North Dakota Underpayment of Estimated Individual Income Tax

Underpayment of Estimated Individual Income Tax
Schedule ND-1UT - Underpayment or Late Payment of Estimated Income Tax for Individuals (2023)
	UNDERPAYMENT OR LATE PAYMENT OF

ESTIMATED INCOME TAX FOR INDIVIDUALS

Schedule ND-1UT

NORTH DAKOTA OFFICE OF STATE TAX COMMISSIONER
SFN 28704 (12-2023)

2023

Attach to Form ND-1
Your Name (First, MI, Last Name)	

Your Social Security Number

IMPORTANT:	•	
See the instructions before attempting to complete this form.
	•	
Do not complete this form unless you were required to pay estimated federal income tax for the 2023 tax year.
See “Federal estimated income tax requirement” in General Instructions.

Part 1 - Exceptions to regular computation of underpayment
	

	

If one of the following exceptions applies, fill in the applicable circle, complete Parts 2 and 3 as instructed,
and attach Schedule ND-1UT to your return.

	Qualified farmer exception	
B.	  Federal annualized income installment method exception	
A.	

		

	
	

 Federal 4th quarter exception
D.	  Partial year exception
C.	

	

(Attach copy of 2023 Federal Form 2210)

Part 2 - Computation of underpayment
	 1.	 Enter 2023 net tax liability (from 2023 Form ND-1, line 25, or Form ND-EZ, line 2)......................................	 1	______________
	 2.	 Multiply line 1 by 90% (.90) [or 66 2/3% (.6667) if a qualified farmer].................... 	 2	______________
	 3.	 Enter 2023 withholding (from 2023 Form ND-1, line 26, or Form ND-EZ, line 3)..........................................	 3	______________
	 4.	 Subtract line 3 from line 1. If less than $1,000, no estimated tax payment was required
	

	 for 2023; do not file this form ..........................................................................................................	 4	______________

	 5.	 Enter 2022 net tax liability (from 2022 Form ND-1, line 25, or 2022 Form ND-EZ, line 2). If no return
	

		 was required .to be filed for 2022, enter -0-. If less than $1,000, no estimated tax payment
	 was required for 2023; do not file this form.....................................................................................	 5	______________

	 6.	 Required payment. Enter smaller of line 2 or line 5. However, if you moved into North Dakota

 ........ 	 6	______________

		 during the 2022 tax year, enter the amount from line 2 and fill in this circle	
If one of the exceptions in Part 1 applies, see the 	
instructions to line 7 before completing the rest of this form.	

1st Quarter	
April 15, 2023	

2nd Quarter	
3rd Quarter	
4th Quarter
June 15, 2023	 Sept. 15, 2023	 Jan. 15, 2024

	 7.	 Enter 25% of line 6 in each column (or, if an exception
		 in Part 1 applies, enter the amount per instructions to line 7).......... 	

7	 __________	__________	__________	 __________

	 8.	 Enter estimated tax paid and tax withheld (See instructions).......... 	

8	 __________	__________	__________	 __________

		
Complete lines 9 through 15 of one column before

		 going to next column. Lines marked “NA” do not apply.

	 9.	 Enter amount, if any, from line 13 of previous column.................... 	

NA
9	 __________	__________	__________	
__________

	 10.	 Total paid. Add lines 8 and 9....................................................... 	

10	 __________	__________	__________	 __________

	 11.	 Add lines 14 and 15 of previous column....................................... 	

NA
NA
11	 __________	__________	__________	
__________

	 12.	 Overpayment. If line 10 is greater than line 7, subtract line 7

NA
		 from line 10. Otherwise, enter -0-............................................... 	 12	 __________	__________	__________	 __________
	 13.	 Overpayment carryover. If line 12 is greater than line 11,

		 subtract line 11 from line 12. Otherwise, enter -0- .......................	

	 14.	 Underpayment carryover. If line 11 is greater than line 12,

		 subtract line 12 from line 11. Otherwise, enter -0- .......................	

NA
13	 __________	__________	__________	 __________
NA
NA
14	 __________	__________	__________	
__________

	 15.	 Underpayment. If line 7 is greater than line 10, subtract

		 line 10 from line 7. Otherwise, enter -0-....................................... 	 15	 __________	__________	__________	 __________

Part 3 - Computation of interest (See instructions)
	 16.	 a. Date of payment (See instructions)......................................... 	 16a	 __________	__________	__________	 __________
b. Number of days from the payment due date to the
date on line 16a.................................................................... 	 16b	 __________	__________	__________	 __________
c. Divide line 16b by 365 and round to three decimal places........... 	 16c

.

0.

0.

0.

d. Multiply line 16c by 12% (.12) and round to three
decimal places..................................................................... 	 16d	

.

.

.

.

e. Multiply line 15 by line 16d..................................................... 	 16e	 __________	__________	__________	 __________

	 17.	 Total interest. Add the amounts in all four columns on line 16e. Enter this amount

		 on Form ND-1, line 37. (See instructions)............................................................................................. 	 17	______________

	 023 Schedule ND-1UT
2
SFN 28704 (12-2023), Page 2

General instructions

You may use Schedule ND-1UT to
determine if you paid enough estimated
North Dakota income tax by the payment
due dates and, if you didn’t, to calculate
the amount of interest you must pay on
the underpayment or late payment. The
dates used on Schedule ND‑1UT and in
these instructions are for calendar year
filers. Fiscal year filers should substitute
corresponding dates.
Federal estimated income tax
requirement. Do not complete
Schedule ND-1UT unless you were
required to pay estimated federal income
tax for the tax year. To determine if you
were required to pay estimated federal
income tax for 2023, see the 2023
Federal Form 2210.

