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2022
NORTH DAKOTA
CORPORATE INCOME TAX
FORM 40
INSTRUCTIONS
Photo credit:
ND Tourism
Tax forms, guidelines, and more are
available at www.tax.nd.gov.
Email questions to corptax@nd.gov.
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Special Reminders
Sales factor weighting - apportioning corporations
Existing provisions allow a corporation the option to make an election (for a term of five tax years)
to use a 100% weighted sales factor for its apportionment factor. See the instructions on page 9 for
more information.
Federal Due Dates and Extensions
Corporation due dates for the Form 40 are found on page 1 of the instructions. The extension of time
to file a federal return is automatically accepted by North Dakota as an extension of time to file the
state return for the same period plus one additional month, which for a corporation with a calendar
year-end would be November 15th. To extend the due date of the North Dakota return, mark the
circle on the return and attach a copy of the federal extension. The extension form should not be
submitted separately from the return.
Filing Attachments
All required schedules and a complete copy of the federal income tax return must be included with
the North Dakota return regardless of whether it is filed electronically or on paper. The Modernized
efile (MeF) program continues to be available for electronically filing your North Dakota original
return. If a required attachment or schedule is not included with the software, it must be attached as
a PDF to the return submission. PDF examples might include a Property Tax Clearance Record, North
Dakota credit computation schedules, or the Federal Extension Form 7004.
Reporting Changes to Federal Taxable Income
The starting point for computing North Dakota taxable income is federal taxable income. As a result,
if a corporation’s federal taxable income is changed by either a federal amended return or federal
audit and results in a change to North Dakota taxable income, the change must be reported with a
corresponding North Dakota amended return. A copy of the federal amended return or federal audit
must also be included. For more detailed information, see the amended return Form 40X instructions
on our website.
Mergers or Reorganizations
Page 2 of the North Dakota return includes Question #13 regarding providing information related
to mergers, reorganizations, or short tax periods. In addition to providing details or an explanation
with the return, you may contact us by phone or email to alert our office to an upcoming change to
your filing. The information is also helpful in ensuring estimated income tax payments are correctly
credited to the appropriate tax account and periods.
Recent business tax changes -
Wage Withholding - Beginning with first quarter 2022 returns (due April 30, 2022), all quarterly
wage withholding returns must be filed and paid electronically. Also, the annual withholding tax
threshold to allow for annual filings instead of quarterly was increased from $500 to $1,000.
Information Returns (Forms 1099 and Form W-2) - Applicable for tax year 2022 filings
(due January 31, 2023), the annual information return transmittal and attachments must be filed
electronically. Prior to 2021, electronic filing requirements only applied to businesses with ten or
more information returns.
Passthrough Entities - Beginning with tax year 2022 (due in 2023), any passthrough entity with
ten or more owners will be required to electronically file its North Dakota income tax return. This
applies to a partnership or LLC filing Form 58, an S Corporation filing Form 60, and a fiduciary filing
Form 38.
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Page 1 2022 North Dakota Corporation Income Tax Return Instructions
• The corporation’s North Dakota net Tax-exempt organizations required
tax liability on the 2021 Form 40 to file an income tax return to report
General instructions
(page 1, line 20) is zero and the unrelated business taxable income must
Who must file corporation is not revoking the file a corporation income tax return
Every corporation engaged in business election, which is done by filing on or before the 15th day of the fifth
in North Dakota or having income from Form 60 for the 2022 year. month after the tax year ends.
North Dakota sources must file a North If this election is still in effect and
Dakota Corporation Income Tax Return, the S corporation files a Form 40 for Short period return
Form 40. the 2022 tax year, it may not file A corporation required to file a federal
For example, a North Dakota Form 40 electronically and must file its return short period return must file a North
must be filed by: on paper. The corporation must Dakota short period return for the same
provide a statement to each individual period. The North Dakota return must
• Corporations, including business shareholder containing information be filed by April 15th or by the date
trusts, associations, and joint-stock on the adjustments that will need to prescribed by the IRS, whichever is
companies; be made on the shareholder’s North later.
• Cooperative corporations distributing Dakota individual income tax return to
See instructions for the North Dakota
their net income through patronage remove the income and losses already
Form 40-ES for due dates of estimated
dividends; taxed and deducted on the North
payments on short period returns.
• Insurance companies conducting Dakota corporation income tax return.
business activities not subject to a For more information, see the Income A corporation terminating as a
gross premiums tax; Tax Guideline: Adjustment For Income Subchapter S Corporation during
(Loss) From An S Corporation Electing the year, or a corporation changing
• Tax-exempt organizations having
To Be Taxed Under N.D.C.C. its annual accounting period, must
unrelated business taxable income;
§ 57-38-01.35. annualize its North Dakota taxable
Note - A tax-exempt fiduciary trust
income and prorate its state tax liability
that filed a Form 1041 to report the
Privacy Act Notification. In in the same manner as the federal tax
trust’s unrelated business taxable
compliance with the Privacy Act liability is prorated.
income must file North Dakota
of 1974, disclosure of a social
Form 38;
security number or Federal Employer
Extension of time for filing
• Organizations that anticipate Identification Number (FEIN) on this
An extension of time to file a federal
receiving a tax exempt status form is required under N.D.C.C.
return is automatically accepted by
notification from the IRS, but §§ 57-01-15 and 57-38-32, and will be
North Dakota as an extension of time to
have not actually received such used for tax reporting, identification,
file the state return. The state extension
notification by the end of the taxable and administration of North Dakota tax
is for one month after the due date
year. laws. Disclosure is mandatory. Failure
of the automatic federal extension.
Except as provided under “Exception to provide the social security number
Attach a copy of the federal extension
for certain S corporations” below, or FEIN may delay or prevent the
Form 7004 (or other applicable form)
a corporation that files Federal processing of this form.
to the state tax return and mark the
Form 1120S must file Form 60, North extension circle on page 1. The return
Dakota S Corporation Income Tax Upon request from Legislative
will be processed as a delinquent
Return. Management, the Tax Department is
return if the circle is not marked
allowed to share the amount of any
and a copy of the federal extension
Exception for certain tax deduction or tax credit claimed or
is not attached.
S corporations. An S corporation must earned by a taxpayer. Disclosure of the
file Form 40, North Dakota Corporation taxpayer’s name, federal identification If a federal extension is not obtained, or
Income Tax Return, if all the following number, or other confidential if an extension of time beyond the time
apply: information is not permitted. period covered by a federal extension is
• The corporation is a bank or other needed, a North Dakota extension may
be obtained by completing and filing
financial institution that formerly was Due date
North Dakota Form 101 prior to the due
subject to the North Dakota financial A calendar year corporation filing
date of the return. This form may be
institution tax under N.D.C.C. Form 40 must file on or before April 15
obtained by contacting our office.
