North Dakota Individual Income Tax Return Booklet - Instructions and Tax Tables Only

Individual Income Tax Return Booklet - Instructions and Tax Tables Only
Individual Income Tax Instructions 2025
2025
North Dakota

INDIVIDUAL
INCOME TAX
INSTRUCTIONS

Form ND-EZ
Form ND-1

tax.nd.gov
[email protected]

Contents
Refund of local sales tax...................................Current page
Use tax requirement..........................................Current page
Privacy Act information......................................Current page
Electronic filing and direct deposit options...........................1
Changes for 2025.................................................................2
General instructions for all filers
	 Steps to completing your return.......................................4
	 Who must file a return......................................................4
	 Which form to use............................................................6
	Reciprocity.......................................................................6
	 When and where to file....................................................7
	 Extension of time to file....................................................7
	 Penalty and interest.........................................................7
	 Federal income tax return................................................7
	 Changing your return.......................................................7
	 Estimated tax requirement (for 2026)...............................8
	 How to file a return for a deceased taxpayer...................8
	 Disclosure notification......................................................8
Instructions for Form ND-EZ.................................................9
	 Direct deposit of refund....................................................9
	 Balance due (payment options).....................................10

	 Before you file—tips for trouble-free filing....................... 10
Instructions for Form ND-1.................................................. 11
	 Direct deposit of refund................................................... 15
	 Balance due (payment options)...................................... 16
	 Before you file—tips for trouble-free filing....................... 16
List of school district codes................................................. 19
2025 Tax Table.................................................................... 20
How to assemble your North Dakota return........................ 28
Forms or assistance............................................................ 29
Check the status of your refund.......................................... 29
Request a copy of your return
	 or other information......................................................... 29

Taxpayer Bill of Rights
Obtain a copy of the
North Dakota Taxpayer Bill of Rights
from our website at
tax.nd.gov

If you need a form or document mentioned in this booklet, you may obtain it from our website at tax.nd.gov, or request it by phone,
e-mail, fax, or letter—see the back cover of this booklet for phone numbers and addresses.

You might be eligible for a refund of local sales tax!
Most city and county local tax ordinances contain a local sales tax maximum, which varies among the local tax
jurisdictions. If you pay local sales tax in excess of the jurisdiction’s maximum amount, you may apply to the Office of
State Tax Commissioner to obtain a refund of the excess local sales tax paid. For example, if you purchase $4,000 of
furniture in a city having a 1% sales tax and a local sales tax maximum of $25, the retailer will collect $200 in state sales
tax ($4,000 x 5%) and $40 in local sales tax ($4,000 x 1%) at the time of purchase. You may apply to the Office of State
Tax Commissioner to obtain a refund of $15, which is the excess of the $40 local sales tax paid over the $25 local sales
tax maximum. Apply for a Local Tax Refund on our North Dakota Taxpayer Access Point (ND TAP) at
tax.nd.gov/LocalTaxRefund.

Do you owe use tax?

If you purchased goods from a source outside North Dakota that you use or consume in North Dakota on which you did
not pay North Dakota sales tax, you may have to pay state and local sales taxes to North Dakota. Technically, what you
have to pay is called a “use tax.” The use tax applies to the same goods that are subject to North Dakota’s sales tax. The
use tax applies whether you purchased the goods in person at an out-of-state location, or by mail, phone, or over the
Internet.
If you purchased the goods in another state and did not pay any sales tax to that state, you must pay the full use tax
to North Dakota. However, if you did pay the other state’s sales tax but paid less than what you would have paid in
North Dakota, you must pay use tax to North Dakota equal to the difference. If you purchased the goods in another
country, you must pay the full use tax to North Dakota regardless of whether you paid any tax to that country on the
purchase.
If you owe use tax to North Dakota, you must file a North Dakota use tax return using the One Time Remittance Form.
You can obtain it from our website at tax.nd.gov, or you may call us at 701‑328‑1246.
Privacy Act Notification. In compliance with the Privacy Act of 1974, disclosure of the individual’s social security number on this form is required under
N.D.C.C. §§ 57-01-15 and 57-38-31, and will be used for tax reporting, identification and administration of North Dakota tax laws. Disclosure is mandatory.
Failure to provide the social security number may delay or prevent the processing of this form.
28702 12-2025

North Dakota

Ready to give E-file a chance?

1

North Dakota participates in the Internal Revenue Service's (IRS) Federal/State Modernized E-file program.
This allows you to file and pay both your federal and North Dakota income tax return at the same time.
No matter what method you use to file - tax preparer, software you purchase, or one of the Free File options,
here are a few things to know:
	•	Direct Deposit - Use direct deposit for a safe, secure method of receiving your refund.
	•	Return Payments - If you owe money, you can make or schedule a payment when you e-file your
return, so you can reap the benefits of filing early while enjoying the flexibility of making the payment on a
date of your choosing up to the due date of your return.
	•	Amending a Return - Taxpayers can amend certain returns electronically; check with your tax preparer
or software vendor for availability.
	•	Estimated Payments - Taxpayers can schedule estimates when they e-file their return. This information
must be included when you submit your return, and your account will be debited on the dates you specify.
	•	Supporting Documents - If you are able, attach PDF copies of supporting documentation (only those
items not required to be entered into the program). Doing so may help us process your return without
requesting additional information.

Do it yourself!
Check the list of do-it-yourself software on

our website to see which vendor provides the
product that meets your needs.

Free File provides taxpayers the opportunity

to file their state and federal tax returns
electronically. Free File is a public-private
partnership between the IRS, states, and
many tax software industry leaders who
provide services for free.

Companies may charge a fee to file returns

unless you meet the criteria set forth by each
vendor to file for free.

Did You Know?

94%

of North Dakota tax filers
e-filed their taxes for the
2024 tax year!
Use North Dakota Taxpayer Access Point
(NDTAP) to see if you are eligible to use
Free File:
Go to

tap.tax.nd.gov

Under Individuals, select
Individual Income Tax Electronic Filing
Options.

If you file only your federal return

electronically, you will need to file your state
return on paper. Don't forget to include a
printed copy of your federal income tax
return.

The American Association of Retired Persons (AARP) Foundation and the IRS offers free tax preparation to
help taxpayers with their basic individual income tax returns.
Go to our website for more information.

2

North Dakota

Changes Affecting You and Your Income Tax —

Developments, updates, and items of interest relating to individual income tax.
New for 2025 — Employer Child Care
Contribution Income Tax Credit
The 2025 Legislature passed Senate
Bill 2282, which created a new income tax
credit for certain employer paid child care
reimbursements for its employees. Effective
beginning with tax year 2025, employers
can earn an income tax credit of 50% of the
first $1,000 of child care contributions per
employee.
	•	The credit may be earned by employer
payments made directly to child
care facilities or to employees for
reimbursement of their child care costs
for qualified child care.
	 •	 Qualified payments include those
made to child care facilities licensed in
North Dakota and payments to licensed
facilities located within 10 miles of
North Dakota.
See Schedule ECC and instructions for
additional details.

