RPD-41272: RPD-41272, 2016 Calculation of Estimated PIT Underpayment Penalty Form (Revision 2016-12)
New Mexico · New Mexico TRD · Used for tax years 2024, 2025, 2026
Form RPD-41272 calculates the penalty for underpayment of New Mexico estimated personal income tax. It records required payments, estimated tax paid, withholding, and underpayments. The supplied version is for 2016, not 2024.
Who files this form
Submit RPD-41272 with your PIT-1 return only if you qualify for an exception method and using it lowers your estimated tax underpayment penalty.
The listed exceptions cover:
- Calculating withholding based on the actual dates all amounts were withheld.
- Income that varied during the year, when income through March 31 was too small to require an estimated payment.
- Farmers or ranchers who expect at least two-thirds of their gross income to come from farming or ranching, or met that test in the previous tax year.
If you use the standard method, you may use this form to calculate your penalty, but do not submit it. The Department calculates the standard-method penalty and sends an assessment if you owe one.
The supplied form is labeled for tax year 2016. It says not to file this form if the amount on Section II, line 4, column 2, minus income tax withheld is less than $1,000.
When it's due
For tax year 2016, Section IV prints these estimated installment due dates for calendar-year taxpayers:
- April 15, 2016
- June 15, 2016
- September 15, 2016
- January 15, 2017
These are estimated payment deadlines, not a separate filing deadline for RPD-41272. The form says to attach RPD-41272 to your 2016 PIT-1.
The supplied text does not print deadlines for tax years 2024, 2025, or 2026. It specifically says to use instructions written for the tax year you are filing.
What you'll need
To complete the supplied 2016 form, have:
- Your name and Social Security number.
- Your 2016 PIT-1 and related schedules, including net New Mexico income tax, rebates, credits, and withholding.
- Your 2015 PIT-1, if you filed a full 12-month New Mexico return for that year.
- Estimated tax payment amounts and dates, including any amount carried forward from the prior year's PIT-1.
- Actual withholding dates and amounts, if you use the actual-withholding-date exception.
- Gross income information for you and your spouse if filing jointly and claiming the farmer or rancher exception.
If you calculate the penalty yourself, you also need the applicable quarterly interest rates. The form directs you to www.tax.newmexico.gov for those rates.
How to file
- Mark your exception in Section I.
- Complete Sections II through IV to calculate the required annual payment and underpayments.
- To have the Department calculate your penalty, mark the box at the top of page 3. You must still complete Sections I through IV. Otherwise, complete Section V and, if needed, Section VI yourself.
- Attach the completed RPD-41272 to your 2016 PIT-1 and indicate your exception on PIT-1.
The supplied text does not give an e-filing procedure or a mailing address for the RPD-41272 return attachment.
Payment options printed in the form: Pay online at www.tax.newmexico.gov through Online Services, using an electronic check at no charge or a credit card with a 2.40% convenience fee.
For payment by mail, enclose a check or money order and a completed PIT-ES voucher. Write your Social Security number, “PIT-ES,” and the applicable tax year on the check or money order. Send the payment to:
NM Taxation and Revenue Dept.
P.O. Box 8390
Santa Fe, NM 87504-8390
This address is printed for the payment and PIT-ES voucher, not for filing the PIT-1 return attachment.
Common mistakes
- Using instructions for the wrong year. The form warns that line numbers and calculations may change. The supplied text is for 2016, not instructions specifically written for 2024, 2025, or 2026.
- Missing or incorrectly completing the PIT-1 exception indicator. The Department may use the standard method instead. The supplied text has conflicting references: page 1 says PIT-1 line 35, while page 5 says line 34. Follow the reminder to use instructions for the year you are filing.
- Submitting an incomplete or inaccurate form. This can cause the Department to calculate the penalty using only the standard method.
- Requesting a Department calculation without completing Sections I through IV. Those sections are required for an exception-method calculation.
- Leaving out actual withholding dates. Unless you show when all amounts were withheld, the Department treats withholding as paid equally on each payment due date.
- Using the wrong tax year on PIT-ES. Each voucher must show the tax year to which the payment applies.
Questions people ask
Can the Department calculate the penalty for me?
Yes. Complete Sections I through IV and mark the box at the top of page 3. You do not need to complete Sections V or VI if you choose this option.
How is the required annual payment calculated?
The instructions describe it as the lesser of 90% of the current year's tax or 100% of the prior year's tax, if the prior-year return covered a full 12-month year. Section II provides the calculation steps.
Does a first-year resident have to make estimated payments?
The supplied form says a first-year resident in 2016 is not required to make estimated payments. Its instructions also list first-year residency as an exception to the underpayment penalty.
How are estimated payments applied when earlier installments are unpaid?
The Department applies a payment to the earliest unpaid or underpaid installment first. Any remaining amount goes toward the next installment due.
Does a farmer or rancher filing jointly count a spouse's income?
Yes. The spouse's gross income must be included when deciding whether the couple meets the two-thirds-of-gross-income test.