Ch. 57-35.3 and filed Form 35 for following the close of the calendar year.
tax years prior to 2013. An extension of time to file a North
A corporation reporting on a fiscal year
Dakota return does not extend the time
• The corporation made an election basis must file on or before the 15th
for payment of the tax, and extension
under N.D.C.C. § 57-38-01.35 to day of the fourth month following the
interest at the rate of 12% per annum
be taxed as a C corporation for the close of the fiscal year. Use the 2022
will apply to any payment made after
2013 tax year and filed a Form 40 Form 40 for fiscal years that begin in
the regular due date of the state tax
for 2013 through 2021. 2022 and end in 2023.
return. Penalty does not apply to tax
A cooperative must file on or before the paid within the extension period.
15th day of the ninth month following
the close of the calendar or fiscal year.
Answer “Yes” to Question #4 on page 2.
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2022 North Dakota Corporation Income Tax Return Instructions Page 2
Extension payments must be • Respond to certain North Dakota • If an extension was not obtained,
accompanied by Form 40-EXT Office of State Tax Commissioner interest on the tax due is computed
identifying the name, address, and notices that the corporation has at 1% per month or fraction of a
FEIN of the taxpayer. The form can be shared with the preparer about month, except the month in which
found on our website. Alternatively, a math errors and return preparation. the tax became due.
letter containing the above information The notices will not be sent to the
Penalty
along with a copy of the approved preparer.
state extension of time to file may be • If the full amount of tax is not paid
The authorization will automatically end
submitted with the prepayment of tax by the due date (or extended due
one year after the extended due date
due. date), penalty is equal to 5% of the
for filing the corporation’s 2022 tax
unpaid tax due or $5, whichever is
return.
Payment of tax greater.
If tax due is less than $5, payment The corporation is not authorizing • If the return is not filed by the due
need not be made. If tax is due, the the preparer to receive any refund date (or extended due date), a
total payment due must be paid at the check, bind the corporation to penalty of 5% of the net tax liability
time of, or before, the return is filed. anything (including any additional tax or $5, whichever is greater, applies
Payment made by check should be liability), or otherwise represent the for the month in which the return is
made payable to the North Dakota State corporation before the North Dakota due, with an additional 5% for each
Tax Commissioner and be mailed with Office of State Tax Commissioner. If additional month (or a fraction of a
payment voucher Form 40PV. the corporation wants to expand the month) during which the delinquency
preparer’s authorization, North Dakota continues, not to exceed 25% of the
Payment may be made electronically Form 500, Authorization to Disclose net tax liability.
using an ACH debit, ACH credit, credit Tax Information and Designation of
card, debit card, or electronic check. To Representative, will need to be signed If there is an overpayment on Form 40,
pay online, go to www.tax.nd.gov and and filed with our office. North Dakota page 1, interest at the rate of 1% per
select “Make a Payment”. Form 500 can be found on our website month accrues on the overpayment
at www.tax.nd.gov. Search for beginning forty-five days after the later
Payment in the form of a check drawn Form 500. of:
on an international bank, except
Canada, cannot be accepted. A check • the due date of the return (without
must be drawn on a U.S. or Canadian Overpayments extension); or
bank, be in U.S. dollars, and use a Overpayments of income tax may be • the date return is filed and deemed
standard nine digit routing number. applied to the 2023 estimated tax complete.
(minimum $5) or issued as a refund
(minimum $5). If an overpayment
Preparer authorization is applied to the following year, the Attachments and incomplete
If the corporation wants to allow amount of overpayment is considered returns
the North Dakota Office of State Tax an estimated payment and cannot be A complete copy of the federal income
Commissioner to discuss its 2022 tax refunded or applied against other tax tax return as filed with the IRS must be
return with the preparer who signed it, liability until the close of the following attached to Form 40.
mark the circle in the signature area of
the return. This authorization applies year. All applicable lines on Form 40 must
only to the individual whose signature be completed and the return must
appears in the “Signature of Preparer” Interest and penalty be signed. A signed Form 40 is a
section of the corporation’s return. It The Office of State Tax Commissioner declaration the return is correct and
does not apply to the firm, if any, shown will notify the taxpayer of any interest complete.
in that section. and penalty owed on tax due. If A return with incomplete lines or
If the circle is marked, the corporation desired, interest and penalty may be schedules or with notations such as “see
is authorizing the North Dakota Office of computed by the taxpayer on tax due attached statement” or “available upon
State Tax Commissioner to contact the and entered on the return. audit” is not properly filed and may be
preparer to answer any questions that Interest returned to the taxpayer. An incomplete
may arise during the processing of its If the full amount of the tax is not paid return that is returned will not be
return. by the original due date, the following considered filed until resubmitted with
provisions for interest apply: the required items. For electronically
The corporation is also authorizing the filed returns, any attachments for
preparer to: • If an extension was obtained, extension forms or applicable schedules
• Give the North Dakota Office of State interest on the tax due during the that are not included with the software
Tax Commissioner any information extension period is computed at must be attached as a PDF.
12% per annum, through the later of
that is missing from the return;
the extended due date or date paid.
• Call the North Dakota Office of Beginning with the month thereafter, Ratios and decimals
State Tax Commissioner about the interest is computed at 1% per On all schedules where a ratio or
processing of the return or the month or fraction of a month. decimal is called for, use 6 digits after
status of any related refund or the decimal point.
payment(s); and
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Page 3 2022 North Dakota Corporation Income Tax Return Instructions
The starting point for computing North
To file or obtain additional Amended returns/federal Dakota taxable income is federal taxable
forms and instructions audit changes income. However, if the combined
Completed returns and written requests An Amended North Dakota Corporation report excludes any corporation that
for information and forms should Income Tax Return, Form 40X, must be was included in a federal consolidated
be mailed to the Office of State Tax filed if: return, the starting point for computing
Commissioner, 600 E. Boulevard Ave., North Dakota taxable income is the pro
• North Dakota income is changed
Dept. 127, Bismarck, ND 58505-0599. forma federal taxable income amount
when an amended federal income
tax return is filed or as a result of a for the combined group members that
If you have corporate income tax were part of the federal consolidated
federal audit.
questions or are seeking tax forms, return.
please email us at corptax@nd.gov, • An error is discovered on a
visit our website at previously filed return. A single, pro forma starting point is
www.tax.nd.gov, or call • The corporation received a refund not computed to reflect the inclusion of
our Corporate Tax Section at of federal income tax which was additional nonconsolidated affiliates in a
701-328-1249. deducted on a previously filed North Dakota combined group. Instead,
Form 40 for tax years beginning the federal taxable income as actually
For the speech or hearing impaired, reported to the IRS for each additional
before January 1, 2004.
call Relay North Dakota at entity is added to the combined group.
