ND Income Tax Credit

To discuss gifting options related to the ND Income Tax Credit, contact Curtis Cox, senior director of gift planning.

North Dakota taxpayers can earn a special tax break while positively impacting NDSU's campus community.

Contributions of $5,000 or more to qualified North Dakota endowment funds are eligible for a 40% tax credit.*

The easiest planned gift to make  is an endowment. Endowments are permanent invested funds that provide a stable, ongoing source of money for scholarships, special programs, or other campus needs. If you already have an endowment named for yourself or someone special, this is a great time to increase your investment. If you do not wish to establish an endowment or make a planned gift at this time, you can invest in an existing endowment and receive the same tax benefit.

Tax Credit Example in 24% Tax Bracket
Gift Amount
$5,000
$25,000
$50,000
Federal Tax Deduction
$720
$3,600
$7,200
ND State Income Tax Credit
$2,000
$10,000
$20,000
Net Cost of Gift
$2,280
$11,400
$22,800

In 2018, the IRS issued regulations relating to state tax credits that may affect your federal tax deduction. Talk to your tax advisor to determine how this may affect you.

If you have already given a gift that might qualify, all you need is your receipt with our nonprofit tax number. Talk to your tax adviser about Form ND-1PG for the planned gift tax credit and Form ND-1QEC for the endowment tax credit.

*Individuals may receive a state tax credit for a planned gift (e.g., charitable remainder trusts, charitable gift annuities, life insurance policies, etc.,) to a qualified N.D. charitable nonprofit or a qualified N.D. endowment. The tax credit is 40% of the charitable deduction allowed by the IRS up to a maximum credit of $10,000 per year per taxpayer, or $20,000 per year per couple filing jointly.