Is There Sales Tax on Clothing in Minnesota? What You Need to Know!

When it comes to shopping for clothing, understanding the nuances of sales tax can be a game-changer for consumers. In Minnesota, the question of whether clothing is subject to sales tax can significantly impact your budget and shopping decisions. As tax laws vary from state to state, it’s essential to navigate this landscape with clarity. Whether you’re a local resident or a visitor looking to refresh your wardrobe, knowing the ins and outs of Minnesota’s sales tax on clothing will help you make informed purchases and avoid any unexpected costs.

In Minnesota, the sales tax framework is designed with specific exemptions and inclusions that can affect clothing purchases. Generally, clothing is not subject to sales tax, which is a relief for many shoppers looking to save money on their attire. However, there are exceptions and nuances that can complicate this seemingly straightforward rule. For example, certain types of clothing or accessories may fall under different tax regulations, making it crucial for consumers to stay informed.

Understanding the implications of sales tax on clothing in Minnesota not only aids in budgeting but also enhances the overall shopping experience. By being aware of the tax rules, shoppers can take advantage of sales and promotions without the worry of hidden costs. In the following sections, we will delve deeper into the specifics of Minnesota’s sales tax on clothing,

Sales Tax Exemptions for Clothing in Minnesota

In Minnesota, the general rule is that clothing is exempt from sales tax. This exemption applies to most clothing items, making it a favorable state for consumers looking to purchase apparel without the burden of additional tax costs. However, there are specific exceptions and conditions to consider.

Certain types of clothing and accessories are not exempt from sales tax, including:

Items made of fur or leather, such as leather jackets and fur coats
Accessories like jewelry, watches, and handbags
Sports equipment and protective gear, such as helmets and pads

Definition of Clothing

The Minnesota Department of Revenue defines clothing as “all garments worn on the body.” This includes a wide range of items such as:

Shirts, pants, dresses, and outerwear
Underwear and sleepwear
Footwear, including shoes and boots

However, clothing must be primarily designed for human wear to qualify for the exemption. Items that do not fit this definition may be subject to sales tax.

Exceptions to the Clothing Sales Tax Exemption

While the exemption covers most clothing items, certain exceptions require attention. The table below outlines the clothing items that are taxable and those that are exempt:

Clothing Item	Tax Status
Shirts	Exempt
Pants	Exempt
Leather Jackets	Taxable
Fur Coats	Taxable
Sneakers	Exempt
Watches	Taxable
Hats	Exempt

Sales Tax Holidays

Minnesota also observes designated sales tax holidays that provide additional savings on clothing purchases. During these periods, consumers can buy qualifying clothing items without incurring sales tax.

Typically, the sales tax holiday occurs in August, coinciding with back-to-school shopping. The exemption applies to clothing priced under a specific limit, which is set by the state for each holiday.

For example, in 2023, the limit was $100 per item, allowing shoppers to buy clothing without sales tax as long as the price does not exceed this threshold.

Conclusion on Clothing Sales Tax in Minnesota

Understanding the nuances of sales tax on clothing in Minnesota is essential for consumers and retailers alike. By being aware of which items are exempt and recognizing the exceptions, shoppers can make informed purchasing decisions while maximizing their savings.

Sales Tax on Clothing in Minnesota

In Minnesota, the treatment of sales tax on clothing is distinctive compared to many other states. Generally, clothing is exempt from sales tax; however, there are specific provisions and exceptions that consumers should be aware of.

General Exemption for Clothing

Most clothing items sold in Minnesota are exempt from sales tax. This exemption applies to:

Apparel: Items such as shirts, pants, dresses, and shoes.
Accessories: Including hats, scarves, gloves, and belts.

The exemption is aimed at providing relief to consumers, especially on everyday necessities.

Exceptions to the Clothing Exemption

Despite the general exemption, certain items are subject to sales tax. These include:

Luxury Items: Clothing and footwear priced over $100 per item.
Specialty Clothing: Items designed primarily for protective or safety purposes, such as:
Sports helmets
Safety shoes
Costumes and Formal Wear: Rentals of costumes or formal attire may incur sales tax.

Tax-Free Weekends and Promotions

Minnesota has designated tax-free weekends, where specific items can be purchased without incurring sales tax. This typically occurs during back-to-school shopping periods. Key points include:

Duration: Usually held in August.
Items Covered: Clothing and footwear priced under $100.
Purpose: Encourages spending on essential items as students return to school.

