Below is a list of credits that are available on your North Dakota return:
Credit for Taxes Paid to Another State
If you were a full-year resident to North Dakota and paid income tax to another state or local jurisdiction in that state, you may be eligible for an income tax credit.
Agricultural Commodity Facility Investment Credit
If you made qualifying purchases, improvements or investments in a state approved zone for the North Dakota Renaissance Zone Program, you may be eligible for a credit.
Seed Capital Investment Credit
Enter the amount of qualified investments made in a business that is certified for the seed capital investment credit program. The unused portion of a credit based on a current year investment may be carried over for up to 4 years.
Biodiesel Fuel Supplier Wholesaler Credit
If you are a licensed fuel supplier in North Dakota and you blended biodiesel or green diesel fuel with a minimum 5% blend that meets ASTM specifications, you are allowed a credit that is equal to 5 cents per gallon blended. The unused portion of the current tax year credit may be carried over up to 5 tax years.
Biodiesel Fuel Seller Retailer Credit
A tax credit is allowed to a North Dakota licensed fuel seller (retailer) of biodiesel or green diesel fuel. The credit is equal to 10% of the costs to adapt or add equipment to the seller’s facility in North Dakota to enable it to sell biodiesel or green diesel with a minimum 2% blend that meets ASTM specifications. The credit is allowed in each of 5 tax years, starting with the tax year in which sales of the eligible fuel begin.
Partnership Plan Long-term Care Insurance Credit
If you are a North Dakota resident and paid premiums for you or your spouse for a partnership plan long-term care insurance policy, you are allowed a credit. This credit is equal to the premiums you paid during the tax year with a maximum credit of up to $250 ($500 for both spouses if they are both insured).
Note: There are long-term care insurance policies that ARE NOT partnership plan policies for which the premiums are not eligible for this credit. You must look for the certification statement in your policy or contact your insurance company to verify.
Angel Investor Investment Tax Credit
Your allowable credit is equal to the smaller of $45,000 or the sum of your Angel investment credit.
Note: This line is only for credits attributable to investments made on or after July 1, 2017.
Endowment Fund Credit
If you made one or more qualifying contributions to a qualified endowment fund, you may be eligible to claim this credit.
Housing Incentive Fund Tax Credit Carryover
Enter any unused housing incentive fund credit carried over from tax years 2012 through 2016.
Automation Tax Credit
If you qualify for the automation tax credit under N.D.C.C. § 57-38-01.41, enter the amount of credit shown on the credit approval letter issued to you from the North Dakota Office of State Tax Commissioner.
Automation Tax Credit Carryover
Include any unused credit carried over from tax years 2012 through 2016.
Nonprofit Private School Tax Credits
If you made charitable contributions to a nonprofit private primary school, high school, and or college, you may be eligible for this credit. A separate credit is allowed for each of the three categories mentioned.
Developmentally Disabled/Mentally Ill Employee Tax Credit
A tax credit is available for employing an individual with a developmental disability or mental illness. To qualify, you must apply for and obtain a certification from the North Dakota Department of Human Services. The credit is equal to 25% of the wages paid, up to a maximum credit of $1,500.
Family Member Care Tax Credit
A tax credit for payment of expenses to care for elderly or disabled family member.
Where do I enter this in my account?
To enter these credits on your North Dakota return, follow the steps below:
- State Section
- North Dakota Return
- Credits
For more information regarding these credits, please click here.