Minnesota does not tax the Frontline Workers Pay. However, it is taxable on your federal return.
Federal Tax Reporting
To add the income to the return, follow these steps:
- Federal Section
- Less Common Income
- Other Income Not Reported Elsewhere
- Choose Other Income and add description of the income
Minnesota Tax reporting
Since you had to add the income to the federal return, you will need to subtract it back off of the state return. To do that, follow these steps:
- State Section
- Edit Minnesota state return
- Subtractions From Income
- Did you receive Payment from the MN Frontline Worker Pay Program? Note: the subtraction will automatically be calculated.
How much is the subtraction?
The subtraction on the state return is $488 for those filing as Single and Head of Household and $976 for those filing as Married Filing Joint. The subtraction amount is automatically calculated. The state will make adjustments as needed and contact taxpayers by mail with any information.