North Dakota – Schedule ND-1CR – Credit for Taxes Paid to Another State 

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Article: 50474

Overview 

If you are a North Dakota resident and earned income in another state where you were also taxed, you may qualify for a credit to offset that income tax. This prevents double taxation on the same income. 

To claim it, complete the Credit for Taxes Paid to Another State form in your North Dakota return, corresponding to Schedule ND-1CR. 

Who Can Claim This Credit? 

You may qualify if: 

  • You are a full-year North Dakota resident, and 
  • You paid individual income tax to another U.S. state (not a city or local jurisdiction), and 
  • The income taxed by both states is included in your North Dakota taxable income. 

Note: This credit does not apply to income taxes paid to cities, counties, or foreign countries. It is only available for taxes paid to other U.S. states or the District of Columbia. 

How to Report 

  1. Navigate to the State Taxes section on the left-hand side of the screen. 
  1. Click the link: I’d like to see the forms I’ve filled out or search for a form. 
  1. In the dropdown menu, select North Dakota. 
  1. Click on the General tab. 
  1. Select Credit for Taxes Paid to Another State to open the screen. 
  1. Enter all required information.  
  • Note: Green-highlighted fields are override entries—values in these fields may already flow in from other areas of your return. Only make changes if you need to manually override the default calculation. 
  1. Click Save once complete. 

Additional Resources 

For further guidance, see: 2024 North Dakota Schedule ND-1CR – Credit for Income Tax Paid to Another State (PDF)  

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