Fillable Form Ig261 - Fire Safety Surcharge Return

2015 Form IG261 Instructions

For insurance tax laws, see Minnesota Statutes, Chapter 297I at

What’s New

Payments

Line Instructions

Premiums must include finance, service

Minnesota Statute 297I.06, subd. 1 was

Electronic Payments

and other charges paid to the insurers.

amended to reduce the surcharge on home-

If your total insurance taxes and surcharges

owners’ , commercial fire and commercial

for the last 12-month period ending June

Line 1

non-liability insurance policies from 0.65

30 is $10,000 or more, you are required to

Enter all homeowners multi-peril premiums

percent to 0.5 percent beginning July 1,

pay your tax electronically in all subsequent

written (line 4, Minnesota state page).

2013.

years.

Effective for policies issued or renewed on

Line 2

You must also pay electronically if you’re

or after July 1, 2013.

Enter all fire premiums written (line 1, Min-

required to pay any Minnesota business tax

nesota state page).

electronically, such as sales or withholding

Form IG261 has been updated to reflect this

tax.

change.

Line 3

To pay over the Internet, go to the depart-

Enter the nonliability portion of all com-

ment’s website at

mercial premiums written (line 5.1, Min-

Filing Requirements

and login. If you don’t have Internet access,

nesota state page).

call 1-800-570-3329 to pay by phone. You’ll

The fire safety surcharge is effective for

need your user name, password and bank

Line 7 — Penalty

insurers licensed to write homeowners,

routing and account numbers. When paying

Late Payment. If you don’t pay the entire

fire and commercial nonliability policy

electronically, you must use an account not

surcharge by the due date, a late payment

premiums.

associated with any foreign banks.

penalty is due. The penalty is 5 percent of

This surcharge does not apply to Minnesota

the unpaid surcharge for any part of the first

If you use other electronic payment

township mutual fire insurance companies

30 days the payment is late, and 5 percent

methods, such as ACH credit method or

organized under M.S. 67A.

for each additional 30-day period, up to a

Fed Wire, instructions are available on our

maximum of 15 percent.

Mutual property and casualty companies

website or by calling Business Registration

(described in M.S. 297I.05, subd. 3 and 4)

Office at 651-282-5225 or 1-800-657-3605.

Late Filing. Add a late filing penalty to the

shall elect to collect and remit the fire safety

late payment penalty if your return is not

Submit separate payments for each return.

surcharge (Form IG261) or the 0.5 percent

filed by the due date. The penalty is 5 per-

surcharge (Form IG262).

cent of the unpaid surcharge. When added

Check Payments

to the late payment penalty, the maximum

The election must be made by Dec. 31 of

If you’re not required to pay electronically

combined penalty is 20 percent.

each year for insurance for policies written

and are paying by check, visit our website

or renewed in the succeeding calendar year.

at and click on

Payment Method. If you are required to

(M.S. 297I.06)

“Make a Payment” and then “By check” to

pay electronically and do not, an additional

create a voucher. Print and mail the voucher

5 percent penalty applies to payments not

Due Dates

with a check made payable to Minnesota

made electronically, even if a paper check is

Revenue.

sent on time.

File your quarterly Form IG261 and pay

any surcharge due by May 15, Aug. 15 and

When you pay by check, your check autho-

Line 8 — Interest

Nov. 15 of the current year and Feb. 15 of

rizes us to make a one-time electronic fund

You must pay interest on the unpaid

the following year. Please make separate

transfer from your account, and you may

surcharge plus penalty from the due date

electronic payments or write separate

not receive your canceled check.

until the total is paid. The interest rate for

checks for each return.

calendar year 2015 is 3 percent. The interest

Instructions

The U.S. postmark date, or date recorded or

rate may change for future years.

marked by a designated delivery service, is

Check Boxes

To figure how much interest you owe, use

considered the filing date (private postage

At the top of the form, check if the return is:

the following formula with the appropriate

meter marks are not valid). When the due

interest rate:

date falls on a Saturday, Sunday or legal

• an Amended Return: Check only if you

holiday, returns and payments electroni-

are amending a previously filed return

Interest =

cally made or postmarked the next business

for the same period. Include all original

(surcharge + penalty) x # of days late x interest

day are considered timely. When a return

and corrected premiums on the amended

rate ÷ 365

or payment is late, the date it is received at

return.

the Department of Revenue is treated as the

• a No Activity Return: Check only if you

date filed or paid.

did not write any applicable premiums.

Extension for filing return. If good cause

exists, you may request a filing extension.

Continued

Form Ig261 - Fire Safety Surcharge Return - 2015 Page 2

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