Military Updates
Withholding Exemption for Military Pay:
The 2025 Legislature passed Senate Bill 2047
to exempt military pay from North Dakota
income tax withholding provisions. Beginning
with tax year 2026, income from military pay
that qualifies for the military pay deduction is
no longer subject to North Dakota income tax
withholding provisions. If a taxpayer wishes to
have withholding deducted from the exempt
pay, they can instruct the employer to do so.
Military Retirement Benefit Exclusion:
If you are a retired military service member,
or a surviving spouse of a deceased retired
military service member, you may deduct
the amount of taxable military retirement
benefits that you reported on Form 1040
or Form 1040-SR, line 5b. Include benefits
received as a retired member of the U.S.
armed forces or its reserve components, Army
National Guard, or Air Force National Guard.
“U.S. armed forces” means the Army, Navy,
Air Force, Marine Corps, and Coast Guard.
Retirement benefits received for federal civil
service employment as a dual status military
technician under Title 32 or Title 10 are also
eligible for this deduction.

Federal Taxable Income — One Big
Beautiful Bill Act (OBBBA)

Consent to Obtain Form 1099-G
Electronically

	 •	 Increased standard deduction across all
filing statuses, with an additional $6,000
for some seniors.

Online Payment Options

In July 2025, Congress passed H.R. 1, also
known as the OBBBA. Among the changes
were extensions of several tax provisions
from the Tax Cuts and Jobs Act of 2017, along
with several other new changes affecting both
individual and business income taxes. The
starting point for computing North Dakota
taxable income perpetually conforms to
the computation of federal taxable income.
As a result, the federal changes to income
and deductions that impact the computation
of federal taxable income are by default
included in the starting point for computing
North Dakota taxable income for all years.
Some of the federal changes affecting
individuals are:

	 •	 Increased state and local tax deduction to
$40,000.
	 •	 Tip income and overtime pay exclusions.
Federal changes to federal income tax
credits do not have any direct impact on the
computation of North Dakota income tax
credits.

Reminder — Contribution Tax Credit
Documentation

If claiming a tax credit for a contribution, in
addition to any required schedule, attach a
copy of the letter you received from the school
or charitable organization to substantiate your
contribution and prevent delays in processing
your return. Some commonly used credit
Schedules are:
	•	Schedule ND-1PSC: Nonprofit private
school tax credits for individuals.
	 •	 Schedule ND-1QEC: Qualified
endowment fund tax credit.
	 •	 Schedule MCP: Contributions to a
maternity home, child placing agency, or
pregnancy help center.

The North Dakota Office of State Tax
Department mails a paper Form 1099-G
if there was an overpayment on the 2024
Form ND-EZ or Form ND-1 (last year's
return), you itemized deductions on your
federal return using Schedule A, and you
have not previously consented to receive
a Form 1099‑G electronically. If you
have consented to receive Form 1099-G
electronically, a paper 2025 Form 1099-G
showing the overpayment amount will not be
mailed to you. If this information is needed to
complete your 2025 federal income tax return,
it can be found on our website:
tax.nd.gov/individual/form-1099-g using the
1099-G Lookup Tool.
North Dakota offers a variety of online
payment options for submitting an estimated
tax payment, extension payment, or payment
of a balance due on a return.
For convenience, security, and reassurance
knowing the payment was timely received by
our office, you are encouraged to pay online
with a free electronic check or a debit or credit
card using North Dakota Taxpayer Access
Point (ND TAP). To pay online, go to:
tax.nd.gov/payment.

Choosing a Tax Return Preparer

You are ultimately responsible for the
accuracy of your tax return. Here are some
tips to consider when selecting a tax return
preparer:
	 •	 Choose a reputable tax professional. Do
your research and ask trusted family or
friends for recommendations.
	 •	 Make sure your preparer provides a copy
of your tax returns for your records.
	 •	 Select a preparer based on your needs.
Some preparers are open seasonally and
others are available year-round.

Stay Informed

Individuals, businesses, or other interested
persons may sign up to receive email
notifications when a newsletter or other
important information is issued by the Office
of State Tax Commissioner. To sign up, go to
tax.nd.gov and select “News Center” at the
top of the page. Then select “Email Sign-Up”.

North Dakota

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3

4

North Dakota

General information for all filers
Steps to completing your return
	 Step	Action

	1	 Determine if you have to file a return................................ current page
	2	 Complete your federal return......................................................page 7
	 3	 Determine which form to use......................................................page 6
			 Have you considered e-filing your return?................................page 1

	

4	 Go to the applicable instructions 			 If using Form ND-EZ.................................................................page 9
			 If using Form ND-1..................................................................page 11

	
	
	

5	 Assemble your completed return..............................................page 28
6	Read “Before you file”.................................................. page 10 or 16

7	 File your return on or before April 15, 2026 			 Where to file..............................................................................page 7
			 Need an extension?..................................................................page 7

Who must file a return
Full-year resident

If you were a full-year resident of
North Dakota for the 2025 tax year and
you are required to file a 2025 federal
individual income tax return, you must file
a 2025 North Dakota individual income
tax return. This applies even if you worked
outside North Dakota (including employment
overseas) during the tax year or have income
from sources outside North Dakota. You were
a full-year resident of North Dakota if you
were a resident of North Dakota for the entire
tax year or meet the statutory 7-month rule—
see “Statutory 7-month rule” on this page.
Definition of resident—In these instructions,
the term “resident” refers to an individual who
is a legal resident of North Dakota. Legal
residence (which is also called domicile)
means the place that is your permanent
home to which you always intend to return
whenever absent from it. If you have more
than one physical place of abode, only one
of them may be your legal residence. Legal
residence is based on your intent and your
actions.

Statutory 7-month rule—Even though you
were not a resident of North Dakota for any
part of the tax year—that is, you were a fullyear nonresident—you must file as a full-year
resident of North Dakota if you maintain a
permanent place of abode in North Dakota
and spend in the aggregate more than 210
days of the tax year in North Dakota. A
permanent place of abode means a house,
apartment, or other dwelling containing
cooking and bathroom facilities that is suitable
for year-round living and is maintained on a
permanent or indefinite basis. This 7‑month
rule does not apply if you were (1) a partyear resident of North Dakota, (2) a full-year
nonresident serving in the U.S. armed forces,
or (3) a full-year resident of Montana or
Minnesota covered by reciprocity.
Resident in U.S. armed forces—If you were
a full-year resident of North Dakota serving
in the U.S. armed forces during the 2025
tax year and you are required to file a 2025
federal individual income tax return, you must
file a 2025 North Dakota individual income
tax return as a full-year resident. This applies
regardless of where you were stationed
during 2025.

