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tax on such lands for a term of years and a yield tax at or after the end of such term upon the timber and other forest products so grown, but the taxation of mineral deposits shall not be affected by this amendment (art. XVIII, sec. 1).

(2) Fire protection and wild land improvement: The State and (or) any of its political subdivisions, if and whenever authorized by the Legislature, may contract debts and pledge the public credit for and engage in any work reasonably tending to prevent or abate forest fires, including the compulsory clearing and improvement of wild lands (whether belonging to the public or privately owned) and the assessment against such lands of the value of all benefits so conferred and the payment of damages so sustained in excess of such benefits (art. XVII, sec. 1).

(c) Highway taxes.-(1) For an addition to the road and bridge fund, an annual tax on the property of the State not to exceed 1 mill is authorized :

The Legislature is authorized to add to such fund, for the purpose of constructing or improving roads and bridges of this State, by providing, in its discretion, for an annual tax levy upon the property of this State of not to exceed in any one year one mill on all the taxable property within the State. Provided, that no county shall receive in any year more than three (3) per cent, or less than one-half (12) of one (1) per cent of the total fund thus provided and expended during such year (art. IX, sec. 16).

(2) A tax on all taxable property is authorized to meet any deficit in the sinking fund for retirement of highway bonds (art. XVI, sec. 4).

(3) A special highway tax on motor vehicles is authorized: The Legislature is hereby authorized to provide, by law, for the taxation of motor vehicles, using the public streets and highways of this State, on a more onerous basis than other personal property ; provided, however, that any such tax on motor vehicles shall be in lieu of all other taxes thereon, except wheelage taxes, so-called, which may be imposed by any borough, city or village.

Any such law may, in the discretion of the Legislature, provide for the exemption from taxation of any motor vehicle owned by a nonresident of the State, and transiently or temporarily using the streets and highways of the State. The proceeds of such tax shall be paid in to said trunk highway sinking fund (art. XVI, sec. 3, amended 1932).

(4) A tax on materials, etc., for generating power for propelling vehicles may be levied :

it may levy an excise tax upon any substance, material, fluid, force or other means or instrumentality, or the business of dealing in, selling or producing any or all thereof, used or useful, in producing or generating power for propelling motor or other vehicles used on the public highways of this State

(art. IX, sec. 5). (d) School taxes.The Legislature shall make such provisions, by taxation or otherwise as will secure a thorough and efficient system of public schools in each township in the State (art. VIII, secs. 1 and 3).

(e) Exemptions.-Certain public property and that used for educational, charitable, and religious purposes, and household property and farm machinery, for each head of a family may be exempted from taxation :

but public burying grounds, public school houses, public hospitals, academies, colleges, universities, and all seminaries of learning, all churches, church property, and houses of worship, institutions of purely public charity, and public property used exclusively for any public purpose, shall be exempt from taxation, and there may be exempted from taxation personal property not exceeding in value $200, for each household, individual or head of a family household goods and farm machinery, the Legislature may determine: *

(art. IX, sec. 1, amended 1934). 91655-38





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In 1932, an amendment to art. IX, sec. 1, of the constitution, proposing a State-wide income tax, was defeated. Notwithstanding this, a statute was enacted in 1933, as amended in 1937, imposing a franchise tax and an income tax, applicable to individuals and all business organizations, except such as were specially exempted in the statute.


An inheritance and estate tax is imposed.


Franchise taxes are imposed.


License taxes are imposed.

(a) By an amendment adopted in 1924, an occupation tax upon all engaged in mining was imposed, in addition to all other taxes provided by law:

Every person, co-partnership, company, joint-stock company, corporation, or association however or for whatever purpose organized, engaged in the business of mining or producing iron ore or other ores in this State, shall pay to the State of Minnesota an occupation tax on the valuation of all ores mined or produced, which tax shall be in addition to all other taxes provided by law, said tax to be due and payable from such person, co-partnership, company, joint-stock company, corporation, or association however or for whatever purpose organized, on May first of the calendar year next following the mining or producing thereof. The valuation of ore for the purpose of determining the amount of tax to be paid shall be ascertained in the manner and method provided by law. Funds derived from the tax herein provided for shall be apportioned

(art. IX, sec. 1A).