1-800-366-6888. Information about amended returns can Federal consolidated return rules are
be found in N.D.C.C. §§ 57-38-38 and not reapplied to this larger combined
57-38 -40. group. Also, see Schedule WW (line 4)
Information at the source
Any corporation doing business in North Form 40X and instructions can be or Schedule WE (line 2).
Dakota that is required to file a Federal obtained by visiting our website at A unitary business is a group of
Form W-2 or 1099 must also file one www.tax.nd.gov/forms. corporations which carries on activities,
with this state. For more information on the component parts of which transfer
the requirements and alternatives for value among themselves through the
satisfying those requirements, contact Federalization unities of ownership, operation, and
our office. The North Dakota income tax law is use.
perpetually “federalized” for the Federal
Taxable Income starting point of the • “Unity of ownership” means the
Quick refund North Dakota return. group is under the common control
A quick refund of overpaid estimated of a single corporation, which is also
income tax may be requested by a a member of the group. Control
corporation prior to filing a return if Method of corporation exists when the single corporation
the expected overpayment exceeds taxation owns, directly or indirectly, more
five hundred dollars ($500) and the The North Dakota corporation income than fifty percent of the voting stock
claim for quick refund is filed after the tax applies only to that portion of a of another corporation;
close of the taxable year but before the corporation’s taxable income which is
derived from or attributable to sources • “Unity of operation” means the
15th day of the fourth month thereafter.
within this state. group receives benefits from
The form for the Quick Refund Of functional integration or economies
Estimated Income Tax For Corporations A nonapportioning corporation, (a of scale;
(Form 40-QR) must be obtained by corporation whose business activity is • “Unity of use” means the group
contacting our office. conducted solely within North Dakota,) of corporations contributes to or
computes North Dakota taxable income
receives benefits from centralized
by adjusting its federal taxable income
Estimated tax payments management and policy formation.
If a corporation’s estimated state by North Dakota statutory adjustments.
income tax liability exceeds five An apportioning corporation, (a Whether a group of corporations is
thousand dollars ($5,000) and its corporation whose business activity engaged in a unitary business depends
previous year’s state income tax is conducted both within and without on the facts and circumstances of each
liability exceeded five thousand dollars North Dakota,) computes North Dakota case. If unity of ownership exists, any
($5,000), the corporation is generally taxable income by adjusting its federal of the following facts or circumstances
required to make an estimated tax taxable income by North Dakota create a presumption that the unities of
payment of at least one-fourth of the statutory adjustments and apportioning operation and use exist; therefore, the
amount due on each of four prescribed this adjusted taxable income using corporations are engaged in a unitary
dates. Schedule FACT or CR (Part II) of business if:
Form 40. • All activities of the group are in
Information regarding estimated the same general line or type of
tax payments is located in the A corporation engaged in a unitary business;
instructions for Form 40-ES. business with one or more corporations • The activities of the group constitute
(irrespective of the country or countries
in which the corporations conduct different steps in a vertically
business) must file using the combined structured enterprise; or
report method.
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2022 North Dakota Corporation Income Tax Return Instructions Page 4
• The group is characterized by If the single corporate entity method is The return should be filed using the
centralized management. used for both North Dakota and federal taxpayer name and federal identification
purposes, enter the federal taxable number of the entity having activity in
income from Federal Form 1120, North Dakota.
Water’s edge election
A corporation required to file its North line 30.
Complete Schedule WW on page 4
Dakota return using the worldwide If the single corporate entity method and enter the amount from line 10 on
unitary combined report method may is used for North Dakota purposes page 1, line 1. Attach the completed
elect to use the water’s edge method. and the corporation is included in a Schedule WW to Form 40 when filed.
The water’s edge election must be made consolidated Federal Form 1120, enter
on the return as originally filed and is the corporation’s federal taxable income Answer “No” to Question #8 on page 2.
binding for five consecutive tax years. before consolidating adjustments/ Consolidated Return
Also see Question #9 on page 2. If the eliminations from: For North Dakota corporation income
election is made, all corporations tax purposes, a North Dakota
covered by the election will be • A pro forma separate company
subject to a 3.5% surtax on their federal income tax return, line 30; or “consolidated return” means a single
corporation income tax return that
North Dakota taxable income. • The by-company schedule showing reports the tax liability of more than
gross income and deductions, which one corporation engaged in business or
supports the consolidated federal having sources of income from North
Specific instructions for taxable income plus or minus Dakota.
adjustments, if any, to make it a pro
Form 40, Page 1 forma equivalent. • If part of the same unitary group,
file the return using the same
Taxpayer Name Cooperatives and other organizations taxpayer name and FEIN as
If filing a combined return (line 1, using federal forms other than Federal previously filed returns if that entity
circle b or c) the return should be filed Form 1120 must enter the federal has activity in North Dakota in 2022.
using the taxpayer name and FEIN of taxable income from the appropriate If not, file using the name and FEIN
the specific corporation having activity form. of another affiliate having activity in
in North Dakota. North Dakota in 2022.
If you previously filed a consolidated b. Combined Report Method
return (line 1, circle b1 or c1) as a For North Dakota corporation income • Only taxpayers who compute their
member of a unitary group and are still tax purposes, a “combined report” North Dakota tax liability using the
a member of that group, use the same means an income tax return on which combined report method may file a
taxpayer name and FEIN as previously the tax liability is computed using consolidated return.
filed returns. If not, file using the name the methods described in N.D.C.C. • Laws and rules governing
and FEIN of another affiliate having Chs. 57-38, 57-38.1 and N.D. Admin. consolidated returns are found in
activity in North Dakota in 2021. Code Chs. 81-03-05.1, 81-03-05.2, N.D.C.C. Ch. 57-38, and N.D. Admin.
81-03-05.3, and 81-03-09. Code Ch. 81-03-05.1.
Farming or Ranching Corporation • If filing a consolidated North Dakota
Answer yes if business is registered as • Except for 100% North Dakota
a farm or ranch corporation with the corporations required to file a tax return, circle b1 or c1 should be
North Dakota Secretary of State. consolidated tax return, it is marked on line 1.
essential to have a unitary group of • Because a North Dakota
Business Code corporations before the combined consolidated return reports the
Enter the business code from the NAICS report method can be used. For North Dakota tax liability of more
list found on our website at a discussion of a unitary group of than one corporation, North Dakota
www.tax.nd.gov that most closely corporations, see item “Method of Schedule CR, Parts I, II, and III will
corresponds to the area from which you corporation taxation” on page 3. be completed.
derived the majority of your income for • If filing a combined report method • If filing a consolidated North Dakota
the tax year. return where only one company tax return (i.e., circle b1 or c1 is
apportions income to North Dakota marked on Form 40, line 1) the
Line 1 (i.e., circle b or c is marked on answer to Question #8 on page 2
Income Form 40, line 1), the answer to will be “Yes”.
