Effective January 1, 2021, the Minnesota Department of Revenue will administer the Nobles County 0.5% transit sales and use tax.
Changes to the sales and use tax rate will apply to sales made on or after January 1, 2021 (in addition to all other taxes in effect). Local sales tax applies to retail sales made and taxable services provided within the local taxing area (county/city limits). The tax applies to the same items that are taxable under the Minnesota sales and use tax law.
Purchase Orders entered prior to January 1, 2021
Agencies that enter purchase orders prior to the January 1, 2021 tax effective date will have the old rate calculated, and they will need to update their purchase orders.
Purchase Orders entered on or after January 1, 2021
Agencies that enter purchase orders on or after January 1, 2021 will calculate the new tax rates for each county/city. Existing purchase orders and/or their vouchers will need to be adjusted to pay the correct tax if delivery occurs after various dates. Please note that the dates will be different, based on whether goods or construction materials are being delivered. Check the tax notice for the affected city for the correct dates.
For assistance in changing the sales tax on a purchase order, please consult the Update Sales Tax Settings on Purchase Orders Quick Reference Guide.
Impact of New Local Tax
Please see the Minnesota Department of Revenue tax notice for the appropriate city or county for guidance in handling purchase orders and payments during the transition period.
Impact on Accounts Payable
• If the Invoice Date is on or after the tax effective date, vouchers entered in SWIFT on or after the tax effective date will calculate the new tax rates for each county/city.
• If the Invoice Date is before the tax effective date, SWIFT will exclude the new tax rates.
Please review the tax calculation carefully prior to payment on all vouchers with Ship To locations within these jurisdictions.
Impact on Purchase Orders
SWIFT will be updated with the new tax codes for all existing Ship To addresses located in the affected cities.
• New purchase orders created on or after January 1, 2021 will calculate the new rate of tax for the ship to addresses within those counties/cities.
• Existing purchase orders may or may not need to have the tax code updated on the PO if the payment can be processed during any allowed grace period(s)—again, see the general notice for each county/city.
Previously, any Ship To addresses in affected cities may have used the tax code of 0000, State Tax only. To calculate the new combined rate, state and local tax rate, the tax code(s) on the purchase order must be updated to the new tax code(s) from the 0000 tax code. Because of the various transition rules, these codes will not be updated by SWIFT and must be updated by the purchase order buyer.
This Week's FAQ: Blocked Status on Reports
Question: I'm running a report in SWIFT but it shows a 'Blocked' status. What does this Blocked status mean?
Answer: Reports may run to a Blocked status when too many reports are run at the same time in SWIFT. If a report is Blocked, you will not need to rerun the report, because the reporting process is just waiting for resources to become available in SWIFT and will run at a later time.
The SWIFT training team is offering online training through webinars, one-on-one sessions, and video tutorials.
To find and enroll in SWIFT webinars, open the Self Service or Administrative Portal and select the ELM tile. On the Learning Management page, select Find Learning on the left menu. On the Find Learning page, enter “SWIFT” in the Description field and choose Search. Seats are available in the following webinars:
|
Webinar |
Date |
Time |
|
Introduction to SWIFT: Navigation |
December 16, 2020 |
9:30 am to 11:30 am |
|
Introduction to SWIFT: Reporting |
December 23, 2020 |
9:30 am to 11:30 am |
You can find reference guides on all modules in SWIFT on the Training Guides and Resources page.
Contact the SWIFT Help Desk for any questions, concerns or issues you have with SWIFT:
651-201-8100, option 2 or by email SWIFTHelpDesk.MMB@state.mn.us Hours: 7:30 a.m. to 4:00 p.m., Monday through Friday; closed holidays. When emailing the SWIFT Help Desk, be sure to include all details regarding the issue.
Information to include with your message:
The SWIFT Update is sent to the SWIFT Newsletter subscription list. Use the links at the bottom of the page to subscribe or unsubscribe to the SWIFT Newsletter subscription list.