Instructions for Part 1

Following are descriptions of the
exceptions to the regular computation of
underpayment listed in Part 1. If one of
them applies, fill in the applicable circle.
Item A: Qualified farmer exception
This exception applies if you qualified as
a farmer for federal estimated income tax
purposes in 2023 and you were required
to pay estimated federal income tax for
the 4th quarter due on January 15, 2024.
Item B: Federal annualized income
installment method exception
This exception applies only if you used
the annualized income installment
method to calculate the amount of your
underpayment and penalty for federal
estimated income tax purposes for
2023. Attach a copy of the federal
annualized income installment
method worksheet (from 2023
Federal Form 2210) showing the
amounts you computed for federal
purposes.
Item C: Federal 4th quarter
exception
This exception applies if you did not
have to make the 4th quarter estimated
federal income tax payment due on
January 15, 2024, because you filed your
2023 federal income tax return and paid
the remaining federal income tax due by
February 1, 2024.
Item D: Partial year exception
This exception applies if you were a
nonresident of North Dakota, or you
moved into North Dakota during 2023,
and you did not receive income subject
to North Dakota income tax until after
April 15, 2023. Attach a statement
describing your situation.

Instructions for Part 2
Line 7

If one of the exceptions in Part 1 applies,
enter on this line the appropriate
amount(s) as follows:
•	If Item A applies, enter the amount
from line 6 in the 4th quarter column.
Enter zero in the first three columns.
•	If Item B applies, use the annualized
federal taxable income determined
on the 2023 Federal Form 2210
to calculate an annualized North
Dakota taxable income. Include any
adjustments required or allowed
under North Dakota tax law in the
calculation. Enter the amount of
estimated North Dakota income
tax due by each payment due date
calculated in the same manner as
under the federal annualized income
installment method on Form 2210.
•	If Item C applies, enter 25% of the
amount on line 6 in the 1st, 2nd and
3rd columns. Enter zero in the 4th
quarter column.
•	If Item D applies, the amount to
enter in each column depends on
when you first received income from
North Dakota sources in 2023. If you
received the income after March 31
and before June 1, 2023, enter onethird of the amount on line 6 in the
2nd, 3rd, and 4th quarter columns. If
you received the income after May 31
and before September 1, 2023, enter
one-half of the amount on line 6 in the
3rd and 4th quarter columns. If you
received the income after August 31,
2023, and before January 1, 2024,
enter the amount from line 6 in the
4th quarter column.

Line 8

Enter the amount of estimated tax
paid and income tax withheld for each
quarter. Unless you can show otherwise,
one-fourth of the total amount withheld
is deemed to have been withheld by
each payment due date. If you elected
to apply an overpayment from your
2022 North Dakota return to your 2023
estimated tax, enter the overpayment
in the 1st quarter column; however, if
you attached a statement to your 2022
return requesting the overpayment to
be applied to another quarter, enter the
overpayment in the appropriate column.

Instructions for Part 3

Interest of 12% per year is charged on
an underpayment or late payment of
estimated tax. Interest accrues from
the payment due date to the earlier of

April 15, 2024, or the date the estimated
tax due is paid in full. In the case where
an overpayment is applied to offset
an underpayment, the overpayment is
considered to have been applied as of
the payment due date for the quarter in
which the overpayment occurred.
In some cases, you may find it necessary
to compute the interest on a separate
worksheet, in which case you should
skip lines 16a through 16d and enter the
separately computed interest on line 16e
in the appropriate column. Attach your
worksheet to Schedule ND‑1UT.
For purposes of computing interest,
the amount paid for a quarter must
be applied first to the amount due for
that quarter. If the total amount paid
exceeds the amount due, the excess
must be applied to offset an outstanding
underpayment, if any, from a previous
quarter, starting with the earliest
underpayment. In addition, in the case of
a late payment, the interest on line 16e
must be computed on the amount due on
line 7 less any tax withheld included on
line 8.

Line 16a

Except for a late payment or where an
underpayment is offset by a subsequent
quarter’s overpayment, enter April 15,
2024. If there is a late payment and
the amount of the payment equals or
exceeds the amount of estimated tax
due, enter the date of payment. If
an underpayment is fully offset by a
subsequent quarter’s overpayment, enter
the payment due date for the quarter
in which the overpayment occurred.
In other cases, more than one date
may apply and it may be necessary
to compute the interest on a separate
worksheet, in which case you should
skip lines 16a through 16d and enter the
separately computed interest on line 16e
in the appropriate column. Attach your
worksheet to Schedule ND-1UT.

Line 17

If there is an amount on this line, you
may not file Form ND-EZ; you must file
Form ND‑1. If there is an overpayment
on Form ND-1, line 29, any interest
due on Schedule ND‑1UT will reduce
the amount refunded to you. If there
is a tax due on Form ND-1, line 33,
any interest due on Schedule ND-1UT
must be included in the balance due
to be paid with your return. If there
is no overpayment or tax due on your
return, and if the interest due on
Schedule ND‑1UT is $5.00 or more, the
interest due on Schedule ND-1UT must
be included in the balance due, and a
check or money order for this amount
must be submitted with your return.