N.D. Cent. Code § 57-33.2-19 — ND Code / Title 57 / Chapter 57-33.2 / Section 57-33.2-19
57-33.2-19. Allocation - Continuing appropriation
Status: in_force

57-33.2-19. Allocation - Continuing appropriation

The electric generation, transmission, and distribution tax fund is appropriated as a

continuing appropriation to the state treasurer for allocation and distribution to counties by April

first of each year as provided in this section. The commissioner shall make the necessary

allocations to the counties. The county auditors shall make the necessary allocations to the

taxing districts.

1. Revenue from the tax on transmission lines under section 57-33.2-02 must be

allocated among counties based on the mileage of transmission lines and the rates of

tax on those lines within each county. Revenue received by a county for each size of

transmission line under this subsection must be allocated one-third to the county and

two-thirds among the county and other taxing districts in the county based on the

mileage of that transmission line and the rates of tax that apply where that line is

located within each taxing district. Revenue from that portion of a transmission line

located in more than one taxing district must be allocated among those taxing districts

in proportion to their respective most recent property tax mill rates that apply where the

transmission line is located.

2. Revenue from the distribution company tax under section 57-33.2-03 must be

allocated fifty percent to the county in which the retail sale to which the tax applied was

made and fifty percent among counties based on the mileage of the distribution

company's distribution lines and the rate of tax on those lines within each county.

Revenue received by the county under this subsection based on the location of retail

sales must be allocated among taxing districts in the county based on the location of

the retail sale and the most recent respective property tax levies in dollars within the

taxing districts in which the retail sales occurred. Revenue received by a county under

this subsection based on mileage of distribution lines must be allocated among the

county and other taxing districts in the county based on the mileage of that distribution

line and the rates of tax that apply to the land on which that line is located within each

taxing district. Revenue from that portion of a distribution line located in more than one

taxing district must be allocated among those taxing districts in proportion to their

respective most recent property tax mill rates that apply to the land on which the

distribution line is located.

3. a. Revenue from the generation taxes under section 57-33.2-04 must be allocated

to the county in which a generator is located. Revenue received by the county

under this subsection must be allocated among taxing districts in which the

generator is located in proportion to their respective most recent property tax mill

rates that apply to the land on which the generator is located.

b. Revenue from the generation taxes under section 57-33.2-04 from wind farms

must be allocated to the county and among taxing districts in which the wind farm

is located in proportion to their respective most recent property tax mill rates that

apply to the land on which the wind farm is located. For purposes of revenue

allocation when generation turbines are located in more than one county or other

taxing district, the capacity tax in subdivision a of subsection 1 of section

57-33.2-04 must be based on the capacity of the turbines within each county or

taxing district. The electricity output for the kilowatt-hour tax in subdivision b of

subsection 1 of section 57-33.2-04 must be allocated according to the

proportionate share of wind generation capacity within each county or other

taxing district in relation to the total capacity of the wind farm.

4. For purposes of this section, "taxing district" means the state, county, and that portion

of any political subdivision with authority to levy property taxes which is located within

the county.
N.D. Cent. Code § 57-51-02.6 — ND Code / Title 57 / Chapter 57-51 / Section 57-51-02.6
57-51-02.6. Temporary exemption for oil and gas wells employing a system to avoid flaring
Status: in_force

57-51-02.6. Temporary exemption for oil and gas wells employing a system to avoid

flaring.

Gas is exempt from the tax under section 57-51-02.2 for a period of two years and thirty

days from the time of first production if the gas is:

1. Collected and used at the well site to power an electrical generator that consumes gas

from the well; or

2. Collected at the well site by a system that intakes at least seventy-five percent of the

gas and natural gas liquids volume from the well for beneficial consumption by means

of compression to liquid for use as fuel, transport to a processing facility, production of

petrochemicals or fertilizer, conversion to liquid fuels, separating and collecting over

fifty percent of the propane and heavier hydrocarbons, or other value-added processes

as approved by the industrial commission.
N.D. Cent. Code § 57-22-10 — ND Code / Title 57 / Chapter 57-22 / Section 57-22-10
57-22-10. County auditor to maintain record of delinquent personal taxes
Status: repealed

57-22-10. County auditor to maintain record of delinquent personal taxes

Repealed by S.L. 1957, ch. 357, § 1.
N.D. Cent. Code § 57-22-30 — ND Code / Title 57 / Chapter 57-22 / Section 57-22-30
57-22-30. Bond and reports of collectors
Status: in_force

57-22-30. Bond and reports of collectors

Any collector, other than the sheriff, with whom the county has contracted for the collection

of personal property taxes, shall furnish a good and sufficient bond, in an amount to be fixed by

the board of county commissioners, for the faithful discharge of the collector's duties and for the

payment to the county of all moneys collected. The collector, on the second day of each month,

shall file with the county treasurer a verified report and account of the taxes collected by the

collector the preceding month, showing the name of each person from whom taxes were

collected and the amount collected and at the same time shall pay to the county treasurer the

full amount collected. The expenses of such collection, whether made by the sheriff or other

collector, according to the contract, must be borne pro rata by the state and every other political

subdivision or municipality having an interest in the taxes collected and must be paid to the

collector on order of the board of county commissioners.
N.D. Cent. Code § 57-43.3-14 — ND Code / Title 57 / Chapter 57-43.3 / Section 57-43.3-14
57-43.3-14. Monthly report by refiner, supplier, distributor, importer, or exporter required
Status: in_force

57-43.3-14. Monthly report by refiner, supplier, distributor, importer, or exporter

required.

1. A refiner, supplier, distributor, importer, or exporter shall file a monthly report with the

commissioner no later than the twenty-fifth day of each calendar month covering

aviation fuel sold and used during the preceding calendar month. When the twenty-fifth

day of the calendar month falls on a Saturday, Sunday, or legal holiday, the due date is

the first working day after the Saturday, Sunday, or legal holiday. When the report is

filed by mail, the report is timely if the envelope containing the report is postmarked by

the United States postal service or other postal carrier service before midnight of the

due date. The tax commissioner may, upon request and for good cause shown, grant

an extension of time to file a report not to exceed thirty days.

2. The report to the commissioner must be on a form prescribed and furnished by the

commissioner. The commissioner may require that all or part of the report be

submitted in an electronic format approved by the commissioner, provided the person

required to file the report is able to file the report using an electronic format. The report

must contain such information as required by the commissioner, including:

a. A detailed schedule of aviation fuel refined, purchased, imported, and exported.

b. A detailed schedule of aviation fuel sold to a person eligible to purchase the

aviation fuel without the tax imposed by this chapter.

c. A detailed schedule of the number of gallons of aviation fuel sold to a person with

the tax imposed by this chapter, including a person who purchased the aviation

fuel for resale.

d. The total number of gallons of aviation fuel sold and used subject to the tax

imposed by this chapter.

e. The number of gallons of aviation fuel sold tax-exempt to a qualified consumer.

f. The number of gallons of aviation fuel in inventory at the beginning of the

calendar month, the number of gallons in inventory at the close of the calendar

month, and any gains or losses experienced.

3. The report must be signed by the taxpayer to be valid and must contain a written

declaration that it is made and subscribed under penalties of perjury.

4. The tax commissioner may prescribe alternative methods for signing, subscribing, or

verifying a return filed by electronic means, including telecommunications, that shall

have the same validity and consequence as the actual signature and written

declaration for a paper return.
N.D. Cent. Code § 57-40.3-11 — ND Code / Title 57 / Chapter 57-40.3 / Section 57-40.3-11
57-40.3-11. Penalties
Status: in_force

57-40.3-11. Penalties

1. Any person who violates any of the provisions of this chapter is guilty of a class B

misdemeanor.

2. Any person who submits a false or fraudulent motor vehicle purchaser's certificate, or

who fails to submit the certificate, is subject to a penalty of five percent of the true

amount of the tax which was due or five dollars, whichever is greater, plus one percent

of such tax for each month or fraction thereof subsequent to the month in which the

motor vehicle purchaser's certificate was due or the false or fraudulent motor vehicle

purchaser's certificate was furnished to the director of the department of

transportation. Such penalty must be paid to either the tax commissioner or the

director of the department of transportation and disposed of pursuant to the provisions

of section 57-40.3-10. The tax commissioner, if satisfied that the failure to submit or

the delay was excusable, may waive, and if paid, refund all or any part of such penalty

and interest. Unpaid penalties may be enforced in the same manner as the tax

imposed by this chapter.

3. Whenever a person, including any motor vehicle dealer, has collected from a person

acquiring a motor vehicle, a motor vehicle excise tax in excess of the amount

prescribed or due under this chapter, and if the person does not refund the excessive

tax collected to the person who remitted it, the person who collected the tax shall pay it

to the tax commissioner in the quarterly period in which the excessive collection

occurred. The penalty and interest provisions of this section apply beginning at the

termination of each reporting period.

4. If upon audit the tax commissioner determines that a motor vehicle excise tax has not

been paid or an additional tax is due, the tax commissioner shall give notice of

determination of the tax due to the person liable for the tax. The notice of

determination must be given no later than three years from the date the motor vehicle

was purchased, acquired, or the date the vehicle was required to be titled or registered

with the director of the department of transportation, whichever is later. If it is

determined that the motor vehicle excise tax due is twenty-five percent or more above

the amount that had been paid, the notice of determination must be given no later than

six years from the date the motor vehicle was purchased, acquired, or the date the

vehicle was required to be titled or registered with the director of the department of

transportation, whichever is later. The notice of determination of tax due fixes the tax

finally and irrevocably unless within thirty days of the date of the notice the person

against whom the tax is assessed applies to the tax commissioner for a hearing under

chapter 28-32 or unless the tax commissioner reduces the liability relating to

assessments on the tax commissioner's own motion. The provisions of chapter

57-39.2 not in conflict with the provisions of this chapter govern the administration of

the tax levied in this chapter.
N.D. Cent. Code § 57-39.2-15.2 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-15.2
57-39.2-15.2. Governor and manager liability
Status: in_force

57-39.2-15.2. Governor and manager liability

1. If a limited liability company required to hold a permit under this chapter fails for any

reason to file the required returns or to pay the taxes due under this chapter, the

governors, managers, or members of a member-controlled limited liability company,

jointly or severally, charged with the responsibility of supervising the preparation of the

returns and payments are personally liable for the failure. The dissolution of a limited

liability company does not discharge a governor's, manager's, or member's liability for

a prior failure of the limited liability company to file a return or remit the tax due. The

taxes, penalty, and interest may be assessed and collected under the provisions of this

chapter.

2. If the governors, managers, or members elect not to be personally liable for the failure

to file the required returns or to pay the tax due, the limited liability company must be

required to make a cash deposit or post and maintain with the tax commissioner a

bond or undertaking executed by a surety company authorized to do business in this

state. The cash deposit, bond, or undertaking provided for in this section must be in an

amount equal to the estimated annual sales tax liability of the limited liability company.
N.D. Cent. Code § 57-61-01.7 — ND Code / Title 57 / Chapter 57-61 / Section 57-61-01.7
57-61-01.7. Severance tax reduction for coal or commercial leonardite mined for out-of-state shipment
Status: in_force

57-61-01.7. Severance tax reduction for coal or commercial leonardite mined for

out-of-state shipment.

For coal or commercial leonardite subject to taxes under this chapter which is shipped out

of state after June 30, 2001:

1. The coal or commercial leonardite is subject to thirty percent of the taxes imposed

under section 57-61-01 and the entire revenue under this subsection must be

deposited in the coal development trust fund for use as provided in subsection 1 of

section 57-62-02 and allocation to the lignite research fund as provided in subsection 2

of section 57-61-01.5.

2. In addition to the taxes under subsection 1, the coal or commercial leonardite may be

subject to up to seventy percent of the severance taxes imposed under section

57-61-01 at the option of the county in which the coal or commercial leonardite is

mined. The board of county commissioners, by resolution, may grant to the operator of

a mine from which the coal or commercial leonardite is shipped out of state a partial or

complete exemption from this portion of the severance tax. Any tax revenue from full

or partial taxation under this subsection must be allocated to the county under

subsection 2 of section 57-62-02.

3. Taxes imposed under section 57-61-01.5 apply to coal or commercial leonardite

subject to this section and must be allocated as provided in section 57-61-01.5.
N.D. Cent. Code § 57-38-30.4 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-30.4
57-38-30.4. Income tax credit for comprehensive health association assessments
Status: repealed

57-38-30.4. Income tax credit for comprehensive health association assessments

Repealed by S.L. 2009, ch. 545, § 32.
N.D. Cent. Code § 57-02-08.8 — ND Code / Title 57 / Chapter 57-02 / Section 57-02-08.8
57-02-08.8. Property tax credit for disabled veterans - Certification - Distribution
Status: in_force

57-02-08.8. Property tax credit for disabled veterans - Certification - Distribution

1. A disabled veteran of the United States armed forces with an armed forces

service-connected disability of fifty percent or greater or a disabled veteran who has

an extra-schedular rating to include individual unemployability which results in the

veteran being paid at the one hundred percent rate as determined by the department

of veterans' affairs, who was discharged under honorable conditions or who has been

retired from the armed forces of the United States, or the surviving spouse if the

disabled veteran is deceased, is eligible for a credit applied against the first nine

thousand dollars of taxable valuation of the homestead owned and occupied by the

disabled veteran or surviving spouse equal to the percentage of the disabled veteran's

disability compensation rating for service-connected disabilities as certified by the

department of veterans' affairs for the purpose of applying for a property tax credit. A

surviving spouse who is receiving United States department of veterans affairs

dependency and indemnity compensation receives a one hundred percent credit as

described in this subsection. If the determination of disability or service-connected

death occurs subsequent to the qualifying veteran's death through application of a law

that renders a surviving spouse of a qualifying veteran eligible for United States

department of veterans affairs disability and indemnity compensation, the

determination for purposes of the credit under this subsection is presumed to precede

the veteran's death. Sufficient proof of receipt of United States department of veterans

affairs dependency and indemnity compensation includes correspondence directed to

a surviving spouse of a qualifying veteran by the United States department of veterans

affairs which indicates the surviving spouse is a survivor of the qualifying veteran and

is in receipt of United States department of veterans affairs dependency and indemnity

compensation.

2. If two disabled veterans are married to each other and living together, their combined

credits may not exceed one hundred percent of nine thousand dollars of taxable

valuation of the homestead. If a disabled veteran co-owns the homestead property

with someone other than the disabled veteran's spouse, parent, or child, the credit is

limited to that disabled veteran's interest in the homestead, calculated by multiplying

the taxable valuation of the disabled veteran's interest in the homestead property by

the applicant's certified disability percentage, not to exceed the maximum credit

amount in subsection 1.

3. A disabled veteran or surviving spouse claiming a credit under this section for the first

time shall file with the county auditor an affidavit showing the facts required under this

section, a description of the property, and a certificate from the United States

department of veterans' affairs, or its successor, certifying to the amount of the

disability. The affidavit and certificate must be open for public inspection. A person

shall thereafter furnish to the assessor or other assessment officials, when requested

to do so, any information which supports the claim for credit for any subsequent year.

4. For purposes of this section, and except as otherwise provided in this section:

a. "Child" means a child by birth, adoption, or marriage.

b. "Homestead" has the meaning provided in section 47-18-01 except that it also

applies to a person who otherwise qualifies under the provisions of this section

whether the person is the head of the family.

c. "Parent" means a birth parent, adoptive parent, or stepparent.

5. This section does not reduce the liability of a person for special assessments levied

upon property.

