Payments must be electronically received or postmarked by the due date. If the due date falls on a legal holiday or weekend, the return is due the next business day. Mandatory electronic payment. Taxpayers who have a sales and use tax liability of $10,000 or more in the state’s fiscal year (July 1 - June 30) must pay all taxes electronically starting with the next calendar year. Associated payers. If you are required to electronically pay any business tax type to the Minnesota Department of Revenue, you must pay all business taxes electronically. FICA TAX The Social Security and Medicare benefit programs are financed by taxes paid by employers and employees under the Federal Insurance Contributions Act (FICA), and by self-employed individuals through the self-employment tax. FICA taxes are levied on both the employer and the employee. The employer is responsible for the employer’s share of FICA taxes, and also is required to collect and pay the employee’s part of the tax, which is withheld from the employee’s pay in much the same way as income tax is withheld. Self-employed individuals compute their self-employment tax on Internal Revenue Service Schedule SE of Form 1040. Special rules apply to tipped employees, and to persons who receive both wages and self -employment income. Special rules also apply to payments in kind made by employers, such as the furnishing of meals, lodging, clothing or services to employees. It should be noted that the FICA rates and wage base limitations are subject to change by congressional action. Typically wage base limitations change each year. The wage base for 2024 is $168,600. The combined rate for Medicare, Old Age, Survivors and Disability Insurance is 15.3 percent. The following IRS publications can provide additional information on FICA contributions, withholding and self-employment taxes: Publication 15 (Circular E) Employer’s Tax Guide and Publication 15-A, Employer’s Supplemental Tax Guide (Supplement to Pub. 15, Employer’s Tax Guide). To obtain these publications contact the Internal Revenue Service at the address and telephone number provided in the Resource Directory section of this Guide or visit Publications Online.
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