Schedule ND-1TC: Schedule ND-1TC - Tax Credit (2025)
North Dakota · ND Tax Commissioner · Used for tax years 2025
North Dakota Schedule ND-1TC reports income tax credits claimed with your 2025 Form ND-1, including applicable unused credit carryovers. It totals the credits to enter on Form ND-1, line 23.
Who files this form
Complete 2025 Schedule ND-1TC and attach it to Form ND-1 if you are claiming any of the income tax credits listed on the schedule.
The schedule covers credits for qualifying care expenses, investments, charitable contributions, certain employer activities, and other listed purposes. It also includes eligible unused credits carried over from earlier tax years. Each credit has its own requirements.
What you'll need
Attach the supporting documents for each credit you claim. If no official supporting schedule is specified, attach your own documentation showing your eligibility and how you calculated the credit, including any unused credit carried over from another tax year.
Supporting schedules, depending on the credit:
- Family member care: Schedule ND-1FC.
- Renaissance zone: Schedule RZ.
- Planned gift: Schedule ND-1PG.
- Employer child care contributions: Schedule ECC, plus North Dakota Schedule K-1 if the credit comes from a passthrough entity.
- Wages paid to a mobilized employee: Schedule ME or North Dakota Schedule K-1, as applicable.
- Endowment fund: Schedule ND-1QEC or North Dakota Schedule K-1, as applicable.
- Nonprofit private school contributions: Schedule ND-1PSC.
- Adoption: Schedule ND-1AC.
- Maternity home, child placing agency, or pregnancy help center contributions: Schedule MCP, plus North Dakota Schedule K-1 for a credit received through a passthrough entity.
Other required records may include:
- Investment reporting forms from certified agricultural commodity processing or seed capital businesses.
- Employee lists showing names, Social Security numbers, and wages for internship, workforce recruitment, or apprentice credits. Workforce recruitment and apprentice lists must also include employment start dates. For these credits received through a passthrough entity, attach its statement instead.
- The partnership plan long-term care insurance certification statement and the first page of the policy identifying the insurer and insured people.
- The Human Services certification letter for the credit for hiring an individual with a developmental disability or mental illness. The letter is not required if the credit comes from North Dakota Schedule K-1.
- Property Tax Clearance Records, when required.
How to file
- Enter your name as shown on your return and your Social Security number.
- Complete the lines for the credits you are claiming and attach the required supporting documents.
- Complete the property tax clearance section if you claim a credit identified in that section. Attach any required county Property Tax Clearance Records to Form ND-1.
- On line 26, add lines 1 through 8a, 9a through 11a, 12b through 15b, and 16 through 25a. Enter the total on Form ND-1, line 23.
- Attach Schedule ND-1TC to Form ND-1.
The supplied text does not give a mailing address or e-file directions.
Common mistakes
- Skipping property tax clearance. All taxpayers must read this section. If you claim one of the identified credits, complete it and attach any required records.
- Putting a newly purchased research credit on line 9a. Research credits obtained from another taxpayer through a sale, assignment, or transfer in 2025 belong on line 9b.
- Including expired investment credit carryovers. Do not include agricultural commodity processing investment credits based on investments before 2015, or seed capital investment credits based on investments before 2021.
- Assuming every long-term care policy qualifies. Only qualifying partnership plan policies are eligible. Check the certification statement or contact your insurer or the North Dakota Insurance Department.
- Entering an endowment fund carryover in the wrong place. An unused credit from a prior year's Schedule ND-1QEC belongs on the 2025 Schedule ND-1QEC, line 6.
- Filling in employee counts and compensation for certain Schedule K-1 credits. Disregard lines 8b and 8c, 11b and 11c, or 25b and 25c when the corresponding credit comes from North Dakota Schedule K-1.
Questions people ask
When do I need property tax clearance records?
The property tax clearance section identifies credits on lines 2, 3, 4, 6, 7, 8a, 9a, 9b, 11a, 17a, 17b, and 21. If you claim one of these credits, complete that section. If you or your spouse, when filing jointly, holds a 50% or greater interest in North Dakota real property, obtain a record from each applicable county and attach it to Form ND-1. Automation credit carryovers from tax years 2019 through 2022 do not require a record; those originating in 2023 and later do.
Where can I get the Property Tax Clearance Record form?
The form is available on the North Dakota Office of State Tax Commissioner's website at www.tax.nd.gov.
Can I claim a credit received through North Dakota Schedule K-1?
Several lines expressly allow credits from North Dakota Schedule K-1. Follow the instructions for the specific credit, including any required supporting schedule or passthrough entity statement.
Can I carry every unused credit into a later year?
No. Carryover rules depend on the credit. For example, the employer child care contribution credit and the maternity home, child placing agency, or pregnancy help center credit have no carryover provision. The apprentice credit has no carryback or carryforward for amounts exceeding your tax liability.
Can I claim the geothermal energy device credit for a new installation in 2025?
No. Line 12 is only for unused credit carried into 2025 from a qualifying device installed on or after January 1, 2009, and before January 1, 2015.