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Level 4
July 2, 2020
Solved

MN Underpayment penalty

  • July 2, 2020
  • 4 replies
  • 24 views

Is there a way to have MN calculate the underpayment penalty? Client made only 4th qtr estimate and does owe the penalty but I cannot e-file the MN return with a penalty using ProSeries.

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Best answer by IRonMaN

Yeah, I hate when that happens.  I usually just adjust the prior year tax on the form to get rid of the penalty.  If the state really wants their money, they will send a little love letter.  Just let your client know your game plan so he or she isn't too shocked in the event they receive a notice down the road.

4 replies

IRonMaN
IRonMaNAnswer
Level 15
July 2, 2020

Yeah, I hate when that happens.  I usually just adjust the prior year tax on the form to get rid of the penalty.  If the state really wants their money, they will send a little love letter.  Just let your client know your game plan so he or she isn't too shocked in the event they receive a notice down the road.

Slava Ukraini!
July 3, 2020

I do the same thing.   😁