(6) No license shall be required for peddling farm products grown by the seller (art. I, sec. 18).




A poll tax is imposed.



Powers to tax.-(1) Any county and township shall have such powers of local taxation as may be prescribed by law:

Any county and township organization shall have such powers of local taxation as may be prescribed by law (art. XI, sec. 5).


(a) County and township organization is provided for (art. XI, secs. 1 and 3).

(6) Cities may be organized as counties: The legislature may organize any city into a separate county, when it has attained a population of 20,000 inhabitants, without reference to geographical extent, when a majority of the electors of the county in which such city may be situated, voting thereon, shall be in favor of a separate organization (art. XI, sec. 2).



(a) Cities and villages may frame charters for their own government under certain conditions:

Any city or village in this State may frame a charter for its own government as a city consistent with and subject to the laws of this State, as follows:

The legislature may provide general laws relating to affairs of cities, the application of which may be limited to cities of over fifty thousand inhabitants, or to cities of fifty and not less than twenty thousand inhabitants, or to cities of twenty and not less than ten thousand inhabitants, or to cities of ten thousand inhabitants or less, which shall apply equally to all such cities of either class, and which shall be paramount while in force to the provisions relating to the same matter included in the local charter herein provided for. But no local charter, provision, or ordinance passed thereunder shall supersede any general laws of the State defining or punishing crimes or misdemeanors (art. IV, sec. 36).

(6) Special assessments.—Municipal corporations may be authorized to levy taxes for local improvements benefited thereby without regard to cash valuation:

* Provided, That the legislature may authorize municipal corporations to levy and collect assessments for local improvements upon property benefited thereby without regard to a cash valuation, and, provided further, that nothing herein contained shall be construed to affect, modify, or repeal any existing law providing for the taxation of the gross earnings of railroads (art. IX, sec. 1, amended 1934).

(c) Wheelage tax on motor vehicles (see par. B-1-0-(3)).


Constitutional Provisions Relating to Taxation as of June 30, 1937

(Constitution of 1890, as amended)



The legislative power is vested in the legislature, the initiative and referendum being reserved (art. 4, sec. 33).


(a) Local, private, or special laws are prohibited: Exempting property from levy or sale; changing the law of descent and distribution; providing for the management or support of any private or common school, incorporating the same, or granting such school any privileges (art. 4, sec. 90).

(6) Special or local laws shall not be enacted nor the operation of general saws suspended for the benefit of any individual, corporation, or association (art. 4, sec. 90):


The legislature shall never create by law any distinction between the rights of men and women to acquire, own, enjoy, and dispose of property of all kinds, or their power to contract in reference thereto. Married women are hereby fully emancipated from all disability on account of coverture. But this shall not prevent the legislature from regulating contracts between husband and wife; nor shall the legislature be prevented from regulating the sale of homesteads (art. IV, sec. 94).


The Legislature shall enact laws to limit, restrict, or prevent the acquiring and holding of land in this State by non-resident aliens and may limit or restrict the acquiring or holding of lands by corporations (art. 4, sec. 84).



(a) Equality and valuation.—Taxation shall be uniform and equal, and property taxed in proportion to value. Special methods may be used for railroads and other corporate property:

Taxation shall be uniform and equal throughout the State. Property shall be taxed in proportion to its value. The legislature may, however, impose a tax per capita upon such domestic animals as from their nature and habits are destructive of other property. Property shall be assessed for taxes under general laws, and by uniform rules, according to its true value. But the legislature may provide for a special mode of valuation and assessment for railroads, and railroad and other corporate property, or for particular species of property belonging to persons, corporations, or associations not situated wholly in one county. But all such property shall be assessed at its true value, and no county shall be denied the right to levy county and special taxes upon such assessment as in other cases of property situated and assessed in the county (art. 4, sec. 112).

