Receiving an IRS tax notice can be frightening thought. But this year many Minnesota residents have been receiving one, due to the tax law reform.
On May 30, 2019, Governor Tim Walz signed new legislation which conformed many Minnesota tax laws to the Federal Tax Cuts and Jobs Act of 2017. As a result of these changes (which occurred after the return was already filed), the Minnesota Department of Revenue is now going back to those taxpayers who had already filed to make any necessary adjustments to conform with the new Minnesota laws. Some of these changes are related to depreciation, deductions related to fringe benefits and Net Operating Losses (NOLs), to name a few.
Here are some quick tips from the IRS on understanding the notice. However, if you are a client of SDK, please send your advisor any notices you receive so we can help you navigate the issues, verify the correct changes have been made, and update our records accordingly.
Click here to find the contact information for our tax team members.