Civilian spouse of U.S. armed forces
service member—If you are a civilian spouse
of a U.S. armed forces service member, you
must file a 2025 North Dakota individual
income tax return if both of the following
apply:
	 •	 You are required to file a 2025 federal
individual income tax return.
	 •	 You were a full-year resident of
North Dakota for the 2025 tax year.
You are treated as a resident for this
purpose if you elect under the federal
Servicemembers Civil Relief Act to be
a North Dakota resident for state tax
purposes.
For more information, see the Civilian
Spouses of Military Service Members
income tax guideline.

Full-year nonresident

If you were a full-year nonresident of
North Dakota for the 2025 tax year, you must
file a 2025 North Dakota individual income tax
return if both of the following apply:
	 •	 You are required to file a 2025 federal
individual income tax return.
	 •	 You derived gross income from
North Dakota sources during the 2025
tax year. (See the box on page 5 for
what is included in gross income from
North Dakota sources.)
You were a full-year nonresident if you were
not a resident of North Dakota for any part
of the tax year and do not meet the statutory
7-month rule—see “Statutory 7-month rule”
on this page.
Nonresident in U.S. armed forces—If you
were a full-year nonresident of North Dakota
serving in the U.S. armed forces during
the 2025 tax year and you are required to
file a 2025 federal individual income tax
return, you must file a 2025 North Dakota
individual income tax return as a full-year
nonresident if you have gross income from
North Dakota sources other than your military
compensation.

North Dakota
Civilian spouse of U.S. armed forces
service member—If you are a civilian spouse
of a U.S. armed forces service member, you
are not required to file a 2025 North Dakota
individual income tax return if all of the
following apply:

Minnesota or Montana resident—If you
were a full-year resident of Minnesota for the
2025 tax year, you do not have to file a 2025
North Dakota individual income tax return if
both of the following apply:

	 •	 Your service member spouse’s permanent
duty station is in North Dakota.

	 •	 Your only gross income from North Dakota
sources was compensation for personal or
professional services.

	 •	 Your only gross income from North Dakota
sources was wages for work performed in
North Dakota.

	 •	 You returned to your home in Minnesota
at least once each month during the time
you worked in North Dakota.

	 •	 You resided in North Dakota only because
you wanted to live with your service
member spouse.

If you were a full-year resident of Montana
for the 2025 tax year, you do not have to
file a 2025 North Dakota individual income
tax return if your only gross income from
North Dakota sources was wages.

	 •	 Both you and your service member
spouse were full-year nonresidents of
North Dakota for the 2025 tax year.
You are treated as a nonresident for
this purpose if you elect under the
federal Servicemembers Civil Relief Act
to be a resident of a state other than
North Dakota for state tax purposes.
For more information, see the Civilian
Spouses of Military Service Members income
tax guideline.

See “Reciprocity” on page 6 for more
information.
Nonresident alien—If you were a
nonresident alien of the United States and
received gross income from North Dakota
sources during the 2025 tax year, you must
file a 2025 North Dakota individual income
tax return. Except where an income tax treaty

Gross income from North Dakota sources
for nonresidents only
For a nonresident, “gross income from
North Dakota sources” includes the
following:
•	 Compensation for services performed
in North Dakota, such as wages,
salaries, tips, commissions, and fees.
•	 Income from tangible property in
North Dakota, such as rents, oil and
gas royalties, and gain from the sale or
exchange of the property.
•	 Income from a trade or business
carried on in North Dakota, whether
as a sole proprietorship, partnership,
S corporation, or limited liability
company treated like a partnership or
S corporation.
•	 Income from an estate or trust, but
only to the extent the income is
derived from tangible property or a
trade or business in North Dakota.
•	 Income from gambling activity carried
on in North Dakota.
•	 Unemployment compensation
attributable to previous employment in
North Dakota.

Exceptions
Gross income from North Dakota
sources does not include these
items received while a nonresident of
North Dakota: military pay, interest,
dividends, pensions, annuities, gain
from the sale or exchange of intangible
property, compensation exempted under
reciprocity with Minnesota or Montana,
compensation exempted under federal
military and interstate commerce laws,
or compensation exempted under
North Dakota’s mobile workforce
exemption.
Note: Interest, dividends, gains,
and other income from intangible
property are included in gross
income from North Dakota sources
if derived from a trade or business
carried on in North Dakota, such as
a sole proprietorship, partnership, or
S corporation.

5

between the United States and a foreign
country specifically exempts income from
taxation by a U.S. state, income tax treaties
between the U.S. and foreign countries
do not apply for North Dakota income tax
purposes. Therefore, you may have to pay
North Dakota income tax on gross income
from North Dakota sources even though
the income is exempt from U.S. income tax
because of a treaty. For more information, see
the guideline Income Taxation of Nonresident
Aliens under “Guidelines” at tax.nd.gov.
Disaster recovery tax exemptions—
Exemptions from state and local tax filing and
payment obligations are available to out-ofstate businesses and their employees who
are in North Dakota on a temporary basis
for the sole purpose of repairing or replacing
natural gas, electrical, or telecommunication
transmission property that is damaged, or
under threat of damage, from a state-or
presidentially-declared disaster or emergency.
For more information, go to tax.nd.gov.

Part-year resident

If you were a part-year resident of
North Dakota for the 2025 tax year, you must
file a 2025 North Dakota individual income tax
return if both of the following apply:
	 •	 You are required to file a 2025 federal
individual income tax return.
	 •	 You derived gross income from (1) any
source inside or outside North Dakota
while you were a resident of North Dakota
or (2) a North Dakota source while you
were a nonresident of North Dakota. (See
the box on this page for what is included
in gross income from North Dakota
sources while a nonresident.)
You were a part-year resident of North Dakota
if you were a resident of North Dakota for
only part of the year. This generally applies
if you moved into or out of North Dakota and
the move constituted a change in your legal
residence. See “Definition of resident” on
page 4.

6

North Dakota

Native Americans

If you are a Native American, you are not
subject to North Dakota income tax and do
not have to file a North Dakota income tax
return if all of the following apply:
	 •	 You are enrolled as a member of a
federally-recognized Indian tribe.
	 •	 You lived on any Indian reservation in
North Dakota.
	 •	 You derived all of your income from
sources on any Indian reservation in
North Dakota.
If any of the above criteria are not met, you
may be subject to North Dakota income
tax. For more information, see the guideline
Income Taxation of Native Americans under
“Guidelines” at tax.nd.gov.

Which form to use
If you are required to file a 2025 North Dakota
individual income tax return, see the box on
this page to determine whether you should
use Form ND-EZ or Form ND-1.

Reciprocity
North Dakota has income tax reciprocity
agreements with the states of Minnesota
and Montana. If certain conditions in the
agreements are met, compensation for
services is taxable only by the state of
residence.

Which form to use—Form ND-EZ or Form ND-1?
Use Form ND-EZ........ if you answer No to ALL of the questions below.
Use Form ND-1........... if you answer Yes to ANY of the questions below.
	

