Filing Returns and Recordkeeping

When filing your return, you must report all sales tax collected and use tax you owe. If you do not file your return, we may:

• File a return for you based on information available and may include interest and penalties.
• Start collection action if we determine additional tax, interest, and penalty is due.
• Revoke your business or professional license or block its renewal.
• Put you on the Cannabis Posting.

Filing Returns

When filing your return, you must report all tax collected, including sales tax, Cannabis Tax, and any applicable local taxes, on your Sales and Use Tax return.

You must be registered for Sales and Use Tax to collect and report taxes. If you are not registered for Sales and Use Tax, you must call Business Registration at the Minnesota Department of Revenue at 651-282-5225 or 1-800-657-3605 (toll-free).

Filing Frequency

Your filing frequency depends on your monthly Sales and Use Tax liability. See Filing Information.

Due Dates

You may not receive a notice to file your return or pay your tax so it’s important to remember the return due date. For a list of due dates, see Sales Tax Return Filing Due Dates.

Recordkeeping

It is important to keep good records to determine the correct amount of state and local tax you owe.
Your records should include:

• Bills, receipts, invoices, cash register tapes, and any other documents that support the entries in your books
• Exemption certificates
• Shipping documents
• Worksheets used to prepare your tax returns

Penalties and Interest

If you do not file or pay your taxes on time, you may owe penalties and interest. See Penalties and Interest for Businesses.

Sales Suppression Devices

A sales suppression device, zapper, phantom-ware, or similar device is a software program that falsifies electronic records of cash registers or creates a second set of transaction records.

If you knowingly use a suppression device, you may be subject to:

• Felony criminal penalties, including imprisonment for up to 5 years, a fine up to $10,000, or both
• Forfeiture of the sales suppression device, which is considered contraband