Looking for a New Mexico Tax Forms And Templates? Download it for free!

RPD-41272 (2013)

Rev. 12/13/2013

New Mexico Taxation and Revenue Department

2013 Calculation of Estimated Personal Income Tax Underpayment Penalty

Instructions

PIT-1. If the box is blank, the penalty is calculated using the

WHO MUST PAY ESTIMATED TAXES AND WHAT

standard method.

PENALTIES APPLY?

Every individual who must file a New Mexico Personal

Income Tax (PIT-1) return under the Income Tax Act also

When the Department uses the standard method. The

must pay estimated income tax. This occurs through with-

Department automatically calculates your penalty using the

holding taxes or by making estimated tax payments using

standard method and sends you an assessment for the pen-

the Personal Income Estimated Tax Payment Voucher

alty due if any of the following are true:

(PIT-ES). You can also pay by check or credit card using

• You fail to, or incorrectly complete the box on PIT-1, line

the Taxation and Revenue Department’s website.

34.

• You do not submit form RPD-41272, with your PIT-1 return.

There is a penalty for underpayment or nonpayment of

• You submit an incomplete or inaccurate RPD-41272.

estimated tax, unless:

• You do not qualify for an exception method.

• You are a first-year resident;

• Your tax for the current year, less total rebates and

DESCRIPTIONS OF EXCEPTIONS, NUMBER TO ENTER

credits, less income tax withheld is under $1,000; or

IN ON PIT-1, AND HOW TO CALCULATE ENTRIES FOR

• You are a full-year New Mexico resident whose previ-

LINES 12 AND 13 ON RPD-41272

ous tax year was a 12-month tax year and you owed

Each exception is described here. The last paragraph of each

zero tax for that tax return.

description shows the number you must enter in the box on

PIT-1, line 34, to indicate your qualification for the exception

WHEN DO YOU NEED TO PAY ESTIMATED TAXES?

method. Section III of RPD-41272 provides instructions for

For most calendar-year taxpayers, four installments of the

completing lines 12 and 13 in Section IV, which are critical in

required annual payment are due (postmark or delivery

calculating penalties based on exceptions.

service date) by April 15, June 15, September 15, and

January 15.

Exception for applying actual tax withholding dates. This

exception applies to taxpayers who estimate payments ac-

For taxpayers reporting on a fiscal year other than a

cording to the actual dates when all amounts of withholding

calendar year, payments are due on or before the 15th

tax were withheld for the applicable tax year.

day of the fourth, sixth, and ninth months of the tax year

and on or before the 15th day of the first month of the

NOTE: Unless you show the dates on which all amounts were

following year.

actually withheld on RPD-41272, the Taxation and Revenue

Department considers an equal amount of tax withheld as

Sometimes a due date for an estimated payment is a

tax paid on each payment due date. This provision may apply

Saturday or a Sunday, or a state or national legal holiday.

separately to wage and pension withholdings and any other

The estimated payment is on time when the postmark

amounts withheld under the Withholding Tax Act.

bears the date of the next business day. Delivery by a

private delivery service is on time if the pick-up date is

Enter 1 if you want to calculate estimated payments based

on or before the required due date.

on the actual dates on which all amounts of withholding tax

were withheld for the applicable tax year.

WHO MUST FILE RPD-41272

RPD-41272 can be used to help calculate the underpay-

Exception for income that varies during the year. This exception

ment penalty, but do not submit the form unless:

applies to taxpayers who receive seasonal income. You may

• You qualify for a exception method of determining the

only use this method if actual income through March 31 is

amount and timing of the estimated tax payment, and

too small to require an estimated payment. When your base

income increases in later periods, you must make higher

• You will owe less penalty by using the exception

estimated payments to balance your account.

method.

No payment is due for the first quarter, because actual income

Only taxpayers who may lower their penalty using an

through March 31 is too small to require an estimated pay-

exception method submit RPD-41272 .

ment. Subsequent test dates to check income for estimated

payments are May 31, August 31, and December 31.

To calculate an underpayment or non-payment penalty

using the exception method for estimated personal income

tax, you must enter 1, 2, 3, 4, or 5 in the box on line 34,

Enter 2, 3, or 4 to show the quarter of the payment if your

Page 4 of 6

Form Rpd-41272 - Calculation Of Estimated Personal Income Tax Underpayment Penalty - 2013 Page 4

Related Articles

Related forms

Related Categories