Note: If you are filing a joint return with your spouse, check “Yes” if the answer is
“Yes” for either you or your spouse.
Yes	No

1.	 Were you a nonresident of North Dakota at any time in 2025?.......................	

	

2.	 Do you have any North Dakota addition adjustments?
	 (*See Form ND-1, lines 2-3).............................................................................	

	

3.	 Do you have any North Dakota subtraction adjustments?
	 (*See Form ND-1, lines 5-16)...........................................................................	

	

4.	 Are you claiming any North Dakota tax credits?
	 (*See Form ND-1, lines 21-23).........................................................................	

	

5.	
	
	
	

Did you pay, or were you required to pay, North Dakota
estimated income tax for 2025, or did you apply an
overpayment (refund) from your 2024 North Dakota return
as an estimated payment for 2025? (*See Form ND-1, line 27).....................	

	

6.	 Are you going to use the 3-year income averaging method
	 for farm income (on Schedule ND-1FA) to calculate your tax?........................	

	

7.	 Are you going to make an extension payment on Form ND-1EXT?

	

	

* The references show where to find more information.

	 1.	Complete the applicable items at the top
of Form ND‑1, page 1 (through line E), as
instructed.
	 2.	For item F, fill in the circle next to “MN/MT
RECIPROCITY” at the top of Form ND‑1,
page 1. Also enter “MN” or “MT”,
whichever applies, in the space under
“State.”
	 3.	Leave lines 1 through 25 blank.

Minnesota and Montana residents

If you are a resident of Minnesota and
maintain a permanent home in Minnesota to
which you return at least once each month
during the time you work in North Dakota,
the compensation you receive for personal
or professional services performed in
North Dakota is not taxable by North Dakota.
If you are a resident of Montana, wages you
receive for work performed in North Dakota
are not taxable by North Dakota.
If you received wages covered by reciprocity,
and your employer withheld North Dakota
income tax of $5.00 or more from them, you
must file a North Dakota individual income tax
return at the end of the tax year to obtain a
refund of the amount withheld. If this applies
to you and you do not have any other gross
income from North Dakota sources, complete
Form ND-1 as follows:

	

	 4.	Fill in the amount of the North Dakota
income tax withheld on lines 26, 28, 29,
and 32.
	 5.	File Form ND-1 with a copy of your
federal return and Form W-2s showing
North Dakota income tax withholding.
If your wages are covered by reciprocity and
you do not want your employer to withhold
North Dakota income tax from them, you must
obtain and complete Form NDW‑R and give it
to your employer.

North Dakota residents

If you are a resident of North Dakota and
maintain a permanent home in North Dakota
to which you return at least once each month
during the time you work in Minnesota, the
compensation that you receive for personal or
professional services performed in Minnesota
is not taxable by Minnesota. Also, wages you
receive for work performed in Montana while
a resident of North Dakota are not taxable by
Montana.

If you received wages covered by reciprocity
and your employer withheld Minnesota or
Montana income tax from them, you must file
an income tax return with the applicable state
to obtain a refund of the amount withheld. If
your wages are covered by reciprocity and
you do not want your employer to withhold
Minnesota or Montana tax from them,
you must give your employer a properly
completed Minnesota Form MW-R or
Montana Form MT-R, whichever applies.
For assistance and forms, contact:
•	 Minnesota Department of Revenue
	 Email:
[email protected]
	 Phone: 651-296-3781
	 Website: revenue.state.mn.us
•	 Montana Department of Revenue
	 Email:
[email protected]
	 Phone: 406-444-6900
	 Website: mtrevenue.gov

North Dakota

When and where to file
If you are filing on a calendar year basis, you
must file your 2025 North Dakota individual
income tax return on or before April 15, 2026.
If you are filing on a fiscal year basis, you
must file on or before the 15th day of the
fourth month following the close of your fiscal
tax year. If the due date falls on a Saturday,
Sunday or holiday, you have until the next day
that is not a Saturday, Sunday, or holiday to
file your return.
Mail your return to:
	 Office of State Tax Commissioner
	 P.O. Box 5621
	 Bismarck, ND 58506-5621

Extension of time to file
You may obtain an extension of time to file
your North Dakota individual income tax
return by obtaining either a federal extension
or a North Dakota extension.

Federal extension

If you obtain an extension of time to file
your federal return, it will be recognized for
North Dakota individual income tax purposes.
This includes the automatic extension allowed
for being outside the U.S. and Puerto Rico on
April 15. You do not have to file a separate
state extension form or notify the Office
of State Tax Commissioner that you have
obtained a federal extension prior to filing
your North Dakota return. Fill in the circle next
to “Extension” at the top of Form ND-EZ or
Form ND-1, whichever applies.

North Dakota extension

If you do not obtain a federal extension, but
need additional time to file your North Dakota
return, you may apply for a North Dakota
extension by completing and filing Form 101.
This is not an automatic extension—you must
have good cause to request a North Dakota
extension. Form 101 must be postmarked
on or before the due date of your return.
You will be notified whether your extension
request is approved or rejected. If approved,
fill in the circle next to “Extension” at the top
of Form ND-EZ or Form ND-1, whichever
applies.

Extension interest

If you obtain an extension and file your
North Dakota return on or before the
extended due date, and you pay any tax
balance due with the return, no penalty will be
charged. Interest on any tax due on the return
will be charged at the rate of 12% per year
from the original due date of your return to the
earlier of the date you file your return or the
extended due date.

Prepayment of tax due

If you are applying for an extension of time to
file, you may prepay the tax that you expect
to owe to avoid paying extension interest. For
payment options, go to tax.nd.gov and select
“Make A Payment.” If submitting a payment
by paper check or money order, you must
complete and submit a 2025 Form ND‑1EXT
payment voucher with the payment.
Alternatively, you may submit a paper check
or money order along with a letter containing
the following:
	 •	 Your name.
	 •	 Your social security number.
	 •	 Your address and phone number.

7

In addition to any penalty, interest must
be paid at the rate of 1% per month or
fraction of a month, except for the month in
which the tax was due, on any tax due that
remains unpaid after the return’s due date (or
extended due date).

Federal income tax return
You must complete your 2025 federal
individual income tax return (Form 1040 or
1040-SR) before you complete your 2025
North Dakota individual income tax return.
Certain information from your federal return is
needed to complete your North Dakota return.
If you are filing your North Dakota return
on paper, you must attach a complete
copy of your federal income tax return to
your North Dakota return. A complete copy
consists of Form 1040 or 1040‑SR and all
supplemental forms and schedules. You do
not have to include depreciation schedules
or any other statements that you may have
prepared as supporting documentation to your
federal return.

	 •	 Statement that you are making a
2025 Form ND-1EXT payment.
If you prepay your tax, you must file
Form ND-1 and claim the payment on page 2,
line 27; you may not file Form ND-EZ.