6. A credit under this section terminates at the end of the taxable year of the death of the

applicant.

7. The board of county commissioners may cancel the portion of unpaid taxes that

represents the credit calculated in accordance with this section for any year in which

the qualifying owner has held title to the homestead property. Cancellation of taxes for

any year before enactment of this section must be based on the law that was in effect

for that tax year.

8. Before the first of March of each year, the county auditor of each county shall certify to

the tax commissioner on forms prescribed by the tax commissioner the name and

address of each person for whom the property tax credit for homesteads of disabled

veterans was allowed for the preceding year, the amount of credit allowed, the total of

the tax mill rates of all taxing districts, exclusive of any state mill rates, that was

applied to other real estate in the taxing districts for the preceding year, and such other

information as may be prescribed by the tax commissioner.

9. On or before the first of June of each year, the tax commissioner shall audit the

certifications, make the required corrections, and certify to the state treasurer for

payment to each county the sum of the amounts computed by multiplying the credit

allowed for each homestead of a disabled veteran in the county by the total of the tax

mill rates, exclusive of any state mill rates that were applied to other real estate in the

taxing districts for the preceding year.

10. The county treasurer upon receipt of the payment from the state treasurer shall

apportion and distribute the payment without delay to the county and to the local taxing

districts of the county on the basis on which the general real estate tax for the

preceding year is apportioned and distributed.

11. On or before the first day of June of each year, the tax commissioner shall certify to

the state treasurer the amount computed by multiplying the property tax credit allowed

under this section for homesteads of disabled veterans in the state for the preceding

year by one mill for deposit in the state medical center fund.

12. Supplemental certifications by the county auditor and by the tax commissioner and

supplemental payments by the state treasurer may be made after the dates prescribed

in this section to make such corrections as may be necessary because of errors or

because of approval of an application for abatement filed by a person because the

credit provided for the homestead of a disabled veteran was not allowed in whole or in

part.
N.D. Cent. Code § 57-38-01.21 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-01.21
57-38-01.21. Charitable gifts, planned gifts, and qualified endowments credit - Definitions
Status: in_force

57-38-01.21. Charitable gifts, planned gifts, and qualified endowments credit -

Definitions.

1. For purposes of this section:

a. "Permanent, irrevocable fund" means a fund comprising cash, securities, mutual

funds, or other investment assets established for a specific charitable, religious,

educational, or eleemosynary purpose and invested for the production or growth

of income, or both, which may either be added to principal or expended.

b. "Planned gift" means an irrevocable charitable gift to a North Dakota qualified

nonprofit organization or qualified endowment held by or for a North Dakota

qualified nonprofit organization, when the charitable gift uses any of the following

techniques that are authorized under the Internal Revenue Code:

(1) Charitable remainder unitrusts, as defined by 26 U.S.C. 664;

(2) Charitable remainder annuity trusts, as defined by 26 U.S.C. 664;

(3) Pooled income fund trusts, as defined by 26 U.S.C. 642(c)(5);

(4) Charitable lead unitrusts qualifying under 26 U.S.C. 170(f)(2)(B);

(5) Charitable lead annuity trusts qualifying under 26 U.S.C. 170(f)(2)(B);

(6) Charitable gift annuities undertaken pursuant to 26 U.S.C. 1011(b);

(7) Deferred charitable gift annuities undertaken pursuant to 26 U.S.C. 1011(b);

(8) Charitable life estate agreements qualifying under 26 U.S.C. 170(f)(3)(B); or

(9) Paid-up life insurance policies meeting the requirements of 26 U.S.C. 170.

"Planned gift" does not include a charitable gift using a charitable remainder

unitrust or charitable remainder annuity trust unless the agreement provides that

the trust may not terminate and beneficiaries' interest in the trust may not be

assigned or contributed to the qualified nonprofit organization or qualified

endowment sooner than the earlier of the date of death of the beneficiaries or five

years from the date of the planned gift.

"Planned gift" does not include a deferred charitable gift annuity unless the

payment of the annuity is required to begin within the life expectancy of the

annuitant or of the joint life expectancies of the annuitants, if more than one

annuitant, as determined using the actuarial tables used by the internal revenue

service in determining federal charitable income tax deductions on the date of the

planned gift.

"Planned gift" does not include a charitable gift annuity or deferred charitable

gift annuity unless the annuity agreement provides that the interest of the

annuitant or annuitants in the gift annuity may not be assigned to the qualified

nonprofit organization or qualified endowment sooner than the earlier of the date

of death of the annuitant or annuitants or five years after the date of the planned

gift.

"Planned gift" does not include a charitable gift annuity or deferred charitable

gift annuity unless the annuity is a qualified charitable gift annuity for federal

income tax purposes.

c. "Qualified endowment" means a permanent, irrevocable fund held by:

(1) A North Dakota incorporated or established organization that is:

(a) A qualified nonprofit organization; or

(b) A bank or trust company holding the fund on behalf of a qualified

nonprofit organization; or

(2) An organization incorporated or established in a state bordering North

Dakota that is:

(a) A tax-exempt organization under 26 U.S.C. 501(c) to which

contributions qualify for federal charitable income tax deductions

which was incorporated or established for the support and benefit of a

hospital, nursing home, or medical center, or a facility providing any

combination of those services, which is located outside North Dakota

but within five miles of a North Dakota city of five thousand or more

population in which there is no hospital; or

(b) A bank or trust company holding the fund on behalf of an organization

that meets the conditions of subparagraph a.

d. "Qualified nonprofit organization" means a North Dakota incorporated or

established tax-exempt organization under 26 U.S.C. 501(c) to which

contributions qualify for federal charitable income tax deductions with an

established business presence or situs in North Dakota.

2. a. An individual is allowed a tax credit against the tax imposed by section

57-38-30.3 in an amount equal to forty percent of the present value of the

aggregate amount of the charitable gift portion of planned gifts made by the

taxpayer during the taxable year to a qualified nonprofit organization or qualified

endowment. The maximum credit that may be claimed under this subsection for

planned gifts made in a taxable year is ten thousand dollars for an individual, or

twenty thousand dollars for married individuals filing a joint return. The credit

allowed under this section may not exceed the taxpayer's income tax liability.

b. An individual is allowed a tax credit against the tax imposed by section

57-38-30.3 for making a charitable gift to a qualified endowment. The credit is

equal to forty percent of the charitable gift. If an individual makes a single

charitable gift to a qualified endowment, the charitable gift must be five thousand

dollars or more to qualify for the credit. If an individual makes more than one

charitable gift to the same qualified endowment, the aggregate amount of the

charitable gifts made to that qualified endowment must be five thousand dollars

or more to qualify for the credit. The maximum credit that may be claimed under

this subsection for charitable gifts made in a taxable year is ten thousand dollars

for an individual or twenty thousand dollars for married individuals filing a joint

return. The tax credit allowed under this section may not exceed the taxpayer's

income tax liability.

3. A corporation is allowed a tax credit against the tax imposed by section 57-38-30 in an

amount equal to forty percent of a charitable gift to a qualified endowment. The

maximum credit that may be claimed by a corporation under this subsection for

charitable gifts made in a taxable year is ten thousand dollars. The credit allowed

under this section may not exceed the corporate taxpayer's income tax liability.

4. An estate or trust is allowed a tax credit in an amount equal to forty percent of a

charitable gift to a qualified endowment. The maximum credit that may be claimed

under this subsection for charitable gifts made in a taxable year is ten thousand

dollars. The allowable credit must be apportioned to the estate or trust and to its

beneficiaries on the basis of the income of the estate or trust allocable to each, and

the beneficiaries may claim their share of the credit against the tax imposed by section

57-38-30 or 57-38-30.3. A beneficiary may claim the credit only in the beneficiary's

taxable year in which the taxable year of the estate or trust ends. Subsections 6 and 7

apply to the estate or trust and its beneficiaries with respect to their respective shares

of the apportioned credit.

5. A passthrough entity is entitled to a credit in an amount equal to forty percent of a

charitable gift to a qualified endowment by the entity during the taxable year. The

maximum credit that may be claimed by the entity under this subsection for charitable

gifts made in a taxable year is ten thousand dollars. The credit determined at the entity

level must be passed through to the partners, shareholders, or members in the same

proportion that the charitable contributions attributable to the charitable gifts under this

section are distributed to the partners, shareholders, or members. The partner,

shareholder, or member may claim the credit only in the partner's, shareholder's, or

member's taxable year in which the taxable year of the passthrough entity ends.

Subsections 6 and 7 apply to the partner, shareholder, or member.

6. The amount of the charitable gift upon which an allowable credit is computed must be

added to federal taxable income in computing North Dakota taxable income in any

taxable year in which the charitable gift reduces federal taxable income, but only to the

extent that the charitable gift reduced federal taxable income.

7. The unused portion of a credit under this section may be carried forward for up to

three taxable years.

8. If a charitable gift for which a credit was claimed is recovered by the taxpayer, an

amount equal to the credit claimed in all taxable years must be added to the tax due

on the income tax return filed for the taxable year in which the recovery occurs. For

purposes of subsection 4, this subsection applies if the estate or trust recovers the

charitable gift and the estate or trust and its beneficiaries are liable for the additional

tax due with respect to their respective shares of the apportioned credit. For purposes

of subsection 5, this subsection applies if the partnership, subchapter S corporation, or

limited liability company recovers the charitable gift, and the partner, shareholder, or

member is liable for the additional tax due.

9. A charitable gift used as the basis for a credit claimed under this section may not be

used as the basis for the claim of a credit under any other provision of this chapter.
N.D. Cent. Code § 57-38-40.1 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-40.1
57-38-40.1. Income tax refund reserve
Status: in_force

57-38-40.1. Income tax refund reserve

A reserve for income tax refunds is hereby created as a special fund in the state treasury.

The state tax commissioner shall deposit in such fund such amounts from income tax

collections as the commissioner deems necessary to pay refunds to which taxpayers may be

entitled under the provisions of this chapter and appropriated pursuant to section 12 of article X

of the Constitution of North Dakota.
N.D. Cent. Code § 57-33.2-04 — ND Code / Title 57 / Chapter 57-33.2 / Section 57-33.2-04
57-33.2-04. Wind generation taxation - Taxation of generation from sources other than coal - Taxation of coal generation not subject to coal conversion taxes
Status: in_force

57-33.2-04. Wind generation taxation - Taxation of generation from sources other than

coal - Taxation of coal generation not subject to coal conversion taxes.

Wind generators, including wind farms and associated collector systems, generators of

electricity from sources other than coal owned by a company subject to taxation under this

chapter, and generators of electricity from coal which are not subject to coal conversion taxes

under chapter 57-60 are subject to taxes under this section.

1. Wind generators, wind farms, and associated collector systems are subject to taxes

consisting of the following two components:

a. A tax of two dollars and fifty cents per kilowatt times the rated capacity of the wind

generator.

b. A tax of one-half of one mill per kilowatt-hour of electricity generated by the wind

generator during the taxable period.

2. Grid-connected generators that are part of a project with generation capacity of one

hundred kilowatts or more not produced from coal or wind, or produced from coal and

not subject to coal conversion taxes under chapter 57-60, are subject to taxes

consisting of the following two components:

a. Fifty cents per kilowatt times the rated capacity of the generation unit.

b. One mill per kilowatt-hour of electricity generated by the production unit during

the taxable period.
N.D. Cent. Code § 57-40.2-02.1 — ND Code / Title 57 / Chapter 57-40.2 / Section 57-40.2-02.1
57-40.2-02.1. Use tax imposed
Status: repealed

57-40.2-02.1. Use tax imposed

1. Except as otherwise expressly provided in this chapter, an excise tax is imposed on

the storage, use, or consumption in this state of tangible personal property purchased

at retail for storage, use, or consumption in this state, at the rate of five percent of the

purchase price of the property. Except as provided in section 57-40.2-11, an excise tax

is imposed on the storage, use, or consumption in this state of tangible personal

property not originally purchased for storage, use, or consumption in this state at the

rate of five percent of the fair market value of the property at the time it was brought

into this state.

2. For purposes of manufactured homes, as defined in section 41-09-02, an excise tax is

imposed on the storage, use, or consumption in this state of manufactured homes

used for residential or business purposes, except as provided in subsection 18 of

section 57-40.2-04 purchased at retail for storage, use, or consumption in this state at

the rate of three percent of the purchase price thereof. Except as provided in section

57-40.2-11, and except as provided in subsection 35 of section 57-39.2-04, an excise

tax is imposed on the storage, use, or consumption in this state of a manufactured

home used for residential or business purposes at the rate of three percent of the fair

market value of a manufactured home used for residential or business purposes at the

time it was brought into this state. A manufactured home removed from North Dakota

for installation in another state is not stored, used, or consumed in this state.

Installation of a manufactured home includes any method established under section

54-21.3-08.

3. Repealed by S.L. 2007, ch. 529, § 7.

4. An excise tax is imposed on the fair market value of sand or gravel severed when

sand or gravel is not sold at retail as tangible personal property by the person severing

the sand or gravel. If the sand or gravel is not sold at retail by the person severing the

sand or gravel, it must be presumed until the contrary is shown by the commissioner

or by the person severing the sand or gravel that the fair market value is eight cents

per ton of two thousand pounds [907.18 kilograms]. If records are not kept as to the

tonnage of sand or gravel severed from the soil, it must be presumed for the purpose

of this chapter that one cubic yard [764.55 liters] of sand or gravel is equal to one and

one-half tons [1360.78 kilograms] of sand or gravel.
N.D. Cent. Code § 57-15-42 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-42
57-15-42. City fire department capital improvements and equipment acquisition funding
Status: in_force

57-15-42. City fire department capital improvements and equipment acquisition

funding.

The governing body of any city may provide funding from revenues derived from the capital

improvements fund levy under section 57-15-38 for a fire department capital improvements and

equipment acquisition and maintaining structural and mechanical components for fire

department stations. Any levy under this section approved by the electors of a city before

January 1, 2015, remains effective for ten taxable years or the period of time for which it was

approved by the voters, whichever is less, under the provisions of this section in effect at the

time it was approved. When the authority to levy under this section expires in a city, any

unobligated balance in the fire department reserve fund must be transferred to the city capital

improvements fund.
N.D. Cent. Code § 57-34.1-04 — ND Code / Title 57 / Chapter 57-34.1 / Section 57-34.1-04
57-34.1-04. Electronic database
Status: in_force

57-34.1-04. Electronic database

1. A home service provider is to be held harmless from any tax, charge, or fee liability in

this state that otherwise would be due solely as a result of an assignment of a street

address to an incorrect taxing jurisdiction if, subject to subsection 4, the home service

provider employs an enhanced zip code to assign each street address to a specific

taxing jurisdiction for each level of taxing jurisdiction and exercises due diligence at

each level of taxing jurisdiction to ensure that each street address is assigned to the

correct taxing jurisdiction. If an enhanced zip code overlaps boundaries of taxing

jurisdictions of the same level, the home service provider must designate one specific

jurisdiction within the enhanced zip code for use in taxing the activity for the enhanced

zip code for each level of taxing jurisdiction. Any enhanced zip code assignment

changed in accordance with subsection 4 is in compliance with this subsection. For

purposes of this subsection, there is a rebuttable presumption that a home service

provider has exercised due diligence if the home service provider demonstrates that it

has:

a. Expended reasonable resources to implement and maintain an appropriately

detailed electronic database of street address assignments to taxing jurisdictions;

b. Implemented and maintained reasonable internal controls to promptly correct

misassignments of street addresses to taxing jurisdictions; and

c. Used all reasonably obtainable and usable data pertaining to municipal

annexations, incorporations, reorganizations, and any other changes in

jurisdictional boundaries that materially affect the accuracy of the database.