Mark the circle for the reporting method Question #8 on page 2 will be “No”.
Schedule CR
used to complete the return and enter • If filing a consolidated combined Schedule CR, Parts I, II, and III will be
the income reportable under that report method North Dakota completed only for corporations which:
method. Mark ONE circle only. tax return where more than one
company apportions income to • apportion income to North Dakota
a. Single Corporate Entity North Dakota. See Consolidated (i.e., have property, payroll, or sales
The single corporate entity method Return below. in North Dakota, ) or
• allocate nonbusiness income or loss
reports income or loss of only one Mark the “Combined Report Method”
to North Dakota, or
incorporated business that is not part of circle if Form 40 includes only one
a unitary business. (See item “Method corporation from a unitary business
of corporation taxation” on page 2.) which apportions its income to North
Dakota.
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Page 5 2022 North Dakota Corporation Income Tax Return Instructions
• do not apportion or allocate any • The corporation elects to file a North Other filing methods are contained in
income or loss to North Dakota, but Dakota tax return using the water’s N.D.C.C. § 57-38.1-18 (for example,
choose to be disclosed as having edge method, and separate accounting or a method using
filed a North Dakota return. • No other corporations in the an apportionment factor different from
combined report have a filing that computed on Schedules FACT
The factor denominator of the
requirement in North Dakota, if more or CR).
apportionment factor computation on
Part II will be the total property, payroll, than one, see c1 method below. If the circle entitled “Other” is marked:
and sales for all unitary companies in
If circle c is marked: 1. Attach a copy of the letter from the
the combined group.
1. The return should be filed using Office of State Tax Commissioner
The Schedule CR in this booklet allows the taxpayer name and FEIN of granting permission to use, or
for three separate companies to be the entity having activity in North requiring the use of, this filing
reported. If more companies are to Dakota. method.
be reported, photocopy Parts I, II, 2. Complete Schedule WE on page 5 2. Attach a worksheet substantiating
and III of Schedule CR and continue and enter the amount from line 12 and explaining the computation of
to complete the additional schedule on page 1, line 1. Attach the income.
copies for companies that apportion
completed Schedule WE to Form 40 3. Enter the income from the
their income to North Dakota. (See
when filed. worksheet on page 1, line 1.
page 11 for specific instructions for
Schedule CR.) 3. Answer “No” to Question #8 on
page 2. Line 4
b1. Combined Report Method North Dakota apportionable
Consolidated Return c1. Water’s Edge Method income
Mark the “Combined Report Method Consolidated Return If completing Schedule CR, enter
Consol. Return” circle if the corporation Mark the “Water’s Edge Method the amount from page 1, line 4 on
is filing one consolidated North Dakota Consolidated Return” circle if: Schedule CR, Part I, line 4 (enter
return using the combined report • The members of a worldwide unitary the same amount for each company)
method. business group of corporations elect and complete Parts I, II, and III of
to file a consolidated tax return Schedule CR.
Two or more apportioning corporations
may file one North Dakota consolidated using the water’s edge method, and If a North Dakota consolidated
return if the corporations are required • If two or more apportioning tax return is being filed to report
to use the combined report method and corporations in the combined report the tax liability of more than one
more than one of the corporations has a have a filing requirement in North corporation engaged in business in or
filing requirement in North Dakota. Dakota. having sources of income from North
Dakota:
If circle b1 is marked: If circle c1 is marked:
1. Do not complete lines 5-19 on
1. If part of the same unitary group,
1. If part of the same unitary group, page 1 until Schedule CR has
file the return using the same
file the return using the same been completed.
taxpayer name and FEIN as taxpayer name and FEIN as
previously filed returns if that entity previously filed returns if that entity 2. Complete Schedule CR, Parts I,
has activity in North Dakota in has activity in North Dakota in II, and III on pages 6, 7, and 8
2022. If not, file using the name 2022. If not, file using the name and enter the totals on page 1.
and FEIN of another affiliate having and FEIN of another affiliate having 3. Complete Form 40, page 1.
activity in North Dakota in 2022. activity in North Dakota in 2022. 4. Attach the completed
2. Complete Schedule WW on page 4 2. Complete Schedule WE on page 5 Schedule CR to Form 40 when
and enter the amount from line 10 and enter the amount from line 12 filed.
on page 1, line 1. Attach the on page 1, line 1. Attach the
completed Schedule WW to Form 40
completed Schedule WE to Form 40 Line 5
when filed. when filed.
Apportionment factor
3. Complete North Dakota 3. Complete North Dakota If a corporation has business income
Schedule CR, Parts I, II and III. Schedule CR, Parts I, II, and III. from activity solely within this state,
4. Answer “Yes” to Question #8 on 4. Answer “Yes” to Question #8 on enter 1.000000 on this line.
page 2. page 2.
Corporations not filing a consolidated
return, enter the apportionment factor
c. Water’s Edge Method d. Other from Schedule FACT, line 14 or 16.
Mark the “Water’s Edge Method” circle Mark the “Other” circle if the
if: corporation has received written Corporations completing Schedule CR
permission from the Office of State Tax must enter the apportionment factor
• The corporation is a member of a
Commissioner to file a North Dakota from Schedule CR, Part II, line 14a or
worldwide unitary business group of
return using a filing method other than 16a.
corporations, and
those specified above.
