Shoes closes its Uptown Minneapolis store

The brand could return to the Twin Cities one day.

sidecar drink

Sidecar — Town Hall's new cocktail lounge — is officially open in Minneapolis

It's the fifth Town Hall location, but the first to focus on cocktails.

Screen Shot 2019-07-18 at 9.10.30 AM

Here's where DFLers stand on Minneapolis' public safety ballot question

The question would create a Department of Public Safety and remove some requirements.

Arthur Kollie

Man pleads guilty to brutal murder of 14-year-old girl in Fargo

The 14-year-old girl was the victim of a random attack outside a Fargo strip mall.

Minneapolis Mayoral Candidates 2021 - jacob frey sheila nezhad kate knuth

Here's who has endorsed the frontrunners for Minneapolis mayor

Politicians and community groups are voicing their opinions.


Minnesota's COVID-19 update for Tuesday, October 26

The latest data for the pandemic in Minnesota.


Target touts new app, ordering features ahead of holidays

Here's how the retailer plans on making things "easy" for customers.