Minnesota Tax Exemptions

CCNow currently collects state sales tax for some orders shipping to the state of Minnesota, depending if the transaction is based in the United States or Europe. Any Minnesota tax collected is paid by CCNow to the tax authorities.

If you have items that are exempt from this tax, please send an email to support@ccnow.com with your CCNow Client ID and a list of the Product IDs that are exempt. Please choose the subject line of "MN Sales Tax Exemptions".

Most clothing and non-candy food items, as well as newsletters, magazines or other non-book periodicals will be exempt from sales tax.
A. Clothing Items
B. Food Items
C. Publications

A. Clothing Items

Clothing is exempt from sales and use tax. "Clothing" is all human wearing apparel suitable for general use. Clothing includes, but is not limited to:

  • aprons, household and shop;
  • athletic supporters;
  • baby receiving blankets;
  • bathing suits and caps;
  • beach capes and coats;
  • belts and suspenders;
  • boots;
  • coats and jackets;
  • costumes;
  • children and adult diapers, including disposable;
  • ear muffs;
  • footlets;
  • formal wear;
  • garters and garter belts;
  • girdles;
  • gloves and mittens for general use;
  • hats and caps;
  • hosiery;
  • insoles for shoes;
  • lab coats;
  • neckties;
  • overshoes;
  • pantyhose;
  • rainwear;
  • rubber pants;
  • sandals;
  • scarves;
  • shoes and shoe laces;
  • slippers;
  • sneakers;
  • socks and stockings;
  • steel-toed boots;
  • underwear;
  • uniforms, athletic and nonathletic; and
  • wedding apparel.

Clothing does not include the following:

  • Belt buckles sold separately.
  • Costume masks sold separately.
  • Patches and emblems sold separately.
  • Sewing equipment and supplies, including but not limited to, knitting needles, patterns, pins, scissors, sewing machines, sewing needles, tape measures, and thimbles (but see special exemption explained herein).
  • Sewing materials that become part of clothing, including but not limited to, buttons, fabric, lace, thread, yarn, and zippers.
  • Clothing accessories or equipment. "Clothing accessories or equipment" means incidental items worn on the person or in conjunction with clothing. Clothing accessories and equipment include, but are not limited to, briefcases; cosmetics; hair notions, including barrettes, hair bows, and hairnets; handbags; handkerchiefs; jewelry; nonprescription sunglasses; umbrellas; wallets; watches; and wigs and hairpieces.
  • Sports or recreational equipment. "Sports or recreational equipment" means items designed for human use and worn in conjunction with an athletic or recreational activity that are not suitable for general use. Sports and recreational equipment includes, but is not limited to, ballet and tap shoes; cleated or spiked athletic shoes; gloves, including but not limited to, baseball, bowling, boxing, hockey, and golf gloves; goggles; hand and elbow guards; life preservers and vests; mouth guards; roller and ice skates; shin guards; shoulder pads; ski boots; waders; and wetsuits and fins.
  • Protective equipment. "Protective equipment" means items for human wear and designed as protection of the wearer against injury or disease or as protection against damage or injury of other persons or property but not suitable for general use. Protective equipment includes, but is not limited to, breathing masks; clean room apparel and equipment; ear and hearing protectors; face shields; finger guards; hard hats; helmets; paint or dust respirators; protective gloves; safety glasses and goggles; safety belts; tool belts; and welders gloves and masks.

Athletic equipment: Certain items which are normally worn while engaging in a sport may also be worn for general use, and such items fall within the clothing exemption. Examples of athletic equipment that would qualify for the exemption include ski and snowmobile suits, insulated boots and underwear, caps and hats (such as baseball hats and ski hats), bowling shirts, sweat pants, camouflage parkas and trousers, rain wear, and leotards and tights. Athletic wear that would be subject to sales tax include fisherman's wading vests, gloves (baseball, boxing, hockey, etc.) helmets (baseball masks, football helmets, etc.) shoulder pads and other padding, athletic supporters, and skin diving suits. Motorcycle and snowmobiling helmets are exempt because they may be worn for nonsporting activities. Safety shields and visors for helmets are exempt when incorporated into the helmet (and the price is not stated separately) but are subject to tax if sold separately.

Jewelry: The clothing and wearing apparel exemption does not include clothing accessories such as jewelry.

Luggage: Tax applies to sales of luggage, bags, purses, wallets and cases of any sort.

B. Food Items

Food and Food Ingredients: Food and food ingredients are exempt. Food and food ingredients are substances, whether in liquid, concentrated, solid, frozen, dried, or dehydrated form, which are sold for ingestion or chewing by humans and are consumed for their taste or nutritional value.

Examples of items that do not qualify as food or food ingredients include nonedible cake decorations, Easter egg dye, garden seeds, pet food, and softener salt.

Candy: Candy is taxable. However, gum and candy sold for fund-raising purposes by nonprofit organizations that provide educational and social activities primarily for young people 18 years old or younger are exempt.

"Candy" means a preparation of sugar, honey, or other sweeteners in combination with chocolate, fruits, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces. All bars, drops, or pieces, not depending on size, are taxable. "Candy does not include food items that require refrigeration or that contain flour such as white, whole wheat, rice, corn, or brown flour, as long as the label lists "flour" as one of the ingredients.

Examples of sweeteners are corn syrup, dextrose, ivert sugar, sucrose, fructose, fruit juice concentrates, molasses, evaporated cane juice, rice syrup, barley malt, honey, and artificial sweeteners.

Examples of candy are caramelcoated popcorn, honey roasted and honey coated nuts, gum, breath mints, fruit rollups, marshmallows, sweet or semisweet cooking bars or chips, artificially sweetened candy, almond bark, glazed apricots, and chocolate-coated potato chips.

