Practitioner Perspectives on the State of Minnesota's Tax Administration

Our new Issue Brief examines the current condition of the administrative infrastructure which supports and enables voluntary compliance with state tax laws.  The report is based on the findings of a 2016 MCFE survey of tax professionals in Minnesota which collected practitioners’ perspectives in three general areas:

  • The current condition of tax administration processes and procedures
  • The adequacy of current taxpayer supports
  • The merits of nearly 30 potential new or enhanced procedural protections that have precedence either at the national level or in other states

In addition to the survey results, the 17-page brief includes a discussion of key survey themes, areas of success, and conclusions regarding some areas of attention and opportunities for improvement in state tax administration.

At our request, the Minnesota Department of Revenue has provided commentary in response to this Issue Brief which is included as an appendix.

More than 90 percent of federal, state, and local government revenue comes in voluntarily, rather than through enforced collections.  Fundamentally,  tax administration today is a customer service function in which service industry concepts like “customer support” and “responsive service” have just as much relevance as they do in other service businesses.  Sound tax administration built on the input of "customers" as well as government administrators helps ensure the Department of Revenue's stated vision of “everyone reports, pays, and receives the right amount: no more, no less" is the reality