Solar Energy Sales Tax Exemption

Minnesota doesn't charge state sales tax on solar energy systems bought on or after August 1, 2005, including solar electric (PV), solar water heating, and solar space heating systems and all their parts like panels, wiring, pipes, pumps, and racks. To claim it, fill out Minnesota Department of Revenue Form ST3 Certificate of Exemption and give it to your seller. The exemption has no expiration date.

Sales of solar PV, solar water heating, space heating, and other solar thermal systems are exempt from Minnesota sales tax, including components such as panels, wiring, pipes, pumps, and racks, which can lower your customers' upfront cost. Have each buyer complete Department of Revenue Form ST3 Certificate of Exemption, and keep the form in your files for tax reference. The exemption applies to residential, commercial, and industrial customers and does not expire.

This is a state sales tax exemption under M.S. 297A.67, subd. 29, covering solar energy systems purchased on or after August 1, 2005, with no expiration date. It broadly covers devices that collect, convert, and store solar energy for heating, cooling, other energy-using processes, or power generation, including all system components. It is open to residential, commercial, and industrial buyers, who claim it by submitting Form ST3 Certificate of Exemption, which sellers must retain; it works as foregone tax revenue rather than a funded program.