If you're working on an S-corp:

Why do you not use the NM tax withheld form oil and gas proceeds box?  The withholding is coming off of Form 1099-Misc.  I'm also inputting that withholding on the "St. Credits - NM Form 1099-MISC/NEC for E-File Returns".

If you have an RPD-41359, as per your original post, that withholding goes as above.

If you have a 1099-MISC or an RPD-41285, you enter it one line up (in the NM tax withheld from oil and gas proceeds box), *and* in the e-file 1099 screen. The e-file 1099 screen just makes the e-file right; it doesn't make the tax return right.

Why? Because that's the input that gets the desired output.

Is there a way to direct message you?

Not in any way that will get noticed by me faster than just posting. 

Ok.  Here's my situation.  I have an S Corp (TX) that has royalty income in NM.  The royalties have NM income tax withheld (shown on Form 1099s).  I want that withholding to pass directly to my shareholder.  I think the withholding should show up on the S Corp return pg. 1, line 12 and line 14.  I also think the withholding should show up on form PTW-D line 3 and Schedule A, box 8.  with box 5 checked yes.  The system doesn't like this though because PTW-D line 2 is smaller than line 3.  Am I required to file Form PTW-D as an S Corp.  If not how do I get rid of it?  I'm confused and maybe overthinking this.  Thanks!

Ah, that's an easy one. North Dakota nonresident withholding has exactly the same issue, and the solution is to override the state Sch K-1 in Screen 46.251 for each shareholder.  It's a pain in the neck.

I understand that part of the entry.  It's the 2nd part of my question I'm confused about, the actual PTW-D form.

(Note that the official number of that form is RPD-41367, not PTW-D.)

Yes, if there's an amount on Line 14 of the NM S-corp return, NM will expect an RPD-41367. Lacerte will e-file the form if you check it off in Screen 1. 

Right-click Jump to Input will show you where to enter overrides to get the presentation right, so that Line 2 is equal to Line 3 on the RPD-41367, which are equal to Line 14 on the NM S-corp return. Sure would be nice if there were a checkbox that said "pay the NM franchise tax and distribute the rest of the withholding prorata to the shareholders."

I still can't get any withholding to show on pg. 2 of Form RPD-41367 or Line 2.  There isn't a jump to input option available there.  I can't figure out if I have some box checked that I shouldn't or what's happening.  I know how I want it to be presented but can't get Lacerte to cooperate.  Thanks!

Here are all the entries I've made - not all of them are necessary (some of them duplicate each other), but I couldn't tell you which off the top of my head.

And this is the output I get:

That is really bizarre. Sorry it didn't work for you! You might try emailing the Lacerte file to support (Tools, Communication, Service Requests / Email = Ctrl + L). They have been really good for me in the past identifying whether I've got some weird input that's keeping the output from being correct, or whether there's a program issue that can't be worked around.