2. A home service provider is responsible for obtaining and maintaining the customer's

place of primary use. Subject to subsection 4 and if the home service provider's

reliance on information provided by its customer is in good faith, a taxing jurisdiction

shall allow a home service provider to rely on the applicable residential or business

street address supplied by the home service provider's customer and not hold a home

service provider liable for any additional taxes, charges, or fees based on a different

determination of the place of primary use for taxes, charges, or fees that are

customarily passed on to the customer as a separate itemized charge.

3. Except as provided in subsection 4, a taxing jurisdiction shall allow a home service

provider to treat the address used by the home service provider for tax purposes for

any customer under a service contract or agreement in effect on or before July 28,

2002, as that customer's place of primary use for the remaining term of the service

contract or agreement, excluding any extension or renewal of the service contract or

agreement, for purposes of determining the taxing jurisdictions to which taxes,

charges, or fees on charges for mobile telecommunications services are remitted.

4. A taxing jurisdiction or the state on behalf of any taxing jurisdiction may:

a. Determine that the address used for purposes of determining the taxing

jurisdictions to which taxes, charges, or fees for mobile telecommunications

services are remitted does not meet the definition of place of primary use and

give binding notice to the home service provider to change the place of primary

use on a prospective basis from the date of notice of determination if the taxing

jurisdiction making the determination is not the state, the taxing jurisdiction

obtains the consent of all affected taxing jurisdictions within this state before

giving the notice of determination, and before the taxing jurisdiction gives the

notice of determination, the customer is given an opportunity to demonstrate in

accordance with applicable state or local tax, charge, or fee administrative

procedures that the address is the customer's place of primary use.

b. Determine that the assignment of a taxing jurisdiction by a home service provider

under subsection 1 does not reflect the correct taxing jurisdiction and give binding

notice to the home service provider to change the assignment on a prospective

basis from the date of notice of determination if the taxing jurisdiction making the

determination is not the state, the taxing jurisdiction obtains the consent of all

affected taxing jurisdictions within the state before giving the notice of

determination and the home service provider is given an opportunity to

demonstrate in accordance with applicable state or local tax, charge, or fee

administrative procedures that the assignment reflects the correct taxing

jurisdiction.

5. Nothing in this chapter modifies, impairs, supersedes, or authorizes the modification,

impairment, or supersession of any law allowing a taxing jurisdiction to collect a tax,

charge, or fee from a customer that has failed to provide its place of primary use.

6. If a taxing jurisdiction does not otherwise subject charges for mobile

telecommunications services to taxation and if these charges are aggregated with and

not separately stated from charges that are subject to taxation, then the charges for

nontaxable mobile telecommunications services may be subject to taxation unless the

home service provider can reasonably identify charges not subject to the tax, charge,

or fee from its books and records that are kept in the regular course of business.

7. If a taxing jurisdiction does not subject charges for mobile telecommunications

services to taxation, a customer may not rely upon the nontaxability of charges for

mobile telecommunications services unless the customer's home service provider

separately states the charges for nontaxable mobile telecommunications services from

taxable charges or the home service provider elects, after receiving a written request

from the customer in the form required by the provider, to provide verifiable data based

upon the home service provider's books and records that are kept in the regular

course of business that reasonably identifies the nontaxable charges.
N.D. Cent. Code § 57-15-19.6 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-19.6
57-15-19.6. Township funding for mowing or snow removal
Status: in_force

57-15-19.6. Township funding for mowing or snow removal

The budget of each township approved at the annual meeting may include provision of

funding from revenues derived from the general fund levy authority of the township for the

purpose of mowing or snow removal.
N.D. Cent. Code § 57-51.1-07.4 — ND Code / Title 57 / Chapter 57-51.1 / Section 57-51.1-07.4
57-51.1-07.4. Separate allocation of state share of collections from reservation development
Status: repealed

57-51.1-07.4. Separate allocation of state share of collections from reservation

development.

Repealed by S.L. 2011, ch. 483, § 11.
N.D. Cent. Code § 57-40.3-01 — ND Code / Title 57 / Chapter 57-40.3 / Section 57-40.3-01
57-40.3-01. Definitions
Status: in_force

57-40.3-01. Definitions

As used in this chapter, except when the context clearly indicates a different meaning:

1. "Low-speed vehicle" means a four-wheeled vehicle that is able to attain a speed, upon

a paved surface, of more than twenty miles per hour [32 kilometers per hour] in one

mile [1.6 kilometers] and not more than twenty-five miles per hour [40 kilometers per

hour] in one mile [1.6 kilometers] and may not exceed three thousand pounds

[1360.77 kilograms] in weight when fully loaded with passengers and any cargo.

2. "Motor vehicle" includes every vehicle that is self-propelled and every vehicle that is

propelled by electric power obtained from overhead trolley wires, but not operated

upon rails, every trailer, semitrailer, park model trailer as defined in subsection 2 of

section 57-55-10, off-highway vehicle, snowmobile, low-speed vehicle, and travel

trailer for which a certificate of title is required to be obtained under chapter 39-05, but

not including housetrailers or mobile homes. The term does not include an electric

bicycle.

3. "Off-highway vehicle" means off-highway vehicle as defined in section 39-29-01.

4. "Person" includes any individual, firm, partnership, joint venture, association,

corporation, limited liability company, estate, business trust, receiver, or any other

group or combination acting as a unit and the plural as well as the singular number.

5. "Purchase price" means the total amount paid for the motor vehicle whether received

in money or otherwise. The purchase price excludes the amount of a manufacturer's

incentive or discount that reduces the amount paid by the purchaser to the seller at the

time of purchase and any charges or fees for auction services. If a motor vehicle or

other tangible personal property that will be subject to a sales or use tax imposed by

chapter 57-39.2 or 57-40.2 when sold or used is taken in trade as a credit or as part

payment on a motor vehicle taxable under this chapter, the credit or trade-in value

allowed by the person selling the motor vehicle shall be deducted from the total selling

price to establish the purchase price of the vehicle being sold and the trade-in

allowance allowed by the seller on a motor vehicle accepted as a trade-in shall

constitute the purchase price of a motor vehicle accepted as a trade-in. If a motor

vehicle is purchased by an owner who has had a motor vehicle stolen or totally

destroyed, a credit or trade-in credit shall be allowed against one or more replacement

motor vehicle purchases in a cumulative amount not to exceed the total amount the

purchaser has been compensated by an insurance company for the loss plus the

amount of the purchaser's deductible at the time of the loss. For a leased vehicle that

is stolen or totally destroyed, the credit may not exceed the total amount of motor

vehicle excise tax paid. The purchaser must provide the director of the department of

transportation with a notarized statement from the insurance company within three

years from the date of issuance verifying the fact that the original vehicle was a total

loss and stating the amount compensated by the insurance company for the loss and

the amount of the purchaser's deductible at the time of the loss. The statement from

the insurance company must accompany the purchaser's application for a certificate of

title for the replacement vehicle. If the full amount of the credit under this subsection

has not been used, the director of the department of transportation shall record on the

face of the notarized statement the necessary information to identify the partial use of

the credit and shall retain a copy and return the original to the purchaser. In instances

in which a licensed motor vehicle dealer places into the dealer's service a new vehicle

for the purpose of renting, leasing, or dealership utility service, the reasonable value of

the vehicle replaced shall be included as trade-in value provided the vehicle replaced

has been subject to motor vehicle excise tax under section 57-40.3-02 and if the new

vehicle is properly registered and licensed. "Purchase price" when the motor vehicle is

acquired by gift or by any other transfer for a nominal or no monetary consideration

also includes the average value of similar motor vehicles, established by standards

and guides as determined by the director of the department of transportation.

"Purchase price" when a motor vehicle is manufactured by a person who registers it

under the laws of this state means the manufactured cost of such motor vehicle and

manufactured cost means the amount expended for materials, labor, and other

properly allocable costs of manufacture except that, in the absence of actual

expenditures for the manufacture of a part or all of the motor vehicle, manufactured

cost means the reasonable value of the completed motor vehicle.

6. "Purchaser" means any person owning or in possession of a motor vehicle who makes

application to the director of the department of transportation for registration plates or

a certificate of title for such vehicle.

7. "Registrar" means the director of the department of transportation of this state as

provided by section 24-02-01.3, and who shall act as the agent of the state tax

commissioner in administering this chapter.

8. "Sale", "sells", "selling", "purchase", "purchased", or "acquired" includes any transfer of

title or ownership of a motor vehicle by way of gift, exchange or barter, or by any other

manner or by any other means whatsoever for or without consideration.

9. "Semitrailer" includes every vehicle of the trailer type so designed and used in

conjunction with a motor vehicle that some part of its own weight and that of its own

load rests upon or is carried by another motor vehicle and for which a certificate of title

is required to be obtained pursuant to the provisions of chapter 39-05, except that it

does not include a "housetrailer" or "mobile home".

10. "Snowmobile" means a self-propelled vehicle designed for travel on snow, ice, or a

natural terrain and steered by skis or runners.

11. "Trailer" includes every vehicle without motive power designed to carry property or

passengers wholly on its own structure and to be drawn by a motor vehicle and for

which a certificate of title is required to be obtained pursuant to the provisions of

chapter 39-05, except that it does not include a "housetrailer" or "mobile home".

12. "Travel trailer" means a mobile home or housetrailer designed to be towed behind a

motor vehicle for recreational purposes and providing temporary sleeping quarters for

people.

13. "Use" means the exercise by any person of any right or power over a motor vehicle

incident to the ownership or possession of such a vehicle, except that it shall not

include the sale or holding for sale of such a vehicle in the regular course of business.

14. "Vehicle" includes every device in, upon, or by which any person or property may be

transported or drawn upon a public highway, except devices moved by human power

or animal power or used exclusively upon stationary rails or tracks.
N.D. Cent. Code § 57-38-02 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-02
57-38-02. Annual tax on individuals
Status: repealed

57-38-02. Annual tax on individuals

Repealed by S.L. 2009, ch. 545, § 32.
N.D. Cent. Code § 57-39.2-04.11 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-04.11
57-39.2-04.11. Sales tax exemption for materials used to construct a facility for coal gasification byproducts
Status: in_force

57-39.2-04.11. Sales tax exemption for materials used to construct a facility for coal

gasification byproducts.

1. Gross receipts from sales of tangible personal property used to construct or expand a

facility in this state to extract or process byproducts associated with coal gasification

are exempt from taxes under this chapter. To be exempt, the tangible personal

property must be incorporated in the structure of the facility or used in the construction

process to the point of having no residual economic value.

2. To receive the exemption at the time of purchase, the owner of the facility must receive

from the commissioner a certificate that the tangible personal property used to

construct the processing facility which the owner intends to purchase qualifies for the

exemption. If a certificate is not received prior to the purchase, the owner shall pay the

applicable tax imposed by this chapter and apply to the commissioner for a refund.

3. If the tangible personal property is purchased or installed by a contractor subject to the

tax imposed by this chapter, the owner may apply for a refund of the difference

between the amount remitted by the contractor and the exemption imposed or allowed

by this section.

4. For purposes of this section, "coal gasification" and "byproducts" have the same

meaning as defined in chapter 57-60.
N.D. Cent. Code § 57-02-11 — ND Code / Title 57 / Chapter 57-02 / Section 57-02-11
57-02-11. Listing of property - Assessment thereof
Status: in_force

57-02-11. Listing of property - Assessment thereof

Certified assessment officials must list and assess property as follows:

1. All real property subject to taxation must be listed and assessed every year with

reference to its value, on February first of that year.

2. An individual property record must be kept by the appropriate assessment official for

each parcel of taxable property. The record may be in electronic or paper form and

must include identifying information as prescribed by the state supervisor of

assessments. Assessors shall prepare the records and provide copies of all property

records prepared by the assessor to the county director of tax equalization. The county

director of tax equalization shall maintain those records for ten years from the date the

records were received from the assessors. A city with an assessor who holds a current

certification as a class I assessor under section 57-02-01.1, and which has been

determined by the state supervisor of assessments to have enough sales for an

adequate sales ratio study, may elect to maintain the records required under this

subsection on behalf of the county. A city that makes this election must include these

records in a city database of taxable property to be maintained in the office of city

assessor for ten years from the assessment date.

3. Whenever after the first day of February and before the first day of April in any year, it

is made to appear to the assessor by the oath of the owner that any building, structure,

or other improvement, or tangible personal property, which is listed for taxation for the

current year has been destroyed or damaged by fire, flood, tornado, or other natural

disaster, the assessor shall investigate the matter and deduct from the valuation of the

property of the owner of such destroyed property an amount which in the assessor's

judgment fairly represents such deduction as should be made.
N.D. Cent. Code § 57-39.2-03.7 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-03.7
57-39.2-03.7. Surcharge on rental motor vehicles
Status: in_force

57-39.2-03.7. Surcharge on rental motor vehicles

A company engaged in the business of renting motor vehicles for periods of fewer than

thirty days shall collect a three percent surcharge on each rental contract at the time a vehicle of

a gross vehicle weight of ten thousand pounds [4535.92 kilograms] or less is rented from the

company in this state. A vehicle is considered rented in this state if possession is obtained by

the renter in this state. The surcharge must be computed on the total dollar amount for the

rental as stated in the rental contract, excluding taxes, fuel collections, or other ancillary

products sold to customers such as collision damage waiver, supplemental liability protection,

personal accident insurance, and personal effects coverage.

1. A surcharge under this section must be noted in the rental contract and collected in

accordance with the terms of the contract.

2. On February fifteenth of each year, a company that collects surcharges under this

section shall file a report with the commissioner stating the total amount of excise

taxes paid under chapter 57-40.3 on the rental vehicles for the preceding calendar

year and the total amount of rental motor vehicle revenues earned on rentals in this

state for the preceding calendar year. All surcharge revenues collected during the

calendar year by the company in excess of the total amount of excise taxes paid under

chapter 57-40.3 during the calendar year by the company on rental motor vehicles

must be remitted to the commissioner with the report and considered sales tax

collections under this chapter.

3. For three years after filing the report under this section, the company shall retain

copies of rental contracts and the commissioner may require the company to furnish

copies of rental contracts for purposes of ensuring compliance with this section.
N.D. Cent. Code § 57-51-01 — ND Code / Title 57 / Chapter 57-51 / Section 57-51-01
57-51-01. Definitions
Status: in_force

57-51-01. Definitions

As used in this chapter:

1. "Barrel of oil" means forty-two United States gallons of two hundred thirty-one cubic

inches per gallon computed at a temperature of sixty degrees Fahrenheit [158.99 liters

computed at a temperature of 15.56 degrees Celsius].

2. "Commissioner" means the state tax commissioner.

3. "Field" means the geographic area underlaid by one or more pools, as defined by the

industrial commission.

4. "Gas" means natural gas and casinghead gas.

5. "Hub city" means a city with a population of twelve thousand five hundred or more,

according to the last official decennial federal census, which is located in a county that

has oil and gas gross production tax or oil extraction tax revenue collections attributed

to it, as reported by the tax commissioner in certifications made to the state treasurer,

in any three consecutive months during the twenty-four month period preceding

September first of the most recent odd-numbered year.

6. "Hub city school district" means the school district with the highest student enrollment

within the city limits of a hub city.

7. "Oil" means petroleum, crude oil, mineral oil, and casinghead gasoline.

