Minnesotans who order $100 or more of clothing, toys, household supplies and other goods delivered to their door will pay a 50 cent fee starting July 1.
The big pictur e: The retail delivery fee , approved by the DFL-majority Legislature as part of a broader transportation funding law in 2023, is expected to raise about $64 million annually for roads and transit.
- The new tax, sometimes called the “Amazon fee,” doesn’t apply to food — including restaurant meals — nor to medicine, baby products or curbside pickup orders.
- It will be labeled a “Road Improvement and Food Delivery Fee” on receipts.
What they’re saying: DFL Rep. Erin Koegel, one of the law’s authors, has called the fee as a “new and innovative way” of generating more for transportation, arguing that an increased volume of deliveries leads to more wear and tear on roads.
The other side: Minnesota Retailers Association president Bruce Nustad told Axios the fee adds a “layer of complexity” for both sellers and consumers, without raising a game-changing amount of money for infrastructure.