Debtors who repeatedly fail to pay the following taxes by the due date are subject to a 25 percent repeat penalty:
- Sales
- Withholding
- Lawful gambling
- Cigarette and tobacco
- Liquor
- Solid waste management (SWMT)
- Dry cleaner
View the statute (Minnesota Statutes, section 289A.60, subdivision 5a).
A pattern of repeated failures during the previous 25 months where a debtor did not pay taxes by the due date for the same tax type on at least three different occasions that resulted in three delinquencies will result in a warning. The department will apply the penalty on the next delinquency.