8. "Person" includes partnership, corporation, limited liability company, association,

fiduciary, trustee, and any combination of individuals.

9. "Posted price" means the price specified in publicly available posted price bulletins or

other public notices, net of any adjustments for quality and location.

10. "Shallow gas" means gas produced from a gas well completed in or producing from a

shallow gas zone, as certified to the tax commissioner by the industrial commission.

11. "Shallow gas zone" means a strata or formation, including lignite or coal strata or

seam, located above the depth of five thousand feet [1524 meters] below the surface,

or located more than five thousand feet [1524 meters] below the surface but above the

top of the Rierdon formation, from which gas is or may be produced.

12. "Transportation costs" means the costs incurred for transporting oil established in

accordance with the first applicable of the following methods:

a. Actual costs incurred under the arm's-length contract between the producer and

the transporter of oil.

b. An applicable common carrier rate established and filed with the North Dakota

public service commission, or the appropriate federal jurisdictional agency.

c. When no common carrier rate would be applicable, the transportation costs are

those reasonable costs associated with the actual operating and maintenance

expenses, overhead costs directly attributable and allocable to the operation and

maintenance, and either depreciation and a return on undepreciated capital

investment, or a cost equal to a return on the investment in the transportation

system, as determined by the commissioner.
N.D. Cent. Code § 57-38-59.3 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-59.3
57-38-59.3. Nonresident mobile workforce - Computation of taxable income - Exclusion - Exception for employer withholding - Returns required
Status: in_force

57-38-59.3. Nonresident mobile workforce - Computation of taxable income -

Exclusion - Exception for employer withholding - Returns required.

1. a. Compensation subject to withholding under section 57-38-59, without regard to

subsection 3, that is received by a nonresident for employment duties performed

in this state, shall be excluded from state source income if:

(1) The nonresident has no other income from sources in this state for the tax

year in which the compensation was received;

(2) The nonresident is present in this state to perform employment duties for not

more than twenty days during the tax year in which the compensation is

received. Presence in this state by the nonresident for any part of a day

constitutes presence for that day unless the presence is purely for purposes

of transit through the state; and

(3) The nonresident's state of residence provides a substantially similar

exclusion or does not impose an individual income tax or the nonresident's

income is exempt from taxation by this state under the United States

Constitution or federal statute.

b. This subsection does not apply to compensation received in this state by:

(1) A professional athlete or member of a professional athletic team;

(2) A professional entertainer performing services in the professional performing

arts;

(3) A person of prominence performing services for compensation on a per

event basis;

(4) A person performing construction services to improve real property;

(5) A key employee under section 416(i) of the Internal Revenue Code, as

amended [26 U.S.C. 416(i)], for the year immediately preceding the current

tax year. A determination under this paragraph must be made without regard

to ownership or the existence of a benefit plan; or

(6) An employee of a noncorporate employer, who would be a key employee

without regard to ownership or the existence of a benefit plan, for the year

immediately preceding the current tax year under section 416(i) of the

Internal Revenue Code [26 U.S.C. 416(i)], if the term "employee" were

substituted for the term "officer" in section 416(i)(1)(A)(i) of the Internal

Revenue Code and if such person is one of the noncorporate employer's

fifty highest paid employees without regard to whether such person is an

officer.

c. This subsection shall not prevent the operation, renewal, or initiation of any

agreement with another state authorized under section 57-38-59.1.

d. This subsection creates an exclusion from nonresident compensation under

certain de minimus circumstances and has no application to this state's

jurisdiction to impose this or any other tax on any taxpayer.

2. a. A nonresident whose only state source income is compensation excluded under

subsection 1 does not have an income tax liability and is not required to file a

return as prescribed in section 57-38-31, except nothing in this subsection

prohibits the tax commissioner from exercising the commissioner's discretion to

require the filing of an informational return by a nonresident employee described

in subdivision a of subsection 1.

b. This subsection is applicable to the determination of an individual income

taxpayer's filing requirement and has no application to the imposition of, or this

state's jurisdiction to impose, this or any other tax on any taxpayer.

3. a. No amount is required to be deducted or retained from compensation paid to a

nonresident for employment duties performed in this state if the compensation is

excluded from state source income under subsection 1, without regard to

paragraph 1 of subdivision a of subsection 1. The number of days a nonresident

employee is present in this state for purposes of paragraph 2 of subdivision a of

subsection 1 must include all days the nonresident employee is present and

performing employment duties on behalf of the employer and any other related

person.

(1) For purposes of this subsection, "related person" means a person that, with

respect to the employer during all or any portion of the taxable year, is:

(a) A related entity;

(b) A component member as defined in section 1563(b) of the Internal

Revenue Code [26 U.S.C. 1563(b)];

(c) A person to or from whom there is attribution to stock ownership as

provided in section 1563(e) of the Internal Revenue Code; or

(d) A person that, notwithstanding its form of organization, bears the

same relationship to the employer as a person described in

subparagraphs a through c.

(2) For purposes of this subsection, "related entity" means:

(a) A stockholder who is an individual, or a member of the stockholder's

family as provided in section 318 of the Internal Revenue Code

[26 U.S.C. 318] if the stockholder and the members of the

stockholder's family own, directly, indirectly, beneficially, or

constructively, in the aggregate, at least fifty percent of the value of

the employer's outstanding stock;

(b) A stockholder, or a stockholder's partnership, limited liability company,

estate, trust, or corporation, if the stockholder and the stockholder's

partnerships, limited liability companies, estates, trusts, and

corporations own, directly, indirectly, beneficially, or constructively, in

the aggregate, at least fifty percent of the value of the employer's

outstanding stock; or

(c) A corporation, or a party related to the corporation in a manner that

would require an attribution of stock from the corporation to the party

or from the party to the corporation under the attribution rules of the

federal Internal Revenue Code if the employer owns, directly,

indirectly, beneficially, or constructively, at least fifty percent of the

value of the corporation's outstanding stock. The attribution rules of

the federal Internal Revenue Code shall apply for purposes of

determining whether the ownership requirements of this definition

have been met.

b. An employer that erroneously applies the income tax withholding exception solely

as a result of miscalculating the number of days a nonresident employee is

present in this state to perform employment duties shall not be subject to the

penalty imposed in section 57-38-45 if:

(1) The employer relied on the employer's regularly maintained time and

attendance system that:

(a) Requires the employee to contemporaneously record the employee's

daily work location each day the employee is present in a state other

than the employee's state of residence; and

(b) Is used by the employer to allocate the employee's wages between all

taxing jurisdictions in which the employee performs duties;

(2) The employer relied on the employee's travel records that the employer

requires the employee to regularly maintain and contemporaneously record

the employee's travel and daily work location; or

(3) The employer does not require the records described in paragraph 1 or 2,

and relied on travel expense reimbursement records that the employer

requires the employee to submit on a regular and contemporaneous basis.

c. This subsection establishes an exception to income tax withholding and

deduction requirements and does not apply to the imposition of, or the state's

jurisdiction to impose this, or any other tax on the employer.
N.D. Cent. Code § 57-51-04 — ND Code / Title 57 / Chapter 57-51 / Section 57-51-04
57-51-04. Equipment used in production exempt from ad valorem tax
Status: in_force

57-51-04. Equipment used in production exempt from ad valorem tax

No equipment, material, or property is exempt from the payment of ad valorem tax by

reason of the payment of the gross production tax as herein provided except such equipment,

machinery, tools, material, or property as is actually necessary and being used at the site of a

producing well in the production of oil or gas; and it is expressly declared that no ice plants,

hospitals, office buildings, garages, residences, gasoline extraction or absorption plants, water

systems, fuel systems, roominghouses, and other buildings, nor any equipment or material used

in connection therewith is exempt from ad valorem tax, nor are drilling rigs exempt. The real

property is not exempt under this chapter except to the extent of the mineral interests therein.
N.D. Cent. Code § 57-51.1-07.5 — ND Code / Title 57 / Chapter 57-51.1 / Section 57-51.1-07.5
57-51.1-07.5. State share of oil and gas taxes - Deposits
Status: in_force

57-51.1-07.5. State share of oil and gas taxes - Deposits

From the revenues designated for deposit in the state general fund under chapters 57-51

and 57-51.1, the state treasurer shall deposit the revenues received each biennium in the

following order:

1. The first two hundred fifty million dollars into the state general fund;

2. The next two hundred fifty million dollars into the social service fund;

3. The next seventy-five million dollars into the budget stabilization fund, but not in an

amount that would bring the balance in the fund to more than the limit in section

54-27.2-01;

4. The next two hundred fifty million dollars into the state general fund;

5. The next ten million dollars into the lignite research fund;

6. The next twenty million dollars into the state disaster relief fund, but not in an amount

that would bring the unobligated balance in the fund to more than twenty million

dollars;

7. The next fifty-nine million seven hundred fifty thousand dollars, or the amount

necessary to provide for twice the amount of the distributions under subsection 3 of

section 57-51.1-07.7, into the funds designated for infrastructure development in

non-oil-producing counties under sections 57-51.1-07.7 and 57-51.1-07.8 with fifty

percent deposited into the municipal infrastructure fund and fifty percent deposited into

the county and township infrastructure fund;

8. The next one hundred million two hundred fifty thousand dollars or the amount

necessary to provide a total of one hundred sixty million dollars into the funds

designated for infrastructure development in non-oil-producing counties under sections

57-51.1-07.7 and 57-51.1-07.8 with fifty percent deposited into the municipal

infrastructure fund and fifty percent deposited into the county and township

infrastructure fund;

9. The next sixty-five million dollars to the public employees retirement fund for the main

system plan;

10. The next twenty million dollars into the airport infrastructure fund; and

11. Any additional revenues into the strategic investment and improvements fund.
N.D. Cent. Code § 57-63-01 — ND Code / Title 57 / Chapter 57-63 / Section 57-63-01
57-63-01. Definitions
Status: in_force

57-63-01. Definitions

As used in this chapter:

1. "Business" has the meaning provided in section 31-08.1-01.

2. "Commissioner" means the state tax commissioner.

3. "Facility" includes the operating entity of each intermediate care facility for individuals

with intellectual disabilities located in this state.

4. "Intermediate care facility for individuals with intellectual disabilities" means a

treatment or care center licensed under chapter 25-16 that provides services eligible

for coverage as medical assistance under 42 U.S.C. 1396a(a)(31), and also means

the life skills and transition center.

5. "Licensed bed" means a bed licensed under chapter 25-16 or approved by the

secretary of health and human services pursuant to 42 U.S.C. 1396i.

6. "Quarter" means one of four calendar quarters beginning January first, April first, July

first, or October first.
N.D. Cent. Code § 57-13-07 — ND Code / Title 57 / Chapter 57-13 / Section 57-13-07
57-13-07. Proceedings to be published - Abstract sent to county auditors
Status: in_force

57-13-07. Proceedings to be published - Abstract sent to county auditors

The secretary shall keep a record of the proceedings of the board, which must be published

by the secretary in an annual report. Upon final adjournment, the secretary shall transmit to

each county auditor an abstract of such proceedings specifying the percentage added to or

deducted from the valuation of the real property of each of the counties, in case an equal

percentage has not been added to or deducted from each, and specifying also the percentage

added to or deducted from the several classes of personal property in each of the counties in

the state, and such other information as will enable each auditor properly to equalize or make

corrections to the valuation or classification of taxable property or status with regard to

exemption of property in the auditor's county, and to determine the taxable rates thereof.
N.D. Cent. Code § 57-45-04 — ND Code / Title 57 / Chapter 57-45 / Section 57-45-04
57-45-04. Tax commissioner to collect taxes when other officer neglects
Status: in_force

57-45-04. Tax commissioner to collect taxes when other officer neglects

When any tax assessed under the authority of the state, or any taxing subdivision thereof, is

due and unpaid, and any state or county officer whose duty it is to enforce the payment of such

tax, by the institution of legal proceedings or otherwise, neglects or refuses to take such action,

the state tax commissioner shall institute such legal or other proceedings as the commissioner

deems necessary for the enforcement of the payment of such taxes, or of the collection of the

same, with all penalties provided by law, by the distraint of property or otherwise, and for these

purposes the state tax commissioner may exercise any power conferred by law upon any state

or local officer. For the carrying out of the purposes of this section, the state tax commissioner

may employ such legal or other assistance as the commissioner deems necessary.
N.D. Cent. Code § 57-15-20.3 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-20.3
57-15-20.3. Township levy for port purposes
Status: repealed

57-15-20.3. Township levy for port purposes

Repealed by S.L. 2015, ch. 439, § 104.
N.D. Cent. Code § 57-02-27.2 — ND Code / Title 57 / Chapter 57-02 / Section 57-02-27.2
57-02-27.2. Valuation and assessment of agricultural lands
Status: in_force

57-02-27.2. Valuation and assessment of agricultural lands

1. "True and full value" of agricultural lands must be their agricultural value for the

purposes of sections 57-02-27, 57-02-27.1, 57-02-27.2, and 57-55-04. Agricultural

value is defined as the "capitalized average annual gross return", except for inundated

agricultural land. The "annual gross return" must be determined from crop share rent,

cash rent, or a combination thereof reduced by estimated property taxes and crop

marketing expenses incurred by farmland owners renting their lands on a cash or crop

share basis.

2. For purposes of this section, "annual gross return" for cropland used for growing crops

other than sugar beets and potatoes means thirty percent of annual gross income

produced, "annual gross return" for cropland used for growing sugar beets and

potatoes means twenty percent of annual gross income produced, and "annual gross

return" for land used for grazing farm animals means twenty-five percent of an amount

determined by the department of agribusiness and applied economics of North Dakota

state university to represent the annual gross income potential of the land based upon

the animal unit carrying capacity of the land.

3. The "average annual gross return" for each county must be determined as follows:

a. Total the annual gross returns for the ten years immediately preceding the current

year for which data is available and discard the highest and lowest annual gross

returns of the ten.

b. The department of agribusiness and applied economics of North Dakota state

university shall establish a base year index of prices paid by farmers using annual

statistics on that topic compiled by the national agricultural statistics service for

the seven-year period ending in 1995, discarding the highest and lowest years'

indexes, and averaging the remaining five years' indexes. The department of

agribusiness and applied economics shall gather the national agricultural

statistics service annual index of prices paid by farmers for the ten years ending

with the most recent year used under subdivision a, discard the highest and

lowest years' indexes, average the remaining eight years' indexes, and divide the

resulting amount by the base year index of prices paid by farmers. This amount

must be divided into the amount determined under subdivision a.

c. Divide the figure arrived at in subdivision b by eight.

4. To find the "capitalized average annual gross return", the average annual gross return

must be capitalized by a rate that is a ten-year average of the gross agribank

mortgage rate of interest for North Dakota. The ten-year average must be computed

from the twelve years ending with the most recent year used under subdivision a of

subsection 3, discarding the highest and lowest years, and the gross agribank

mortgage rate of interest for each year must be determined in the manner provided in

section 20.2032A-4(e)(1) of the United States treasury department regulations for

valuing farm real property for federal estate tax purposes, except that the interest rate

may not be adjusted as provided in section 20.2032A-4(e)(2).

5. The department of agribusiness and applied economics of North Dakota state

university shall compute annually an estimate of the average agricultural value per

acre [.40 hectare] of agricultural lands on a statewide and on a countywide basis; shall

compute the average agricultural value per acre [.40 hectare] for cropland,

noncropland, and inundated agricultural land for each county; and shall provide the tax

commissioner with this information by December first of each year. Fifty percent of the

annual gross income from irrigated cropland must be considered additional expense of

production and may not be included in computation of the average agricultural value

per acre [.40 hectare] for cropland for the county as determined by the department of

agribusiness and applied economics. Before January first of each year, the tax

commissioner shall provide to each county director of tax equalization these estimates

of agricultural value for each county.

