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Schedule North Dakota Office of State Tax Commissioner

ND-1PG Planned Gift Tax Credit 2018
Attach to Form ND-1
Name(s) shown on return Your social security number

 If you are only carrying over an unused credit from 2015, 2016, or 2017, skip lines 1 through 7, and go to line 8.
North Dakota qualified nonprofit organization
Name of qualified nonprofit organization Border Name of administering entity, if applicable
state org.
Address Address

City State ZIP Code City State ZIP Code

Qualified planned gift
1. Planned gift was given to: Qualified nonprofit organization
Qualified endowment fund. Enter name of fund 
2. Identify the method used to make the planned gift. See the instructions for the eligibility criteria. (Fill in the applicable circle)
Charitable remainder unitrust Charitable gift annuity Deferred charitable gift annuity
Charitable remainder annuity trust Charitable lead unitrust Charitable life estate
Pooled income fund trust Charitable lead annuity trust Paid-up life insurance policy
3. Date on which qualified planned gift was completed 3
(MM/DD/YYYY)
 Attach a letter from the qualified nonprofit organization indicating its I.R.C. § 501(c) status, the planned
gift method used, the date and amount of the planned gift, and, if applicable, the name of the qualified
endowment fund.

Calculation of credit
4. Charitable contribution portion of planned gifts completed in 2018 tax year 4
5. If married filing jointly, enter $50,000; otherwise, enter $25,000 5
6. Amount of contribution eligible for credit. Enter smaller of line 4 or line 5 6
7. 2018 credit. Multiply line 6 by 40% (.40) 7
8. Unused credit carryover, if any, from prior tax year(s) 8
9. Total available credit. Add lines 7 and 8 9
10. Amount of line 9 used to reduce tax in 2018. See instructions. Enter this amount on
Schedule ND-1TC, line 5 10
11. Unused credit carryover to 2019 11

Adjustment to North Dakota taxable income
 If you claimed the standard deduction on your Form 1040, line 8, stop here; lines 12 through 15 do not apply to you.
 If you claimed itemized deductions from Schedule A on your Form 1040, line 8, complete lines 12 through 15. However, if
there's an amount on line 7 of this schedule and you 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 4a.
12. Did you deduct the contribution (on line 4 of this schedule) as a charitable contribution on Schedule A (Form 1040)?
No. Stop here; no adjustment is required based on your 2018 contribution.
Yes. Enter the amount from Schedule A (Form 1040), line 17 12
13. Enter the federal standard deduction that you would have been allowed on your 2018 Form 1040,
line 8, had you not itemized deductions on Schedule A (Form 1040) - see instructions 13
14. Subtract line 13 from line 12. If result is less than zero, enter -0- 14

15. Enter the smaller of line 6, line 14, or the portion of the contribution (on line 4 of this schedule)
allowed as a deduction on your Schedule A (Form 1040). Enter this amount on Form ND-1, line 4a 15

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North Dakota Office of State Tax Commissioner
2018 Schedule ND-1PG instructions Page 1

