Estimated Tax Payments

For Corporation Franchise Tax

You must make quarterly estimated tax payments if your Corporation Franchise Tax liability exceeds $500 for the year.

Due Dates

Estimated franchise tax payments are due on the 15th day of the third, sixth, ninth, and 12th months of the tax year.

Note: This differs slightly from federal estimated payments where the first installment is due in the fourth month of the tax year.

Avoid Additional Charges

To avoid additional charges for underpayment of estimated tax, make payments that total 100% of either the prior or current year’s tax (whichever is less) in equal installments.

There are exceptions:

• For a large corporation with $1 million in taxable net income after apportionment in any of the preceding three years, you must base your estimated payments on the current year’s tax.
• For a unitary group filing a combined return, you must combine your income after apportionment to determine if you are a large corporation, as defined in the previous exception.

How to Pay

Pay your estimated tax electronically by logging into e-Services. You will need your Minnesota tax ID number, password, and banking information.

If you are not required to pay electronically and choose to pay by check, please complete a payment voucher and mail it with your payment.