(6) School taxes.—The legislature is required to establish a uniform system of free public schools by taxation or otherwise (art. 8, sec. 201).

(c) Pensions for Confederate veterans and widows.The legislature shall provide by law for pensions to confederate soldiers and sailors who enlisted and honorably served in the late civil war and who are now resident in this state. Pensions shall also be allowed to the widows of such soldiers or sailors now dead on conditions to be prescribed by law. Pensions shall be allowed to the wives of such soldiers and sailors now living upon the death of the husbands on conditions to be prescribed by law, but pensions granted, to such widows shall cease upon their subsequent marriage (art. 14, sec. 272).

(d) Corporate property and franchises.—(1) Creation and assessment:

Corporations shall be formed under general laws only. The legislature shall have power to alter, amend, or repeal any charter of incorporation now existing and revocable, and any that may hereafter be created, whenever, in its opinion, it may be for the public interest to do so: Provided, however, That no injustice shall be done to the stockholders. No charter for any private corporation for pecuniary gain shall be granted for a longer period than ninety-nine years. In assessing for taxation the property and franchises of corporations having charters for a longer period than ninety-nine years, the increased value of such property and franchises arising from such longer duration of their charters shall be considered and assessed ; but any such corporation shall have the right to surrender the excess over ninety-nine years of its charter (art. 7, sec. 178).

(2) Method of taxation:

The property of all private corporations for pecuniary gain shall be taxed in the same way and to the same extent as the property of individuals, but the legislature may provide for the taxation of banks and banking capital, by taxing the shares according to the value thereof (augmented by the accumulations, surplus, and unpaid dividends), exclusive of real estate, which shall be taxed as other real estate. Exemptions from taxation to which corporations are legally entitled at the adoption of this Constitution shall remain in full force and effect for the time of such exemption as expressed in their respective charters, or by general laws, unless sooner repealed by the legislature. And domestic insurance companies shall not be required to pay a greater tax in the aggregate than is required to be paid by foreign insurance companies doing business in this state, except to the extent of the excess of their ad valorem tax over the privilege tax imposed upon such foreign companies; and the legislature may impose privilege taxes on building and loan associations in lieu of all other taxes except on their real estate (art. 7, sec. 181).

(3) Limitation of tax exemptions: Power to tax corporations may not be surrendered except to provide exemptions for certain manufactures and other new enterprises :

The power to tax corporations and their property shall never be surrendered or abridged by any contract or grant to which the state or any political sub. division thereof may be a party, except that the legislature may grant exemption from taxation in the encouragement of manufactures and other new enterprises of public utility extending for a period of not exceeding five years, the time of such exemptions to commence from date of chartor, if to a corporation; and if to an individual enterprise, then from the commencement of work; but when the legislature grants such exemptions for a period of five years or less, it shall be done by general laws, which shall distinctly enumerate the classes of manufacturers and other new enterprises of public utility entitled to such exemptions, and shall prescribe the mode and manner in which the right to such exemptions shall be determined (art. 7, sec. 182).

(4) Railroad rolling-stock:

The rolling-stock belonging to any railroad company or corpcration in this state shall be considered personal property and shall be liable to execution and sale as such (art. 7, sec. 185).

(e) Exemptions.-(1) No exemptions from taxation may be granted by special act (art. 4, sec. 90).

(2) The legislature may grant exemption from taxation of mannfactures and other new enterprises (art. 7, sec. 182; see par. A-1-d (3)).


Income taxes are imposed on individuals and corporations.


Estate and inheritance taxes are imposed.


Franchise Taxes are imposed. (See par. B-1-d.)


License taxes are imposed by the State and municipalities.


Poll taxes are imposed (art. 8, sec. 206, par. C-1-c, and art. 12, sec. 243).

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