New Minnesota Delivery Fee Begins July 1st.

ST. PAUL (WJON News) - Retailers across Minnesota preparing for a new delivery fee that will be assessed starting in July.

A Retail Delivery Fee of $0.50 will be applied to certain retail delivery transactions starting July 1st. The $0.50 fee will be added to the bill for personal property or clothing orders equaling more than $100 and delivered to a Minnesota address.

Get our free mobile app

The fee will be assessed on the total order if over $100, not each product or the number of shipments made to satisfy the order. Here’s how the fee would be applied:

Graph: Minnesota Department of Revenue

According to the fact sheet from the Minnesota Department of Revenue, the Retail Delivery Fee does not apply to:

Deliveries to a purchaser that is exempt from sales tax
Deliveries by motor vehicles with permits issued under Minnesota Statutes, Chapter 169 or 221
Deliveries by a food and beverage service establishment, whether made by a third-party delivery service or the actual establishment
Purchases picked up at the retailer’s business location, including curbside delivery
Deliveries to locations outside of Minnesota

Drugs, medical devices, and food products are exempt.

Officials say the fee is expected to generate more than $60 million in revenue to help local governments repair roads and bridges.

The Minnesota Department of Revenue has published a Fact Sheet about the new Retail Delivery Fee. Find it by clicking here.