Minnesota Employment Law Update – December 2016

Minnesota

MDOR Revises Guidance for Submitting W-2s Electronically

The Minnesota Department of Revenue (MDOR) has revised its guidance document (Fact Sheet 2, Submitting Form W-2 Information) that explains how to electronically submit copies of W-2 information to the department. Taxpayers should use the e-Services system for files less than 2MB or fewer than 2,000 records and the Electronic Data Exchange (EDE) system for files that exceed 2MB or more than 2,000 records. The guidance discusses the methods available under each system, including Key and Send; Simple File; and EFW2 File. Taxpayers are reminded that W-2 information must be submitted to the department electronically if the taxpayer has more than 10 forms (W-2s, plus 1099s) to file, as Minnesota no longer accepts W-2 information on CD-ROM, diskette, or in PDF format. The guidance also notes that W-2 information with Minnesota withholding is due on February 28 each year.

Read the Revised Guidance

MDOR Revises Guidance for Submitting 1099s Electronically

The Minnesota Department of Revenue (MDOR) has revised its guidance document (Fact Sheet 2a, Submitting Form 1099 Information) that explains how to electronically submit copies of 1099 information to the department. Taxpayers having files less than 2 MB or fewer than 2,000 records can submit 1099 information by using the key and send, simple (delimited) file, or Internal Revenue Service publication 1220 format through the e-Services system. Taxpayers whose files exceed 2 MB or 2,000 records can submit the information by using IRS publication 1220 Format method in the Electronic Data Exchange (EDE) system. Taxpayers are reminded that 1099 information must be submitted to the department electronically if they have more than 10 forms (W-2s, plus 1099s) to file, as Minnesota no longer accepts the information on CD-ROM, diskette, or in PDF format. The guidance also notes that 1099 information with Minnesota withholding is due on February 28 each year. Taxpayers must submit 1099 information reporting Minnesota withholding, even if they participate in the Federal/State combined program.

Read the Revised Guidance