POPULATION: 5,287,976 (2008)

LABOR FORCE: 2,950,942 (2008)

RIGHT TO WORK: No

TRADITIONAL INDUSTRIES: Health and medical services and products, electronic components, forest products, food products, industrial machinery

EXPANDING INDUSTRIES: High-technology manufacturing, including computer system design, scientific instruments, medical devices, and biosciences; business services; financial activities, mining

COLLEGE GRADUATES: (Age 25 and over) 31.5% (2008)

BASIC BUSINESS TAXES:
Corporate Income Tax: Corporations’ rate is 9.8 percent of net taxable income in the state; income is apportioned with sales weighted at 84 percent, and property and payroll weighted at 8 percent each (declining to 100 percent in 2014)

Sales and Use Tax: The general sales and use tax rate is 6.875 percent; special tooling and capital equipment and machinery used by manufacturers are exempt

Property Tax: Personal property, including machinery and inventory, is exempt from property tax; local governments tax all real property not specifically exempted; each property’s assessed value is multiplied by 1.5 percent for the first $150,000 of value and 2.0 percent of any value over $150,000; this new value, or the tax capacity, is multiplied by the local and state property tax rates plus any local referendum rate to determine property tax liability

BUSINESS INCENTIVES:
Job Opportunity Building Zones (JOBZ) (tax-free areas)
Minnesota Investment Fund Program
Minnesota Job Skills Partnership