Minnesota tax rebate checks: Some one-time payments being reissued next week

Thousands of one-time tax rebate checks that are being reissued after they went uncashed and have since expired will be mailed out soon, the Minnesota Department of Revenue says.

The department will reissue more than 128,000 one-time tax rebate checks after they were issued in November and December 2023. The checks will be mailed out starting next week, and should wrap up by mid-March.

These new checks will be sent from the State of Minnesota, unlike the previous checks that were mailed out by a company in Montana and kind of looked like junk mail.

The rebate check is not taxable on your Minnesota income tax return. However, it is taxable on your federal tax return, so you'll be sent a Form 1099-MISC to use when filing your 2023 income taxes.

If you think you're eligible for a rebate check but don't receive one by May 1, you should contact the Minnesota Department of Revenue at 651-556-3000. 

The tax rebates, adding up to about $1 billion, are part of legislation signed by Democratic Gov. Tim Walz in May 2023 to return a portion of a projected $17.6 billion budget surplus to taxpayers. He previously said at a news conference the aim of the rebates and the rest of the package was to "make life more affordable for middle-class Minnesotans."

Payments of $260 went to individuals whose adjusted gross income in 2021 was $75,000 or less. Married couples who file jointly and had adjusted gross incomes of $150,000 or less got $520. Eligible families also got another $260 per dependent, up to three, for a maximum of $1,300.