Can Minnesota state reject code 0555 be corrected in Turbotax?

[e_dykhuizen]

I have tried following the instructions to correct it three times, which Turbotax says is to select "no" on the question about annualizing my income, but it keeps getting rejected and the message from Turbotax is telling me to fix in the exact same way each time.

[DMarkM1]

Annualizing the income is used when you have unbalanced year of income.  For example you might have received a large portion of income at the end of the year while others are low receipt.  Sometimes you can reduce the underpayment penalty by moving income to another quarter because that when you received it.  

Assuming you do not want to annualize the income because there is not enough reduction in the penalty then use the "Delete a form" function.  

1. Select "Tax Tools" in the left hand menu
2. Select "Tools"
3. Select "Delete a Form"
4. Find the "MN Annualize Income Worksheet"
5. "Delete"
6. "Confirm Deletion"

"Review" in the left hand menu to continue the review and filing interviews.  

[carl669]

I selected No to the annualize income question, but M15 was still generated. I have an underpayment penalty list on form M15. I don't really see this penalty anywhere else though. would it still be ok to delete this form?

background: I work for a small out of state employer and had to estimate my taxes. towards the end of 2022, they were able to take state taxes directly out of my paycheck. I'm not sure if that messed anything up

[AnnetteB6]

In order to take a closer look at the situation you have described, it would be helpful to see what is happening with your tax return.  

You can provide us with a diagnostic copy of your tax file to make that possible.  The diagnostic file will not contain personally identifiable information, only numbers related to your tax forms.  If you would like to provide us with the diagnostic file, follow the instructions below and post the token number along with which version of TurboTax you are using in a follow-up thread.

Use these steps if you are using TurboTax Online:

• Sign in to your account and be sure you are in your tax return.
• Select Tax Tools in the menu to the left.
• Select Tools.
• Select Share my file with agent.
• A pop-up message will appear, select OK to send the sanitized diagnostic copy to us.
• Post the token number here. 

If you are using a CD/downloaded version of TurboTax, use these steps:

• Select Online at the top of the screen.
• Select Send Tax File to Agent.
• Click OK.
• Post the token number here.

@carl669 

[carl669]

@AnnetteB6 

i've already finished my returns and i no longer have the 'tax tools' option in the left hand panel. is there another way to send this?

[AnnetteB6]

No, once your return has been transmitted there should be no need to share the file with an agent, so there is no other method to do so.  Thank you for being willing though.

As long as your returns were accepted, you should be fine.  If you did delete the Minnesota underpayment penalty Form M15 and the state later determines that a penalty should be applied, then you will receive a letter.  

@carl669 

[carl669]

@AnnetteB6 for MN, i ended up mailing everything. i re-printed the blank M15 from the state site and filled in the values from the turbotax generated M15. i just rounded the 2.55 and 0.55 up to 3 and 1 respectively on the reprint to align with the $4 penalty and mailed it all in.