M15NP: Additional Charge for Underpayment of Estimated Tax (2024)
Minnesota · Minnesota DOR · Used for tax years 2024
Minnesota Schedule M15NP calculates the additional charge for underpayment of estimated tax for 2024 by tax-exempt organizations, cooperatives, homeowners associations and political organizations with unrelated business income. It reports required installments, payments, underpay
Who files this form
Schedule M15NP is for tax-exempt organizations, cooperatives, homeowners associations and political organizations with unrelated business income.
The 2024 form says to complete the schedule if your total tax is more than $500 or you did not pay the correct estimated tax by the due dates. However, line 1 specifically says that if your 2024 total tax liability is $500 or less, do not complete the form. You owe no additional charge.
When it's due
For tax year 2024, estimated tax installments are due on the 15th day of the third, sixth, ninth and 12th months of the taxable year.
For a short taxable year, installments are due on the 15th day of the third, sixth, ninth and final months. No installment is required for a short taxable year of fewer than four months.
What you'll need
Have these forms and records ready:
- Your organization's name, FEIN and Minnesota Tax ID.
- Your 2024 Form M4NP, including lines 15 and 18, to calculate your total tax liability.
- Your 2023 Form M4NP, if filed, including lines 15 and 18, to determine your prior-year regular tax.
- Records of estimated tax payment amounts and dates, including any 2023 overpayment credited to your 2024 estimated tax account.
- Schedule A of federal Form 2220 if you use an adjusted seasonal or annualized income installment method.
If you made more than one payment for a required installment, attach a separate computation for each payment.
How to file
Attach Schedule M15NP to Form M4NP. Add the quarterly additional charges on line 16 and enter the total on Schedule M15NP, line 17. Also enter that total on Form M4NP, line 26.
The supplied text does not give a mailing address or e-filing instructions.
Common mistakes
- Leaving the installment method blank: You must check one method box.
- Using amounts with cents: Round amounts to the nearest whole dollar.
- Using the prior-year tax when an exception applies: Use line 1 on line 3 if you did not file a 2023 return, your preceding-year return covered less than 12 months, or you had no 2023 tax liability.
- Working across columns too soon: Complete lines 7 through 13 for one column before completing the next. For the first column only, enter the amount from line 6 on line 10.
- Leaving out a credited overpayment: Include any 2023 overpayment credited to your 2024 estimated tax account in the first column of line 6.
- Omitting separate computations: If more than one payment was made for a required installment, attach a separate computation for each payment.
Questions people ask
How much is each required installment?
Under the standard method, each installment is 25% of the required annual payment on line 3. For a short taxable year, divide line 3 by the number of installments due.
What if my income varied during the year?
The instructions offer two alternative methods: the Adjusted Seasonal Installment Method and the Annualized Income Installment Method. To use either method, complete Schedule A of federal Form 2220 with the Minnesota adjustments described in the instructions.
How are payments applied if an earlier installment was underpaid?
Estimated tax payments are applied to underpaid installments in the order the installments were due. A later payment may therefore cover an earlier underpayment before covering the current installment.
How is the additional charge calculated?
For each installment, line 16 calculates the charge as the number of days on line 15 divided by 365, multiplied by 0.08, multiplied by the underpayment on line 12. The day count runs from the installment due date to the date the underpayment is paid or the regular due date of the 2024 return, whichever is earlier.