Penalty and interest
If you obtain an extension of time to file
your return, you may pay the tax due by
the extended due date of the return without
penalty, but extension interest will apply—see
“Extension interest” and “Prepayment of tax
due” on this page.
If you file your return by its due date (or
extended due date), but you do not pay all of
the tax due on it by the return’s due date (or
extended due date), a penalty equal to 5%
of the unpaid tax due or $5.00, whichever is
greater, must be paid.
If you file your return after its due date (or
extended due date), and there is an unpaid
tax due on it, a penalty equal to 5% of the
unpaid tax due or $5.00, whichever is greater,
applies for the month the return was due, with
an additional 5% of the unpaid tax due for
each month (or fraction of a month) the return
remains delinquent, not to exceed 25% of the
tax due.

Changing your return
If you need to change your North Dakota
return after you file it, you must file an
amended return. There is no special form
for this purpose. See “How to prepare an
amended return” on page 8.
If you paid too much tax because of an error
in your return, you generally have three years
after you file your original return to file an
amended return to correct the error and claim
a refund of the overpayment. For other time
periods that may apply, see North Dakota
Century Code § 57-38-40 or contact the
Office of State Tax Commissioner.
Penalty and interest apply to additional tax
due on an amended return.

Change to federal return

By law, you must file an amended
North Dakota return to report changes made
to your federal return. This applies whether
the changes are attributable to your filing
of an amended federal return or an audit
or correction by the IRS. The amended
North Dakota return must be filed within
90 days after filing the amended federal return
or within 90 days after the final determination
of the IRS changes.

8

North Dakota

How to prepare an amended return

Estimated tax requirement
(for 2026)

How to file a return for a
deceased taxpayer

	 2.	Enter your name, current address, social
security number, and other information
required at top of return.

You must pay estimated North Dakota income
tax for the 2026 tax year if all of the following
conditions apply:

	 3.	Fill in the circle next to “Amended return:
General” or “Amended return: Federal
NOL,” whichever applies, in the top righthand corner of the return. See “Amended
return” on page 11 for more information.

	 1.	You are required to pay estimated federal
income tax for 2026.

If a final federal income tax return is required
to be filed for a decedent for the year of
death, a final North Dakota income tax
return also must be filed. A court-appointed
personal representative is responsible for
filing the decedent’s final return, even if
there is a surviving spouse. The information
from the final federal return is used to
complete the final North Dakota return, and
the North Dakota return is to be signed in
the same manner as required for federal
income tax purposes. If there is a personal
representative and no surviving spouse, a
copy of the court document showing the
appointment must be attached to the final
return. If there is a surviving spouse and the
final return will be filed on a joint basis, a
refund will be mailed in both spouses’ names.

	 1.	Obtain a blank Form ND-1 for the tax
year affected by the changes.

	 4.	Complete the return through the net tax
liability line.
	 5.	Leave the line for income tax withholding
blank unless you are claiming an
additional amount not previously claimed.
	 6.	On the “Total payments” line, enter the
net tax liability shown on your original
return or previously filed amended return.
If the net tax liability has not been fully
paid at the time the amended return is
filed, only enter the amount of tax that
has been paid.
	 7.	Complete the remaining portion of the
return according to the instructions. On
an amended return, you may not adjust
the amount of any voluntary contribution,
nor the amount of an overpayment
applied to the next year’s estimated tax.
	 8.	Attach a statement explaining why you
are changing your return. If you are doing
so because of changes you or the IRS
made to your federal return, attach a
copy of the amended federal return or
IRS notice. If amending to claim a net
operating loss carryback, attach Form
1045 or 1040X.
	 9.	Write "State Only Amended" at the top of
Form ND-1 if filing a paper return.

	 2.	Your North Dakota net tax liability for
2025 is $1,000 or more. (If you are not
required to file a North Dakota return for
2025, you do not have to pay estimated
tax for 2026.)
	 3.	You expect to owe (after subtracting
any estimated North Dakota income
tax withholding) at least $1,000 in
North Dakota income tax for 2025.
	 4.	You expect your North Dakota income tax
withholding for 2026 to be less than the
smaller of the following:
	

(a)	 90% of your 2026 North Dakota net
tax liability. Note: Substitute 66 2/3%
if a qualified farmer—see instructions
for 2026 Form ND‑1ES.

If there is no surviving spouse and no
personal representative has been appointed
for the decedent, attach a copy of the death
certificate and a copy of one of the following:

	

(b)	 100% of your 2025 North Dakota
net tax liability. If you moved into
North Dakota during 2025 and had
no income from North Dakota prior to
the move, this 100% threshold does
not apply; you must satisfy the 90%
threshold in part (a).

	 •	 Letter of Testamentary.

In general, one-fourth (25%) of the total
estimated tax required to be paid for the 2026
tax year must be paid by April 15, June 15,
and September 15, 2026, and January 15,
2027.
For payment options, go to tax.nd.gov and
select “Make A Payment.” If submitting a
payment by paper check or money order,
you must complete and submit a 2026
Form ND‑1ES payment voucher with the
payment.

	 •	 Letter of Administration.
	 •	 Affidavit for Collection of Personal
Property of Decedent.
For assistance, see back cover of booklet.
Fill in the circle for “Deceased” and enter the
date of death next to the deceased taxpayer’s
name on Form ND-EZ or Form ND-1,
whichever applies.

Disclosure notification
Upon written request from the chairman of a
North Dakota legislative standing committee
or Legislative Management, the law requires
the Office of State Tax Commissioner to
disclose the amount of any deduction or credit
claimed on a tax return. Any other confidential
information, such as a taxpayer’s name or
social security number, may not be disclosed.

North Dakota

9

2025 Form ND-EZ instructions
	 Before you begin . . .
	
●	 Are you eligible to use Form ND-EZ? See “Which form to use” on page 6.
	
●	 Be sure to have a copy of your completed 2025 federal income tax return (Form 1040 or 1040-SR)
		 at hand. You will need information from it to complete Form ND-EZ.
	 Note: A complete copy of your federal return must be filed with your state return.

Instructions for top of
Form ND‑EZ
Name and address

Enter your full name and current address.
If you are married and filing a joint return,
include your spouse’s full name. If the
taxpayer died during the 2025 tax year, fill in
the circle for “Deceased” and enter the date
of death.

Social security numbers

Enter your social security number. If married
filing jointly, also enter your spouse’s social
security number.

Item A - Filing status

Fill in the circle next to the filing status that
you used on your 2024 Form 1040 or 1040SR.

Construction...............................................6
Manufacturing.............................................7
Transportation, communication,
	 and public utilities...................................8
Exploration, development, and
	 extraction of coal, oil, and
	 natural gas..............................................9
Banking, insurance, real estate,
	 and other financial services..................10
Military service..........................................11
Retirement
	 (Pensions, annuities, IRAs, etc.)...........12

Item D - Extension

Fill in the circle next to “Extension” only if you
have an extension to file your North Dakota
return. See “Extension of time to file” on
page 7.

