North Dakota Tax

North Dakota State Tax

North Dakota Income Tax

Like most areas in the United States, the State of North Dakota levy taxes on income, sales, and properties.

North Dakota Personal Income Tax

Among states collecting income tax, North Dakota collects the 6th lowest maximum marginal rates. North Dakota taxpayers file their income tax returns according to a five-tier personal income tax system. Tax rates for single filers range from 1.84% for incomes up to $34,000 to 4.86% for incomes over $60,000. The North Dakota tax system for joint filers has wider brackets that allow lower overall rates on combined incomes.

North Dakota Corporate Income Tax

Corporations in North Dakota pay the 4th lowest maximum corporate income tax rates in the United States. The North Dakota Office of State Commissions collects 1.7% on the first $25000 of the company’s taxable income, 4.23% on the next $25000, and 5.2% on incomes $25,001 and above.

North Dakota Sales Tax

North Dakota state tax rates range from 5% to 7%. The basic state sales tax is 5% while local and special sales taxes can add up to an additional 2% charge. Apart from sales tax, certain products such as alcohol and tobacco are subject to excise taxes.

Out-of-state purchases are exempt from North Dakota sales tax laws. However, the buyer is required to report these goods and pay use tax to the state.

North Dakota Property Tax

North Dakota collects approximately 1.42% of a property’s fair market value every year. Property tax amount to 2.67% of the residents annual earnings. Cass County levies the highest property tax rates while Billings County collects the lowest rates in North Dakota.