Schedule ND-1PG: Schedule ND-1PG - Planned Gift Tax Credit (2025)
North Dakota · ND Tax Commissioner · Used for tax years 2025
North Dakota Schedule ND-1PG calculates the planned gift tax credit for individuals and is attached to Form ND-1. It reports qualified planned gifts, the credit used in 2025, unused credit carryovers, and any applicable adjustment to North Dakota taxable income.
Who files this form
Use Schedule ND-1PG to claim an individual income tax credit for a qualified planned gift to a qualified nonprofit organization or qualified endowment fund. Attach it to Form ND-1.
The gift must be an irrevocable charitable contribution made through one of the planned gift methods listed on the schedule and must meet that method's eligibility requirements.
The schedule also covers allowable unused credits from gifts made in 2022, 2023, or 2024 that are carried over to 2025.
What you'll need
- Attach a letter from the qualified nonprofit organization stating its I.R.C. § 501(c) status, the planned gift method, the gift's date and amount, and the qualified endowment fund's name, if applicable.
- Have the nonprofit organization's name and address. If another entity administers the gift assets or endowment fund, also provide that entity's name and address.
- Have the gift completion date and the portion of your qualified planned gifts eligible for a federal charitable contribution deduction in 2025.
- If claiming a carryover, have the allowable unused credit amounts from gifts made in 2022 through 2024.
- If completing the taxable income adjustment, use your 2025 federal Form 1040 or 1040-SR, Schedule A, and the federal instructions for line 12e to determine the standard deduction you would have been allowed.
How to file
Attach Schedule ND-1PG to Form ND-1, along with the required nonprofit organization letter.
- Identify the recipient, planned gift method, and completion date.
- On line 4, enter the portion of qualified planned gifts completed in 2025 for which a federal charitable contribution deduction is allowed in 2025.
- On line 5, enter $50,000 if married filing jointly, or $25,000 otherwise. Enter the smaller of lines 4 and 5 on line 6, then multiply line 6 by 40% for line 7.
- Add any allowable prior-year unused credit on line 8 to calculate total available credit on line 9.
- Enter only the credit used to reduce your 2025 tax on line 10. Also enter it on Schedule ND-1TC, line 5.
- Enter the eligible unused credit carried to 2026 on line 11.
- Follow the schedule's directions for the taxable income adjustment on lines 12 through 15. If line 15 applies, transfer that amount to Form ND-1, line 2.
Common mistakes
- If you are only carrying over unused credit from 2022, 2023, or 2024, skip lines 1 through 7 and start at line 8.
- Do not enter all available credit on line 10 unless it is all used to reduce your 2025 tax liability.
- If you claimed the federal standard deduction for 2025, do not complete lines 12 through 15.
- If you itemized deductions, have an amount on line 7, and are also claiming an endowment fund credit on Schedule ND-1QEC, line 5, or from a North Dakota Schedule K-1, do not complete lines 12 through 15. Instead, see the instructions for Form ND-1, line 2.
- At line 12, stop if you did not deduct the line 4 contribution on federal Schedule A. No adjustment is required based on that 2025 contribution.
- If line 14 is less than zero, enter zero.
Questions people ask
When must I first claim the credit?
Claim it first in the tax year in which the planned gift is made.
Can I carry unused credit forward?
Yes. Unused credit for a planned gift made in 2025 may be carried forward for up to three tax years. Line 11 covers unused credits from gifts made in 2023 through 2025 that are carried to 2026.
Does a paid-up life insurance policy qualify?
It can qualify if all premiums have been paid, no future premiums are due, and the policy gift qualifies as a charitable contribution under I.R.C. § 170.
Can a nonprofit outside North Dakota qualify?
Yes, if it meets all the border state organization requirements. It must be tax-exempt under I.R.C. § 501(c), be a charitable donee organization under I.R.C. § 170, and support or benefit a hospital, nursing home, medical center, or a combination of these. It must also be outside North Dakota and within five miles of a North Dakota city with at least 5,000 people that has no hospital. Mark the border state organization circle on the schedule.