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2022 North Dakota Corporation Income Tax Return Instructions Page 6
It is required that the supporting
Schedule FACT or CR, Part II, whichever Line 11 Line 22
is applicable, be completed, and that ND income after income North Dakota income tax
the 6‑digit factor from the supporting exemptions withheld on oil and gas royalties
schedule be carried to page 1, line 5. If the amount on line 11 is a loss, the Enter the amount of North Dakota
loss must be carried forward. income tax withheld on oil and
If the supporting schedule is not gas royalty payments that were
reported to the company on a 2022
completed, the return will be Line 12
Form 1099‑MISC. The amount to enter
considered incomplete. North Dakota loss carryforward
should only be income tax withheld and
The North Dakota loss carryforward
should not include any production or
Line 7 allowed on the Form 40 is the amount
extraction taxes. Do not enter income
Income allocated to North of the accumulated North Dakota loss
tax withheld and reported on a K‑1
Dakota less any previously deducted loss.
received from a partnership. Income tax
Enter nonbusiness income allocated to North Dakota net operating losses withheld on K‑1 distributive income for
North Dakota, less related expenses. incurred in taxable years beginning a corporation is not allowed. In order
Nonbusiness income is allocated after December 31, 2002, cannot be to substantiate the amount withheld, a
to North Dakota if the income is carried back to a previous taxable year. copy of the Form 1099‑MISC must be
attributable to North Dakota. These net operating losses must be attached or credit will not be allowed
Expenses must be attributed to carried forward. Capital losses must for the tax withheld. If the return is
nonbusiness income in a manner which still be carried back and then carried filed electronically, the Form 1099-MISC
fairly distributes all of the corporation’s forward. should be attached as a PDF.
expenses to its various types of income. Attach a worksheet showing the Enter the amount of tax withheld for the
Corporations completing Schedule CR accumulated loss, by year, less any company only if its FEIN is identified as
must enter the total nonbusiness previously deducted loss carryback or the recipient on the Form 1099‑MISC.
income for all corporations having carryforward. If this return is a consolidated return,
nonbusiness income attributable to the amount to enter should also include
North Dakota. Corporations completing Schedule CR any amount withheld on behalf of any
must enter the loss carryforward from corporation that is included in this
all corporations listed on Schedule CR. return as identified by the recipient’s
Line 9 FEIN on the Form 1099‑MISC.
Exemption for new and
expanding business Line 14 Income tax withheld on royalties
If the corporation received a new Gross proceeds allocated to received by a disregarded entity cannot
and expanding business exemption North Dakota from sale of North be claimed. If income tax was withheld
from the State Board of Equalization, Dakota research tax credits on a disregarded entity owned by a
enter the amount of exempt income Enter on this line the gross proceeds corporation, a corrected Form W‑9
computed pursuant to N.D. Admin. from the sale, assignment, or transfer (to correctly identify the owner of the
Code § 81‑03‑01.1‑06. If line 8, page 1 of unused North Dakota research disregarded entity as the royalty owner)
is negative, do not enter an amount. tax credits. See the 2022 Corporate must be provided to the payer, and a
Income Tax Credits booklet for more corrected Form 1099‑MISC identifying
Corporations completing Schedule CR information. the corporate owner must be obtained.
must enter the exempt income for each
corporation having an exemption. If the company is filing with a tax year
Line 15 end other than a calendar year basis, it
Attach a schedule showing the North Dakota taxable income will claim withholding on the corporate
computation of exempt income for If line 14 is zero enter the amount from income tax return for the year following
each corporation and a Property Tax line 13. the year of Form 1099‑MISC. A
Clearance Record form. If line 13 is zero or less and line 14 is taxpayer with a fiscal year end in 2022
greater than zero, enter the amount will claim the amount withheld as shown
Line 10 from line 14. on its 2021 Form 1099‑MISC, and so on
for each subsequent year and return.
Renaissance zone income If line 13 is greater than zero, enter the
exemption total of line 13 and line 14.
If the corporation is claiming exempt Line 24a
income as a result of the Renaissance Interest and penalty for balance
Zone Act, enter the total amount Line 21 due
of exemption from the summary Tax year 2022 estimated income The Office of State Tax Commissioner
part of Schedule RZ. The amount of tax payments will notify the taxpayer of any interest
exemption cannot exceed the amount Enter the total 2022 estimated and penalty owed on tax due. If
of related income assigned to North income tax payments. Also, enter any desired, interest and penalty may be
Dakota. Contact the Office of State Tax 2021 overpayment credited to the computed by the taxpayer on tax due
Commissioner at 701-328-1243 to 2022 taxable year and any payment and entered on the return.
obtain Schedule RZ. Attach Schedule RZ voluntarily made to the state with an
and the Property Tax Clearance Record extension of time for filing.
form to the Form 40 when filed.
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Page 7 2022 North Dakota Corporation Income Tax Return Instructions
Interest minimum investment by the lessor
If the full amount of the tax is not paid Specific instructions for is less than one hundred percent
by the original due date, the following (100%). Enter amounts on line 8.
provisions for interest apply: Schedule SA • Seller/Lessee: sale proceeds, rent
• If an extension was obtained, Additions expense, amortization expense,
interest on the tax due during lease acquisition cost.
the extension period is computed Line 1 • Buyer/Lessor: interest expense,
at 12% per annum, through the Federal net operating loss depreciation expense, amortization
extended due date. Beginning with expense, acquisition cost, loss on
deduction
the month thereafter, interest is sale of property.
Enter the amount of federal net
computed at 1% per month or See N.D.C.C. § 57-38-01(5)(a) for
operating loss deducted in arriving
fraction of a month. more information.
at federal taxable income, generally
• If an extension was not obtained,
as reflected on Federal Form 1120, • Real estate investment trusts
interest on the tax due is computed
line 29a. Any North Dakota net Include on this line, the dividends
at 1% per month or fraction of a
operating loss carryover deduction is paid deduction allowed by a captive
month, except the month in which
separately computed and deductible real estate investment trust (REIT)
the tax became due.
on page 1, line 12 (or Schedule CR, on its federal income tax return and
Penalty line 12). included in the taxpayer’s federal
taxable income. See N.D.C.C.
• If the full amount of tax is not paid § 57-38-01.3(1)(l) for further
by the due date (or extended due Line 2 information. The dividends paid
date), penalty is equal to 5% of the Special deductions should be added back only to the
unpaid tax due or $5, whichever is Enter the amount of special deductions extent they have not otherwise been
greater. claimed in arriving at federal taxable included in apportionable income.
income, generally as reflected on
• If the return is not filed by the due Federal Form 1120, line 29b. Even
date (or extended due date), a though this amount includes the • ACRS depreciation adjustment
penalty of 5% of the net tax liability deduction for foreign derived intangible Enter the amount of depreciation
or $5, whichever is greater, applies income, that amount is separately deducted on the federal return for
for the month in which the return is deducted on Schedule SA, line 9 all currently held assets placed in
due, with an additional 5% for each (below). service between January 1, 1981,
additional month (or a fraction of a and the end of the 1982 tax year
month) during which the delinquency using methods allowed under
continues, not to exceed 25% of the Line 3 the IRC provisions in effect as of
net tax liability. All taxes measured by income December 31, 1980. North Dakota
deducted to arrive at federal income tax statutes did not allow
for the use of ACRS depreciation for
Line 24b taxable income assets placed in service for 1981
Interest on underpayment of Enter all taxes measured by income, and 1982 only and federal taxable
including income taxes, franchise or
estimated tax income must be adjusted for the
privilege taxes measured by income
Instructions for making estimated tax difference in these two methods. In
(paid to or withheld by any taxing
payments are found on Form 40-ES. computing this adjustment, exclude
authority, including a foreign country) to
If estimated payments are not timely safe harbor lease adjustments.
