North Dakota Self-Employed — Schedule C, Form ND-1 & ND-1ES

Confirm the taxpayer is a full-year North Dakota resident and that a sole-proprietor or single-member LLC (Schedule C) return is the correct vehicle. Identify any part-year or nonresident exposure early, since that would require Schedule ND-1NR and falls outside this workflow. Also surface any oil-and-gas, tribal-reservation, or Renaissance Zone income flags that require specialist treatment.

Gather all gross receipts and allowable business expenses to complete federal Schedule C. Net profit (or loss) flows through to federal Form 1040 and ultimately to federal taxable income (Line 15), which is North Dakota's starting point. Compute the federal self-employment tax deduction (Schedule SE) and the §199A QBI deduction, both of which reduce federal taxable income and therefore ND taxable income automatically.

Starting from federal taxable income (Form 1040, Line 15), identify all North Dakota additions and subtractions using Schedule ND-1SA. Common additions include interest on out-of-state municipal bonds. Common subtractions include US government bond interest and any ND Renaissance Zone income exclusion. The result is ND taxable income reported on Form ND-1, Line 4.

Apply the 2025 three-bracket rate schedule (0% up to $48,475 single / $80,975 MFJ; 1.95% up to $244,825 single; 2.50% above) to ND taxable income. Then identify available credits on Schedule ND-1TC, including the credit for taxes paid to other states (Schedule ND-1CR if applicable). Compile all ND withholding from W-2 Box 17 and 1099 ND amounts and calculate the net amount due or refund on Form ND-1.

If the client's expected ND net tax liability for the next year is $1,000 or more, quarterly estimated payments are required using Form ND-1ES. Calculate the safe-harbour amount based on current-year liability, set up the four instalment dates (April 15, June 15, September 15, January 15), and enrol the client in ND TAP for electronic payment. Document any underpayment penalty exposure for the current year.

Finalise Form ND-1 and all schedules, review for completeness, and file by April 15, 2026. If an extension is needed, confirm that a valid federal extension (Form 4868) is in place — North Dakota grants an automatic six-month extension (to October 15, 2026) when a federal extension is filed, but any tax due must still be paid by April 15 to avoid interest and penalties. Deliver copies to the client and confirm any balance-due payment through ND TAP or check.