6. For purposes of this section, "inundated agricultural land" means property classified as

agricultural property containing a minimum of ten contiguous acres if the value of the

inundated land exceeds ten percent of the average agricultural value of noncropland

for the county, which is inundated to an extent making it unsuitable for growing crops

or grazing farm animals for two consecutive growing seasons or more, and which

produced revenue from any source in the most recent prior year which is less than the

county average revenue per acre for noncropland calculated by the department of

agribusiness and applied economics of North Dakota state university. Application for

classification as inundated agricultural land must be made in writing to the township

assessor or county director of tax equalization by March thirty-first of each year. Before

all or part of a parcel of property may be classified as inundated agricultural land, the

board of county commissioners must approve that classification for that property for

the taxable year. The agricultural value of inundated agricultural lands for purposes of

this section must be determined by the department of agribusiness and applied

economics of North Dakota state university to be ten percent of the average

agricultural value of noncropland for the county as determined under this section.

Valuation of individual parcels of inundated agricultural land may recognize the

probability that the property will be suitable for agricultural production as cropland or

for grazing farm animals in the future. Determinations made under this subsection may

be appealed through the informal equalization process and formal abatement process

provided for in this title.

7. Before February first of each year, the county director of tax equalization in each

county shall provide to all assessors within the county an estimate of the average

agricultural value of agricultural lands within each assessment district. The estimate

must be based upon the average agricultural value for the county adjusted by the

relative values of lands within each assessment district compared to the county

average. In determining the relative value of lands for each assessment district

compared to the county average, the county director of tax equalization shall use soil

type and soil classification data from detailed and general soil surveys.

8. Each local assessor shall determine the relative value of each assessment parcel

within the assessor's jurisdiction and shall determine the agricultural value of each

assessment parcel by adjusting the agricultural value estimate for the assessment

district by the relative value of the parcel. Each parcel must then be assessed

according to section 57-02-27. If either a local assessor or a township board of

equalization develops an agricultural value for the lands in its assessment district

differing substantially from the estimate provided by the county director of tax

equalization, written evidence to support the change must be provided to the county

director of tax equalization. In determining the relative value of each assessment

parcel, the local assessor shall apply the following considerations, which are listed in

descending order of significance to the assessment determination:

a. Actual use of the property for cropland or noncropland purposes by the owner of

the parcel.

b. Soil type and soil classification data from detailed or general soil surveys.

c. The schedule of modifiers that must be used to adjust agricultural property

assessments within the county as approved by the state supervisor of

assessments under subsection 9.

9. a. In conjunction with the governing body of the county, the county director of tax

equalization shall develop a schedule of modifiers to be used to adjust

agricultural property assessments within the county and directions regarding how

the modifiers must be applied by assessors.

b. The county director of tax equalization shall submit the directions and schedule of

modifiers developed under subdivision a to the state supervisor of assessments

for approval for use within the county.

c. Before February first of each year, the county director of tax equalization in each

county shall provide to all assessors of agricultural property within the county the

directions and schedule of modifiers approved by the state supervisor of

assessments under subdivision b. The schedule of modifiers must be used to

adjust agricultural property assessments within the county as provided in this

section.

d. To request an adjustment to an owner's agricultural property assessment, the

owner shall sign and file with the assessor an initial application in the manner

prescribed by the tax commissioner. The application must contain a verified

statement of facts establishing the owner's property meets the eligibility

requirements for an adjustment to the property assessment based on the

schedule of modifiers developed and approved under this subsection as of the

date of the application. The assessor shall consider applications submitted under

this subdivision when determining the agricultural value of each parcel subject to

assessment under this section and may request additional information from the

applicant when making a determination of eligibility. After the submission of an

initial application, the assessor periodically shall review the property and

determine whether a continued adjustment to the property assessment based on

the schedule of modifiers is appropriate. The property owner shall notify the

assessor if there is a change in circumstance that may affect the applicability of

an adjustment to the owner's property assessment based on the schedule of

modifiers.

10. For any county that has not fully implemented use of soil type and soil classification

data from detailed or general soil surveys by February first of any taxable year after

2011, the tax commissioner shall direct the state treasurer to withhold five percent of

that county's allocation each quarter from the state aid distribution fund under section

57-39.2-26.1 beginning with the first quarter of 2013, and continuing until the tax

commissioner certifies to the state treasurer that that county has fully implemented use

of soil type or soil classification data. The amount withheld from the allocation must be

deposited into the agricultural land valuation fund. The amount withheld from the

allocation must be withheld entirely from the portion of the allocation which may be

retained by the county and may not reduce allocations to any political subdivisions

within the county.
N.D. Cent. Code § 57-55-02 — ND Code / Title 57 / Chapter 57-55 / Section 57-55-02
57-55-02. Application for taxing - Form - Contents
Status: repealed

57-55-02. Application for taxing - Form - Contents

Repealed by S.L. 1995, ch. 582, § 2.
N.D. Cent. Code § 57-40.2-03 — ND Code / Title 57 / Chapter 57-40.2 / Section 57-40.2-03
57-40.2-03. Separate and additional use tax
Status: repealed

57-40.2-03. Separate and additional use tax

Repealed by I.M. approved November 2, 1976, S.L. 1977, ch. 593, § 6.
N.D. Cent. Code § 57-38-44 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-44
57-38-44. Tax a personal debt
Status: in_force

57-38-44. Tax a personal debt

Every tax imposed by this chapter, and all increases, interest, and penalties thereon,

becomes, from the time it is due and payable, a personal debt from the person or corporation

liable to pay the same to this state.
N.D. Cent. Code § 57-43.1-18 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-18
57-43.1-18. Sale in original package - Invoice - Delivery of copies
Status: repealed

57-43.1-18. Sale in original package - Invoice - Delivery of copies

Repealed by S.L. 1999, ch. 526, § 84.
N.D. Cent. Code § 57-38-41 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-41
57-38-41. Appeal
Status: repealed

57-38-41. Appeal

Repealed by S.L. 1945, ch. 293, § 1.
N.D. Cent. Code § 57-02-26 — ND Code / Title 57 / Chapter 57-02 / Section 57-02-26
57-02-26. Certain property taxable to lessee or equitable owner - Exception
Status: in_force

57-02-26. Certain property taxable to lessee or equitable owner - Exception

1. Property held under a lease for a term of years, or under a contract for the purchase

thereof, belonging to the United States or to the state or a political subdivision thereof,

except such lands upon which the state makes payments in lieu of property taxes, or

to any religious, scientific, or benevolent society or institution, whether incorporated or

unincorporated, or to any railroad corporation whose property is not taxed in the same

manner as other property, must be considered, for all purposes of taxation, as the

property of the person so holding the same.

2. Property held under an easement or a lease for a term of years and any improvements

upon that property which are used for any purpose relating to discovery, exploration,

processing, or transportation of oil or gas must be considered the property of the

lessee or easement holder. For the purposes of this subsection, "improvements" does

not include property subject to the provisions of chapter 57-06 or property subject to

the in lieu of ad valorem tax provisions of chapter 57-51.

3. Property owned by the state and held under a lease and any structure, fixture, or

improvement located on that property is not taxable to the leaseholder if the structure,

fixture, or improvement is used primarily for athletic and educational purposes at any

state institution of higher education.
N.D. Cent. Code § 57-51.1-07.3 — ND Code / Title 57 / Chapter 57-51.1 / Section 57-51.1-07.3
57-51.1-07.3. Oil and gas research fund - Deposits - Continuing appropriation
Status: in_force

57-51.1-07.3. Oil and gas research fund - Deposits - Continuing appropriation

There is established a special fund in the state treasury to be known as the oil and gas

research fund. Before depositing oil and gas gross production tax and oil extraction tax

revenues under section 57-51.1-07.5, two percent of the revenues must be deposited monthly

into the oil and gas research fund, up to ten million dollars per biennium. All moneys deposited

in the oil and gas research fund and interest on all such moneys are appropriated as a

continuing appropriation to the council to be used for purposes stated in chapter 54-17.6.
N.D. Cent. Code § 57-61-01.4 — ND Code / Title 57 / Chapter 57-61 / Section 57-61-01.4
57-61-01.4. Severance and sales and use tax exemptions for coal used in certain plants
Status: in_force

57-61-01.4. Severance and sales and use tax exemptions for coal used in certain

plants.

No state severance tax may be imposed on coal used in, or coal used to produce steam

that is used in, agricultural commodity processing facilities as defined in subsection 4 of section

57-39.2-04.4 located within North Dakota or adjacent states or any facility owned by the state or

a political subdivision of the state. No state severance tax may be imposed on coal purchased

for improvement through the process of coal beneficiation defined in section 57-60-01 which is

subsequently used in, or used to produce steam that is used in, agricultural commodity

processing facilities located within North Dakota or adjacent states or any facility owned by the

state or a political subdivision of the state. The coal mine owner or operator shall require the

person purchasing the coal to certify that amount of coal purchased for use in agricultural

commodity processing facilities or for beneficiation and subsequent use in agricultural

commodity processing facilities or any facility owned by the state or a political subdivision of the

state or to produce steam that is used in any of those facilities.
N.D. Cent. Code § 57-43.2-10 — ND Code / Title 57 / Chapter 57-43.2 / Section 57-43.2-10
57-43.2-10. Retention of records - Subject to inspection
Status: in_force

57-43.2-10. Retention of records - Subject to inspection

A refiner, supplier, distributor, importer, exporter, terminal operator, and retailer shall

maintain and retain records of all special fuel refined, purchased, imported, or otherwise

acquired; of all special fuel exported, sold, distributed, and used; and of all inventory records, for

a period of not less than three years. Inventory records include physical readings, metered

readings of sales, delivery tickets, and delivery readings. The records are open to inspection by

the commissioner or by any agent or employee authorized by the commissioner during business

hours.
N.D. Cent. Code § 57-22-19 — ND Code / Title 57 / Chapter 57-22 / Section 57-22-19
57-22-19. Lien of tax follows sale in bulk
Status: in_force

57-22-19. Lien of tax follows sale in bulk

Taxes upon a stock of goods or merchandise of any nature, and upon furniture and fixtures

in any type of business or industry, continue to constitute a lien thereon when sold in bulk, and

may be collected from the owner or purchaser, who is liable personally therefor.
N.D. Cent. Code § 57-20-01 — ND Code / Title 57 / Chapter 57-20 / Section 57-20-01
57-20-01. Real and personal property taxes - When due and delinquent - Penalties
Status: in_force

57-20-01. Real and personal property taxes - When due and delinquent - Penalties

All real and personal property taxes and yearly installments of special assessment taxes

become due on the first day of January following the year for which the taxes were levied. The

first installment of real estate taxes, all personal property taxes, and yearly installments of

special taxes become delinquent after the first day of March following and, if not paid on or

before said date, are subject to a penalty of three percent, and on May first following an

additional penalty of three percent, and on July first following an additional three percent, and an

additional penalty of three percent on October fifteenth following. From and after January first of

the year following the year in which the taxes become due and payable, simple interest at the

rate of twelve percent per annum upon the principal of the unpaid taxes on personal property

must be charged until the taxes and penalties are paid, with the interest charges to be prorated

to the nearest full month for a fractional year of delinquency. The second installment of real

estate taxes becomes delinquent after October fifteenth, and, if not paid on or before that date

becomes subject to a penalty of six percent.
N.D. Cent. Code § 57-38-01.15 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-01.15
57-38-01.15. Proration and itemization of deductions and exemptions
Status: repealed

57-38-01.15. Proration and itemization of deductions and exemptions

Repealed by S.L. 1989, ch. 710, § 4.
N.D. Cent. Code § 57-43.1-24 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-24
57-43.1-24. Tax collection allowance
Status: in_force

57-43.1-24. Tax collection allowance

The person required to remit the tax imposed by this chapter shall retain two percent of the

amount of tax due to cover the cost of collecting the tax and transmitting it to the commissioner.

This provision does not apply to tax on excess inventory losses and does not apply to additional

tax assessed during an audit.
N.D. Cent. Code § 57-39.2-04.12 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-04.12
57-39.2-04.12. Sales tax rebate for certain purchases of replacement property for property damaged or destroyed by 2011 flooding
Status: in_force

57-39.2-04.12. Sales tax rebate for certain purchases of replacement property for

property damaged or destroyed by 2011 flooding.

Expired under S.L. 2013, ch. 462, § 2.
N.D. Cent. Code § 57-01-04 — ND Code / Title 57 / Chapter 57-01 / Section 57-01-04
57-01-04. Salary
Status: in_force

57-01-04. Salary

The annual salary of the state tax commissioner is one hundred forty-one thousand

eighty-two dollars through June 30, 2026, and one hundred forty-five thousand three hundred

fourteen dollars thereafter.
N.D. Cent. Code § 57-38-01.41 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-01.41
57-38-01.41. Twenty-first century manufacturing and animal agricultural workforce incentive
Status: in_force

57-38-01.41. Twenty-first century manufacturing and animal agricultural workforce

incentive.

1. A taxpayer that is a primary sector business is allowed a nonrefundable credit against

the tax imposed under section 57-38-30 or 57-38-30.3 for purchases of qualifying

machinery and equipment in this state to improve job quality or increase productivity.

The amount of the credit under this section is fifteen percent of the cost of the

qualifying machinery and equipment purchased in the taxable year. Qualified

expenditures under this section may not be used in the calculation of any other income

tax deduction or credit allowed under this chapter.

2. For purposes of this section:

a. "Animal agricultural machinery and equipment" means new or used automation

and robotic equipment used to upgrade or advance an animal agricultural

process. The term does not include replacement automation and robotic

equipment that does not upgrade or advance an animal agricultural process.

b. "Animal agricultural process" means the breeding, raising, harvesting, or

processing of animals for producing meat, dairy, or eggs, or meat, dairy, or egg

products. For purposes of this subdivision, "animal" means beef or dairy cattle,

swine, sheep, goats, bison, farmed elk, or poultry.

c. "First-time claimant" means a taxpayer that has not previously claimed a credit

against the tax imposed under section 57-38-30 or 57-38-30.3 for purchases of

animal agricultural machinery and equipment or manufacturing machinery and

equipment for the purpose of automating manufacturing or animal agricultural

processes.

d. "Improved job quality" means a five percent increase in average wages or a five

percent improvement in workplace safety as documented through participation in

workforce safety and insurance safety incentive programs.

e. "Increased productivity" means no less than a five percent increase in output or a

five percent increase in the number of units produced per automated line per time

period.

f. "Manufacturing machinery and equipment" means new or used automation and

robotic equipment used to upgrade or advance a manufacturing process. The

term does not include replacement automation and robotic equipment that does

not upgrade or advance a manufacturing process.

g. "Primary sector business" has the meaning provided in section 1-01-49.

h. "Purchase" includes qualifying machinery and equipment acquired under a capital

lease only for the taxable year in which the lease is executed. A capital lease is a

lease which meets generally accepted accounting principles. The qualifying costs

of the equipment acquired under a capital lease is the fair market value of the

equipment at the inception of the lease.

i. "Qualifying machinery and equipment" means animal agricultural machinery and

equipment and manufacturing machinery and equipment for the purpose of

automating manufacturing or animal agricultural processes.

