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North Dakota Office of State Tax Commissioner
2018 Schedule 38-UT instructions
General instructions Instructions for Part 2 Instructions for Part 3
A fiduciary for an estate or trust may use Interest of 12% per year is charged on an
Schedule 38-UT to determine if enough Line 7 underpayment or late payment of estimated
estimated North Dakota income tax was If one of the exceptions in Part 1 applies, tax. Interest accrues from the due date of the
paid by the payment due dates and, if not, to enter on this line the appropriate amount(s) as payment to the earlier of April 15, 2019, or
calculate the amount of interest to pay on the follows: the date the estimated tax due is paid in full.
underpayment or late payment. The dates used • If Item A applies, enter the amount from In the case where an overpayment is applied
on Schedule 38-UT and in these instructions line 6 in the 4th quarter column. Enter zero to offset an underpayment, the overpayment
are for calendar year filers. Fiscal year filers in the first three columns. is considered to have been applied as of the
should substitute corresponding dates. payment due date for the quarter in which the
• If Item B applies, use the annualized overpayment occurred.
Federal estimated income tax requirement. federal taxable income determined on the
Do not complete Schedule 38-UT unless 2018 Federal Form 2210 to calculate an In some cases, it may be necessary to compute
the estate or trust was required to pay annualized North Dakota taxable income. the interest on a separate worksheet, in which
estimated federal income tax for the tax Include any adjustments required or case skip lines 16a through 16d and enter the
year. To determine this, see the 2018 Federal allowed under North Dakota tax law in the separately computed interest on line 16e in
Form 2210. calculation. Enter the amount of estimated the appropriate column. Attach a worksheet
North Dakota income tax due by each showing the calculation.
Instructions for Part 1 payment due date calculated in the same For purposes of computing interest, the amount
Following are descriptions of the exceptions manner as under the federal annualized paid for a particular quarter must be applied
to the regular computation of underpayment income installment method on Form 2210. first to the amount due for that quarter. If the
listed in Part 1. If one of them applies, fill in Attach a worksheet showing the North total amount paid exceeds the amount due, the
the applicable circle. Dakota calculations. excess must be applied to offset an outstanding
Item A: Qualified farmer exception • If Item C applies, enter 25% of the underpayment, if any, from a previous quarter,
This exception applies if the fiduciary qualified amount on line 6 in the 1st, 2nd and 3rd starting with the earliest underpayment. In
as a farmer for federal estimated income columns. Enter zero in the 4th quarter addition, in the case of a late payment, the
tax purposes in 2018 and was required to column. interest on line 16e must be computed on the
pay estimated federal income tax for the 4th amount due on line 7 less any tax withheld
quarter due on January 15, 2019. • If Item D applies, the amount to enter in included on line 8.
each column depends on when the estate
Item B: Federal annualized income or trust first received income from North Line 16a
installment method exception Dakota sources in 2018. If received after Except for a late payment or where an
This exception applies only if the fiduciary March 31 and before June 1, 2018, enter underpayment is offset by a subsequent
actually used the annualized income one-third of the amount on line 6 in the 2nd, quarter’s overpayment, enter April 15, 2019.
installment method to calculate the amount 3rd, and 4th quarter columns. If received If there is a late payment and the amount of
of the underpayment and penalty for federal after May 31 and before September 1, the payment equals or exceeds the amount of
estimated income tax purposes for 2018. 2018, enter one-half of the amount on line 6 estimated tax due, enter the date of payment.
Attach a copy of the federal annualized in the 3rd and 4th quarter columns. If If an underpayment is fully offset by a
income installment method worksheet received after August 31, 2018, and before subsequent quarter’s overpayment, enter the
(from 2018 Federal Form 2210) showing the January 1, 2019, enter the amount from payment due date for the quarter in which
amounts computed for federal purposes. line 6 in the 4th quarter column. the overpayment occurred. In other cases,
more than one date may apply and it may be
Item C: Federal 4th quarter
Line 8 necessary to compute the interest on a separate
exception
Enter the amount of estimated tax paid and worksheet, in which case skip lines 16a
This exception applies if the fiduciary did not income tax withheld for each quarter. (Note: through 16d and enter the separately computed
have to make the 4th quarter estimated federal Do not include the income tax withheld from interest on line 16e in the appropriate column.
income tax payment due on January 15, 2019, nonresident beneficiaries from Form 38, Attach a worksheet showing the calculation.
because the 2018 federal income tax return page 1, line 5.) Unless it can be shown
was filed and the remaining federal income otherwise, one-fourth of the total amount Line 17
tax due was paid by February 1, 2019. withheld is deemed to have been withheld If there is an overpayment on Form 38, page 1,
Item D: Partial year exception by each payment due date. If the fiduciary line 11, any interest due on Schedule 38-UT
This exception applies if the estate or trust was elected to apply an overpayment from the 2017 will reduce the amount to be refunded. If
not in existence for the entire 2018 tax year North Dakota Form 38 to the 2018 estimated there is a tax due on Form 38, page 1, line 14,
and did not receive income subject to North tax, enter the overpayment in the 1st quarter any interest due on Schedule 38-UT must be
Dakota income tax until after April 15, 2018. column; however, if the fiduciary attached a included in the balance due to be paid with
Attach a statement describing the situation. statement to the 2017 return requesting the the return. If there is no overpayment or tax
overpayment to be applied to another quarter, due on Form 38, and if the interest due on
enter the overpayment in the appropriate Schedule 38-UT is $5.00 or more, the interest
column. due on Schedule 38-UT must be included in
the balance due, and a check or money order
for this amount must be submitted with the
return.
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