Income Tax Credit
North Dakota taxpayers have a special tax break. Contributions of $5,000 or more to qualified North Dakota endowment funds are eligible for a 40% tax credit. Your $5,000 gift could have a net cost of $1,600.*
The easiest planned gift to make for an impact on the future of NDSU students is an endowment. Endowments are permanent invested funds that provide a stable, ongoing source of money for scholarships, special programs or other campus needs. If you already have an endowment named for yourself or someone special, this is a great time to increase the funds while receiving the credit. If you do not wish to establish an endowment or make a planned gift at this time, we have other options for you to take advantage of this credit. (i.e. general scholarship and individual college endowments).
The following is an example of what the tax credit would look like based on the 28% tax bracket.
|Tax Credit in 28% Tax Bracket
|Federal Tax Deduction
|ND State Income Tax Credit
|Net Cost of Gift
We would be happy to talk about some options for you to make the impact that you desire.
As students face increasing educational costs, we need to increase our endowments now more than ever to strengthen educational opportunities to deserving students. NDSU is enthusiastic that this type of credit will increase the scholarships for students far into the future.
Please consider a gift to an endowment to qualify for this tax credit to enhance scholarships for the future.
If you have already given a gift that might qualify, all you need is your receipt with our nonprofit tax number. Talk to your tax preparer about Form ND-1PG for the planned gift tax credit and Form ND-1QEC for the endowment tax credit.
Please contact us with any further questions or if you would like to make a donation.
*Individuals may receive a state tax credit for a planned gift (e.g., charitable remainder trusts, charitable gift annuities, life insurance policies, etc.,) to a qualified N.D. charitable nonprofit or a qualified N.D. endowment. The tax credit is 40% of the charitable deduction allowed by the IRS up to a maximum credit of $10,000 per year per taxpayer, or $20,000 per year per couple filing jointly.