MN Governor Open to Delivery Tax, Omnibus Nears Finish

Tax would add $0.50 to the cost of online delivery for groceries and retail

May 18, 2023

This week, Minnesota Governor Tim Walz made comments suggesting he’d be open to the inclusion of a delivery tax in the state’s transportation omnibus legislation, adding a fee to all grocery and retail deliveries in the state. The delivery tax proposal has faced widespread opposition from local business groups including the Minnesota Grocers Association, the Minnesota Retailers Association, the Minnesota Chamber of Commerce, and others. 

“The delivery fee is a regressive tax that would take aim at working families with no car or who live in food deserts and depend on grocery delivery,” said Chamber of Progress State and Local Director Kouri Marshall. “There’s no question that this tax will eat a bigger share of the household budget for low-income families than it will for upper-income individuals. We shouldn’t be fixing roads and bridges on the backs of Minnesotans who are struggling to get by.”

In April, Marshall testified before the House Transportation Finance and Policy Committee opposing passage of a delivery fee as part of the state’s transportation omnibus legislation. As a conference committee of lawmakers finalizes the omnibus package, Chamber of Progress has again urged conferees not to include a delivery tax. 


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