Nonresident Entertainer Tax

Entertainers are individuals who perform acts in Minnesota that amuse, entertain, or inform. Entertainers include – but are not limited to – musicians, singers, dancers, comedians, actors, athletes, and public speakers.

This definition also applies to “entertainment entities,” which include:

• An independent contractor paid for providing entertainment
• A partnership paid for entertainment
• A corporation (including subchapter S) paid for entertainment provided by entertainers who are shareholders

If you (a promoter) hire a nonresident entertainer, you must withhold 2% from gross compensation paid for performances in Minnesota and remit it to the Minnesota Department of Revenue.

Do not withhold this tax if:

• You paid less than $2,000 to a nonresident public speaker
• You paid less than $600 to a nonresident entertainer or entertainment entity
• You receive a completed Form MWR, Reciprocity Exemption/Affidavit of Residency, from a Michigan or North Dakota entertainer or entertainment entity

You must:

• Provide the promoter a completed federal Form W-9 (or Form MWR, Reciprocity Exemption/Affidavit of Residency, if you are a Michigan or North Dakota resident).
• Report your Minnesota earnings for the previous year on Form ETR, Nonresident Entertainer Tax Return, by April 18. Do not file Form ETR if you provided the promoter Form MWR.