Examples of food items that are not candy include: (1) items that are not in the form of bars, drops, or pieces, including jam, jelly, honey, preserves, or syrup; (2) items that contain flour, including pretzels, cookies, or cake mix; (3) items that require refrigeration, including ice cream bars; and (4) items not combined with a sweetener, including nonsweetened dried fruit. However, these items are taxable if prepared by the seller or sold through a vending machine. For example, Popsicles and ice cream bars require refrigeration so they are not taxable candy. However, these items are taxable if they are prepared by the seller. Candy that does not require refrigeration is taxable even if sold frozen.

Soft Drinks: Soft drinks are taxable. "Soft drinks" are nonalcoholic beverages that contain natural or artificial sweeteners. "Soft drinks" exclude beverages that contain milk or milk products, soy, rice or similar milk substitutes or beverages that contain more than 50% vegetable or fruit juice. Beverages that are labeled fruit juice, fruit drink, fruit ade, or fruit nectar are taxable when the percentage of fruit juice content is not specified.

Water and water service: Unsweetened water, whether carbonated or noncarbonated or flavored, is exempt regardless of the size of the container. Water sold and delivered to customers are exempt, if delivered to residential customers, and taxable, if delivered to commercial customers, regardless of the size of the container. Delivery charges are taxable beginning January 1, 2002.

Ice: Ice cubes and ice blocks are not taxable.

Alcoholic beverages: Alcoholic beverages are taxable.

Dietary supplements and vitamins: Dietary supplements are taxable. Any item required to be labeled with "supplement facts" by the federal Food and Drug Administration is taxable. This includes appetite suppressants and/or stimulants, or food supplements such as vitamins and minerals in any form.

"Dietary supplements" means any product, other than tobacco, intended to supplement the diet that:

  • contains one or more of the following dietary ingredients: a vitamin; a mineral; an herb or other botanical; an amino acid; a dietary substance for use by humans to supplement the diet by increasing the total dietary intake; and a concentrate, metabolite, constituent, extract, or combination of any ingredient described as a dietary ingredient;
  • is intended for ingestion in tablet, capsule, powder, softgel, gelcap, or liquid form, or if not intended for ingestion in such form, is not represented as conventional food and is not represented for use as a sole item of a meal or of the diet; and
  • is required to be labeled as a dietary supplement, identifiable by the supplement facts box found on the label and as required pursuant to Code of Federal Regulations, title 21, ยง101.36.

Taxable dietary supplements include amino acids, antioxidants, bee pollen, enzymes, garlic capsules, ginseng, herbal supplements, immune supports, lecithin, metabolic supplements, vitamins and minerals, and zinc lozenges.

Meal substitutes are not taxable. Meal substitutes are labeled with "Nutrition Facts" and include: unsweetened breakfast bars or those that contain flour; dried fruit snacks (unsweetened); Ensure or Boost; Pop Tarts; and soup mixes.

Prepared food: Any food that is prepared by the seller is taxable. "Prepared food" means: (a) food sold in a heated state or heated by the seller; (b) two or more food ingredients mixed or combined by the seller for sale as a single item; or (c) food sold with eating utensils provided by the seller, including plates, knives, forks, spoons, glasses, cups, napkins, or straws. Prepared food excludes food that is only sliced, repackaged, or pasteurized by the seller. The preparation of food may occur where the food is sold or at another location. Serving size does not affect the taxability of a food item. Bakery items made by the seller for sales after June 30, 2002 and ready-to-eat meat and seafood in an unheated state sold by weight for sales from July 1, 2002 are exempt, unless they are sold with eating utensils. Also, food containing raw eggs, meat, fish, or poultry that require cooking by the consumer to prevent food borne illnesses are exempt.

C. Publications

The word "publication" encompasses only written or printed matter, such as a newspaper, magazine, or other printed periodical regularly issued at average intervals not exceeding three months.

"Publication" includes any legal newspaper as defined by Minnesota Statutes, chapter 331, together with any supplements or enclosures accompanying such newspaper or representing a part thereof. The term "newspaper" is limited to those publications commonly understood to be newspapers and which are printed and distributed periodically at daily, weekly, or other short intervals for the dissemination of news of a general character and of general interest. The term does not include hand bills, circulars, flyers, or the like, unless distributed as a part of a newspaper as defined. The term "publication" includes so-called "shoppers guides" distributed by a publisher, where space in such publication generally is available to advertisers for the purpose of inducing readers to purchase goods or services from such advertisers.

House organs, trade, professional, and other types of magazines and journals regularly issued at average intervals not exceeding three months are included within the meaning of "publication." "Comic books" are "publications" if published serially under the same title at least once quarterly; however, comic books complete in themselves and without continuity of title and subject matter are not publications.

The following are representative of items not included within the meaning of "publication": books, including those issued at regular or stated intervals, e.g., books sold by a book-of-the-month or other club or organization; so called "one-shot" magazines that have no literary or subject matter connection or continuity between prior or subsequent issues; price lists; hand bills; catalogs; programs; score cards; maps; sheet music; yearbooks; directories; bulletins; political newsletters issued during a campaign only, and not of a continuing nature at regular intervals not exceeding three months; loose leaf or similar personal service publications such as tax information services, labor information services, credit or financial information services (however, special reports not distributed generally are deemed personal services), law cases and briefs; realtors' descriptive listings, financial and statistical reports, unless published as a supplement or enclosure with or part of a legal newspaper.

For further information on Minnesota Sales Tax, please email salestax@ccnow.com or visit the MN Dept. of Revenue website at http://www.taxes.state.mn.us.