It’s April 15!! We’d like to say Minnesota’s sixth smallest refunds in the U.S. ranking is because Minnesotans are spot-on with their withholdings, but we’re pretty confident that Minnesota’s hostile tax climate is holding down taxpayers and small businesses.
Minnesota’s tax refunds are among the lowest
By Alex Fitzpatrick and Torey Van Oot
Story by Axios Minnesota:
Image at right by Washington Times
Minnesota taxpayers get some of the smallest federal tax refunds in the country, per IRS data.
Why it matters: Millions of taxpayers nationwide have received or are expecting refunds as tax filing season ends Tuesday.
By the numbers: The average refund for Minnesotans who got money back after filing their federal return was $2,838 for tax year 2022, the latest data available.
That’s below the national average of $3,288 and the sixth smallest of any state.
The big picture: Nearly 68% of federal tax filings resulted in a refund in tax year 2022.
Reality check: While many people eagerly await their tax refunds as a kind of bonus, it’s really just money you temporarily loaned to the government at 0% interest.
Some personal finance pros encourage folks to set up their paycheck withholdings to get the smallest possible refund.
Any difference can be saved or invested elsewhere for better potential returns.