3. The taxpayer shall claim the total credit amount for the taxable year in which the

qualifying machinery and equipment are purchased. The credit under this section may

not exceed the taxpayer's liability as determined under this chapter for any taxable

year.

4. If the amount of the credit determined under this section exceeds the liability for tax

under this chapter, the excess may be carried forward to each of the next five

succeeding taxable years.

5. a. The aggregate amount of credits allowed each calendar year under this section

may not exceed three million dollars.

(1) From the aggregate credit limit in this subdivision, the tax commissioner

shall designate:

(a) Five hundred thousand dollars for credits claimed by first-time

claimants for animal agricultural machinery and equipment for the

purpose of automating animal agricultural processes; and

(b) Five hundred thousand dollars for credits claimed by first-time

claimants for manufacturing machinery and equipment for the purpose

of automating manufacturing processes.

(2) If the portion of the aggregate limit which is designated for first-time

claimants in paragraph 1 is greater than the amount of credits claimed by

the corresponding first-time claimants, the remaining portion of the

aggregate limit which is designated for the first-time claimants in

paragraph 1 must be included in the amount available to claimants that are

not first-time claimants.

(3) If the portion of the aggregate limit which is not designated for first-time

claimants in paragraph 1 is greater than the amount of credits claimed by

claimants that are not first-time claimants, the remaining portion of the

aggregate limit which is not designated for first-time claimants in

paragraph 1 must be included in the amount available to first-time claimants

to the extent necessary to satisfy all first-time claims.

(4) If the sum of the portion of the aggregate limit which is designated for the

corresponding first-time claimants in paragraph 1 and any amount available

to the first-time claimants under paragraph 3 is less than the amount of

credits claimed by the first-time claimants, the tax commissioner shall

prorate the credits among the first-time claimants.

b. If the maximum amount of allowed credits are not claimed in any calendar year,

any remaining unclaimed credits may be carried forward and made available in

the next succeeding calendar year.

c. After determining the credits claimed by the first-time claimants as provided in

subdivision a, if the aggregate amount of credits claimed under this section by

claimants that are not first-time claimants exceeds the amount available to

claimants that are not first-time claimants in a calendar year, the tax

commissioner shall prorate the credits among the claimants that are not first-time

claimants.

6. If a taxpayer entitled to the credit provided by this section is a member of a group of

corporations filing a North Dakota consolidated tax return using the combined

reporting method, the credit may be claimed against the aggregate North Dakota tax

liability of all the corporations included in the North Dakota consolidated return.

7. A passthrough entity entitled to the credit under this section must be considered to be

the taxpayer for purposes of calculating the credit. The amount of the allowable credit

must be determined at the passthrough entity level. The total credit determined at the

entity level must be passed through to the partners, shareholders, or members in

proportion to their respective interests in the passthrough entity. An individual taxpayer

may take the credit passed through under this subsection against the individual's state

income tax liability under section 57-38-30.3.

8. The department of commerce shall provide the tax commissioner the name, address,

and federal identification number or social security number of the taxpayer approved

as qualifying for the credit under this section, and a list of those items approved as a

qualified expenditure by the department. The taxpayer claiming the credit shall file with

the taxpayer's return, on forms prescribed by the tax commissioner, the following

information:

a. The name, address, and federal identification number or social security number

of the taxpayer that made the purchase; and

b. An itemization of:

(1) Each item of machinery or equipment purchased for automation, including a

description of the equipment or system being upgraded or advanced, and an

explanation of how the upgrade or advancement will improve job quality or

increase productivity;

(2) The amount paid for each item of machinery or equipment if the amount

paid for the machinery or equipment is being used as a basis for calculating

the credit; and

(3) The date on which payment for the purchase was made.

9. Within one year after claiming a tax credit under this section, a taxpayer shall file with

the tax commissioner a report that documents the improved job quality or increased

productivity required under this section and any other information the tax

commissioner determines is necessary for administration of this section. Failure to

document the improved job quality or increased productivity requirements is cause to

disallow the credit attributable to the noncompliance. The tax commissioner shall

provide notice of the disallowed credit to the taxpayer. Within ninety days after the date

of the notice, the taxpayer shall file an amended return for each taxable year in which

the disallowed credit reduced the taxpayer's tax liability and pay the amount due. If an

amended return is not filed timely, the tax commissioner shall disallow the credit and

assess any tax due. An assessment of tax made under this subsection is final and

irrevocably fixed.

10. Notwithstanding the time limitations contained in section 57-38-38, this section does

not prohibit the tax commissioner from conducting an examination of the credit claimed

and assessing additional tax due under section 57-38-38.
N.D. Cent. Code § 57-38-09.1 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-09.1
57-38-09.1. Organizations exempt from income tax - File return
Status: in_force

57-38-09.1. Organizations exempt from income tax - File return

Any organization exempt from taxation pursuant to section 57-38-09 must provide the tax

commissioner, in such form and manner as may be prescribed by the tax commissioner,

information as is necessary to enable the tax commissioner to determine the exempt status of

the organization.
N.D. Cent. Code § 57-15-06.6 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-06.6
57-15-06.6. County capital projects levy
Status: in_force

57-15-06.6. County capital projects levy

1. The board of county commissioners of each county may levy an annual tax not

exceeding ten mills plus any voter-approved additional levy as provided in

subsection 8 of section 57-15-06.7 for the purpose of the following capital projects:

a. Constructing, equipping, and maintaining structural and mechanical components

of regional or county corrections centers or for the purpose of contracting for

corrections center space capacity from another public or private entity.

b. Acquiring real estate as a site for public parks and construction, equipping, and

maintaining structural and mechanical components of recreational facilities under

section 11-28-06.

c. Acquiring real estate as a site for county buildings and operations and

constructing, equipping, and maintaining structural and mechanical components

of county buildings and property.

d. Acquiring real estate as a site for county fair buildings and operations and

constructing, equipping, and maintaining structural and mechanical components

of county fair buildings and property as provided in section 4-02-26.

e. Acquiring and developing real estate, capital improvements, buildings, pavement,

equipment, and debt service associated with financing for county supported

airports or airport authorities.

f. Expenditures for the cost of leasing as an alternative means of financing for any

of the purposes for which expenditures are authorized under subdivisions a

through e.

g. Improvement of the county road system, including the acquisition of land;

construction of new paved and unpaved roads, bridges, or public places;

replacement of existing paved and unpaved roads, bridges, or public places; and

maintenance and repair of existing paved and unpaved roads, bridges, or public

places.

2. Any voter-approved levy for the purposes specified in this section approved by the

electors before January 1, 2015, remains effective through 2024 or the period of time

for which it was approved by the electors, whichever is less, under the provisions of

law in effect at the time it was approved. After January 1, 2015, approval or

reauthorization by electors of increased levy authority under this section may not be

effective for more than ten taxable years.
N.D. Cent. Code § 57-39.2-03.10 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-03.10
57-39.2-03.10. Bundled telecommunications services including exempt services
Status: in_force

57-39.2-03.10. Bundled telecommunications services including exempt services

In the case of a bundled transaction of services that includes telecommunications services,

if the price is attributable to services that are taxable and services that are nontaxable, the

portion of the price attributable to the nontaxable services is subject to tax under this chapter

and chapter 57-40.2 unless the provider can reasonably identify the nontaxable portion of the

services from its books and records kept in the regular course of business.
N.D. Cent. Code § 57-20-17 — ND Code / Title 57 / Chapter 57-20 / Section 57-20-17
57-20-17. Notice of cancellation
Status: in_force

57-20-17. Notice of cancellation

Whenever a cancellation of a credited payment has been made in accordance with section

57-20-16, the officer making such cancellation shall make a record thereof in a book to be kept

by the officer for that purpose. The officer shall give notice by registered or certified mail to the

person who attempted to make payment by such unpaid check, draft, or money order, of the

cancellation of the payment, by mailing the same to that person at the post-office address given

on the tax records of the officer's office, or if no address is given, then to that person's

last-known post-office address. The validity of any tax, assessment, fee, or license, or of any

penalties accruing thereon, is not affected by any failure to give, nor by irregularity in giving,

such notice.
N.D. Cent. Code § 57-33.2-16.1 — ND Code / Title 57 / Chapter 57-33.2 / Section 57-33.2-16.1
57-33.2-16.1. General partner in a limited liability limited partnership liability
Status: in_force

57-33.2-16.1. General partner in a limited liability limited partnership liability

If a limited liability limited partnership taxable under this chapter fails for any reason to file

the required returns or to pay the tax due, the general partners, jointly or severally, charged with

the responsibility for the preparation of the returns and payment of the tax are personally liable

for the partnership's failure. The dissolution of a limited liability limited partnership does not

discharge a general partner's liability for a prior failure of the partnership to file a return or remit

the tax due. The taxes, penalty, and interest may be assessed and collected pursuant to the

provisions of this chapter. If the general partners elect not to be personally liable for the failure

to file the required returns or to pay the tax due, the limited liability limited partnership must

make a cash deposit or post and maintain with the commissioner a bond or undertaking

executed by a surety company authorized to do business in this state. The cash deposit, bond,

or undertaking must be in an amount equal to the estimated annual tax liability of the limited

liability limited partnership.
N.D. Cent. Code § 57-43.3-05 — ND Code / Title 57 / Chapter 57-43.3 / Section 57-43.3-05
57-43.3-05. Administration of tax
Status: repealed

57-43.3-05. Administration of tax

Repealed by S.L. 1999, ch. 526, § 84.
N.D. Cent. Code § 57-40.6-03 — ND Code / Title 57 / Chapter 57-40.6 / Section 57-40.6-03
57-40.6-03. Payment of fee by assessed communications service subscriber or customer
Status: in_force

57-40.6-03. Payment of fee by assessed communications service subscriber or

customer.

1. The assessed communications service provider shall collect the fee authorized under

section 57-40.6-02 from the subscriber or customer of the service.

2. For assessed communications service that involves a monthly billing, in the billing

statement or invoice to the subscriber, the provider shall state the amount of the fee

separately.

3. For prepaid wireless service, the fee shall be imposed, collected, and administered

according to the provisions of section 57-40.6-14. The fee imposed under section

57-40.6-14 shall be in lieu of any fees imposed on assessed communications services

under section 57-40.6-02.
N.D. Cent. Code § 57-39.2-25 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-25
57-39.2-25. Payment of refund
Status: in_force

57-39.2-25. Payment of refund

1. Whenever by any provisions of this chapter a refund is authorized, the commissioner

shall certify the amount of the refund, the reason therefor, and the name of the payee

to the office of management and budget, who shall thereupon draw a warrant on the

general fund in the amount specified payable to the named payee. Interest of ten

percent per annum must be allowed and paid upon any overpayment of tax from sixty

days after the due date of the return or after the date the return was filed or after the

date the tax due was fully paid, whichever comes later, to the date of the refund.

2. If the tax commissioner disallows a claim for credit or refund, the tax commissioner

shall notify the taxpayer accordingly. The decision of the tax commissioner to deny a

claim is final and irrevocable thirty days after the date of notice unless within the

thirty-day period the taxpayer files a written protest. A written protest must be filed

under rules adopted by the tax commissioner under chapter 28-32.
N.D. Cent. Code § 57-22-16 — ND Code / Title 57 / Chapter 57-22 / Section 57-22-16
57-22-16. Procedure when personal property is about to be sold or removed without payment of tax
Status: in_force

57-22-16. Procedure when personal property is about to be sold or removed without

payment of tax.

If a township, city, or county officer learns or believes that there is danger that personal

property which has been assessed and upon which any personal property taxes are due or will

be due, will be sold, or removed from the county, without payment of the taxes and without

leaving sufficient property to pay the whole of such taxes, the officer shall report such fact to the

sheriff, who forthwith shall collect the taxes, or distrain and sell sufficient property to pay the

same, if they are not paid on demand, or require an undertaking from the owner in favor of the

county treasurer, conditioned that all taxes levied upon such property will be paid when due.

Such undertaking must be approved by the recorder, unless the board of county commissioners

designates a different official. If the taxes involved have not been levied, they must be

ascertained by the county auditor by applying the aggregate mill levy of the previous year for the

taxing district in which the property is assessed to the current taxable valuation, and if, after the

tax for the current year is levied, there is any excess, it must be refunded to the taxpayer on

order of the board of county commissioners. In case a bond has been given, and the taxes are

not paid when due, the county treasurer shall bring an action for the taxes and costs in the

district court of the county, and the state's attorney shall represent the treasurer in such action

on the bond.
N.D. Cent. Code § 57-38.4-02 — ND Code / Title 57 / Chapter 57-38.4 / Section 57-38.4-02
57-38.4-02. Water's edge election
Status: in_force

57-38.4-02. Water's edge election

A corporation required to file a worldwide unitary combined report must do so unless it

elects to apportion its income using the water's edge method.

1. A corporation electing to file using the water's edge method must comply with the

following:

a. The election must be made on the return as originally and timely filed.

b. The water's edge election is binding for five consecutive taxable years after

making the election.

2. All corporations electing the water's edge method must include the income and

apportionment factors of the water's edge group. Foreign dividends and income from

80/20 corporations must be included as follows:

a. An existing corporation must include fifty percent of foreign dividends and sixty

percent of income from 80/20 corporations. However, an existing corporation that

increases and maintains a threshold activity by twenty-five percent or more, but

not by business reorganization or acquisition, is only required to include thirty

percent of foreign dividends and thirty percent of income from 80/20 corporations.

b. A new corporation must include thirty percent of foreign dividends and thirty

percent of income from 80/20 corporations.

c. For taxable years beginning after December 31, 1994, all corporations making

the water's edge election may reduce the inclusion to include thirty percent of

foreign dividends and thirty percent of income from 80/20 corporations.

3. In addition to the tax imposed under subsection 1 of section 57-38-30, there is

imposed an additional tax of three and one-half percent of taxable income which must

be levied, collected, and paid annually in the same manner as provided in chapter

57-38.
N.D. Cent. Code § 57-45-08 — ND Code / Title 57 / Chapter 57-45 / Section 57-45-08
57-45-08. Consolidated tax account
Status: in_force

57-45-08. Consolidated tax account

The office of management and budget may carry on the record of its office an account

called the consolidated tax account with each county of the state in which must be listed, in

appropriate columns, the taxes due the state for the years in which there are unpaid taxes five

years old or older. All taxes collected by the counties for the years included in such consolidated

tax accounts must be reported as collections for such accounts and must be credited to the

general fund of the state.
N.D. Cent. Code § 57-43.1-30 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-30
57-43.1-30. Administration - Assistance authorized - Rules
Status: in_force

57-43.1-30. Administration - Assistance authorized - Rules

The commissioner shall enforce the provisions of this chapter. The commissioner may

employ assistance and conduct investigations as may be necessary for the efficient

administration and enforcement of this chapter and may adopt and enforce reasonable rules

relating to the administration and enforcement of this chapter.
N.D. Cent. Code § 57-43.2-07 — ND Code / Title 57 / Chapter 57-43.2 / Section 57-43.2-07
57-43.2-07. Bond or letter of credit required
Status: in_force

57-43.2-07. Bond or letter of credit required

As a condition precedent to the issuance of a single or multiple license, a supplier,

distributor, retailer, or importer shall furnish a surety bond, a cash bond, or an approved letter of

credit as security to guarantee the payment of the special fuel taxes imposed by this chapter. A

terminal operator or an exporter who is not also licensed as a supplier or distributor is exempt

from this requirement.

