Latest news with #MinnesotaDepartmentofRevenue
CBS News
01-08-2025
- Business
- CBS News
Advance payments of Minnesota's child tax credit begin. Here's what you need to know.
Nearly 18,000 Minnesota families are receiving a portion of the state's child tax credit starting this week. It's the first of three advance payments of what's touted as a nation-leading benefit aimed at reducing child poverty. The average direct deposit or check is nearly $450 and the state will send the other two payments at the end of September and November. "I think for many families, this is going to be a game changer," said Paul Marquart, commissioner of the Minnesota Department of Revenue. Tax filers could choose to opt in for advance payments earlier this year and those who did will receive the rest of the credit — which totals up to $1,750 per child — next spring. The amount families receive depends on their family size and household income. Higher wages mean a smaller credit. Around 220,000 received the 2024 credit when filing their returns this year, according to department data. Getting to cash in on part of the 2025 tax credit nine months earlier than tax season begins is a feature the Minnesota Legislature approved last year. It is similar to a move by the federal government when millions of families received six monthly payments of $250 to $300 per kid from July to December 2021. The money amounted to half of the child tax credit authorized by the American Rescue Plan, a COVID-19 relief package. Minnesota is the first of the 17 states with its own child tax credits to implement advance payments, Marquart said. "We know that if we can do that, it just enhances the flexibility and increases the likelihood that you're going to have a reduction in child poverty," he told WCCO in an interview. A recent study looking at the impact of cash assistance to poor families, reported by The New York Times this week, found that years of monthly payments of around $330 did not boost child well-being and the children whose families received the money in the experiment didn't fare better than those that did not see the extra funds. Marquart said he hadn't seen the study, but Minnesota plans to chart the tax credit program's impact and keep tabs on if it's meeting its intended goals. The state has been working with Columbia University, which initially estimated Minnesota's credit would slash poverty by one-third, and has also approached the University of Notre Dame for a study, too. "This is a significant investment. It's a significant priority for the state of Minnesota, and we need to be accountable as we're administering this program," he said. In December, LeAndra Estis, who lives in St. Paul, told WCCO having the boost to her family budget because of the refundable tax credit is a huge relief as she tries to make ends meet for her family. She is excited about the advance payments and is among those who opted in. "It's good to have that back end of government assistance, but the reality of the programs are really to graduate you and help you to become self-sufficient, and the Minnesota tax credit — It's just another way of helping people to be self-sufficient," Estis said. But advance payments aren't for everyone: choosing this option could count against a family's SNAP benefits. Taking the lump sum at tax time does not have the same effect. The state launched an online calculator next month for SNAP recipients to see if it impacts them. That's part of the reason Marquart believes only 8% of Minnesotans who qualify for the child tax credit chose to get a portion of it earlier, but he said he thinks that number will grow with time. There are income limits in order to qualify for some of or the full $1,750 child tax credit in Minnesota. To get the maximum refund, income cannot exceed $29,500 for a single filer or $35,000 for married couples filing jointly. The credit phases out completely for families with one child if their annual income is $54,534. But the threshold for the full phase-out increases with more children. For example, a couple with four children would still receive part of that credit if they make $90,000 a year.
Yahoo
16-04-2025
- Business
- Yahoo
Interim assessor resigns; county still searching for new full-time assessor
Apr. 16—The Freeborn County Board of Commissioners on Tuesday accepted the resignation of Interim County Assessor Candice Lahann, about a month after the board brought her back for the role. In the interim role, Lahann has worked mainly in the evenings and on weekends but was still expected to supervise and monitor what is going on with the office. Before that, the county had been working with a county assessor in Houston County for interim services. The county has been without a permanent assessor since Oct. 16 after Lahann initially resigned after eight months in the position for a new opportunity in Olmsted County. State law requires counties to fill the position within 90 days, but the county thus far has been unable to find a qualified replacement. County Administrator Melanie Aeschliman said the county has already had a 90-day extension from the state to fill the position and has been approved for another 60-day extension. She said one of the challenges the county faces in filling the position is that the state requires county assessors to have a Senior Accredited Minnesota Assessor certification and does not allow a person to obtain that while in the role. Assessors with at least five years of assessment experience who hold an Accredited Minnesota Assessor license and complete the appropriate courses may obtain a SAMA license. A person with a SAMA license can perform all duties required in the classification and appraisal of real and personal property for property tax purposes, according to the Minnesota Department of Revenue. The county is in its second round with DDA Human Resources Inc. to help recruit for the job. Aeschliman said the county is dedicated to filling the position. Lahann's resignation is effective May 6.