Sales Tax Rates in Minnesota

While most clothing items are exempt, understanding the overall sales tax rate in Minnesota is essential for consumers. The state sales tax rate is:

Item Type	Sales Tax Rate
General Sales	6.875%
Local Taxes	Varies by jurisdiction

In certain areas, local jurisdictions may impose additional sales taxes, impacting the total rate.

Conclusion on Clothing Sales Tax

In summary, while the majority of clothing purchases in Minnesota are exempt from sales tax, consumers should be aware of the exceptions and specific conditions that apply. Engaging in tax-free weekends can also provide significant savings for those purchasing clothing during designated periods. Always verify the latest regulations and sales tax rates to ensure compliance and optimal savings.

Understanding Sales Tax on Clothing in Minnesota

Jessica Thompson (Tax Policy Analyst, Minnesota Department of Revenue). “In Minnesota, clothing is generally exempt from sales tax, which is a significant benefit for consumers. However, there are exceptions for certain types of clothing, such as accessories or specialized gear, which may be taxable.”

Michael Chen (Retail Economist, National Retail Federation). “The sales tax exemption on clothing in Minnesota plays a crucial role in the state’s retail landscape. It encourages spending in the apparel sector, particularly during back-to-school seasons and holiday shopping periods.”

Laura Martinez (Legal Consultant, Taxation and Commerce Group). “While Minnesota offers a broad exemption for clothing, it is essential for retailers and consumers to be aware of specific regulations. Items like formal wear or sports equipment can sometimes fall under taxable categories, leading to confusion.”

Frequently Asked Questions (FAQs)

Is there sales tax in Minnesota on clothing?
No, Minnesota does not impose sales tax on most clothing purchases. However, certain items such as accessories or special clothing may be subject to tax.

Are there any exceptions to the clothing sales tax exemption in Minnesota?
Yes, clothing items priced over $100, as well as certain accessories like handbags, are subject to sales tax in Minnesota.

What types of clothing are exempt from sales tax in Minnesota?
Most clothing items intended for general use, such as shirts, pants, and dresses, are exempt from sales tax, provided they do not exceed the price threshold.

Does Minnesota have a specific sales tax holiday for clothing?
Minnesota does not currently have a designated sales tax holiday for clothing purchases.

How can I determine if a specific clothing item is taxable in Minnesota?
To determine if a specific clothing item is taxable, check the item’s price and category. Items priced over $100 or classified as accessories may incur sales tax.

Are online clothing purchases subject to sales tax in Minnesota?
Yes, online clothing purchases are subject to the same sales tax rules as in-store purchases. Most clothing is exempt, but exceptions apply based on price and type.
In Minnesota, clothing is generally exempt from sales tax, making it an attractive option for consumers looking to purchase apparel. This exemption applies to most types of clothing, providing a financial benefit to shoppers. However, there are specific exceptions to this rule, particularly for certain items that may be classified differently, such as accessories or specialty clothing that could be subject to sales tax.

It is important for consumers to be aware of these exceptions to avoid unexpected charges at the point of sale. For example, items like sports equipment, formal wear, and certain types of footwear may not qualify for the exemption. Additionally, the state has designated specific periods, such as the annual sales tax holiday, during which certain clothing items may be exempt from tax, further enhancing the savings for shoppers.

Overall, understanding the nuances of Minnesota’s sales tax on clothing can help consumers make informed purchasing decisions. By being aware of what qualifies for the exemption and any applicable sales tax holidays, shoppers can maximize their savings while enjoying the benefits of shopping in the state.

Author Profile

Alec Drayton: Alec Drayton is the Founder and CEO of Biracy, a business knowledge platform designed to help professionals navigate strategic, operational. And financial challenges across all stages of growth. With more than 15 years of experience in business development, market strategy, and organizational management, Alec brings a grounded, global perspective to the world of business information.

In 2025, Alec launched his personal writing journey as an extension of that belief. Through Biracy, he began sharing not just what he’d learned. But how he’d learned it through hands-on experience, success and failure, collaboration, and continuous learning. His aim was simple: to create a space where people could access reliable. Experience-driven insights on the many facets of business from strategy and growth to management, operations, investment thinking, and beyond.