Updated October 21, 2026. Quick answer: The North Dakota Form ND-1 has separate lines for retirement income that the state treats differently: line 8 for railroad retirement benefits, line 9 for a licensed peace officer’s retirement benefits, and line 14 for military retirement benefits. Each line is read from the taxable amount on your federal Form 1040. A lump-sum distribution reported on Form 4972 is handled on Schedule ND-1SA.
What this form does
The ND-1 instructions describe the military line this way: “Military retirement benefit exclusion”. The booklet’s summary says “you may deduct the amount of taxable military retirement benefits that you reported on Form 1040 or Form 1040-SR, line 5b.” North Dakota retirement taxes covers how North Dakota treats retirement income at the state level, and North Dakota military retirement looks at the military case.
The booklet is the instructions for the ND-EZ and ND-1 returns, and the retirement lines covered here sit among its line-by-line instructions.
Who it applies to
For line 14 the booklet opens with the condition: “If you are a retired military service member, or a surviving spouse of a deceased retired military service member”. It includes “benefits received as a retired member of the U.S. armed forces or its reserve components, Army National Guard, or Air Force National Guard.”
For line 9 the condition is service-based: “The exclusion is allowable for a retired licensed peace officer with a minimum of 20 years of service or that was retired disabled.”
For line 8 the benefits must come from one payer: “The U.S. Railroad Retirement Board will be shown as the payer or employer” on the form issued to you.
The lines, one by one
| Line | What the form says |
|---|---|
| Line 8 heading | “U.S. Railroad Retirement Board benefits” |
| Line 8 | “Enter on this line the portion of any unemployment, sick pay, or retirement benefits received from the U.S. Railroad Retirement Board that are taxable on your federal income tax return.” |
| Line 8, forms | “Forms RRB-1099 and RRB-1099-R (retirement) issued to you.” |
| Line 9 heading | “Licensed peace officer retirement benefits exclusion” |
| Line 9 | “Certain retirement benefits of a licensed peace officer are excludable from North Dakota taxable income.” |
| Line 9, entry | “If allowable, enter on this line the amount of taxable retirement benefits included in federal taxable income on Form 1040 or Form 1040-SR, line 5b.” |
| Line 9, attachment | “Attach Form 1099-R to your return.” |
| Line 14 heading | “Military retirement benefit exclusion” |
| Line 14 | “If you are a retired military service member, or a surviving spouse of a deceased retired military service member, enter on this line the amount of taxable military retirement benefits that you reported on Form 1040 or Form 1040-SR, line 5b.” |
| Line 14, who is included | “Include benefits received as a retired member of the U.S. armed forces or its reserve components, Army National Guard, or Air Force National Guard.” |
| Line 14, dual status technicians | “Retirement benefits received for federal civil service employment as a dual status military technician under Title 32 or Title 10 are also eligible for this deduction.” |
| Line 14, attachment | “Include a copy of Form 1099-R.” |
| Line 15 (beside it) | “Do not enter on this line taxable Tier 1 Social Security equivalent benefits reported on a Form RRB-1099 from the U.S. Railroad Retirement Board; instead, enter the taxable portion of these benefits on Form ND-1, line 8.” |
| Schedule ND-1SA, line 1 | “Lump sum distribution from Federal Form 4972” |
| Schedule ND-1SA, line 1 instructions | “If you received a lump-sum distribution from a qualified retirement plan that you elected to report on Federal Form 4972” “you must enter on this line the amount from Form 4972, line 6 plus line 10.” |
The line 14 and line 9 amounts both start from the federal return, so it helps to have Form 1040 line 5a and 5b open, and the payer form is explained at 1099-R boxes explained. whether North Dakota taxes pensions is the state-level companion to this page.
The figures the form prints
Line 9 states the length of service in a single sentence: “The exclusion is allowable for a retired licensed peace officer with a minimum of 20 years of service or that was retired disabled.” For a first claim, the booklet adds “For the first tax year claiming this exclusion, also provide the following with your return:” and then lists the documents. Line 14 prints no dollar limit in the passage quoted above.
Where the result goes next
Line 8 and line 15 are tied together: “instead, enter the taxable portion of these benefits on Form ND-1, line 8.” Line 14 asks you to “Include a copy of Form 1099-R.” and line 9 asks you to “Attach Form 1099-R to your return.”
For the lump-sum distribution on Schedule ND-1SA, the schedule reads “Total additions. Add lines 1 and 2. Enter result on Form ND-1, line 3”.
Edition and line numbers
This page reads the 2025 North Dakota Individual Income Tax Booklet (Forms ND-EZ and ND-1 instructions) and Schedule ND-1SA for tax year 2025, the current file the North Dakota Office of State Tax Commissioner served on 2026-10-21. Check the edition printed on your own form and use that edition’s line numbers.
Common mistakes
- Putting railroad Tier 1 benefits on the Social Security line. The booklet says “Do not enter on this line taxable Tier 1 Social Security equivalent benefits reported on a Form RRB-1099 from the U.S. Railroad Retirement Board”
- Claiming line 9 without the service or disability test. The booklet says “The exclusion is allowable for a retired licensed peace officer with a minimum of 20 years of service or that was retired disabled.”
- Leaving off the payer form. For line 14 the booklet says “Include a copy of Form 1099-R.”
Related: North Dakota retirement taxes, whether North Dakota taxes pensions, North Dakota military retirement, Form 1040 line 5a and 5b, and 1099-R boxes explained.
Find the right next step for your situation
About how much do you have invested? Pick the range that fits; your next step appears immediately below.
Talk to an advisor about retirement tax planning
For U.S. investors with $250,000 or more in investable assets. WiserAdvisor is an independent service matching you with 2 to 3 vetted advisers. Its form asks for your ZIP code and answers to a few questions; a match is not guaranteed.
Free to request, with no obligation to hire. By submitting, you consent to calls, texts and emails from WiserAdvisor and up to three advisers. Advisers pay for introductions.
Clear Money Guide may earn a referral payment for a qualifying completed form. An introduction is not a Clear Money Guide recommendation.
Opens on WiserAdvisor’s site in a new tab.
Explore advisor help with retirement income taxes
Price the destination before you decide. The matching service below introduces you to advisers who pay to meet you.
Before you start, what actually happens. The form is run by Kapitalwise, our advisor-matching partner. Kapitalwise sends your details to advisers who pay for the introduction, so expect calls and texts. Clear Money Guide may earn a referral payment for a qualifying submitted form, whether or not you ever hire anyone. This is free to you and there is no obligation to hire anyone.
The Kapitalwise form opens here; you stay on this page.
What happens when you press the button
It asks about nine questions: age, investable assets, location; then your name, email and phone number, and verifies the phone by text. Nothing loads and nothing reaches Kapitalwise until you press the button.
Prefer flat-fee or hourly pricing instead? Compare ranges here.
Answer againSources
- 2025 North Dakota Individual Income Tax Booklet (Forms ND-EZ and ND-1 instructions), North Dakota Office of State Tax Commissioner: www.tax.nd.gov
- 2025 Schedule ND-1SA, North Dakota Office of State Tax Commissioner: www.tax.nd.gov
Read from the state revenue documents linked above on October 21, 2026. General information, not tax advice. Your own facts decide the outcome, and a preparer or the state revenue department is the right place to confirm anything consequential.