Yahoo
28-03-2025
- Business
- Yahoo
E-bike rebate for Minnesotans could be a lottery system in 2025
The Brief A new bill would create a lottery system for Minnesota's e-bike rebate program in 2025. The 2024 version of the program crashed the state's website for applications due to overwhelming demand, leaving several Minnesotans who were interested in securing one frustrated. In total, the state hopes to dole out $2 million in rebates to help people defray the costs of a new or used e-bike. ST. PAUL, Minn. (FOX 9) - Following an e-bike rebate program that crashed the state's system in 2024 – leading to cries from the public about the process being unfair – state officials could switch to a lottery system in 2025. What we know Under H.F. 2249, authored by Rep. Lucy Rehm (DFL-Chanhassen), beginning on July 1, 2025 – and on July 1 each year after – a commissioner would allocate rebate certificates on a lottery basis, totaling up to $2 million annually. How it works As part of a person's application for the lottery, they will need to include proof of their gross income. After a submission is complete, they will be issued a rebate certificate stating the percentage and maximum rebate for which they are eligible. Under the proposal, the commissioner would reserve 40% of rebate certificates for a married taxpayer filing a joint return with a gross income of less than $78,000, or any other filer with an adjusted gross income of less than $41,000. For a married taxpayer filing a joint return, each spouse could apply separately, and could be eligible for their own certificate. Any remaining funds not doled out by Sept. 30, 2025, would then become available for additional applicants beginning on Oct. 1, 2025. Dig deeper With each rebate, the state will cover 50-75% of a qualifying $1,500 purchase, depending on the prescribed income thresholds. Any Minnesota resident over the age of 15, who was not claimed as a dependent on 2023 tax forms, is eligible to apply. The backstory The first round of e-bike rebates for Minnesotans in 2024 didn't go as for the 2024 program were initially set to open on June 5, 2024, but shortly after the 11 a.m. opening, the Minnesota Department of Revenue's website crashed due to overwhelming demand. At the time, the department said it would work to identify anyone who successfully submitted an application and let them know their application was received. However, officials then backtracked to say that fewer than 80 applications were successfully submitted in the hours before the site shut down. A second round of applications opened at 11 a.m. on July 2, with those accepted taking turns in a virtual waiting room before accessing an application. The department said the system aimed to control the surge of users, similar to what major sports teams or concerts use when selling a limited number of tickets. However, it was again plagued by system failures, with potential applicants complaining of stalls, and the waiting room being filled up in mere minutes. The new lottery system aims to make the 2025 version much smoother. The department estimates awarding around 1,300 rebate certificates in total. What's next To keep tabs on how it went, the bill also requires a report from the Department of Revenue to the legislature by Jan. 15, 2026. However, it will still face several committee hearings before potentially being enacted. The Source FOX 9 coverage of the House Transportation Finance and Policy Committee on March 26, 2025.
CBS News
25-02-2025
- Business
- CBS News
Where's my tax refund in Minnesota? Here's where to check.
Tax season is underway, and Minnesotans who have filed may be eager to know the status of their state refund. The Minnesota Department of Revenue has a website available for all taxpayers who have filed with the state to check where their refund is. Anyone using the system must know their social security number, date of birth and exact refund amount, and it must match what's on the return. Officials say a refund may take longer to process if a return is mailed, if an individual doesn't choose direct deposit, if there are errors on a return or if a return is identified for additional review. Tax refund information is updated every weeknight by the state. The deadline to file taxes is April 15. Click here for the status of Minnesota tax refunds. Anyone can check the status of their federal tax refund on the Internal Revenue Service's website. Americans are expected to file about 140 million returns in 2025. Last year, about two-thirds of taxpayers got a refund, with the average check at about $3,100, according to IRS data. Note: The above video first aired on Feb. 4, 2025.
Yahoo
20-02-2025
- Business
- Yahoo
East Grand Forks approves game plan for arena improvements
Feb. 19—EAST GRAND FORKS — The East Grand Forks City Council formally approved its plans for the use of sales tax funds during its meeting Tuesday night. Following the approval of a 1%, 20-year sales tax by East Grand Forks residents in November. The council previously approved the ordinance that would actually implement the sales tax, but as part of the process of giving the Minnesota Department of Revenue information to begin collection of the tax, a formal decision has to be made by the City Council on the projects and use of sales tax. "One of the documents the Department of Revenue asked for was minutes from the council that you had formally approved the project," City Administrator Reid Huttunen said. "Going back through all of the resolutions you've passed in the prior couple of years all speak to this project, but hadn't formally put this plan as presented at previous work sessions in front of you for approval." Discussions for the improvements of the VFW Memorial and Civic Center arenas have been around since 2018 . However, between delays from the pandemic, and the Legislature putting a moratorium on local sales taxes, the city wasn't given the approval to have a vote until 2023 for a vote in 2024. The facilities need several million dollars in improvements to maintain current operation levels. The council did review the proposed improvements during a work session in September, but this formality ensures that the city continues on the path for the tax being in force in July. According to 2023 estimates, the tax will generate around $22 million over the course of the next two decades. Council members also reported back on their experiences at the latest legislative action day of the Coalition of Greater Minnesota Cities. Council members Dale Helms and Brian Larson, along with Mayor Mark Olstad, Economic Development Director Maggie Brockling and Huttunen went to St. Paul last week to visit with legislators on priorities for cities not in the seven-county metro area. "That was my first time going and it was quite an experience," Helms said. "I learned a few things, but I have to say I didn't come back with real hope on a lot of stuff because the state is pretty much, I think, a mess." The start of the 94th legislative session has few, if any, historical comparisons in modern history. Even though the session began on Jan. 14, the House of Representatives only convened officially for the first time two weeks ago following court cases of what constitutes a quorum and candidate residency. The Minnesota Senate too was tied for a period of time and only recently returned to full membership with the Democratic-Farmer-Labor party continuing its one-seat majority. The state's budget will also be tight this year with a projected deficit being discussed. However, there could be movement on expanding eligibility for the border-cities enterprise zone program which gives the city resources to be competitive with North Dakota. "Moorhead has taken the lead on introducing that bill, but we'll be right there along with them to support that," Huttunen said. "I think there is some positive traction to it this year." In other news, the council: * Approved to continue leasing space out of the East Grand Forks Parks and Recreation Workshop to the Minnesota Department of Public Safety, Driver, and Vehicle Services for conducting driver's license road tests. The lease will last another two years until 2027 for $1,300 a year. * Approved special event permits for the Grand Forks 10, a race occurring in August, and for the Scheels Boundary Battle Catfish Tournament to occur in June.