Instructions for lines 1-9 of
Form ND-EZ

Item B - School district code

Select the code number from the list of school
district codes on page 19.

Item C - Income source code

Select from the following list the code number
corresponding to the area from which you
derived the majority of your North Dakota
sourced income for the tax year.
Source
Code
of income
number
Farming, ranching, or
	 agricultural production............................1
Retail, wholesale trade, and
	 eating and drinking places......................2
Federal, state, county, or city
	 government service................................3
Public or private education.........................4
Accounting, legal, health, motel,
	 and other personal or professional
	 services not classified elsewhere...........5

Line 1b - Federal taxable income

On Form 1040 or 1040-SR line 15, you
are instructed to enter "-0-" for your federal
taxable income if it calculates out to be
less than zero. However, for purposes of
completing Form ND-EZ, enter the negative
number on line 1b. Enter a minus sign (-) to
the left of the number.

Line 3 - Withholding

Enter the North Dakota income tax withheld
shown on a 2025 Form W-2, Form 1099,
or North Dakota Schedule K-1. Also enter
North Dakota income tax withheld shown
on a 2024 North Dakota Schedule K-1 if the
tax year of the partnership, S corporation,
estate, or trust shown on the Schedule K-1 is
a fiscal year ending in your 2025 tax year. Be
sure the state identified on the Form W-2 or
Form 1099 is North Dakota. Do not enter on
this line North Dakota extraction or production

taxes withheld from mineral interest income,
such as an oil or gas royalty, because they
are not income taxes. Include a copy of the
Form W-2, Form 1099, or North Dakota
Schedule K-1.

Line 5 - Voluntary contribution of
overpayment

If you have an overpayment on line 4, you
may make a voluntary contribution of part
or all of it to any of the three funds on this
line. Enter the amount you wish to contribute
on the line to the right of the fund name. If
contributing, you must contribute at least
$1.00 to the fund. A contribution will reduce
your refund.

Line 6 - Direct deposit of refund

If you want us to deposit your refund directly
into your bank account, complete items a, b,
and c below line 6. Check with your financial
institution to see if it will accept direct deposit
and to obtain the correct routing and account
numbers.
Routing number (Item b)—Enter the 9‑digit
routing number. The first two digits must
be within the range of 01 through 12 or 21
through 32.
Account number (Item c)—Enter the
account number. It may have up to 17 digits
(both letters and numbers). Include hyphens,
but omit special symbols.
If depositing into a checking account, see
the sample check on page 10 for where to
find the routing and account numbers. If
depositing into a savings account without
a check writing feature, ask your financial
institution for the correct account number to
use.

10

North Dakota

Sample check for direct deposit (line 6)
Taxpayer(s) Name(s)	
9999 Main Ave.
Anytown, ND 99999	
Pay to
Order of __________________________________________	

9999
15-0000/0000

$ __________

________________________________________________________	
Your Bank
Anytown, ND USA 99999
Memo _______________________	

Dollars

___________________________

: 123456789 : 12345678912345678 • 9999

	Routing number	

	

(Item b)	

Account number	
(Item c)	

Do not include the check number
as part of the account number.

Please note:
	 •	 Do not use the number on a deposit slip
for the routing or account number.
	 •	 You will not receive notification of when
the deposit is made by our office. Contact
your bank or check your bank statement
to verify the deposit.
	 •	 If the routing or account number is
incorrect, or if your financial institution
does not accept the direct deposit, a
paper check will be issued.
	 •	 Due to electronic banking rules, the Office
of State Tax Commissioner will not allow
a direct deposit to or through a foreign
financial institution. In this case, a paper
check will be issued.

Line 8 - Voluntary contribution

If you have a tax due on line 7, you may make
a voluntary contribution to any of the three
funds on this line. Enter the amount you wish
to contribute on the line to the right of the fund
name. If contributing, you must contribute
at least $1.00 to a fund. A contribution will
increase your balance due.

Line 9 - Balance due

The balance due must be paid in full with your
return. You may pay the balance due online
with an electronic check or a debit or credit
card. To pay online, go to tax.nd.gov and
select “Make A Payment.”
If you are filing a paper return and paying the
balance due with a paper check or money
order, complete a 2025 Form ND‑1PRV
payment voucher and enclose it with the
payment.

However, if you are filing your return
electronically, complete and submit a 2025
Form ND‑1V with the paper check or money
order. Make check or money order payable to
“ND State Tax Commissioner,” and write the
last four digits of your social security number
and “2025 Form ND-EZ” on your check or
money order. A check must be drawn on a
U.S. or Canadian bank, be in U.S. dollars,
and use a standard 9-digit routing number. A
check drawn on a foreign bank (except one in
Canada) cannot be accepted.

Signatures

Sign and date your return. If a joint return,
both spouses must sign.

Form 1099-G consent and
disclosure authorization

At the bottom of Form ND-EZ (below line 9),
fill in the applicable circle(s) to indicate if you
want either or both of the following items to
apply.
Form 1099-G consent. If there is an
overpayment on your 2025 Form ND‑EZ, line
4, federal tax law requires our office to file
with the IRS and mail to you a Form 1099‑G
showing the overpayment amount. You
may need this information when preparing
your 2026 federal income tax return. Fill in
the circle for this item if you want to obtain
Form 1099‑G electronically from our website
instead of receiving it by mail. The 2026
Form 1099-G will be available on our website
in January 2027. For more information, go to
our website at tax.nd.gov.

Disclosure authorization. Fill in the circle
for this item if you want to authorize our office
to communicate directly with your tax return
preparer about your 2025 return. This may
include requesting information needed to
process the return and responding to inquiries
from your preparer about correction notices
you receive from us. The authorization does
not allow your preparer to receive your refund
check, to bind you in any way, or to legally
represent you. The authorization only applies
to the individual whose printed name and
signature appear in the preparer’s signature
area, and it automatically expires on the due
date (including extensions) for filing your 2026
return.

Before you file, did you—
	 Sign your return?
	

An unsigned return is incomplete.

	

Include a complete copy of your
federal return?

	

Return is incomplete without it.

	 Write your social security
	

number on return?

We use this number to identify your
return.

	 Check your math?
	

Most common error made.

	 Include all Form W-2s?
	

Also include a copy of a 1099 or
Schedule K-1 showing North Dakota
withholding.

	 Use the correct postage?
	

Avoid mailing problems by using the
correct postage.

Important! If your return is missing your

signature or a copy of your federal return,
it will be sent back to you. This may result
in late filing and payment charges if you
resubmit it after the due date.

For worry-free filing, file your
return electronically—see page 1!

North Dakota

11

2025 Form ND-1 instructions
	 Before you begin . . .
	

●	 Be sure to have a copy of your completed 2025 federal income tax return (Form 1040 or 1040-SR) at hand. You will
need information from it to complete Form ND-1.