the extent such taxes were deducted to
made or in the correct amount, interest
arrive at federal taxable income.
is charged. A worksheet explaining any
adjustment on this line must be
The amount of interest due for
Line 5 attached.
underpaid or late payments of
Contribution to endowment fund
estimated tax can be computed on
North Dakota Form 40-UT. Instructions credit adjustment Subtractions
for Form 40-UT are on the Form 40-UT. Enter the contribution made to an
endowment fund that was deducted on Line 8
Enter the interest from Form 40-UT,
your federal income tax return to the Tax refunds received in year
line 9 on line 24b. Attach Form 40-UT to
Form 40 when filed. extent a credit has been earned. 2022
Enter all income, franchise, or privilege
tax refunds received in 2022, to the
Line 25a Line 6 extent such taxes were previously
Amount to be credited to year Other additions included in North Dakota taxable
2023 • Safe harbor leases income.
A corporation may elect to have the
The safe harbor lease provisions in Federal income tax refunds received
overpayment credited to their 2023
§ 168(f)(8) of the IRC of 1954, as cannot be included on this line.
estimated tax. The overpayment amended, are not adopted in North
will be credited to the first quarterly Dakota in those instances where the
installment for 2023.
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2022 North Dakota Corporation Income Tax Return Instructions Page 8
Enter all nonbusiness income on • Seller/Lessee: interest income
Line 9 line 11 and enter related expenses on and depreciation expense (for
Foreign derived intangible line 12. The method used to attribute assets placed in service between
income deduction expenses to nonbusiness income must January 1, 1981, and the end
Enter the amount of the foreign derived fairly distribute all of the corporation’s of the 1982 taxable year, use
intangible income deduction that was deductions to all of its various types of methods allowed under the IRC
included in the deduction on Federal income. as of December 30, 1980. For
Form 1120, line 29b, which was also assets placed in service after
included in the amount entered on If an entry is made, all of the following
the 1982 taxable year, use ACRS
Schedule SA, line 2 (above). Because must be attached to Form 40:
depreciation).
this deduction is allowable in computing • A worksheet showing each type of • Buyer/Lessor: rental income.
North Dakota income but was added income or loss item allocated and its
back as a special deduction, the amount; • Regulated investment companies
deduction is restored by entering on this Regulated investment companies, as
• Documentation showing the state to
line. defined by the IRC, will be allowed
which the item of income or loss was
to subtract on this line certain
The amount entered on this line should allocated (a copy of the other state’s
dividends paid to shareholders. The
be the amount from federal Form 8993, tax return is preferred); and
dividends paid must be attributable
line 28. Attach the form to the return. • A narrative explaining the reasons to income that is taxable under
for allocating each item of income or N.D.C.C. Ch. 57-38 when the
Line 10 loss. regulated investment company earns
Interest on United States the income.
Obligations Line 14 • North Dakota railway bonds
Enter the following on this line: IC-DISC distributions Enter the amount of interest on
• Interest income from U.S. Enter the actual distributions made by a bonds issued by a regional railway
obligations. corporation who elects to be an interest- authority in North Dakota.
charge domestic international sales
• Interest income from other securities corporation, elects to use intercompany • ACRS depreciation adjustment
that is specifically exempted from pricing rules under IRC § 994, and is Enter the amount of depreciation
state income tax by federal statute. owned by one or more individuals or deducted on the federal return for
Not all interest income from securities passthrough entities. Answer “Yes” to all currently held assets placed in
issued by federal government agencies Question #4 on page 2. service between January 1, 1981,
and the end of the 1982 tax year
is includable on this line. Examples of
using methods allowed under
interest income not includable on this Line 15 the IRC provisions in effect as of
line are from certain mortgage backed Other subtractions December 31, 1980. North Dakota
securities of the Federal Home Loan
Mortgage Corporation, Federal National Do not include intercompany income tax statutes did not allow
Mortgage Association, Government eliminations on this line when for the use of ACRS depreciation for
National Mortgage Association, and filing a combined report (filing assets placed in service for 1981
interest received from a federal tax methods b, b1, c, or c1) .Report and 1982 only and federal taxable
refund. all intercompany eliminations on income must be adjusted for the
Schedule WW line 9 or Schedule WE difference in these two methods. In
line 5. computing this adjustment, exclude
Lines 11 and 12 safe harbor lease assets.
• Eminent domain sale or transfer
Allocated income and related
If the amount on page 1, line 1 A worksheet explaining any
expenses includes any gain, either ordinary adjustment on this line must be
Business income: N.D. Admin. Code or capital, from property subjected attached.
Ch. 81-03-09-03. All income arising to eminent domain sale or transfer,
from transactions and activity in the such gain is not taxable and must be
regular course of the taxpayer’s trade entered on this line.
or business operations including income
• Safe harbor leases
from tangible and intangible property
The safe harbor lease provisions in
if the acquisition, management, and
§ 168(f)(8) of the IRC of 1954, as
disposition of the property constitute
amended, are not adopted in North
integral parts of the taxpayer’s regular
Dakota in those instances where the
trade or business operations.
minimum investment by the lessor
Nonbusiness income: All income is less than one hundred percent
other than business income. (100%). Enter amounts on line 15.
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Page 9 2022 North Dakota Corporation Income Tax Return Instructions
institutions that were subject to the An election to use the water’s edge
Specific instructions for financial institution tax and filed filing method is unrelated to the sales
Form 35 for years prior to 2013. Loans factor weighting election.
Schedule FACT and receivables of a financial institution
Apportionment factor in that are included in the property factor Specific line instructions
should be reported on the “Other
general The following line instructions apply to
In general, the apportionment factor is assets” line and a supporting schedule either Schedule FACT or Schedule CR,
a product of a formula consisting of an should be attached. Please contact our Part II, whichever schedule applies. The
equally weighted three-factor (property, office if there are questions regarding line items for the “Everywhere” amounts
payroll, and sales) apportionment. these special apportionment provisions. on the two schedules correspond to
Each factor represents the percentage each other. If applicable, also see the
of the corporation’s North Dakota Sales Factor Weighting Election general instructions for Schedule CR,
activity compared to its total activity A corporation has the option to make Part II, on page 11.
everywhere. Except where a sales an election to a 100% weighted sales
If a sales factor weighting election
factor weighting election is made, the factor in its apportionment factor. The
applies, the property and payroll
apportionment factor calculation equally following provisions apply to a 100%
sections are not required.
weights property, payroll, and sales— weighted sales factor election:
see “Sales factor weighting election” • The election must be made on an Property Factor
below. original, timely filed return.
