Saint Paul Sales Tax Guide 2025 (Minnesota)
Saint Paul, MN, implements sales tax and local option sales tax to fund city infrastructure and services, including development along Grand Avenue. Businesses must complete sales tax registration through the Minnesota Department of Revenue to comply with tax regulations. Both local sales tax and use tax policies help support the city’s economic growth and public projects. This guide provides essential insights into local tax rates, exemptions and Minnesota sales tax laws, helping you stay compliant and avoid penalties for smooth business operations.
Saint Paul MN Sales Tax Rate (Minnesota)
The total sales tax rate in Saint Paul, MN, is 9.88%, which includes the state sales tax, a city tax and a county tax of 0.5%. Here's the breakdown.
| Jurisdiction | Sales tax rate |
|---|---|
| State Tax | 6.88% |
| County Tax | 0.0% |
| City Tax | 1.5% |
| Special Tax | 1.5% |
| Combined Tax | 9.88% |
Saint Paul Sales Tax Calculator
A Saint Paul sales tax calculator helps businesses calculate the total tax due on sales by applying the 9.88% combined tax rate. This rate includes the 6.88% state tax, 1.5% city tax, and 1.5% special tax, with no county tax. Using sales tax calculator tools and tax rate lookup features ensures accurate tax application and compliance with Minnesota's sales tax regulations.
Scenario: A retailer in Saint Paul, MN, sells an item priced at $2,500. The total sales tax rate is 9.88%.
- State Tax (6.88%) = $2,500 × 6.88% = $172.00
- County Tax (0%) = No county tax applies.
- City Tax (1.5%) = $2,500 × 1.5% = $37.50
- Special Tax (1.5%) = $2,500 × 1.5% = $37.50
- Total Combined Tax = $172.00 + $37.50 + $37.50 = $247.00
Final Total Price = $2,500 + $247.00 = $2,747.00
By using a sales tax calculator and tax rate lookup tools, retailers in Saint Paul can ensure compliance by correctly calculating and applying the sales tax on their transactions.
FAQs
What is sales tax in Saint Paul?
As of April 1, 2024, Saint Paul, Minnesota, imposes a total sales tax rate of 9.875% or 9.88%, which includes the state sales tax of 6.875%, a city sales tax of 1.5%, and a special district tax of 1.5%.
How much is sales tax in Minnesota?
The statewide sales tax rate in Minnesota is 6.875%. Local jurisdictions may impose additional sales taxes, leading to varying total sales tax rates across the state.
What is not taxed in Minnesota?
In Minnesota, certain items are exempt from sales tax, including clothing, most food items, and prescription medications. However, prepared foods, candy, and soft drinks are taxable.
How much is liquor tax in St. Paul, MN?
In Saint Paul, alcoholic beverages are subject to the state general sales tax of 6.875%, an additional 2.5% liquor gross receipts tax, and any applicable local taxes. This results in a combined tax rate of at least 9.375% on liquor sales, not including potential local taxes.
Who Needs to Collect Sales Tax in Saint Paul?
Sales tax collection in Saint Paul is required for businesses that meet the following criteria:
1. Physical Presence: Businesses with a store, office, warehouse, or employee in Saint Paul.
2. Economic Nexus: Out-of-state businesses exceeding $100,000 in Minnesota.
Not sure if your business meets these criteria? Kintsugi’s Nexus Analysis Tool can help you determine your sales tax obligations.
What Is Taxable in Saint Paul?
In Saint Paul, Minnesota, sales tax applies to:
1. Tangible personal property (e.g., electronics, clothing, furniture).
2. Certain services.
There are also exemptions for items like General Clothing, Grocery Food, Machinery, Raw Materials, Utilities & Fuel, Medical Devices, Medicines, Newspapers, General Occasional Sales, Motor Vehicles Occasional Sales, General Optional Maintenance Contracts, General Trade-Ins. Ensure you check with your state’s tax authority or consult Kintsugi for clarity.
How to File Sales Tax in Saint Paul
Here’s a step-by-step guide for filing your sales tax returns:
1. Register Your Business: Get a sales tax permit through the https://www.revenue.state.mn.us/sales-and-use-tax.
2. Collect Sales Tax: Accurately calculate sales tax on taxable transactions.
3. File and Pay: Submit sales tax returns through https://www.revenue.state.mn.us/sales-and-use-tax by the [state-specific deadline]—monthly, quarterly, or annually depending on your sales volume.
Kintsugi’s Automated Filing Service streamlines the process, ensuring accuracy and timeliness.
Common Challenges in Sales Tax Compliance
Businesses in Saint Paul often face these issues:
1. Tracking tax rate changes for city, county, and special districts.
2. Managing exemptions and resale certificates.
3. Reconciling returns for accurate filing.
Kintsugi’s AI-Driven Compliance Solution takes the guesswork out of sales tax, handling rate calculations, exemption management, and filing across all jurisdictions.
Why Choose Kintsugi for Sales Tax Compliance?
Kintsugi is more than a software solution—we’re your trusted partner in sales tax compliance. Here’s how we help:
1. Real-Time Rate Calculation across billing, payments, and e-commerce platforms.
2. Nexus Tracking to identify where you need to register and collect tax.
3. Automated Filing to save time and reduce errors.
4. Audit Support to give you peace of mind.
A direct-to-consumer brand, recovered over $200K in overpaid sales tax within their first month of switching to Kintsugi. Your business could be next.
Ready to Simplify Sales Tax Compliance in Saint Paul?
With Kintsugi, managing sales tax is effortless. Whether you're just starting out or scaling across multiple states, we have the tools to help you stay compliant and grow with confidence.
Let’s connect & discuss your needs
Find Sales Tax Information for Other Cities in Minnesota
Looking for sales tax rates and compliance details for other cities in Minnesota? Check out our comprehensive table of sales tax information for cities across the state in the table below
| City | Sales tax rate |
|---|---|
| Stillwater | 8.38% |
| Taylors Falls | 7.38% |
| Vermillion | 8.12% |
| Warsaw | 7.38% |
| Webster | 8.38% |
| Welch | 8.12% |
| Willernie | 8.38% |
| Wyoming | 8.12% |
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