Minnesota · Graduated income tax, high top rate
CPA, bookkeeping & fractional CFO services in Minnesota
Minnesota has a graduated personal income tax with one of the higher top rates in the country and a large base of healthcare, medical device and retail companies. CPA Torrance is a CPA-led firm based in Torrance, California that provides bookkeeping, tax planning, tax filing and fractional CFO support to Minnesota businesses remotely.
- Serving all of Minnesota remotely
- Minnesota M4, M8 and M3 returns tracked for you
- Monthly reporting included
In short
How does Minnesota tax business owners?
Minnesota taxes pass-through income at the owner level under its graduated personal income tax, which has a high top rate. Corporations pay corporate franchise tax, and many entities owe an annual minimum fee based on Minnesota property, payroll and sales. Minnesota also offers an elective pass-through entity tax.
- State income tax
- Graduated (high top rate)
- State sales tax
- 6.875% + local
- Key business tax
- Minimum fee for entities
- How we serve
- Remotely, statewide
Services in Minnesota
What we do for Minnesota business owners
From Minneapolis and St. Paul professional firms to Rochester healthcare practices and Duluth manufacturers, Minnesota owners need careful high-tax planning. We provide monthly bookkeeping, federal and Minnesota tax planning, filings and CFO reporting from one coordinated team.
Bookkeeping Services
- Monthly reconciliations in QuickBooks Online
- Minnesota state and local sales tax tracking
- Payroll and contractor payment review
- Monthly profit and loss and balance sheet
- Catch-up and clean-up bookkeeping
Tax Planning & Strategy
- Entity and S corporation review
- Minnesota PTE tax election review
- Federal and state estimated payments
- Multi-state income review
- Year-end tax planning meeting
Tax Filing & Compliance
- Federal business returns (1120, 1120S, 1065)
- Minnesota M4, M8 and M3 returns
- Owner individual returns
- IRS and state notice help
- Due-date tracking for every filing
Fractional CFO Services
- Cash-flow forecasts
- Budget versus actual reviews
- Margin and pricing analysis
- Lender- and investor-ready reporting
- Growth and hiring plans
Minnesota tax planning
Planning around Minnesota taxes
With high top rates, Minnesota planning focuses on the PTE election, entity choice, retirement plans and federal planning.
Book a 15-min callPTE election
Minnesota offers an elective pass-through entity tax. We model whether it saves you money.
Minimum fee
Many S corporations and partnerships owe a minimum fee based on Minnesota activity. We calculate it correctly.
Retirement plans
High earners can shelter significant income with the right retirement plan.
Who we work with
Minnesota industries we serve
We work with owner-led businesses across Minnesota, with experience in the industries that drive the state economy.
Healthcare practices
Medical, dental and therapy practices.
Medical device suppliers
Manufacturers with inventory and research costs.
Retail and consumer brands
Product companies with inventory and e-commerce.
Agriculture
Farms and agribusinesses across the state.
E-commerce sellers
Online brands with Minnesota sales tax, inventory and multi-channel books.
Professional firms
Consultants, agencies and law firms billing by the hour, project or retainer.
Why Minnesota businesses choose CPA Torrance
Areas we cover
Serving businesses across Minnesota
Businesses in Minneapolis, St. Paul, Rochester, Duluth, Bloomington work in healthcare, medical devices, retail, agriculture and manufacturing. CPA Torrance helps Minnesota businesses, including those owned from out of state, stay compliant and organized through remote meetings.
- Minneapolis
- St. Paul
- Rochester
- Duluth
- Bloomington
- Plymouth
- Eden Prairie
- Edina
- St. Cloud
- Mankato
- Video meetings on your schedule
- Secure document portal for statements and returns
- Cloud accounting you can see any time
FAQ
Minnesota business tax and accounting questions
Not covered here? A 15-minute call gets you a straight answer for your situation.
What financial services can CPA Torrance provide to Minnesota businesses?
We provide monthly bookkeeping, federal and Minnesota tax planning, business tax filing and fractional CFO services. Everything runs from one set of books, so your bookkeeper, CPA and CFO advisor work from the same numbers.
Does Minnesota have a pass-through entity tax?
Yes. Minnesota allows partnerships and S corporations to elect to pay tax at the entity level, which may let owners deduct it federally.
What is the Minnesota minimum fee?
It is an annual fee many corporations, S corporations and partnerships pay based on their Minnesota property, payroll and sales.
Do I owe Minnesota tax if I live in Wisconsin?
Minnesota and Wisconsin do not have a reciprocity agreement now, so cross-border workers may file in both states. We handle the credits.
Can CPA Torrance work with Minnesota businesses remotely?
Yes. We serve businesses across Minnesota, including Minneapolis, St. Paul, Rochester, Duluth, Bloomington, Plymouth, Eden Prairie, Edina, St. Cloud and Mankato, through video meetings, a secure document portal and cloud accounting you can see any time. Our office is in Torrance, California.
How do I get started?
Book a 15-minute call or request a free financial assessment. We review your books, tax position and systems and recommend the right mix of support for your Minnesota business.
Get your Minnesota books and taxes in order.
Book a call to review bookkeeping and tax planning for your Minnesota business.