Jan 23, 2013 at 7:52 am
Add Mark Dayton's name to the growing list of governors pushing tax law changes in their states.
Dayton on Tuesday proposed that people in Minnesota pay a lower overall sales tax rate but that it should be applied to more goods and services, including clothes over $100.
The budget blueprint proposes big changes to the state's sales tax. It would apply the sales tax to some services now exempt, but would continue to exempt food and medical services along with clothing purchases under $100.
More things would be subject to the state sales tax, but its overall rate would drop from the current 6.875 percent down to 5.5 percent under Dayton's proposal. That's a 20-percent decrease, which Dayton's office says is the largest in state history.
They say Minnesota would go from the 7th highest sales tax rate to the 27th highest among U.S. states.