If a corporation files under a combined • The election is made by marking Lines 1 through 6
report filing method, the denominator the box on Schedule FACT, line 15a Owned and rented property
(i.e., the everywhere amount) of each or Schedule CR, Part II, line 15a, Enter on the applicable line the average
factor must include the amounts for depending on the filing method. value of real and tangible personal
property owned and rented by the
all of the corporations included in • The election applies to all companies
corporation. For owned property, this
the combined report. Exclude from included in a unitary group and to
generally means the average of the
each factor amounts attributable to all companies filing a consolidated
original cost (before depreciation) used
intercompany transactions between North Dakota return. See
for federal income tax purposes. For
corporations included in the combined Schedule CR, Part II, line 15a.
report. Also exclude from each factor rented property, this generally means
• The election is binding for a term of
amounts attributable to allocable the amount of rent paid multiplied
five consecutive tax years, starting
income. by eight. Certain property items are
with the year for which the election subject to special rules.
If the amount of any factor’s is made.
Do not include amounts related to
denominator is zero, exclude that factor • After the fifth tax year of the
construction in progress. A corporation’s
from the calculation. If a corporation election, a new election is applicable
share of a passthrough entity’s
owns an interest in a passthrough entity for a term of five years (years 6
apportionment factors should be
and includes the distributable share of through 10).
income from the passthrough entity included on line 5.
• After the fifth year of an election,
in its apportionable business income, The average value of owned and rented
if a new election is not made (for
include in the factors the corporation’s property is assigned to North Dakota if
year 6), the equally-weighted three-
proportionate share of the passthrough the property is located in North Dakota.
factor apportionment formula must
entity’s apportionment factors. The amount attributable to mobile
be used for at least three tax years
Special apportionment rules may apply before another election can be property is generally assignable to
in the case of certain industries or made. North Dakota based on a ratio of the
unique circumstances. For example, property’s time spent in North Dakota.
The application of special industry
special apportionment rules apply to For more complete information on the
apportionment provisions in N.D.
financial institutions, as provided under property factor, see N.D. Admin. Code
Admin. Code Ch. 81-03-09 does
N.D. Admin. Code Ch. 81-03-09.1. §§ 81-03-09-15 through 21 and 33.
not preclude making a sales factor
For additional information on the
weighting election. If a corporation’s
apportionment factor, see N.D. Admin. Payroll Factor
apportionment factors include amounts
Code Ch. 81-03-09.
attributable to a passthrough entity, Line 8
the election applies to the calculation Enter the amount of total compensation
Financial Institutions of the corporation’s apportionment paid to employees for the tax year.
For any corporation that meets the factors, as adjusted to include the This includes gross wages, salaries,
definition of a financial institution, passthrough entity amounts. (Note: commissions, and any other form of
special apportionment provisions apply The passthrough entity itself may not remuneration paid to the employees.
for the property and sales factors. make a sales factor weighting election.) Use the amount before deductions
These apportionment provisions For more information on the sales factor for deferred compensation, flexible
are included in N.D. Admin. Code weighting election, see N.D. Admin. spending plans, and other payroll
Ch. 81-03-09.1 and are identical to Code Ch. 81-03-09.2. deductions. Do not include amounts
the provisions that existed for financial
paid for employee benefit plans that
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2022 North Dakota Corporation Income Tax Return Instructions Page 10
are not considered taxable wages Line 11 entity benefiting both qualifying and
to the employee. An employee is an Throwback sales nonqualifying schools, it qualifies for
individual treated as an employee Enter the amount of sales shipped the credit only if the entity provides
under the usual common law rules, from a location in North Dakota that the donor with a statement showing
which generally mirror an individual’s are delivered to the U.S. government the amount specifically designated
status for purposes of unemployment or to another state or country where for the use of the qualifying school
compensation and the Federal Insurance the corporation is not subject to a tax or other documentation for non-cash
Contribution Act. measured by income in that jurisdiction. contributions. A list of qualifying schools
Compensation for an employee’s For more complete information, see can be found in the Corporate Income
services performed entirely within North N.D. Admin. Code §§ 81-03-09-29 Tax Credit Booklet on our website at
Dakota is assigned to North Dakota. and 30. www.tax.nd.gov/forms.
For an employee whose services are If a contribution is made to a qualifying
performed in more than one state, Line 14 school that provides education in one
compensation is generally assigned to Apportionment factor or more grades in both the primary
North Dakota based on the amount of If making a sales factor weighting school category (K through 8th grades)
compensation reported to North Dakota election, skip this line and go to line 15. and secondary school category (9th
for unemployment compensation through 12th grades), a separate credit
Otherwise, divide line 13 by the number
purposes. Whether or not state income is allowed for the amount contributed
of factors having an amount greater
tax was withheld from an employee’s to each category of school. Unless
than zero in column 1 on lines 7, 8, and
compensation does not affect where the school provides the donor with
12. Enter the result on this line and on
the compensation is assigned for a statement showing the amount
page 1, line 5. Do not complete lines 15
apportionment factor purposes. For specifically designated for the use of
and 16.
more complete information on the each category of school, one-half of
payroll factor, see N.D. Admin. Code the contribution will be deemed to have
§§ 81-03-09-22 through 25. Sales Factor Weighting been made to each category of school.
Election Apportionment
A corporation may elect to treat a
Sales Factor Factor contribution as having been made
Line 9 Line 15 during a tax year if made on or before
Everywhere sales If making a sales factor weighting the due date, including extensions, for
Enter the corporation’s total sales or election, mark the box on line 15a. See filing Form 40 for that tax year.
receipts, after returns or allowances, “Sales factor weighting election” for The credit allowed for each category
for the tax year. Sales generally means more information. of school equals the lesser of (1) 50%
all gross receipts of a corporation. On line 15b, indicate the year within of the contributions made to eligible
However, the types of sales or the five-year election period for which schools within the category (2) 50% of
gross receipts included in the sales this return is being filed by entering a the corporation’s total income tax, or
factor depend on the nature of the number from 1 to 5. Entering year 2 (3) $2,500. Any excess credit may not
corporation’s regular business activities or 3 does not constitute a new five year be carried forward.
and may include amounts other than election. Enter on line 1 the credit for nonprofit
sales reported on Form 1120, line 1. If
sales other than Form 1120, line 1 are private colleges. Enter on line 2 the
Line 16 credit for nonprofit private high schools.
entered as everywhere sales, attach Enter the amount from line 12 Enter on line 3 the credit for nonprofit
a schedule listing the sales types and column c. private primary schools.
amounts.
