Minnesota pays IRS penalty — but state workers still face 2025 tax bills for covering ex-spouses AlphaNews.org

Minnesota pays IRS penalty — but state workers still face 2025 tax bills for covering ex-spouses AlphaNews.org

Share This StoryAlpha News previously reported that the State of Minnesota will pay nearly $7 million to the Internal Revenue Service (IRS) after violating federal tax rules tied to an insurance policy that required some state employees to continue covering ex-spouses on their health plans. The state is footing the bill for back taxes from 2022 through 2024, but employees are still on the hook for 2025. “We had no choice,” said Kelly O’Leary, a …