I got a similar notice. I compared how the TurboTax form determined the MN limitation on standard deduction to the official MN 2019 forms. TurboTax did it wrong. MN limits the standard deduction based on income levels as mentioned above. They multiplied the federal standard deduction by 80% to get value 1. Then they took 3% of the difference of adjusted gross minus $194560 for value 2. They subtracted the smaller of these two values from the standard deduction. They should’ve used the LARGER of the two values. (I don’t know why they didn’t just copy the MN worksheet as it was written. But they multiplied the standard deduction by 80%, MN multiplied it by 20%)
I haven’t checked to see if they did this in 2020 and 2021. MN Dept of Revenue is probably checking those next.
