Mn Gambling Statutes
Mn Statute Gambling Assessment

The requirements imposed on nonprofits by statutes administered by the Minnesota Secretary of State and the Minnesota Gambling Control Board (for nonprofits that engage in charitable gambling) are not discussed in this guide. 'Distributor' is a person who sells gambling equipment for use within the state to licensed organizations, or to organizations conducting excluded or exempt activities under section 349.166.

Registered nonprofit organizations may conduct lawful (charitable) gambling such as bingo, pull-tabs, tip boards, and paddle tickets. Some food or bar establishments lease or grant space to these organizations.

These activities are subject to the state’s Lawful Gambling Tax (but not sales tax).

For more information: Youth to adult shoe size conversion.

Mn Gambling Statutes

See Gambling Taxes
Visit the Gambling Control Board website
Call the Gambling Control Board at 651-539-1900

A retail sale is:

The sale, lease, or rental of tangible personal property
The sale of tangible personal property used in conducting lawful gambling under chapter 349 or State Lottery under chapter 349A and is not considered a sale of property for resale

Mn Statute Gambling Assessment

The table below explains when sales tax applies to the sale of gambling devices and equipment.

Question	Is the Item Taxable?	References
Is the rental of electronic gaming devices taxable?	Yes. The lessee is responsible for the sales tax on the rental or lease of the equipment. It does not matter if there is a revenue sharing agreement.	Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are monthly equipment charges taxable?	Yes. The lessee is responsible for the sales tax on the rental or lease of the equipment.	Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are revenue sharing agreements taxable?	Yes. The lessee is responsible for the sales tax on the total sales price of the rental or lease of an electronic gaming device – even when the sales price is separated into various components.	Minnesota Statutes 297A.61, subds. 4(k), 4(l), and 7
Are bingo cards and pull-tabs taxable?	Yes. The retailer is responsible for the sales tax unless an exemption applies – including purchases of digital products.	Minnesota Statutes 297A.61, subds. 3(i) and 7
Are electronic pull-tabs taxable?	Yes. The retailer is responsible for the sales tax unless an exemption applies – including purchases of digital products.	Minnesota Statutes 297A.61, subds. 3(i) and 7
Are apps for electronic gaming devices taxable?	Yes, they are taxable when sold to the distributor.	Minnesota Statutes 297A.61, subds. 3(i) and 7
Is the sale of the software taxable?	Yes, they are taxable when sold to the distributor.	Minnesota Statutes 297A.61, subd. 17
Does local sales and use tax apply when the city also has a local gambling tax?	No. However, Minnesota sales tax (6.875%) still applies.	Minnesota Statutes 349.213, subd. 3
Are purchases of gambling equipment by a 501(c)3 organization with a gambling license taxable?	Yes. These organizations must pay sales tax when they purchase, lease, or rent gambling devices and equipment.	Minnesota Statutes 297A.70, subd. 4 Minnesota Rule 8130.6200, subp. 8

If you have any questions, email us at salesuse.tech@state.mn.us.