Department of Revenue announces process for one-time tax rebates

Department of Revenue announces process for one-time tax rebates

The Minnesota Department of Revenue announced today the process to send 2.4 million one-time tax rebate payments to Minnesotans. This rebate was part of the historic 2023 One Minnesota Budget, signed into law by Governor Tim Walz on May 24, 2023.

“This rebate will help millions of Minnesotans pay for everyday expenses such as groceries, school supplies, rent, or childcare,” said Revenue Commissioner Paul Marquart. “We know it will be very valuable to a lot of people, and we look forward to sending payments out in early fall.”

Taxpayers will not apply for this rebate payment. The department will use tax year 2021 individual income tax or property tax refund returns to determine eligibility and distribute these tax rebate payments in the early fall.

Eligible recipients who have not changed their address or banking information from what was on their 2021 income tax or property tax refund returns do not need to take any action.

Taxpayers who are eligible for the rebate and need to update their address or bank information should visit a new online portal at taxrebate.mn.gov to update that information before 5:00 pm CST on Friday, July 28, 2023.

There is no application for the one-time tax rebate payment. Only eligible rebate recipients who need to update their information need to use the secure online portal.

What do taxpayers need to do?

 If You… Then…
Met the eligibility requirements and your bank information or address have not changed since filing your 2021 return You do not need to take any action. We will deposit the refund to your bank account or mail a check to the address on your 2021 return.
Met the eligibility requirements and your bank information or address have changed since filing your 2021 return You will need to update your information with us. Update your information using the secure online portal.
Exceeded the income limits or did not file a 2021 return You do not qualify for this tax refund payment.

When will rebate payments go out?

Eligible recipients of the one-time tax rebate can expect to get their rebate payment in the early fall.

Who is eligible for the one-time tax rebate?

You are eligible if you meet all of the following requirements:

  • You were a Minnesota resident for part or all of 2021
  • You filed one of the following returns by December 31, 2022:
    • 2021 Form M1, Minnesota Individual Income Tax
    • 2021 Form M1PR, Homestead Credit Refund (for Homeowners) and Renter’s Property Tax Refund
  • Your 2021 adjusted gross income (line 1 of Form M1 or Form M1PR) was:
    • $150,000 or less for married joint filers
    • $75,000 or less for all other filers
  • You were not claimed as a dependent on someone else’s 2021 Minnesota income tax return

Taxpayers who died before January 1, 2023, are not eligible.

Visit our website for one-time tax rebate eligibility requirements and additional information.

Where can Minnesotans find more information on other tax-related legislation?

Revenue is reviewing other legislation recently signed into law and is working to update the state tax filing systems to reflect changes made to Minnesota’s tax laws. For more information on other tax law changes, visit the Tax Law Changes page on our website.