This is what MN mandates for state tax (from the newish state laws):
Residential property rental facilitated by an accommodations intermediary
An accommodations intermediary that facilitates the sale of the short-term rental of
residential property located in Minnesota must register as a retailer to collect, report, and
remit the taxes on the full sales price of lodging and related services. This is true
regardless of the location of either the person renting the lodging or the accommodations
intermediary (whether located in Minnesota or not, and whether located in the same local
jurisdiction as the property or not).
Facilitating the sale of lodging includes "brokering, coordinating, or in any way
arranging for the purchase of or the right to use accommodations by a customer." Thus,
facilitating the sale of lodging includes collecting receipts from the customer of the
lodging and transmitting the receipts to the owner of the residential property, whether this
is done directly by the intermediary or indirectly through agreements or arrangements
with third parties, and whether or not the accommodations intermediary deducts or causes
to be deducted any fees or other amounts from those receipts.
Facilitating the sale of lodging does not include mere advertising of the availability of
the residential property for short-term rental, which directs the customer of the lodging to
contact the owner of the property to reserve and purchase the lodging.
If you'd like to read the complete document simply do a web search for MN short term rental tax.
Of course Mpls most likely has city taxes as well. We called the city (of St. Paul) with numerous questions when we learned of the license requirement and they were very helpful so we recommend doing the same for your city.
Best,
Pandora & Carl
