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Utahcorporate tax inMinnesota
High — top rate 8% or higher

Minnesota

Top Rate
9.8%
Rate Structure
Flat
Franchise Tax
Yes
Gross Receipts Tax
No
S-Corp Recognized
Yes

Corporate Income Tax Rate at a Glance

Minnesota's top corporate income tax rate is 9.8%, applied as a flat rate. This places Minnesota in the "High (8% or higher)" tier among U.S. states.

Rate Structure (Flat vs. Graduated)

9.8% flat corporate franchise tax rate, the highest top corporate rate among states with a corporate income tax.

Franchise Tax / Annual Privilege Tax

Minnesota's corporate income tax is technically called a 'corporate franchise tax.' A separate minimum fee ranging from $0 to $11,860 also applies based on Minnesota property, payroll, and sales.

S-Corp & Pass-Through Treatment

Minnesota recognizes federal S-corp election. Pass-through entities may elect to pay tax at the entity level under Minnesota's PTE election (Section 289A.08, as added by 2021 reform), at the highest individual rate of 9.85%.

Official State Revenue Department

For current corporate tax rules in Minnesota, consult the state's official source at https://www.revenue.state.mn.us/corporation-franchise-tax. Rates and rules change annually — verify with a qualified tax professional before taking any action.

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Law last updated: 2025Row last reviewed: Apr 26, 2026

Corporate income tax rates change frequently as states enact reform packages and phase-down schedules. Always verify current rates with the state's department of revenue and your tax advisor before making business decisions. This information is for educational purposes only and is not tax or legal advice.