MN Department of Revenue

Businesses that pay a local sales and use tax, including those in International Falls, will have a grace period, as the state continues to respond to COVID-19.

The Minnesota Department of Revenue has given businesses that pay sales and use tax a grace period for businesses identified in Gov. Tim Walz' Executive Order 20-04.

The department will not assess penalties or interest as follows:

  • Identified businesses with a monthly sales and use tax payment due March 20, will now have until May 20 to make that payment.
  • Identified businesses with a monthly or quarterly sales and use tax payment due April 20, will now have until May 20 to make that payment.

These businesses should still file their returns by the due dates but do not have to make payments until May 20. There is no grace period to make the sales and use tax payment for April sales and use tax - the payment and the return will remain due on May 20.

International Falls Administrator Ken Anderson said the action will relate to the local sales and use tax proceeds received here.

He said the Minnesota Department of Revenue, or DOR, collects the local sales and use taxes with the state sales taxes that are due.

"The DOR disburses sales tax proceeds to us in aggregate for all payments made by businesses to the state on a monthly, quarterly, or annual basis," he said. "We are paid once about five days after the end of each month and then receive a final reconciling payment about five weeks after the end of the same month."

Revenue Commissioner Cynthia Bauerly said state officials want to find ways to help Minnesota taxpayers as much as possible during these uncertain times

“In addition to giving impacted taxpayers more time to pay their taxes, we want businesses to also consider the various state and federal disaster assistance programs that are now available," she said.

More information about state and federal resources available to businesses can be found on the Minnesota Department of Employment and Economic Development website.

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