IRS Reports Larger Refunds in 2026 Filing SeasonThe Internal Revenue Service reported that average tax refunds for the 2026 filing season are more than 10% higher compared with the same period last year. Through February 27, the agency had received about 51.5 million individual returns and processed 50.9 million, slightly fewer than the prior year. [...]

2025 Business Return Filing Deadline Approaching for S-Corps and PartnershipsThe March 15 deadline is an important filing milestone for pass-through entities such as S corporations and partnerships. For calendar-year filers, these entities must submit their federal informational returns—Form 1120-S for S-Corps and Form 1065 for partnerships—by the 15th day of the third month following the [...]

Minnesota Details Tax Treatment of Paid Leave ProgramMinnesota has issued guidance outlining the federal and state tax treatment of premiums and benefits under the state’s new Paid Leave program, which became effective January 1, 2026. Under this guidance, employer premium contributions are deductible as an excise tax pursuant to IRC § 164. Any additional amounts [...]

Minnesota Legislature Meets this Week with Hopes of Clarity on MN PTE GuidanceThe Minnesota legislative session began its proceedings on February 17, and a topic that remains uncertain is the handling of Minnesota’s pass-through entity tax (PTE) for the 2026 tax year. Minnesota’s pass-through entity tax SALT election expired on December 31, 2025, creating a [...]

Minnesota Issues Chart Showing Impacts of OBBBA on Minnesota Income TaxesThe Minnesota Department of Revenue recently released a chart that provides important information for taxpayers navigating the discrepancies between Minnesota tax law and federal tax changes under the One Big Beautiful Bill Act (OBBBA). Since Minnesota hasn't fully conformed to the changes made by Congress [...]

Minnesota Clarifies Taxation of Foreign CorporationsThe Minnesota Department of Revenue has issued Revenue Notice No. 26-01 clarifying how Minnesota taxes foreign corporations whose income may be exempt from federal income tax but remains subject to Minnesota corporate franchise tax. Unlike federal law under IRC § 882, which generally taxes foreign corporations only on income that [...]

Advance Child Tax Credit Payment Option Available for Tax Year 2025For Minnesota filers, taxpayers eligible for the Child Tax Credit have the option to receive up to 50% of their credit in advance payments through Schedule M1CWFC. To elect advance payments, taxpayers must file an original 2025 tax return by April 15, 2026. If a [...]

IRS Issues Guidance on Permanent 100% Bonus Depreciation for 2025 Tax YearThe Treasury Department and the IRS have released interim guidance regarding the additional first-year depreciation deduction under IRC Section 168(k). This guidance reflects changes enacted by the One Big Beautiful Bill Act (OBBBA), which establishes permanent 100% bonus depreciation for qualified property acquired and [...]

IRS Announces First Days of 2026 Filing SeasonAs announced earlier this week, Tuesday January 13, will mark the first day that the IRS will accept business tax returns for 2025 and Monday January 26, will be the first day that the IRS will accept individual tax returns for 2025. Other 2025 forms, such as trust/estate [...]

Federal Reserve Approves Third Rate Cut in 2025On December 10th, the Federal Reserve’s Federal Open Market Committee (FOMC) announced a 0.25 percentage point reduction in its benchmark federal funds rate, lowering the target range to 3.50 %–3.75 %. This marks the third consecutive rate cut in 2025 as policymakers balance ongoing inflation concerns with signs [...]