	 Note: A complete copy of your federal return must be filed with your state return.

Nonresident of North Dakota for
part or all of the 2025 tax year

If you were a nonresident of North Dakota for
part or all of the 2025 tax year, first complete
Form ND-1 through line 19. Then complete
Schedule ND‑1NR to calculate the amount
of your tax. On Schedule ND‑1NR, you will
indicate whether you were a nonresident
for part or all of the tax year by filling in
your residency information at the top of the
schedule.
If you are married and filing a joint return, and
either you or your spouse was a nonresident
of North Dakota for part or all of the tax year,
you must complete Schedule ND-1NR on
a joint basis and attach it to Form ND-1.
On Schedule ND-1NR, each of you must
indicate your residency status by filing in
your residency information at the top of the
schedule.

Instructions for top of page 1 of
Form ND‑1
Fiscal year filer only

If you are filing your 2025 federal income
tax return (Form 1040 or 1040-SR) on a
fiscal year basis, you must file your 2025
North Dakota income tax return for the same
fiscal year. Enter in the spaces provided at
the top of Form ND-1 the ending date of your
fiscal tax year.

Name and address

Enter your full name and current address.
If you are married and filing a joint return,
include your spouse’s full name. If the
taxpayer died during the 2025 tax year, fill in
the circle for “Deceased” and enter the date
of death.

Social security numbers

Item D - Amended return

Item A - Filing status

	•	Amended return: General—
		 If you are changing the return for
any reason other than a federal net
operating loss carryback.

Enter your social security number (and your
spouse’s social security number, if married
filing jointly).

Fill in the circle next to the filing status
that you used on your 2025 Form 1040 or
1040‑SR.

Item B - School district code

Select the code number from the list of school
district codes on page 19.

Item C - Income source code

Select from the following list the code number
corresponding to the area from which you
derived the majority of your North Dakota
sourced income for the tax year.
Source
of income

Code
number

Farming, ranching, or
	 agricultural production............................1
Retail, wholesale trade, and
	 eating and drinking places......................2

If you are filing this return to change a return
you previously filed for the 2025 tax year, fill
in the circle next to:

	•	 Amended return: Federal NOL—
		 If you are changing the return because
of a federal net operating loss
carryback.
See “Changing your return” on page 7 for
more information.

Item E - Extension

Fill in the circle next to “Extension” only if you
have an extension to file your North Dakota
return. See “Extension of time to file” on
page 7.

Item F - MN/MT reciprocity

Fill in the circle next to “MN/MT Reciprocity”
only if you are a Minnesota or Montana
resident who is filing this return solely to claim
a refund of North Dakota income tax because
of reciprocity. See page 6 for details.

Federal, state, county, or city
	 government service................................3
Public or private education.........................4
Accounting, legal, health, motel,
	 and other personal or professional
	 services not classified elsewhere...........5
Construction...............................................6
Manufacturing.............................................7
Transportation, communication,
	 and public utilities...................................8
Exploration, development, and
	 extraction of coal, oil, and
	 natural gas..............................................9
Banking, insurance, real estate,
	 and other financial services..................10
Military service..........................................11
Retirement
	 (Pensions, annuities, IRAs, etc.)...........12

Instructions for lines 1-37 of
Form ND-1
Line 1b - Federal taxable income

On Form 1040 or 1040-SR, line 15, you are
instructed to enter “0” for your federal taxable
income if it calculates out to be less than
zero. However, for purposes of completing
Form ND-1, enter the negative number on
line 1b. Enter a minus sign (-) to the left of the
number.

12

North Dakota

Line 2 - Contribution adjustment

Enter on this line the amount, if any,
from Schedule ND-1PG, line 15,
or Schedule  ND‑1QEC, line 16.
However, if you are claiming a credit
on both Schedule ND‑1PG, line 7, and
Schedule ND‑1QEC, line 5, or you are
claiming an endowment credit from a
North Dakota Schedule K-1, obtain and
complete the Contribution Adjustment
Worksheet to calculate the amount to enter
on this line. The worksheet is available
online at tax.nd.gov. Include a copy of the
worksheet.
If you claimed the standard deduction on
your 2025 Form 1040 or 1040-SR, line 12,
you do not have to make an adjustment on
this line unless you are claiming a credit on
Schedule ND‑1QEC based on a contribution
you made from an individual retirement
account under I.R.C. § 408(d). See the
instructions to Schedule ND-1QEC, line 13.
If you are only claiming an unused planned
gift or endowment credit carried over from a
prior tax year, and none of the contribution
on which it is based was carried over and
deducted on your 2025 Form 1040 or
1040‑SR, no adjustment is required on this
line.

Line 5 - U.S. obligation interest
Enter the following on this line:

	 •	 Interest income from U.S. obligations.
	 •	 Interest income from other securities that
is specifically exempted from state income
tax by federal statute.
	 •	 The portion of dividend income from a
mutual fund attributable to investment
in U.S. obligations and other securities
the interest from which is exempted from
state income tax by federal statute.
Common sources of interest income that may
be entered on this line include:
	 •	 U.S. savings bonds and Treasury bills and
notes.
	 •	 Securities issued by:
	
	
	
	
	
	
	
	
	

Banks for cooperatives
Commodity Credit Corporation
Federal Deposit Insurance 		
Corporation
Federal Farm Credit System
Federal Home Loan Banks
Federal Intermediate Credit Banks
Federal Land Banks
Federal Savings & Loan Insurance 	
Corporations
Student Loan Marketing Association

Do not enter on this line interest income
from securities of the Federal Home Loan
Mortgage Corporation (Freddie Mac), Federal
National Mortgage Association (Fannie
Mae), and Government National Mortgage
Association (Ginnie Mae), nor from a federal
income tax refund or repurchase agreement.

Line 6 - Net long-term capital gain
exclusion

If your federal taxable income includes a net
long-term capital gain (including a capital
gain distribution from a mutual fund), you
may be able to exclude 40 percent of the gain
from your North Dakota taxable income. If
you were a full-year nonresident or a partyear resident of North Dakota for the year,
only a net long-term capital gain reportable
to North Dakota is eligible for the exclusion.
A net long-term capital gain included in an
amount entered on line 7, or 16 of Form ND-1
is not eligible for the exclusion.
Complete the worksheet on page 13 to
calculate the amount to enter on this line.

Line 7 - Native American’s exempt
income
If you are an enrolled member of a federallyrecognized Indian tribe who lived on any
Indian reservation in North Dakota for all of
2025, enter on this line income you derived
from sources on any Indian reservation in
North Dakota. This includes the portion of
the Standing Rock and Lake Traverse Indian
Reservations situated in South Dakota.
Do not enter income derived from nonreservation sources in North Dakota. If you
lived in North Dakota in 2025, but you did
not reside on an Indian reservation for part
or all of 2025, do not enter income earned or
received while living off the reservation.

