Expand educational choices and support local families in North Dakota. Although the state does not currently operate a state-level scholarship tax credit program, the upcoming federal program offers a direct, powerful pathway for you to help local students access a high-quality K-12 education.
State tax credit details
North Dakota does not currently run a state-level scholarship granting organization tax credit program.
Applicable federal rules
Starting in January 2027, the federal Section 25F program introduces a brand-new opportunity for North Dakota residents. Individual taxpayers can redirect up to $1,700 of what they owe in federal income taxes to receive a 100% dollar-for-dollar federal tax credit. Because North Dakota does not have a state tax credit to offset the federal credit, you can claim the full federal benefit, provided the state officially opts into the program.
FAQs for families and donors
Who is eligible to receive these scholarships?
Eligible students must be enrolled in a public, private, or religious K-12 school. The family’s household income cannot exceed 300% of the area median gross income. Foster children meet this income requirement automatically.
Can home education programs benefit from these scholarships?
Under federal rules, a home school is treated as an eligible school only if it is recognized as a school under North Dakota state law. Homeschooling expenses are otherwise excluded from the federal program.
How do I make a redirect as a donor?
Once North Dakota is certified under the federal program, donors will redirect their tax liability to a listed, qualifying scholarship-granting organization. The organization will provide a timely written receipt containing a unique donor number, which you will use to claim the 100% credit on your federal return.
