How to input withholding tax from O&G proceeds on NM form RPD-41359? It doesn't flow correctly to page 1

[allyphoe]

If you're working on an S-corp:

[nwempe]

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".

[PhoebeRoberts]

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.

[nwempe]

Is there a way to direct message you?

[PhoebeRoberts]

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

[nwempe]

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!

[PhoebeRoberts]

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.

[nwempe]

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

[PhoebeRoberts]

(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."

[nwempe]

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!

[PhoebeRoberts]

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:

[nwempe]

Thank you for all your help!! Unfortunately I changed my input to look just like yours and I still cannot get any withholding to show on the pg. 2 of the withholding form. I may just manually prepare it.

[PhoebeRoberts]

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.