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Last Updated: 6/9/2016

Abatement Information

​If you were assessed a penalty by the Minnesota Department of Revenue, you may request an abatement. An abatement is when the department cancels or reduces a penalty because of reasonable cause that prevented you from filing or paying on time.

Note: Interest assessed on tax is generally not abated.

What is “reasonable cause” for an abatement?

A “reasonable cause” is a circumstance that is beyond your control that prevented you from filing or paying on time.

Some examples include:

  • Death or serious illness of the taxpayer (if no one else was able to file or pay tax for the person).
  • Unforeseen disasters (such as severe weather, fire, or flood) that result in loss of your business or business records.

For more information on what is considered “reasonable cause”, see Revenue Notice 97-01, Penalties – Abatements – Policies and Procedures.

When can I request an abatement?

You may request an abatement within 60 days of the date on the first written notice you receive showing the penalty.

What information should I include in my abatement request?

Your abatement request must include the following:

  • Your contact information
  • Your Minnesota Tax ID Number
  • The business’s legal name and address
  • A statement indicating you are requesting an abatement
  • The period you are requesting the abatement on
  • The specific penalties you are requesting be abated
  • A detailed explanation of why you believe reasonable cause exists
  • Any documentation supporting your abatement request

How do I submit my abatement request?

If you are requesting an abatement because you received a bill or a demand to pay letter from the department’s Collection Division, submit your abatement request to the Collection Division. Follow the instructions on the bill or letter when you request the abatement. For more information, see the Collection Division’s abatement page.

If you are requesting an abatement, but did not receive a bill or a demand to pay letter from the department’s Collection Division, submit your written request to the MinnesotaCare Tax Unit by:

  • Fax: 651-556-5233
  • Mail:
    MinnesotaCare Tax Unit
    600 North Robert Street
    Mail Station 6100
    St. Paul, MN  55146-6100
  • e-Services Messages Tab:
    • Select your MinnesotaCare tax account, include “Abatement Request” in the subject line, and attach any supporting documentation. 

How will I know if my abatement request has been granted or denied?

Abatements are granted on a case-by-case basis. We will mail you a letter stating whether we granted or denied your abatement request.

Note: We recommend you pay any tax, penalty, or interest owed while waiting for an abatement request determination. Interest will accrue on any unpaid balance while your abatement request is being reviewed. If we grant your abatement request, we will refund any payment you made for the abated amount.

What happens if my abatement request is denied?

If we deny your abatement request, you have 60 days from the date on the denial letter to appeal our decision. You may appeal to either the department’s Appeals and Legal Services Division or to Minnesota Tax Court. Instructions on how to appeal are provided with the abatement denial letter.