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As others see it: Leaders must hear business concerns

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opinion Worthington, 56187
Worthington Minnesota 300 11th Street / P.O. Box 639 56187

West Central Tribune

Minnesota Gov. Mark Dayton and legislative leaders are discussing a possible September special session to appropriate funding for disaster relief and overturn a sales tax on farm implement repair.

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There is apparently strong bipartisan support for action on both of these items.

The growing debate between the Democrat and Republican leaders is the request from GOP and business leaders to repeal other business-to-business taxes enacted earlier this year:

* Adding sales tax on purchases of telecommunications equipment by telecommunications providers. This is expected to raise $66 million.

* Adding a sales tax on repair and maintenance of business equipment for all Minnesota businesses. This is expected to raise $95 million.

* Adding sales tax on storage and warehousing services of business-related goods. This is expected to raise $152 million.

Business leaders across the state are concerned about these new taxes. They are concerned about the impact of these new taxes on businesses in the state and competitiveness with neighboring states. This can impact the price of goods, job creation and create inefficiencies.

The governor and legislative leaders should listen to the concerns of business leaders. The warehousing tax is already delaying some business expansion decisions around the state as business leaders reconsider their plans and competitive situation.

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