Article: 50473

Overview 

If you claimed the federal adoption credit and have eligible expenses or carryforward amounts, you may also qualify for the North Dakota Adoption Credit. This state-level credit helps reduce your tax liability based on qualified adoption expenses for the tax year and any unused federal credit amounts. 

To report this credit, you will need to complete the Adoption Credit form within your North Dakota tax return, which corresponds to Schedule ND-1AC. 

Who Can Claim the North Dakota Adoption Credit? 

You may be eligible for the credit if: 

• You claimed a federal adoption credit (Form 8839) for the same tax year. 

• You have a qualified child adoption, as defined by federal rules. 

• You have an unused portion of the federal adoption credit that carries over. 

• You are a North Dakota resident with a state income tax liability. 

Note: The credit is nonrefundable, but unused amounts can be carried forward for up to 5 years. 

How to Report 

1. Navigate to the State Taxes section on the left-hand side of the screen. 

2. Click the link: I’d like to see the forms I’ve filled out or search for a form.

3. In the dropdown menu, select North Dakota. 

4. Click on the Supplemental tab. 

5. Select Adoption Credit to open the screen. 

6. Enter all applicable information.  

• Note: These are override fields (highlighted in green). Data may already be flowing in from your federal return—only enter values here if you want to manually override that data.  

7. Click Save once complete. 

Additional Resources 

For further guidance, see: 2024 Schedule ND-1AC – North Dakota Adoption Credit (PDF)