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Last Updated: 9/7/2017

Voluntary Compliance Program - Individual Income Tax

This program helps qualifying individuals with back taxes calculate and pay what they owe while possibly limiting some penalties by the Department of Revenue. If you have unpaid Minnesota income taxes, we will work with you to settle your tax debt under a negotiated agreement.
 
You can contact us anonymously to find out if the Voluntary Compliance Program is right for you. We will not try to identify you while you check into the program. If you decide to apply for the program, you must do so in writing, as outlined below.
 

Why should I participate in this program?

If you qualify, the program offers a chance to get current on your tax obligations. Other benefits include:
  • We may reduce or waive some penalties, depending on your situation.
  • We may agree to limit how far back we can audit your records and assess tax, penalty and interest for unfiled returns.

How do I know if I qualify for the program?

You can participate in this program only if all of the following are true:
  • You have a filing obligation for Minnesota individual income tax.
  • You aren’t already under review for nonpayment of Minnesota income tax.
  • You don’t owe any other Minnesota back taxes.
  • You agree to supply records, when requested, to verify the amount you owe and the accuracy of your statements to us.
  • You agree to file returns and to pay the taxes you owe – along with penalties and interest that apply – as specified in our agreement.
Note: You will be disqualified and the agreement broken if you misrepresent the facts of your situation to us or don’t comply with the terms of the agreement.
 

Application Process

To apply, you must make a written request. To stay anonymous while making a formal application, you may want to have a tax preparer, accountant, or lawyer do it for you. (However, you will have to identify yourself once an agreement is completed.)
 
Your request letter must contain the following information:
  • Whether we’ve already contacted you for an audit.
  • A description of why you owe state income tax, and why you’ve not filed the tax returns.
  • An estimate of how much you owe for the years you were required to file.
  • Your state of residence.
  • How many days you spent in Minnesota for each year in question.

Confidentiality

The Department of Revenue will keep the agreement, its terms and conditions confidential. The only exception is when disclosure is required under exchange of information agreements with other government agencies or tax authorities.
 
Contact Information:
 
Voluntary Compliance Program
Attn: Tammi Campbell
Minnesota Department of Revenue
Mail Station 5410
St. Paul, MN 55146-5410
Phone: 651-556-6713 

For more information on penalties, see Penalty Information for Individuals.