Form W-4MN Employee Instructions
Complete this form for your employer to calculate the amount of Minnesota income tax to be withheld from your pay.
What’s New?
Beginning in 2020, federal Form W-4 does not use withholding allowances. If you complete a 2020 Form W-4, you must complete Minnesota
Form W-4MN to determine your allowances for Minnesota income tax withholding.
When should I complete Form W-4MN?
Complete Form W-4MN if any of the following apply:
• You begin employment
• You change your filing status
• You reasonably expect to change your filing status in the next calendar year
• Your personal or financial situation changes
• You claim exempt from Minnesota withholding (see Section 2 instructions for qualifications)
• You request an additional amount of tax deducted each pay period
If you have not had sufficient Minnesota income tax withheld from your wages, we may assess penalty and interest when you file your state
income tax return.
Your employer may be required to submit copies of your Form W-4MN to the Minnesota Department of Revenue.
Note: You may be subject to a $500 penalty if you submit a false Form W-4MN.
What if I have completed federal Form W-4?
If you completed a Form W-4 from 2019 or in prior years, you may complete Form W-4MN to determine your allowances for Minnesota
withholding purposes. Your allowances on Form W-4MN must not exceed your allowances on a Form W-4 (from 2019 or earlier) that your
employer used to determine your federal withholding. If you completed a 2020 Form W-4, you must complete Form W-4MN to determine
your allowances for Minnesota withhholding.
What if I am exempt from Minnesota withholding?
If you claim exempt from Minnesota withholding, complete only Section 2 of Form W-4MN and sign the form to validate it. You must provide
your employer with a new Form W-4MN by February 15 of each year if you claim exempt.
You cannot claim exempt from withholding if all of the following apply:
• Another person can claim you as a dependent on their federal tax return
• Your annual income exceeds $1,100
• Your annual income includes more than $350 of unearned income
What if I am a nonresident alien for U.S. income taxes?
If you are a nonresident alien, you are not allowed to claim exempt from withholding. You will check the single box for marital status
regardless of your actual marital status and may enter one personal allowance on Step A. Enter zero on steps B, C, and E.
If you are resident of Canada, Mexico, South Korea or India and allowed to claim dependents, you may enter the number of dependents on
Step D.
Section 1 — Minnesota Allowances Worksheet
Complete Section 1 to find your allowances for Minnesota withholding tax. For regular wages, withholding must be based on allowances you
claimed and may not be a flat amount or percentage of wages.
If you expect to owe more income tax for the year than will be withheld, you can claim fewer allowances or request additional Minnesota
withholding from your wages. Enter the amount of additional Minnesota income tax you want withheld on line 2 of Section 1.
Nonwage Income
Consider making estimated payments if you have a large amount of “nonwage income.” Nonwage income (other than tax-exempt income)
includes interest, dividends, net rental income, unemployment compensation, gambling winnings, prizes and awards, hobby income, capital
gains, royalties, and partnership income.
Two Earners or Multiple Jobs
If your spouse works or you have more than one job, figure the total number of allowances you are entitled to claim on all jobs using
worksheets from only one Form W-4MN. Usually, your withholding will be more accurate when all allowances are claimed on the Form
W-4MN for the highest paying job and zero allowances are claimed on the others.
Head of Household
You may claim Head of Household as your filing status if you are unmarried and pay more than 50 percent of the costs of keeping up a home
for yourself, your dependents, and other qualifying individuals. Enter “1” on Step E if you may claim Head of Household as your filing status
on your tax return.
What if I itemize deductions on my Minnesota return or have other nonwage income?
Use the Itemized Deductions and Additional Income Worksheet to find your Minnesota withholding allowances. Complete Section 1 on page 1,
then follow the steps in the worksheet on the next page to find additional allowances.