On May 6, 2003, at 1200 central daylight time, a Cessna 182S, N182ND, piloted by a flight instructor and dual student, was substantially damaged when it collided with the shore and a tree during a step taxi on South Golden Lake, Hatton, North Dakota. The dual student was a private pilot receiving training in preparation for a single engine sea airplane rating. The instructional flight was conducted under the provisions of 14 CFR Part 91 and was not on a flight plan. Visual meteorological conditions prevailed at the time of the accident. The flight instructor and dual student reported no injuries. The flight departed the Grand Forks International Airport (GFK), Grand Forks, North Dakota, at 1045 cdt. The flight instructor stated they had landed to the east and taxied back to the west side of the lake. The dual student then initiated a step taxi eastward across the lake, according to the instructor. The intention was for the student to enter a step turn as they approached the opposite shore line. The instructor reported that the dual student initiated the turn with aileron input only, no rudder. The instructor stated that he directed the student three times to apply rudder input for the turn. After the third request, the instructor stated he took control of the aircraft. The instructor recalled thinking the aircraft would not be able to complete the turn prior to the shore and increasing the rate of turn would risk capsizing the aircraft. He stated that he chopped the power and applied right rudder in an attempt to impact perpendicular to the shoreline. This was unsuccessful and the aircraft hit the shore at an angle. The right wing caught a tree which impacted 2 to 3 feet inboard of the tip. The instructor stated that there were no problems with the aircraft or engine prior to the accident. The aircraft was performing normally, according to the instructor.