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Does Minnesota Have a Gift Tax? (2026)

Updated October 5, 2026. Quick answer: No. Minnesota has no gift tax for a gift made in 2026. The Department of Revenue says “Minnesota Gift Tax was repealed in 2014”, and adds that certain taxable gifts are included in the estate tax. The federal annual exclusion is $19,000 per recipient for 2026.

Putting a loan in writing? The interest limit, the signing rules and the time limit to sue, from the state’s own statutes: Minnesota promissory note.

Minnesota gift tax at a glance

ItemWhat the documents say
State gift taxNone
What the documents sayThe Department of Revenue says the Minnesota gift tax was repealed in 2014
State estate or inheritance taxYes: a Minnesota estate tax, with a $3,000,000 exclusion amount for decedents dying in 2020 and thereafter
Gifts made close to deathTaxable gifts made within three years of death are added to the estate tax base
Federal annual exclusion, 2026$19,000 per recipient
Federal basic exclusion amount, 2026$15,000,000
SourceMinnesota Department of Revenue; Office of the Revisor of Statutes; IRS Revenue Procedure 2025-32

What the Minnesota documents say

The Department’s Estate Tax page defines a gift as the transfer of property by one individual to another while receiving nothing, or less than the full value, in return, and states: “Minnesota Gift Tax was repealed in 2014”. It then says “Certain taxable gifts are included in the Estate Tax”.

Estates, inheritances and gifts near death in Minnesota

The Department’s instruction is to “add any federal adjusted taxable gifts made within three years” of the decedent’s death to the federal gross estate when deciding whether the estate meets Minnesota’s filing requirement. The statute, Minn. Stat. 291.016, adds the aggregate of taxable gifts “made by the decedent within three years of the date of death” to the Minnesota adjusted taxable estate, and sets an exclusion of “$3,000,000 for decedents dying in 2020 and thereafter”. So a gift made in 2026 owes no gift tax, but it is not invisible to the estate tax.

What applies to a gift from a Minnesota resident

Federal gift tax is separate and applies wherever you live. The IRS says gifts “not more than the annual exclusion for the calendar year” are generally not taxable gifts, and Revenue Procedure 2025-32 sets the 2026 annual exclusion at “the first $19,000 of gifts to any person”. The same procedure puts the basic exclusion amount at “$15,000,000 for calendar year 2026”. The IRS adds that “The donor is generally responsible for paying the gift tax”.

An illustration: a $50,000 gift to one child in 2026 is $31,000 above the federal annual exclusion, and Minnesota adds no gift tax of its own on top of that. CMG’s gift tax limit and Form 709 who must file pages explain the federal side, and how Minnesota taxes 401(k) and IRA withdrawals covers a gift of retirement money.

What the documents do not say

  • The documents read do not state whether Minnesota levies an inheritance tax.

Common mistakes

  • Treating the 2014 repeal as the end of any Minnesota consequence for a large gift; taxable gifts made within three years of death are added back for the estate tax.
  • Assuming the state answer settles the federal one, or the answer for a gift of property located in another state.

Related: the federal gift tax limit, gift tax by state, Minnesota estate tax, and Minnesota probate cost.

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Sources

Sources: the primary documents linked above, read on October 5, 2026. General information, not tax advice. Your own facts decide the outcome, and a tax professional or the state agency itself is the right place to confirm anything consequential.

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