Subd. 1. Tax imposed.

A person engaged in the business of mining shall pay to the state of Minnesota for distribution as provided in section 298.018 a gross proceeds tax equal to 0.4 percent of the gross proceeds from mining in Minnesota. The tax applies to all ores, metals, and minerals mined, extracted, produced, or refined within the state of Minnesota except for sand, silica sand, gravel, building stone, crushed rock, limestone, granite, dimension granite, dimension stone, horticultural peat, clay, soil, iron ore, and taconite concentrates. The tax is in addition to all other taxes provided for by law.

Subd. 2. Gross proceeds.

For purposes of this section, the term "gross proceeds" means the gross proceeds from mining, as defined in section 298.016.

Subd. 3. Minimum payment.

1. (a) A person who has obtained all required permits to mine all ores and metals, except for sand, silica sand, gravel, building stone, crushed rock, limestone, granite, dimension granite, dimension stone, horticultural peat, clay, soil, iron ore, and iron concentrates, is annually subject to the minimum payment under this subdivision, unless:

   1. (1) the tax imposed on the person under subdivision 1 in a given year is greater than zero;
   2. (2) the person demonstrates to the commissioner of revenue that it is legally prohibited from engaging in the business of mining under a permit it has obtained; or
   3. (3) the mine is in the process of closure, as defined Minnesota Rules, part 6132.0100, subpart 6, and the commissioner of the natural resources determines that the person will no longer engage in mining at the mine.
2. (b) The annual minimum payment under this subdivision is (1) $2,000,000, multiplied by (2) the number of months in a calendar year the individual is subject to the minimum payment under this subdivision, as determined under paragraph (a), divided by 12.