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Form Instructions 1040 (Schedule C) Minnesota: What You Should Know

Of Minnesota taxable income from Minnesota Source. For 2024 and earlier, the margin is calculated on the gross income from Minnesota Source, but no Minnesota source deduction is allowed unless the total is a specified itemized deduction (e.g., home office deduction).  2038, 2040, or 2041: 10%. For 2024 and later years, the margin is calculated on the gross income from Minnesota source, with no Minnesota source deduction. If you have income or an estate whose sources exceed the margin for Minnesota in any year, then the Minnesota tax is not due on that income. Minnesota Margin for Federal Income Taxes A Minnesota tax is only due to the Minnesota Margin for Federal Income Tax.

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