Minnesota Tax Credits

Child Tax Credit

Taxpayers may qualify for a Child Tax Credit of $1,750 per qualifying child , with no limit on the number of children claimed. This is a refundable credit, which means you can receive a refund even if you do not owe tax. However, you must file an individual income tax return in order to claim the credit. 

Beginning with tax year 2024, you can also receive part of your Child Tax Credit for the next year in three advance payments before you file your next income tax return.

Working Family Credit

The Working Family Credit (WFC) gives tax relief to individuals whose income is below a certain level. The credit can reduce the tax you owe and provide you with a tax refund.

K-12 Education Credits

​Minnesota has two tax relief programs for families with children in kindergarten through 12th grade: the K-12 Education Subtraction and the K-12 Education Credit. Both programs help lower taxes and may provide a larger refund.

Property Tax Refunds for Homeowners and Renters

Minnesota has two property tax relief programs for homeowners and renters: the Homestead Credit Refund (for Homeowners) and the Renter’s Credit. Both programs can provide relief to property taxes paid. 

Homeowners

Minnesota home owners may qualify for the state’s Homestead Credit Refund. The refund provides property tax relief based on your income and property taxes.

Renters

Starting this tax season, renters who are eligible for a property tax refund will claim the new Renter’s Credit on their Minnesota return. To claim the Renter’s Credit, renters must file a state income tax return. The Renter’s Credit will be part of their income tax refund amount, be applied to the amount owed on their income tax return, or be applied to other debts referred to the Minnesota Department of Revenue.