1. The surety bond, cash bond, or letter of credit must be in an amount prescribed by the

commissioner but not less than one thousand dollars. If the commissioner requires a

separate license for liquefied petroleum gases, a separate security is required for that

license, and the surety bond, cash bond, or letter of credit must be in an amount

prescribed by the commissioner but not less than five hundred dollars.

2. The surety bond, cash bond, or letter of credit is subject to approval by the

commissioner.

3. After a single or multiple license has been in effect for five or more years, the

commissioner may review the person's records and may waive the requirement for a

security. The requirement for a security may be reinstated at the discretion of the

commissioner.

4. A surety bond or letter of credit provided as security must be kept in the custody of the

commissioner and may be used by the commissioner, without notice to the principal, if

it becomes necessary to cover the special fuel tax, penalties, and interest due.

5. Money deposited with the commissioner as a cash bond must be made in the form of

a cashier's check or bank money order payable to the commissioner. The money

received must be paid by the commissioner to the state treasurer and credited by the

treasurer into a special fund to be known as the motor fuel tax security trust fund. The

money deposited may be used by the commissioner, without notice to the depositor, if

it becomes necessary to cover tax, penalties, and interest due. If the money deposited

is used to cover unpaid liabilities, the commissioner shall certify the information to the

director of the office of management and budget. The office of management and

budget shall transmit the money to the commissioner who shall apply as much of the

money deposited by the person as is necessary to satisfy the liabilities. When in the

commissioner's judgment it is no longer necessary to require the deposit to be

maintained, the commissioner shall certify the information to the director of the office of

management and budget who shall pay the unused money to the depositor.
N.D. Cent. Code § 57-39.2-15 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-15
57-39.2-15. Failure to file return - Incorrect return
Status: in_force

57-39.2-15. Failure to file return - Incorrect return

If a return required by this chapter is not filed, or if a return when filed is incorrect or

insufficient, the commissioner shall determine the amount of tax due from any information as the

commissioner may be able to obtain, and, if necessary, may estimate the tax on the basis of

external indices, such as number of employees of the person concerned, rentals paid by the

person, the person's stock on hand, and other factors. The commissioner shall give notice of the

determination to the person liable for the tax. If the determination of tax due relates to an

incorrect or insufficient return filed by a taxpayer, notice of the determination must be given not

later than three years after the last day on which the return was due or three years after the

return was filed, whichever period expires later; if it is determined upon audit that the tax due

was twenty-five percent or more above the amount reported on a return, notice of determination

of tax due must be given not later than six years after the last day on which the return was due

or six years after the return was filed, whichever is later. Notice of determination of tax due for

any reporting period for which a taxpayer failed to file a return must be given not later than six

years after the due date of the return but if fraudulent information is given in a return or the

failure to file a return is due to the fraudulent intent or willful attempt of the taxpayer in any

manner to evade the tax, the time limitation herein provided for giving notice of the

determination of tax due does not apply. The determination of tax due fixes the tax finally and

irrevocably unless the person against whom it is assessed, within thirty days after the giving of

notice of the determination, protests the determination under rules adopted by the commissioner

and under chapter 28-32.
N.D. Cent. Code § 57-65-18 — ND Code / Title 57 / Chapter 57-65 / Section 57-65-18
57-65-18. Powers of tax commissioner
Status: in_force

57-65-18. Powers of tax commissioner

The tax commissioner is charged with the administration of this chapter and shall enforce

the assessment, levy, and collection of taxes imposed under this chapter. The tax commissioner

may require any person engaged in the production of subsurface minerals or byproducts to

furnish any additional information the tax commissioner determines necessary for the purpose

of correctly computing the amount of potash and byproducts tax. The tax commissioner may

examine the books, records, and files of such person, and conduct hearings and compel the

attendance of witnesses, the production of books, records, and papers of any person, and may

make any investigation or hold any inquest determined necessary to a full and complete

disclosure of the facts as to the amount of production from any potash mining facility, processing

plant, or satellite facility, or of any company or other producer for taxing purposes.
N.D. Cent. Code § 57-43.2-02.3 — ND Code / Title 57 / Chapter 57-43.2 / Section 57-43.2-02.3
57-43.2-02.3. Exemptions (Contingent expiration date - See note)
Status: in_force

57-43.2-02.3. Exemptions. (Contingent expiration date - See note)

1. Special fuel commonly known as diesel fuel which is dyed for federal fuel tax

exemption purposes and sold for an agricultural, industrial, or railroad purpose is

exempt from the special fuel tax imposed by section 57-43.2-02 at the time the fuel is

sold to the consumer and is subject instead to the tax imposed by section 57-43.2-03.

Special fuel known as diesel fuel which is dyed for federal fuel tax exemption purposes

and sold for use as heating fuel is exempt from the special fuel tax imposed by

sections 57-43.2-02 and 57-43.2-03. Fuel purchased for use in a licensed motor

vehicle is not exempt from the tax imposed by section 57-43.2-02.

2. Special fuel, other than diesel fuel, sold for an agricultural, industrial, or railroad

purpose is exempt from the special fuel tax imposed by section 57-43.2-02 at the time

the fuel is sold to the consumer and is subject instead to the tax imposed by section
N.D. Cent. Code § 57-15-58 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-58
57-15-58. Penalty for unlawful withdrawal from fund
Status: in_force

57-15-58. Penalty for unlawful withdrawal from fund

Every officer participating in the unlawful withdrawal from any fund established by this

chapter is guilty of a class A misdemeanor.
N.D. Cent. Code § 57-39.2-04.1 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-04.1
57-39.2-04.1. Sales tax exemption for food and food ingredients
Status: in_force

57-39.2-04.1. Sales tax exemption for food and food ingredients

Gross receipts from sales for human consumption of food and food ingredients are exempt

from taxes imposed under this chapter. Gross receipts from sales for human consumption of

food and food products given, or to be given, as samples to consumers for consumption on the

premises of a food store are exempt from the sales tax imposed by this chapter. For purposes of

this section, "food and food ingredients" means substances, whether in liquid, concentrated,

solid, frozen, dried, or dehydrated form, that are sold for ingestion or chewing by humans and

are consumed for taste or nutritional value.

1. For purposes of this section, "food" and "food ingredients" do not include:

a. Alcoholic beverages.

b. Candy or chewing gum.

c. Dietary supplements.

d. Prepared food.

e. Soft drinks containing fifty percent or less fruit juice.

f. Tobacco.

2. For purposes of this section:

a. "Alcoholic beverages" means beverages that are suitable for human consumption

and contain one-half of one percent or more of alcohol by volume.

b. "Candy" means a preparation of sugar, honey, or other natural or artificial

sweeteners in combination with chocolate, fruits, nuts, or other ingredients or

flavoring in the form of bars, drops, or pieces. Candy does not include any

preparation containing flour and does not require refrigeration.

c. "Dietary supplement" means any product, other than tobacco, intended to

supplement the diet which contains one or more of the following dietary

ingredients: a vitamin; a mineral; an herb or other botanical; an amino acid; a

dietary substance for use by humans to supplement the diet by increasing the

total dietary intake; an oral concentrate, metabolite, constitute, extract, or

combination of any dietary ingredients described in this sentence and which is

intended for ingestion in tablet, capsule, powder, soft gel, gel cap, or liquid form,

or if not represented for use as a sole item of a meal or of a diet; and is required

to be labeled as a dietary supplement, identifiable by the supplemental facts box

found on the label and as required pursuant to 21 CFR section 101.36.

d. "Prepared food" means:

(1) Food sold in a heated state or heated by the seller;

(2) Two or more food ingredients mixed or combined by the seller for sale as a

single item; or

(3) Food sold with eating utensils provided by the seller, including plates,

knives, forks, spoons, glasses, cups, napkins, or straws. A plate does not

include a container or packaging used to transport the food.

e. "Prepared food" does not mean:

(1) Food that is only cut, repackaged, or pasteurized by the seller.

(2) Eggs, fish, meat, poultry, and foods containing these raw animal foods

requiring cooking by the consumer as recommended by the food and drug

administration in chapter 3, part 401.11, of its food code so as to prevent

foodborne illness.

(3) If sold without eating utensils provided by the seller:

(a) Food sold by a seller whose proper primary North American industry

classification system classification is manufacturing in sector 311,

except subsector 3118, bakeries.

(b) Food sold in an unheated state by weight or volume as a single item.

(c) Bakery items, including bread, rolls, buns, biscuits, bagels, croissants,

pastries, donuts, Danish, cakes, tortes, pies, tarts, muffins, bars,

cookies, and tortillas.

(d) Food sold that ordinarily requires additional cooking, as opposed to

just reheating, by the consumer prior to consumption.

f. "Soft drinks" means nonalcoholic beverages that contain natural or artificial

sweeteners. "Soft drinks" does not include beverages that contain milk or milk

products, soy, rice, or similar milk substitutes, or greater than fifty percent of

vegetable or fruit juice by volume.

g. "Tobacco" means cigarettes, cigars, chewing or pipe tobacco, or any other item

that contains tobacco.

3. For purposes of this section, "eating utensils provided by the seller" is determined as

follows:

a. Determine the prepared food ratio, where the numerator is the sum of food

defined in paragraphs 1 and 2 of subdivision d of subsection 2 plus food when

plates, bowls, glasses, or cups are necessary for the purchaser to receive the

food and the denominator is all sales of food and food ingredients, including

prepared food, candy, dietary supplements, and soft drinks. Alcoholic beverages

are not included in either the numerator or denominator.

b. If the prepared food ratio is seventy-five percent or less, utensils are provided by

the seller if the seller's practice is to physically give or hand them to the

purchaser, except plates, bowls, glasses, or cups necessary for the purchaser to

receive the food need only be made available.

c. If the prepared food ratio is greater than seventy-five percent, utensils are

provided by the seller if they are made available to the purchaser. When sellers

with a food ratio greater than seventy-five percent sell items that contain four or

more servings packaged as one item and sold for a single price, the item does

not become prepared food unless the seller's practice is to physically give or

hand the purchaser utensils as in subdivision b. Serving size is determined by the

label of the item sold. If no label is available, the seller will reasonably determine

the number of servings.

d. When a seller sells food items that have a utensil placed in a package by a

person other than the seller and that person's North American industry

classification system classification code is that of manufacturers (sector 311), the

seller shall not be considered to have provided the utensils except as in

subdivisions b and c. For any other packager with any other North American

industry classification system classification code, the seller shall be considered to

have provided the utensil.

e. The prepared food ratio is to be calculated by the seller for each calendar or fiscal

year not later than ninety days after the end of each year and based on the

seller's data from the previous year.

f. A single prepared food ratio will be determined annually and used for all of the

seller's locations in the state.

g. A new business shall make a good-faith estimate of the prepared food ratio for

the first year and shall adjust its good-faith estimate after the first three months if

the actual prepared food ratio is materially different than the estimate.
N.D. Cent. Code § 57-39.4-14 — ND Code / Title 57 / Chapter 57-39.4 / Section 57-39.4-14
57-39.4-14. (313) Direct mail sourcing
Status: in_force

57-39.4-14. (313) Direct mail sourcing

1. For purposes of this section:

a. "Advertising and promotional direct mail" means:

(1) Printed material that meets the definition of direct mail, in appendix C, part I

of the agreement; and

(2) The primary purpose of which is to attract public attention to a product,

person, business, or organization, or to attempt to sell, popularize, or secure

financial support for a product, person, business, or organization. As used in

this subsection, the word "product" means tangible personal property, a

product transferred electronically, or a service.

b. "Other direct mail" means any direct mail that is not advertising and promotional

direct mail regardless of whether advertising and promotional direct mail is

included in the same mailing. The term includes:

(1) Transactional direct mail that contains personal information specific to the

addressee, including invoices, bills, statements of account, and payroll

advices;

(2) Any legally required mailings, including privacy notices, tax reports, and

stockholder reports; and

(3) Other nonpromotional direct mail delivered to existing or former

shareholders, customers, employees, or agents, including newsletters and

informational pieces.

Other direct mail does not include the development of billing information or the

provision of any data processing service that is more than incidental.

2. Notwithstanding sections 57-39.4-11 and 57-39.4-11.1, the following provisions apply

to sales of advertising and promotional direct mail:

a. A purchaser of advertising and promotional direct mail may provide the seller with

either:

(1) A direct pay permit;

(2) A streamlined sales and use tax agreement certificate of exemption claiming

direct mail or other written statement approved, authorized, or accepted by

the state; or

(3) Information showing the jurisdictions to which the advertising and

promotional direct mail is to be delivered to recipients.

b. If the purchaser provides the permit, certificate, or statement referred to in this

subsection, the seller, in the absence of bad faith, is relieved of all obligations to

collect, pay, or remit any tax on any transaction involving advertising and

promotional direct mail to which the permit, certificate, or statement applies. The

purchaser shall source the sale to the jurisdictions to which the advertising and

promotional direct mail is to be delivered to the recipients and shall report and

pay any applicable tax due.

c. If the purchaser provides the seller information showing the jurisdictions to which

the advertising and promotional direct mail is to be delivered to recipients, the

seller shall source the sale to the jurisdictions to which the advertising and

promotional direct mail is to be delivered and shall collect and remit the

applicable tax. In the absence of bad faith, the seller is relieved of any further

obligation to collect any additional tax on the sale of advertising and promotional

direct mail where the seller has sourced the sale according to the delivery

information provided by the purchaser.

d. If the purchaser does not provide the seller with any of the items listed in this

subsection, the sale shall be sourced according to subdivision e of subsection 1

of section 57-39.4-11. The state to which the advertising and promotional direct

mail is delivered may disallow credit for tax paid on sales sourced under this

subdivision.

3. Notwithstanding sections 57-39.4-11 and 57-39.4-11.1, the following provisions apply

to sales of other direct mail:

a. Except as otherwise provided in this subsection, sales of other direct mail are

sourced in accordance with subdivision c of subsection 1 of section 57-39.4-11.

b. A purchaser of other direct mail may provide the seller with either:

(1) A direct pay permit; or

(2) A streamlined sales and use tax agreement certificate of exemption claiming

direct mail or other written statement approved, authorized, or accepted by

the state.

c. If the purchaser provides the permit, certificate, or statement referred to in this

subsection, the seller, in the absence of bad faith, is relieved of all obligations to

collect, pay, or remit any tax on any transaction involving other direct mail to

which the permit, certificate, or statement applies. Notwithstanding subdivision a,

the sale shall be sourced to the jurisdictions to which the other direct mail is to be

delivered to the recipients and the purchaser shall report and pay any applicable

tax due.

4. a. This section applies to a transaction characterized under state law as the sale of

services only if the service is an integral part of the production and distribution of

printed material that meets the definition of direct mail.

b. This section does not apply to any transaction that includes the development of

billing information or the provision of any data processing service that is more

than incidental regardless of whether advertising and promotional direct mail is

included in the same mailing.

c. If a transaction is a "bundled transaction" that includes advertising and

promotional direct mail, this section shall apply only if the primary purpose of the

transaction is the sale of products or services that meet the definition of

advertising and promotional direct mail.

d. Nothing in this section shall limit any purchaser's:

(1) Obligation for sales or use tax to any state to which the direct mail is

delivered;

(2) Right under local, state, federal, or constitutional law, to a credit for sales or

use taxes legally due and paid to other jurisdictions; or

(3) Right to a refund of sales or use taxes overpaid to any jurisdiction.

e. This section applies for purposes of uniformly sourcing direct mail transactions

and does not impose requirements on states regarding the taxation of products

that meet the definition of direct mail or to the application of sales for resale or

other exemptions.
N.D. Cent. Code § 57-38-30.6 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-30.6
57-38-30.6. Corporate income tax credit for biodiesel or green diesel production or soybean and canola crushing facility equipment costs
Status: in_force

57-38-30.6. Corporate income tax credit for biodiesel or green diesel production or

soybean and canola crushing facility equipment costs.

