If you are not a resident of Minnesota but you have income from sources in Minnesota, you are generally subject to Minnesota state income tax on that income. You would have to file a Minnesota state income tax return if your income meets the minimum filing requirement.
According to the Minnesota Department of Revenue, if you are not a resident of Minnesota but you perform services in Minnesota, the wages, salaries, tips, commissions, bonuses, severance pay, annual leave, and stock options you earn for the services performed in Minnesota are subject to Minnesota state income tax.
However, Minnesota has tax reciprocity agreements with Michigan and North Dakota. If you are a resident of Michigan or North Dakota and work in Minnesota, your income from personal services performed in Minnesota would be subject to income tax in your home state, not in Minnesota. In this case you would not have to file a Minnesota state income tax return or pay Minnesota income tax if you were a full-year resident of Michigan or North Dakota, you returned to your home state and least once a month, and you had no other sources of income in Minnesota.
If you worked in Minnesota but retired and moved out of the state, you would not be subject to Minnesota state income tax on your pension income. You would only be subject to tax in Minnesota on your pension income for any part of a year you were a resident of Minnesota.
Nonresidents are subject to Minnesota state income tax on gambling winnings from American Indian casinos located in Minnesota and winnings from the Minnesota lottery if the tickets were purchased in Minnesota. Winnings from other types of gambling done in Minnesota would also be taxable for nonresidents.
If you are a nonresident and own property in Minnesota, any rent or royalty income on that property, or any capital gain on the sale of the property would be subject to Minnesota tax. If you have a gain on the sale of a partnership, it would be taxable if the partnership is located in Minnesota.
A nonresident would be subject to Minnesota tax on income from a business or farm if the activities are conducted wholly within Minnesota. If the activities are conducted partially in Minnesota, you would have to use a three-factor formula of sales, property and payroll to determine the income apportioned to Minnesota for state income tax purposes. This apportionment is calculated on Schedule M4A of Form M4, Corporation Franchise Tax Return.
If you are a nonresident with income subject to Minnesota state income tax and are required to file a Minnesota return, you would file Form M1, Minnesota Individual Income Tax Return, and Schedule M1NR, Nonresidents/Part-Year Residents.
How Nonresident Income is Taxed by Minnesota, Minnesota Department of Revenue
Minnesota Corporation Franchise Tax, Minnesota Department of Revenue
Part-year Residents and Nonresidents, Minnesota Department of Revenue
Reciprocity, Minnesota Department of Revenue