ST. PAUL, MN-A plan that would reduce business property taxes by 15% and simplify Minnesota's complex commercial-industrial property tax system has won the support of the Minnesota Chamber of Commerce. The plan, recently unveiled in the Minnesota House of Representatives, will increase the competitiveness and growth potential for all businesses throughout Minnesota, the chamber says.

Besides property tax reform and relief, the plan would also restructure the corporate income tax; eliminate the provider, premium and HMO health care taxes; reduce the solidwaste management tax and convert the sales tax on capital equipment used in manufacturing to an up-front exemption.

The House property tax reform proposal plan reduces the number of major, non-farm property tax classifications from six to three, including a single classification rate on all homestead properties. In addition, the plan reduces the property tax disparity between business property and homestead property, and establishes a new statewide business property tax.