Northern Division: Serving every county in Minnesota and North Dakota
North Dakota tax form with calculator, pen and paper

North Dakota Tax Credit

Recent North Dakota legislation increases the opportunities for North Dakota taxpayers to get a generous 40 percent state income tax credit for charitable contributions to organizations like The Salvation Army.

Charitable Gifts = 40% Tax Credit

Your gift does triple duty: 1) Qualifying gifts over $5,000 benefit you through a 40 percent North Dakota state income tax credit. 2) It funds services to help people today. 3) It will provide a guaranteed source of income The Salvation Army can rely on to meet future needs.


  • The credit is available to both individuals and businesses
  • The minimum qualifying gift is $5,000 (lump sum or aggregated over the tax year)
  • Both outright and planned gifts can qualify
  • The maximum credit for a single tax year is $10,000 for an individual, $20,000 for a married couple and $10,000 for business entities. There are provisions for carryover.

Three Ways to Get the Tax Credit


  • Make an outright gift to a qualifying Salvation Army endowment fund. Your gifts can be in the form of cash, securities or real estate.
  • Make a planned gift to The Salvation Army such as a charitable gift annuity; certain forms of charitable trusts and paid-up life insurance may qualify.


  • Make an outright gift to a qualifying Salvation Army endowment fund.

Outright Endowment Gift Tax Credit Examples

Typical tax credit benefits for endowment gifts

Tax Credit Plus Income for Life with a Charitable Gift Annuity

This example is for a 76-year-old (one life) at the 6 percent rate. Rate is determined by age and is locked in for life.

Tax credit plus income for life with a charitable gift annuity

Note: These educational examples are not professional tax or legal advice; consult a tax adviser about your specific situation.

Important Points to Remember

  • This is a North Dakota tax credit, not a deduction.
  • The contribution can still be deducted from your federal income taxes.
  • Gifts under $5,000 do not qualify for this credit, but are still tax-deductible (give online).

If you could use this generous tax credit, contact your tax adviser or The Salvation Army’s planned giving office:

Minnesota Planned Giving Director
David Overstake, 651-746-3504 or 1-800-456-4483

North Dakota Planned Giving Representative
Faye Miller, 701-219-9675