For each contribution, attach a
Line 10 copy of a receipt from the nonprofit
North Dakota sales private institution or a copy of a
Specific instructions for
For sales of tangible property, the cancelled check (front and back) or
sale is assigned to North Dakota if the Schedule TC other documentation for non-cash
destination of the property is in North contributions.
Dakota, regardless of the shipping Lines 1 through 3
terms. For sales of other than tangible Nonprofit private school
Lines 4-23
property, the sale is assigned to tax credits
Instructions for the following tax credits
North Dakota if the income-producing Tax credits are allowed for contributions
can be found in the Corporate Income
activity which gave rise to the receipt to qualifying nonprofit private primary,
Tax Credit Booklet on our website at
is performed in North Dakota. For more secondary, and higher education schools
www.tax.nd.gov/forms.
complete information, see N.D. Admin. located in North Dakota. A separate
Code §§ 81-03-09-26 through 31 credit is allowed for each category of Line 4. Geothermal, solar, wind,
and 34. school. To qualify, a contribution must biomass energy device credits carried
be made directly to or specifically forward.
designated for the exclusive use of
a qualifying school. If a contribution
is made to an account, fund, or
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Page 11 2022 North Dakota Corporation Income Tax Return Instructions
Line 5. Employment of the individuals If a credit is being claimed on Schedule CR, Part II calculates the
with developmental disabilities or Schedule TC or Schedule CR Part III, North Dakota apportionment factor for
severe mental illness credit. line 6–14, 16–18, or 21, a local tax each nexus company.
Line 6. Research and experimental clearance is required for each county • Each company computes its separate
expenditure credits generated by the corporation has 50% or more North Dakota apportionment factor
taxpayer. interest in real property in North using the total everywhere property,
Dakota. The tax clearance requirement payroll, and sales of the entire
Line 7. Research and experimental also applies to any officer(s) responsible unitary group for the denominators.
expenditure credits purchased by for the corporation’s state tax filing or Each company uses its own separate
taxpayer. payment obligations. The tax incentives North Dakota property, payroll, and
Line 8. Renaissance Zone credits. listed may not be granted, or claimed sales as the numerator.
by, a taxpayer who is delinquent on
• Line 5 - Enter the factor as
Line 9. Biodiesel or green diesel fuel property tax owed on real property in
calculated for each company on
production credit. North Dakota or is delinquent on any
Schedule CR, Part II, line 14.
state or local tax obligation.
Line 10. Soybean and canola crushing
Schedule CR, Part III reports the tax
equipment costs credit. To satisfy the property tax clearance
credits available for each company.
requirement, a Property Tax Clearance
Line 11. Seed capital business • The tax credits are calculated for
Record form is required for each
investment credit. each company and totaled on
county in which the corporation or
Line 12. Biodiesel or green diesel fuel responsible officer(s) holds a 50 percent Line 24. The total is carried to
blending credit. or more ownership interest. A new line 19 of Schedule CR, Part I.
Property Tax Clearance Record form After all tax credits are reported
Line 13. Biodiesel or green diesel fuel on Schedule CR, Part III, each tax
must be obtained and attached to the
sales equipment costs credit. credit is totaled for all companies
Form 40 for each year a listed income
Line 14. Agricultural commodity tax incentive is claimed. The form and reported on Schedule TC on
processing facility investment credit. and instructions are available on our page 4.
website.
Line 15. Endowment fund contribution After Schedule CR has been completed
credit. and each separate company that
apportions its income to North Dakota
Line 16. Internship employment credit. Specific instructions for has computed its North Dakota tax
Line 17. Angel fund investment credit Schedule CR liability and net income tax due, page 1,
carried forward. Schedule CR is a worksheet to lines 5-20 are completed as follows:
compute the North Dakota tax
Line 18. Workforce recruitment credit. 1. Copy the apportionment factor from
liability of multiple nexus companies Schedule CR, Part II, line 14a or
Line 19. Wages paid to a mobilized in one unitary group on one North from line 16a, if the sales factor
military employee credit. Dakota “consolidated” return. The weighting election is made, to
tax liabilities are computed for each page 1, line 5.
Line 20. Housing incentive fund credit company apportioning its income to 2. Add together all the separate
carried forward. North Dakota, added together, and companies’ amounts for lines 6
Line 21. Automation manufacturing the total carried to page 1. Before you through 19 on Schedule CR, Part I
equipment purchase credit carried begin to complete the CR schedules, and copy the total of each line for all
forward. you must complete lines 1-4, page companies to the corresponding line
1. Each company separately listed on page 1.
Line 22. New automation tax credit (for on Schedule CR, including those with
purchases made on or after January 1, a zero apportionment factor, will be 3. Complete Schedule TC. The total
2020.) considered a taxpayer for purposes of credits for all companies included on
Line 23. Contributions to Rural having filed a return. Schedule CR must equal the credits
reported on Schedule TC.
Leadership ND scholarship program Schedule CR has three parts. 4. Copy the amount from Schedule CR,
credit.
Schedule CR, Part I calculates the tax Part I, line 20a to page 1, line 20.
liability of each company. Attach the completed Schedule CR to
• Line 4 - Enter the amount from Form 40 when filed.
page 1, line 4 (enter the same
amount for each company).
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Taxpayer Bill of Rights
You may obtain a copy of the North Dakota Taxpayer
Bill of Rights by contacting the Office of State Tax
Commissioner or visiting our website at
www.tax.nd.gov
Need forms or assistance?
If you need a North Dakota form or schedule, or if you have a question about preparing your North
Dakota return . . .
Call Walk-in or appointment
Questions: 701-328-1249 service
Forms Requests: 701-328-1243 Services are available Monday through
Friday from 8:00 am to 5:00 pm, in
If speech or hearing impaired, our Bismarck office located at
call us through Relay North Dakota: 600 E. Boulevard Avenue.
1-800-366-6888
Corporate Income Tax Section
Visit our website State Capitol, 8th Floor
On our website, you will find the following
resources:
Write
Office of State Tax Commissioner
• Tax forms 600 E. Boulevard Ave. Dept. 127
• Electronic payment information Bismarck, ND 58505-0599
• Income tax statutes and regulations
• Calendar of due dates, public meetings,
Email us
and workshops
Request forms, ask us a question, or
• Press releases
send a message to us via email at:
• On-line message service
corptax@nd.gov
Our website address is:
Fax
tax.nd.gov You may fax your request or question
to 701-328-1942
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