Minnesota YMCA Youth in Government
Model Legislature
BILL #: 6709
Download PDFBE IT ENACTED BY THE YOUTH LEGISLATURE OF THE STATE OF MINNESOTA YOUTH LEGISLATURE –
An act to
Establish a state-run tax filing and assistance system for Minnesota residents.
SECTION I - PURPOSE
This bill’s goal is to reduce the cost and complexity of filing taxes for Minnesota residents. It establishes a free
online filing service available to all Minnesota citizens. By providing this service, this bill will lower reliance on
commercial tax filing services and create a more comprehensive and error-free tax system.
SECTION II - JUSTIFICATION
Every year, over 2 million Minnesotans file their taxes with a tax filing service. The average individual using these
services spends over $200 a year on these filing services, meaning that Minnesota citizens spend over 400 million
dollars a year just calculating their taxes.
The Tax Filing and Assistance System would simplify the filing process, making tax filing much more accessible,
affordable, and error free for all citizens, especially low to middle income residents.
SECTION III - DEFINITIONS
Tax Filing and Assistance System: A secure, state-managed online platform that allows Minnesota residents to file state
and federal taxes at no cost.
Resident: Any individual required to file a Minnesota state income tax return.
Tax filing service: A paid or free service which is used to fill out forms and calculate proper taxes for a US citizen.
SECTION IV - FUNDING
This bill would be funded originally by a $5 surcharge on every use of a non-state tax filing service.
Additional supplemental funding would come from the fines outlined in the penalties section, as well as a 1% tax on net
investment income over $1 million.
SECTION V – PENALTIES/ENFORCEMENT
Any private entity or individual who knowingly misrepresents themselves as the official state tax filing service shall
be subject to a civil fine of up to $5,000 per violation.
State employees or contractors who misuse or improperly share taxpayer data collected through the system shall be
subject to disciplinary action, including termination and fines as provided by state data privacy law.
SECTION VI – EFFECTIVE DATE
The funding and Penalties/enforcement section of this bill will go into effect on June 1st, 2026. The filing service
will open on March 1st, 2027.