The peroxide gel route is employed to synthesize N-doped TiO2 nanoparticles (NP) at low temperature using titanium tetraisopropoxide, ethylmethylamine, and hydrogen peroxide as precursors. Structural studies show anatase phase in the undoped titania NPs as well as at 5 at. % N-doped titania NPs, although with a degree of matrix disorder in the latter case. The annealing of N-doped titania NPs at different temperatures shows that above 400 degrees C nitrogen escapes the O-Ti-O matrix and at 500 degrees C the sample becomes crystalline. Transmission electron microscopy reveals that the particle size is in the range of 20-30 nm for the undoped TiO2 but only 5-10 nm for N-doped TiO2. At higher nitrogen concentration (10 at. %) bubble-like agglomerates form. FTIR and photoluminescence quenching also confirm the incorporation of nitrogen in anatase TiO2. Optical properties reveal an extended tailing of the absorption edge toward the visible region upon nitrogen doping. X-ray photoelectron spectroscopy is used to examine the electronic state of doped nitrogen and the associated possible electronic modification of the TiO2 matrix. Under visible light irradiation the undoped TiO2 NPs do not show any significant photocatalytic activity, as expected; however, the 5 at. % N-doped TiO2 NPs show excellent activity.