"If it's not fun, why do it?" We appreciate ice cream magnate Jerry Greenfield’s famous outlook on life. It’s not quite as happy-go-lucky as it sounds, though. We assume Mr. Greenfield doesn’t enjoy paying taxes any more than you do. But he pays them, because the answers to “why do it?” are “fines” and “imprisonment.”
Most people already know when individual federal tax returns and payments are due: April 15th (unless the 15th falls on a holiday or weekend, in which case the due date is the next business day). But the big Tax Day isn’t the only tax day. If you live in Minnesota, then you should keep a few other important tax days in mind throughout each year.
Minnesota Income Tax
State governments aren’t obligated to share the same tax deadline as the IRS. In some states, filing due dates are in May. The Minnesota Department of Revenue decided to follow the federal government’s example, however, and therefore requires residents to file returns by April 15th of each year.
Do you file by fiscal year in Minnesota? Then your payment and return are due on the 15th day of the fourth month following the end of your fiscal year.
You cannot file for an extension to pay Minnesota state income tax – but there is still grace. So long as you file before October 15th, you will not be charged a late filing penalty (which equals an additional 5 percent fee of tax amounts due, plus whichever other interest and late payment penalties exist). You will still be charged interest, though!
Minnesota S Corporation Tax
Got an S corp in Minnesota? Then you will want to file Form M8, S Corporation Return each year on March 15th. As described earlier, S corp tax due date is the next business day in the event March 15th falls on a weekend or holiday.
Can’t file your Minnesota S corp tax return by March 15th? Then you’re in luck. The state automatically grants six-month extensions on corporate income tax returns. Due date: September 15th. Take caution! September 15th is only the extension deadline to file. You still have to pay by March 15th.
Minnesota Property Tax Refund
It doesn’t matter if you choose to file for a property tax refund in Minnesota electronically or by mail. The due date is always August 15th.
If your property taxes are high relative to your income, then the Minnesota property tax refund (specifically its homestead credit refund component) can provide significant financial relief. Ask your accountant to see if you qualify (well ahead of August 15th, of course).
Take care! Property tax refunds are only available to be claimed within two years. Once August 15th, 2024 hits, the state will exclusively allow refunds for 2022 and 2023. This is different from the IRS and Minnesota Department of Revenue’s stances on income tax, which allow refund reclamation for three years – one year longer than the Minnesota property refund window.
Don’t Worry About Minnesota Tax Deadlines
Want to go about your business and daily life without tax due dates hanging over your head? “Hire a local tax preparation service,” said Jme Hogenson of JH & Associates. “Our Shakopee tax prep firm keeps our clients apprised of all upcoming tax deadlines, including those which only affect Minnesotans. By giving them advance warning of due dates and facilitating their returns and payments, we save them from having to pay fines and interest – in addition to even worse outcomes.”
If you live or do business in the southwest metro, then the Minnesota tax expertise of JH & Associates is at your service. Reach out to Jme today for expert accounting and income tax solutions, as well as full bookkeeping and payroll services for your small business!
(952) 445-5020 | JH.Associates.MN@gmail.com