Line 8 - U.S. Railroad Retirement
Board benefits

Enter on this line the portion of any
unemployment, sick pay, or retirement
benefits received from the U.S. Railroad
Retirement Board that are taxable on your
federal income tax return. The U.S. Railroad
Retirement Board will be shown as the
payer or employer on the Form 1099‑G
(unemployment), Form W-2 (sick pay),
or Forms RRB‑1099 and RRB‑1099-R
(retirement) issued to you.

Line 9 - Licensed peace officer
retirement benefits exclusion

Certain retirement benefits of a licensed
peace officer are excludable from
North Dakota taxable income. The exclusion
is allowable for a retired licensed peace
officer with a minimum of 20 years of service
or that was retired disabled. If allowable, enter
on this line the amount of taxable retirement
benefits included in federal taxable income on
Form 1040 or Form 1040-SR, line 5b. Only
include benefits issued by your employer’s
retirement plan, generally found on Form
1099-R, box 2a. Attach Form 1099-R to your
return.
For the first tax year claiming this exclusion,
also provide the following with your return:
	 •	 If having at least 20 years of licensed
status in North Dakota:
	

O	 Attach page 1 of your Peace Officer
Standards and Training (POST) board
training profile document. A copy may
be obtained from the POST board.

	 •	 If meeting 20 years of licensed status
attributable to service other states:
	

O	 Attach documentation from each
official licensing board or jurisdiction
to reflect the years or term of licensed
service, totaling at least 20 years.

	 •	 For retired disabled:
	

O	 Attach the documentation from
the employer’s plan or medical
documentation to substantiate the
individual became medically or
physically disabled while employed as
a licensed peace officer and unable to
discharge the person’s duties.

For additional information, please see
Guideline – Income Tax: Licensed Peace
Officer Retirement Exclusion on our
website.

Line 10 - Servicemember Civil
Relief Act adjustment

If you were a full-year nonresident of North
Dakota for the tax year, enter on this line
compensation received for active duty in
the U.S. armed forces or the commissioned
corps of the Public Health Service or National
Oceanic and Atmospheric Administration. If
a part-year resident, only enter the amount
received for service while a nonresident of
North Dakota. Include a copy of Form W-2
showing the military pay.

North Dakota
Line 11 - Military pay exclusion

Enter on this line the military pay you received
as a member of the U.S. armed forces on
active and reserve duty and a member of
the national guard. The deduction is allowed
to the extent the military pay is included
in federal taxable income. Military pay for
purposes of this deduction is all military pay,
including federal pay for training, education,
mobilization, and bonuses and state pay
when called to state active duty. Include a
copy of Form W-2 showing the military
pay.
If you included wages as a Dual Status
Technician on line 11, include a copy of
Standard Form 50 (SF-50), Notification of
Personnel Action.
If you included income on line 10 for federal
active duty pay under the Servicemember
Civil Relief Act, do not include that income on
line 11.

Line 12 - ND College SAVE
contribution deduction

If you made a contribution during the tax year
to a North Dakota College SAVE account
administered by the Bank of North Dakota,
you are allowed a deduction for the
contribution, up to a maximum of $5,000
($10,000, if married filing jointly). You are
allowed the deduction regardless of whether
you or someone else owns the account. A

rollover of funds from another I.R.C. § 529
college savings plan into a North Dakota
College SAVE account does not qualify.

Line 13 - Qualified dividend
exclusion

If you were a full-year resident of North
Dakota during the tax year, multiply the
qualified dividends from Form 1040 or
1040‑SR, line 3a, by 40 percent and enter the
result.
If you were a part-year resident or full-year
nonresident of North Dakota during the tax
year, multiply the portion of the qualified
dividends from Form 1040 or 1040‑SR,
line 3a, that are reported to North Dakota by
40% and enter the result.
Note: Only include dividends that are
reported on Schedule ND-1NR, line 2,
column B.

Line 14 - Military retirement benefit
exclusion

If you are a retired military service member,
or a surviving spouse of a deceased retired
military service member, enter on this line
the amount of taxable military retirement
benefits that you reported on Form 1040
or Form 1040-SR, line 5b. Include benefits
received as a retired member of the U.S.
armed forces or its reserve components, Army

13

National Guard, or Air Force National Guard.
“U.S. armed forces” means the Army, Navy,
Air Force, Marine Corps, and Coast Guard.
Retirement benefits received for federal civil
service employment as a dual status military
technician under Title 32 or Title 10 are also
eligible for this deduction. Include a copy of
Form 1099-R.

Line 15 - Social security benefit
exclusion

Enter on this line the taxable portion of
your Social Security benefit`s reported on
Form 1040 or 1040-SR, line 6b.
Do not enter on this line taxable Tier 1 Social
Security equivalent benefits reported on
a Form RRB-1099 from the U.S. Railroad
Retirement Board; instead, enter the taxable
portion of these benefits on Form ND-1, line
8.
If you receive both Tier 1 benefits
(Form RRB‑1099) and social security benefits
(Form SSA-1099) determine the amount
to enter on Form ND‑1, lines 8 and 15,
respectively, by multiplying the amount from
Form 1040 or 1040-SR, line 6b, by a ratio
equal to the gross amount of each type of
benefit divided by the gross amount of both
benefits combined.

Worksheet For Net Long-Term Capital Gain Exclusion (Form ND-1, Line 6)
Capital gain distribution — If you reported capital gain distributions on Form 1040 or 1040-SR, line 7 (and you did not have to complete
Schedule D), skip lines 1 and 2 and enter the distributions on line 3 of this worksheet.
1.	 Enter amount from 2025 Schedule D (Form 1040), line 15. If zero or less, stop here; no exclusion is allowed	

1 _____________

2.	 Enter amount from 2025 Schedule D (Form 1040), line 16. If zero or less, stop here; no exclusion is allowed	

2 _____________

3.	 Enter the smaller of line 1 or line 2.......................................................................................................................................................3 _____________
	

•	

If a full-year resident, enter the amount from line 3 on line 5 and go to line 6.

	

•	

If a full-year nonresident or part-year resident, go to line 4.

4.	 Complete lines 4a through 4d using only the capital gains and losses reportable to North Dakota:
	

a.	 North Dakota net short-term capital gain (loss)....................................................................................... 4a _____________

	

b.	 North Dakota net long-term capital gain (loss)........................................................................................4b _____________

	

c.	 Combine lines 4a and 4b. If zero or less, enter -0-.................................................................................. 4c _____________

	

d.	 Enter the smaller of line 4b or line 4c......................................................................................................4d _____________

5.	 If a full-year resident, enter amount from line 3. Otherwise, enter smaller of line 3 or line 4d.............................................................5 _____________
6.	 Portion of line 5 included in an amount entered on Form ND-1, line 7, or 16......................................................................................6 _____________
7.	 Subtract line 6 from line 5............................................................................