General instructions Specific line instructions Charitable gift annuity—To qualify, both
An individual is allowed an income tax of the following must be met:
North Dakota qualified nonprofit
credit for making a qualified planned gift to a 1. The annuity must be a qualified
organization
qualified nonprofit organization or a qualified charitable gift annuity as defined for
Enter the name and address of the North
endowment fund. See the instructions to federal income tax purposes.
Dakota qualified nonprofit organization.
line 2 for what is a qualified planned gift. 2. The annuity contract must contain a
This applies regardless of whether the
The credit must be claimed first in the tax planned gift was made to the qualified provision that states the annuitant’s
year in which the planned gift is made. The nonprofit organization itself or to a interest in the gift annuity may not
unused portion of a credit for a planned gift qualified endowment fund held by the be assigned to the qualified nonprofit
made in the 2018 tax year may be carried qualified nonprofit organization. If a organization or qualified endowment
forward for up to three tax years. bank, trust company, or other entity holds fund before the earlier of (a) the date
and administers the planned gift assets or of death of the annuitant or (b) the date
Qualified nonprofit organization. A qualified endowment fund on behalf of the that is five years after the date of the
qualified nonprofit organization means qualified nonprofit organization, also enter contribution.
an organization that meets either of the the name and address of that entity. Charitable lead unitrust—To qualify, the
following sets of criteria:
If the qualified nonprofit organization is a arrangement must satisfy the requirements of
 North Dakota-based organization. border state organization, fill in the circle I.R.C. § 170(f)(2)(B).
An organization is a qualified nonprofit next to the organization’s name. Charitable lead annuity trust— To
organization if it:
qualify, the arrangement must satisfy the
1. Is incorporated in North Dakota, or Line 2 requirements of I.R.C. § 170(f)(2)(B).
has an established location in North Fill in the circle next to the type of qualified Deferred charitable gift annuity—To
Dakota; planned gift on which the tax credit is qualify, all of the following must be met:
2. Is tax-exempt under I.R.C. § 501(c); based. To qualify for the credit, the qualified
and planned gift must consist of an irrevocable 1. The annuity must be a qualified
3. Is a charitable donee organization as charitable contribution that was made using charitable gift annuity as defined for
defined under I.R.C. § 170. one of the following gifting methods: federal income tax purposes.
2. The annuity contract must contain a
 Border state organization. An Charitable remainder unitrust—To provision that requires the payment
organization is a qualified nonprofit qualify, both of the following must apply: of the annuity to begin within the
organization if it: 1. The trust must be a trust defined under life expectancy of the annuitant or, if
1. Is tax-exempt under I.R.C. § 501(c); I.R.C. § 664(d)(2). more than one annuitant, the joint life
2. The trust agreement must contain a expectancies of the annuitants using the
2. Is a charitable donee organization as provision stating that the trust may not actuarial tables applicable to determining
defined under I.R.C. § 170. terminate and that the beneficiary’s the federal charitable income tax
3. Supports or benefits a hospital, nursing interest in the trust may not be given to deduction on the date of the contribution.
home, or medical center, or any the qualified nonprofit organization or 3. The annuity contract must contain a
combination of these; qualified endowment fund before the provision that states the annuitant’s
4. Is located outside North Dakota; and earlier of (a) the date of death of the
interest in the gift annuity may not
beneficiary or (b) the date that is five
5. Is located within five miles of a North be assigned to the qualified nonprofit
years after the date of the contribution.
Dakota city with a population of 5,000 organization or qualified endowment
or more that does not have a hospital. Charitable remainder annuity trust—To fund before the earlier of (a) the date
qualify, both of the following must be met: of death of the annuitant or (b) the date
Qualified endowment fund. A qualified 1. The trust must be a trust defined under that is five years after the date of the
endowment fund means a permanent, I.R.C. § 664(d)(1). contribution.
irrevocable fund that meets all of the 2. The trust agreement must contain a
following: provision stating that the trust may not Charitable life estate agreement—To
1. It is held by a qualified nonprofit terminate and that the beneficiary’s qualify, the agreement must satisfy the
organization (defined above) or by a bank interest in the trust may not be given to requirements of I.R.C. § 170(f)(3)(B).
or trust company on behalf of a qualified the qualified nonprofit organization or
nonprofit organization. qualified endowment fund before the Paid-up life insurance policy—To qualify,
2. It is comprised of cash, securities, mutual earlier of (a) the date of death of the both of the following must be met:
funds, or other investment assets. beneficiary or (b) the date that is five 1. The policy must be a paid-up policy, i.e.,
years after the date of the contribution.
3. It is established for a specific religious, all premiums for the policy have been
educational, or other charitable purpose. Pooled income fund—To qualify, the trust paid, with no more premiums due in the
4. It may expend only the income generated must be a trust defined under I.R.C. future.
by, or the increase in value of, the assets § 642(c)(5). 2. The gift of the policy qualifies as a
contributed to it. charitable contribution under I.R.C.
§ 170.

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North Dakota Office of State Tax Commissioner
2018 Schedule ND-1PG instructions                                                                                          Page 2

Line 4                                           Line 10                                         Line 11
Enter the portion of all qualified planned gifts Enter on this line only that portion of the     Enter the portion of an unused planned gift 
completed in 2018 for which a charitable         tax credit on line 9 that is used to reduce     credit, if any, based on gifts made in the 2016 
contribution deduction is allowed in 2018 for    the 2018 tax liability. For example, if the     through 2018 tax years that is being carried 
federal income tax purposes.                     allowable tax credit on line 9 is $1,000, but   over to the 2019 tax year.
                                                 only $400 is needed to reduce the tax liability 
                                                 to zero, enter $400 on line 10.
Line 8                                                                                           Line 13
Enter the allowable portion of an unused                                                         To determine the amount of the federal 
planned gift credit, if any, based on gifts                                                      standard deduction to enter on this line, see 
made in the 2015 through 2017 tax years that                                                     the instructions to the 2018 Form 1040, 
                                                                                                 line 8.
is being carried over to the 2018 tax year.

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