Instructions For Form 1120-W - Corporation Estimated Tax - Minnesota Department Of Revenue


Corporation Estimated Tax Instructions
Filing Requirements
To change your tax-year end, go to our
Credit card. For a fee, you can use your
website at , login
credit or debit card to make a payment
A corporation with an estimated tax of
and update your business information. Or,
through Value Payment Systems, a national
more than $500 must make quarterly
call our Business Registration office at 651-
company that partners with federal, state
payments based on its required annual pay-
282-5225 or 1-800-657-3605.
and local governments to provide credit and
ment. A corporation is not required to pay
debit card payment services.
estimated taxes the first year it is subject to
Unitary Businesses
tax in Minnesota.
To do so:
Unitary businesses must select one mem-
Required annual payment. The required
ber to make estimated tax payments and
• Go to; or
annual payment is the lesser of 100 percent
represent the other members of the group in
• Call 1-855-9-IPAY-MN.
of the prior year’s tax liability or 100 per-
tax matters. This member is the “designated
The Department of Revenue does not have
cent of the current year’s tax liability. The
filer. ” Estimated tax payments made for uni-
any financial agreement with Value Payment
required annual payment must be paid in
tary returns are kept in the account of the
Systems and does not receive any of its fees.
equal installments unless certain exceptions
designated filer on behalf of the companies
apply (see instructions for Schedule M15C).
included in the return. When the return is
ACH credit method and Fed Wire. If you use
filed, these payments will be claimed against
other electronic payment methods, such as
For a large corporation, the required an-
the combined tax liability of the unitary
ACH credit method or Fed Wire, be sure to
nual payment is 100 percent of the current
check with your bank or Fed Wire represen-
year’s tax liability. A large corporation is one
tative to find out when to initiate the pay-
that had Minnesota taxable net income of
Any overpayment of estimated tax will be
ment in order for it to be received on time.
$1 million or more in any of the three prior
refunded to the designated filer or credited
Some banks require up to three business
tax years. For the first quarter only, a large
to the designated filer’s estimated tax ac-
days to transfer funds.
corporation may base its installment on
100 percent of the prior year’s tax liability.
Check Payment Option
Electronic Payment
Any reduction in the installment because
If you’re not required to pay electronically
of using this method must be added to the
and are paying by check, visit our website
second installment. For making a large cor-
at and click on
If your estimated tax payments during the
poration determination, a unitary business
last 12-month period ending June 30 was
“Make a Payment” and then “By check” to
is considered one corporation.
$10,000 or more, you are required to pay
create a voucher. Print and mail the voucher
your tax electronically starting January 1 of
with your check payable to Minnesota
Due dates. Quarterly installments are due
the following year. Also, if you’re required
by the 15th day of the third, sixth, ninth and
12th months of your tax year.
to pay any Minnesota business tax elec-
When you pay by check, your check autho-
tronically, such as sales and withholding
Installments for a short tax year are due in
rizes us to make a one-time electronic fund
tax, you’re required to pay all Minnesota
equal payments on the 15th day of the third,
transfer from your account. You may not
taxes electronically—including corporation
sixth, ninth and final months of the tax
receive your cancelled check.
franchise estimated tax.
year depending on the number of months
Note for unitary businesses. Enter the infor-
in the short tax year. No installments are
Failure to pay electronically when required
mation for the group’s designated filer.
required for a short tax year of fewer than
may result in a penalty being assessed. The
four months.
penalty is 5 percent of each payment that
For the tax-year ending date, enter the
should have been remitted electronically,
ending date of the tax year for which the
If the due date falls on a weekend or legal
but was remitted by some other means.
estimated tax payments are being made.
holiday, payments electronically made or
The same date is used for all four quarterly
postmarked the next business day are con-
Electronic Payment Options
payments. For example, if your tax year ends
sidered timely.
• Go to and
on Dec. 31, 2016, use “123116” for all four
login; or
Underpaying installments. If you under-
• Call 1-800-570-3329 to pay by phone.
pay any installment or did not pay by the
If your income is reported using a 52-53
due dates, an additional charge for under-
For both methods, follow the prompts for
week year, enter the month that ends near-
payment will be added to your tax (see
a business to make a corporation fran-
est the last day of your taxable year. For
Schedule M15C).
chise estimated tax payment. You’ll need
example, if your taxable year goes from May
your Minnesota tax ID number, password
Minnesota tax ID number. If you don’t
29, 2016, to June 3, 2017, (53 weeks), enter
and banking information. When paying
have a Minnesota tax ID number, you must
“053117” on all four payment vouchers.
electronically, you must use an account not
apply for one. You can apply online at www.
Information and Assistance
associated with any foreign banks. or by calling 651-282-
5225 or 1-800-657-3605.
Note: If you’re using the system for the first
time and you need a temporary password,
Determining your estimated tax. Deter-
call 651-282-5225 or 1-800-657-3605.
mine your federal estimated tax by filling
Phone: 651-556-3075
out the federal corporation estimated tax
After you authorize the payment, you’ll re-
This material is available in alternate for-
worksheet (Form 1120-W). Then use the
ceive a confirmation number. You can can-
current year Form M4 as a worksheet to
cel a payment up to one business day before
determine your Minnesota estimated tax.
the scheduled payment date, if needed.
(Rev. 8/16)


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