Marriage Credit

To qualify for the 2018 credit, all of the following must be true:

• You are married and filing a joint return.
• Both you and your spouse have taxable earned income, taxable pensions, or taxable Social Security income.
• Your joint taxable income is at least $38,000.
• The income of the lesser-earning spouse is at least $23,000.

If you or your spouse is a part-year resident or nonresident, you may claim this credit based on the percentage of Minnesota income from Schedule M1NR, Nonresidents/Part-Year Residents.

Note: Before claiming this credit, review Schedule M1NC, Federal Adjustments, and determine if you must file this schedule. For more information, see Federal Adjustments.

Complete Schedule M1MA, Marriage Credit, to claim this credit and determine your amount. Include Schedule M1MA when filing Form M1, Individual Income Tax.

You must include any “earned income” taxable in Minnesota, including taxable portions of your pensions, annuities, Social Security income, and IRA distributions. Include only earned income that is included in your Minnesota taxable income and meets the Internal Revenue Service’s definition of earned income. If you were required to file Schedule M1NC, you will need to adjust your earned income.

The following types of income are not eligible for the Marriage Credit:

• Voluntary salary deferrals such as 401(k) or similar contributions
• Unemployment compensation benefits
• Interest and dividends
• Alimony and child support
• Nontaxable combat zone pay
• Basic and in-kind quarters and subsistence allowances for the U.S. military
• Meals or lodging provided by an employer for the employer's convenience
• Housing allowance or rental value of a parsonage for clergy
• Nontaxable dependent care benefits
• Voluntary salary reductions, such as those taken under a cafeteria plan
• Railroad Retirement Board benefits
• Rental income
• Taxable scholarship or fellowship grants not reported on Form W-2
• Welfare benefits or workfare payments
• Workers’ compensation
• Veterans benefits, including VA rehabilitation payments
• Earnings for work performed while an inmate at a penal institution

For more information, see Minnesota Statute 290.0675.