If your family member died while serving on active duty in the U.S. or United Nations Armed Forces, Minnesota forgives their income tax. Their income is not taxed in the year of death, and any unpaid tax debts or penalties from prior years when they were on active duty are forgiven. Heirs can also claim a refund of income tax the service member paid while serving.
Contact the Minnesota Department of Revenue to have the tax forgiven and to file a refund claim for tax already paid. A County or Tribal Veterans Service Officer can help you put the paperwork together.
The death certificate or DD1300 report of casualty, the service member’s active duty orders, and copies of the returns you are claiming against.
