2025 Estate Tax Form M706 Instructions - Filing, Payment, and Line Guidance

Sep 19, 2026

2025 Estate Tax Form M706 instructions explain filing and payment responsibilities for Minnesota estates when the decedent’s date of death falls in calendar year 2025. The guidance covers the exclusion amount and qualified small business and farm property deduction limits, who must file and pay (including roles of executors and beneficiaries), filing deadlines and extension rules, and how to make payments electronically or by check. Line-by-line support and required worksheets help estates complete the return accurately.

LanguageEnglish

CategoryForms

FormatPDF

Pages7

Reading Time3 min

AccessFree to download

General Information

Estate Tax Exclusion and Filing Requirement

Filing Requirements

Who Must File?

Who Must Pay?

Deadline for Filing

Deadline for Paying

Making a Payment

Pay Electronically

Pay by Check

Line Instructions

2025 Estate Tax Form M706 Instructions For estates of decedents whose dates of death are in calendar year 2025 Questions? You can find forms and information, including answers to frequently asked questions and options for paying electronically, on our website at: [www.revenue.state.mn.us](www.revenue.state.mn.us) [Send us an email at:](Send us an email at:) [BusinessIncome.tax@state.mn.us](BusinessIncome.tax@state.mn.us) Call us at: 651-556-3075 Weekdays, 8:00 a. m. to 4:30 p. m. Or write to: Minnesota Department of Revenue Mail Station 1315 600 N. Robert St. St. Paul, MN 55146-1315 Forms You May Need M706 Estate Tax Return M706Q Election to Claim the Qualified Small Business and Farm Property Deduction Need Forms? [Go to](Go to www.revenue.state.mn.us)[ www.revenue.state.mn.us](Go to www.revenue.state.mn.us) to download forms and other information, including a Revenue Notice regarding the alternative value, special use valuation and administrative deductions. This information is available in alternate formats. Contents General Information ........... 1–4 Filing and Paying Requirements . 1–2 Making a Payment .............. 2 Line Instructions ............... 5–7 Tax Table ....................... 6 Checklist ....................... 7 Mailing Label ................... 7 Estate Tax Exclusion and Filing Requirement For 2025 decedents, the exclusion amount and tax filing threshold is $3,000,000 . The exclusion amount is subtracted on Form M706, Line 6a. For 2025 decedents, the maximum qualified small business property and farm property deduction amount is $2,000,000 . The combined exclusion amount, and deduction for qualified small business property and farm property remains $5,000,000 . Filing Requirements If the decedent was a resident of Minnesota at the time of death, the estate is required to file Form M706 if the federal gross estate plus federal adjusted taxable gifts made within three years of the decedent’s death exceeds $3,000,000 on the date of death or if the estate is required to file a federal estate tax return. If the decedent was a nonresident of Minnesota, the estate is required to file Form M706 if property with situs in Minnesota is included in the federal gross estate and the federal gross estate plus federal adjusted taxable gifts made within three years of the decedent’s death exceeds $3,000,000 on the date of death or if the estate is required to file a federal estate tax return. The federal gross estate is determined by completing the federal Form 706 (see page 5) . The federal adjusted taxable gifts are defined in section 2001(b) of the Internal Revenue Code. (M.S. 289A.10, subd. 1) Who Must File? If the decedent’s estate is being probated, the Probate Court or Probate Registrar will appoint someone as personal representative—also called executor or administrator—of the decedent’s estate. That person is then responsible for filing Form M706 for the estate. In some cases, the Probate Court or Probate Registrar will appoint more than one person as executor. In such cases, all persons appointed as executors are jointly responsible for filing the return. If the estate is not being probated, all persons who will receive assets included in the decedent’s federal gross estate (line 1 of federal Form 706) are responsible for filing the Minnesota return. If more than one person will receive the assets, all persons receiving the assets should choose a mutually agreeable person among them to file the estate tax returns. If one person cannot be agreed on, each person must file a Minnesota return for the decedent’s estate. Each person must include on the return not only the assets he or she is receiving, but also all of the decedent’s assets being received by other persons and the names of the other persons. (M.S. 289A.10 and M.S. 291.12) Who Must Pay? The executor is responsible for paying the Minnesota estate tax. However, if the assets were

FAQs

What exclusion amount and filing threshold apply for 2025 decedents on Form M706?

For 2025 decedents, the exclusion amount and tax filing threshold is $3,000,000. The exclusion amount is subtracted on Form M706, Line 6a.

When is an estate required to file Form M706?

The estate must file Form M706 if the federal gross estate plus federal adjusted taxable gifts within three years of death exceeds $3,000,000, or if the estate is required to file a federal estate tax return. Resident and nonresident rules differ based on whether Minnesota property with situs is included.

What are the deadlines for filing and paying the Minnesota estate tax?

The regular due date for filing is nine months after the date of death, with an automatic extension of 6 months after the regular due date or the IRS granted time for the federal return, whichever is longer. Minnesota estate tax must be paid no later than nine months after the date of death.

Sep 19, 2026

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