A taxpayer is entitled to a credit against tax liability determined under section 57-38-30 in

the amount of ten percent per year for five years of the taxpayer's direct costs incurred after

December 31, 2002, to adapt or add equipment to retrofit an existing facility or construction of a

new facility in this state for the purpose of producing or blending diesel fuel containing at least

two percent biodiesel fuel or green diesel fuel by volume or of the taxpayer's direct costs

incurred after December 31, 2008, to adapt or add equipment to retrofit an existing facility or

construction of a new facility in this state for the purpose of producing crushed soybeans or

canola. For purposes of this section, "biodiesel" and "green diesel" mean fuel as defined in

section 57-43.2-01. The credit under this section may not exceed the taxpayer's liability as

determined under this chapter for the taxable year and each year's credit amount may be

carried forward for up to five taxable years. A taxpayer is limited to two hundred fifty thousand

dollars in the cumulative amount of credits under this section for all taxable years. A taxpayer

may not claim a credit under this section for any taxable year before the taxable year in which

the facility begins production or blending of diesel fuel containing at least two percent biodiesel

fuel or green diesel fuel by volume or begins crushing soybeans or canola, but eligible costs

incurred before the taxable year production, blending, or crushing begins may be claimed for

purposes of the credit under this section for taxable years on or after the taxable year

production, blending, or crushing begins.
N.D. Cent. Code § 57-43.3-06 — ND Code / Title 57 / Chapter 57-43.3 / Section 57-43.3-06
57-43.3-06. Distribution of revenue
Status: repealed

57-43.3-06. Distribution of revenue

Repealed by S.L. 2017, ch. 59, § 7.
N.D. Cent. Code § 57-15-62 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-62
57-15-62. Levy authorized for county automation and telecommunications
Status: repealed

57-15-62. Levy authorized for county automation and telecommunications

Repealed by S.L. 2015, ch. 439, § 104.
N.D. Cent. Code § 57-19-09 — ND Code / Title 57 / Chapter 57-19 / Section 57-19-09
57-19-09. Special reserve fund -Correction of error
Status: in_force

57-19-09. Special reserve fund -Correction of error

If a school district considered all or part of its special reserve fund in determining its budget

and deducted all or part of its special reserve fund from the amount necessary to be levied for a

fiscal year, the district may transfer from its special reserve fund into its general fund all or part

of the amount that was so considered, contrary to section 57-19-05.
N.D. Cent. Code § 57-51.2-05 — ND Code / Title 57 / Chapter 57-51.2 / Section 57-51.2-05
57-51.2-05. Inapplicability of chapter 54-40.2
Status: in_force

57-51.2-05. Inapplicability of chapter 54-40.2

Chapter 54-40.2 does not apply to any agreement entered under chapter 57-51.2.
N.D. Cent. Code § 57-36-25 — ND Code / Title 57 / Chapter 57-36 / Section 57-36-25
57-36-25. Cigars and pipe tobacco - Excise tax on wholesale purchase price - Other tobacco products - Excise tax on weight - Penalty - Reports - Collection - Allocation of revenue
Status: in_force

57-36-25. Cigars and pipe tobacco - Excise tax on wholesale purchase price - Other

tobacco products - Excise tax on weight - Penalty - Reports - Collection - Allocation of

revenue.

1. There is hereby levied and assessed upon all cigars and pipe tobacco sold in this state

an excise tax at the rate of twenty-eight percent of the wholesale purchase price at

which such cigars and pipe tobacco are purchased by distributors. For the purposes of

this section, the term "wholesale purchase price" shall mean the established price for

which a manufacturer sells cigars or pipe tobacco to a distributor exclusive of any

discount or other reduction.

2. There is levied and assessed upon all other tobacco products sold in this state an

excise tax at the following rates:

a. Upon each can or package of snuff, sixty cents per ounce and a proportionate tax

at the like rate on all fractional parts of an ounce.

b. On chewing tobacco, sixteen cents per ounce and a proportionate tax at the like

rate on all fractional parts of an ounce.

For purposes of this subsection, the tax on other tobacco products is computed based

on the net weight as listed by the manufacturer.

3. The proceeds of the taxes imposed under this section, together with such forms of

return and in accordance with such rules and regulations as the tax commissioner may

prescribe, shall be remitted to the tax commissioner by the distributor on a calendar

quarterly basis on or before the fifteenth day of the month following the quarterly

period for which paid. The tax commissioner shall, however, have authority to

prescribe monthly returns upon the request of the licensee distributor and such returns

accompanied with remittance shall be filed before the fifteenth day of the month

following the month for which the returns are filed.

4. Any person failing to file any prescribed form or return or to pay any tax within the time

required or permitted by this section is subject to a penalty of five percent of the

amount of tax due or five dollars, whichever is greater, plus interest of one percent of

the tax per month or fraction of a month of delay except the first month after the return

or the tax became due. The tax commissioner, if satisfied that the delay was

excusable, may waive all or any part of the penalty. The penalty must be paid to the

tax commissioner and disposed of in the same manner as are other receipts under this

chapter.

5. All moneys received by the tax commissioner under the provisions of this section shall

be transmitted to the state treasurer at the end of each month and deposited in the

state treasury to the credit of the general fund.
N.D. Cent. Code § 57-43.1-16.2 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-16.2
57-43.1-16.2. Common or contract carrier - License required - Records required - Diverted loads - Commissioner to audit records
Status: in_force

57-43.1-16.2. Common or contract carrier - License required - Records required -

Diverted loads - Commissioner to audit records.

1. A common or contract carrier shall obtain a license issued by the commissioner. The

application for a license must be made on a form prescribed by the commissioner and

contain the information required by the commissioner.

2. A common or contract carrier transporting motor vehicle fuel in a vehicle, railcar, or

vessel into this state from another state or country shall ensure that a bill of lading

indicating North Dakota as the destination state has been issued by the terminal or

bulk plant from which the fuel was removed. If a bill of lading issued by the terminal or

bulk plant indicates a destination other than North Dakota, the transporter shall issue a

diversion ticket indicating North Dakota as the destination state. If a bill of lading was

not issued by the terminal or bulk plant, the transporter shall issue a bill of lading for

each shipment indicating North Dakota as the destination state. A copy of a diversion

ticket and bill of lading prepared by the transporter shall be mailed, faxed, or

electronically transmitted to the commissioner before the fuel enters the state.

3. A common or contract carrier transporting motor vehicle fuel in the state shall provide

a copy of the bill of lading accompanying the shipment, along with any drop load

tickets and diversion tickets issued for the delivered fuel to the refiner, supplier,

distributor, importer, retailer, or consumer to whom delivery of the shipment was made.

4. A refiner, supplier, distributor, importer, retailer, or consumer may not knowingly accept

delivery of motor vehicle fuel into storage facilities in this state if that delivery is not

accompanied by a bill of lading or diversion ticket issued by the terminal operator, bulk

plant operator, or transporter, which specifically indicates North Dakota as the

destination state of the motor vehicle fuel.

5. If a common or contract carrier unloads only a portion of a shipment at a location or if

the load is loaded at a location other than what is indicated in the bill of lading or

diversion ticket, the transporter shall issue a drop load ticket. If the fuel is dropped at

more than one location, the drop load ticket must identify the name and address of all

locations and the type of fuel and gallonage dropped. A copy of the ticket must be

maintained on board and a copy must accompany the bill of lading that is provided to

the refiner, supplier, distributor, importer, retailer, or consumer taking delivery of the

fuel.

6. A diversion ticket must include the following information:

a. The transporter's name and address.

b. The date and time of issuance.

c. The diversion ticket number.

d. The name and address of the consignee indicated on the original bill of lading.

e. The destination as stated on the original bill of lading.

f. The original bill of lading number.

g. The location diverted to, including the address to which the fuel was diverted and

the destination state.

h. The number of gallons of fuel being diverted.

i. The type of fuel being diverted.

j. Any other information required by the commissioner.

7. A drop load ticket must include the following:

a. The transporter's name and address.

b. The date and time of issuance.

c. The partial load ticket number.

d. The name and address of the consignee indicated on the original bill of lading.

e. The destination on the original bill of lading or as shown on the diversion ticket, if

issued.

f. The original bill of lading number and, if available, the diversion ticket number.

g. The number of gallons off-loaded at each location.

h. The type of fuel off-loaded at each location.

i. Any other information required by the commissioner.

8. Except as otherwise provided in this section, the commissioner may audit the records

of the common or contract carrier, whether or not licensed by the commissioner, and

may impose such penalties as authorized by this chapter.
N.D. Cent. Code § 57-01-07 — ND Code / Title 57 / Chapter 57-01 / Section 57-01-07
57-01-07. Review of sales, market, and productivity study by state tax commissioner - Appeal
Status: in_force

57-01-07. Review of sales, market, and productivity study by state tax commissioner -

Appeal.

1. The state tax commissioner shall notify each county board of commissioners of a

scheduled hearing of the sales, market, and productivity study before the state tax

commissioner. Such notice must set forth the time and date and place of such hearing.

After hearing objections to using certain sales in the study, the state tax commissioner

is authorized to withdraw such sales that the state tax commissioner deems are not

representative. Within thirty days after the close of such formal hearing, the state tax

commissioner shall notify each county board of commissioners, in writing, as to the

action taken as a result of such hearing. Within ten days after receiving such notice

from the state tax commissioner, each board of county commissioners may appeal the

decision of the state tax commissioner to the state board of equalization. Such board

will review the findings of the state tax commissioner and render its final decision on

such appeal.

2. No sale may be used in any sales, market, and productivity study until it has been

verified by the state tax commissioner, the county supervisor of assessments,

township supervisors, or the board of county commissioners or its agent that none of

the exclusions set forth in section 57-01-06 have been used in the study.
N.D. Cent. Code § 57-38-36 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-36
57-38-36. When payment of tax may be made in quarterly installments
Status: repealed

57-38-36. When payment of tax may be made in quarterly installments

Repealed by S.L. 1983, ch. 637, § 1.
N.D. Cent. Code § 57-57-02 — ND Code / Title 57 / Chapter 57-57 / Section 57-57-02
57-57-02. Eligibility for forest stewardship tax - Application
Status: in_force

57-57-02. Eligibility for forest stewardship tax - Application

This chapter applies in any county in which the county commission has approved by

resolution the application of this chapter to all qualifying property within the county. The owner or

agent of the owner, having any tract of contiguous forest which consists of:

1. Natural forest cover ten acres [4.05 hectares] or larger in size;

2. Planted forest cover five acres [2.02 hectares] or larger in size and not less than sixty

feet [18.29 meters] in width; or

3. Any combination of natural and planted forest cover ten acres [4.05 hectares] or larger

in size,

may file an application with the county commission of the county in which the property is located

setting forth a description of property that the owner desires to place under the forest

stewardship tax and on which land the owner will practice forestry. If the county commission has

approved application of this chapter within the county, the county commission shall forward

each application received to the state forester for a determination of whether the property

qualifies under this chapter. The state forester shall prescribe the form for application blanks

and make them available to all interested persons.
N.D. Cent. Code § 57-43.1-17.4 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-17.4
57-43.1-17.4. Lien of tax - Collection - Action authorized
Status: in_force

57-43.1-17.4. Lien of tax - Collection - Action authorized

1. When a taxpayer liable to pay a tax or penalty imposed refuses or neglects to pay the

tax, the amount, including any interest, penalty, or addition to the tax, together with the

costs that may accrue in addition to the tax, is a lien in favor of the state of North

Dakota upon all property and rights to property, whether real or personal, belonging to

the taxpayer, and in the case of property in which a deceased taxpayer held an

interest as joint tenant or otherwise with right of survivorship at the time of death, the

lien continues as a lien against the property in the hands of the survivors to the extent

of the deceased taxpayer's interest therein, which interest is determined by dividing

the value of the entire property at the time of the taxpayer's death by the number of

joint tenants or persons interested therein.

2. The lien attaches at the time the tax becomes due and payable and continues until the

liability for the amount is satisfied. For the purposes of this section, the words "due"

and "due and payable" mean the first instant at which the tax becomes due.

3. Any mortgagee, purchaser, judgment creditor, or lien claimant acquiring any interest in,

or lien on, any property situated in the state, prior to the commissioner filing in the

central indexing system maintained by the secretary of state, a notice of the lien

provided for in this section, takes free of, or has priority over, the lien.

4. The commissioner shall index in the central indexing system the following data:

a. The name of the taxpayer.

b. The name "State of North Dakota" as claimant.

c. The date and time the notice of lien was indexed.

d. The amount of the lien.

e. The internal revenue service taxpayer identification number or social security

number of the taxpayer.

The notice of lien is effective as of eight a.m. next following the indexing of the notice.

Any notice of lien filed by the commissioner may be indexed in the central indexing

system without changing its original priority as to property in the county where the lien

was filed.

5. The commissioner is exempt from the payment of the filing fees as otherwise provided

by law for the filing of a lien or the satisfaction of a lien.

6. Upon payment of the tax as to which the commissioner has indexed notice in the

central indexing system, the commissioner shall index a satisfaction of the lien in the

central indexing system.

7. Upon the request of the commissioner, the attorney general shall bring an action at law

or in equity, as the facts may justify, without bond to enforce payment of any taxes and

any penalties, or to foreclose the lien in the manner provided for mortgages on real or

personal property, and in the action the attorney general shall have the assistance of

the state's attorney of the county in which the action is pending.

8. The foregoing remedies of the state are cumulative and no action taken by the

commissioner or attorney general may be construed to be an election on the part of

the state or any of its officers to pursue any remedy hereunder to the exclusion of any

other remedy provided by law.
N.D. Cent. Code § 57-51-02.5 — ND Code / Title 57 / Chapter 57-51 / Section 57-51-02.5
57-51-02.5. Exemption of gas for electrical generation at well site
Status: in_force

57-51-02.5. Exemption of gas for electrical generation at well site

Gas burned at the well site to power an electrical generator that consumes at least

seventy-five percent of the gas from the well is exempt from the tax under section 57-51-02.2.
N.D. Cent. Code § 57-55-07 — ND Code / Title 57 / Chapter 57-55 / Section 57-55-07
57-55-07. Failure to apply for permit - Illegal use of permit - Penalty
Status: in_force

57-55-07. Failure to apply for permit - Illegal use of permit - Penalty

Any person who fails to make application pursuant to the provisions of this chapter, or who

uses or allows to be used a tax permit of any mobile home taxed pursuant to the provisions of

this chapter for any purpose other than the purpose for which it was issued, is guilty of a class B

misdemeanor.
N.D. Cent. Code § 57-59-01 — ND Code / Title 57 / Chapter 57-59 / Section 57-59-01
57-59-01. Multistate tax compact
Status: in_force

57-59-01. Multistate tax compact

The multistate tax compact is hereby entered into law and entered into with all jurisdictions

legally joining therein, in the form substantially as follows:

MULTISTATE TAX COMPACT

ARTICLE I - PURPOSES

The purposes of this compact are to:

1. Facilitate proper determination of state and local tax liability of multistate taxpayers,

including the equitable apportionment of tax bases and settlement of apportionment

disputes.

2. Promote uniformity or compatibility in significant components of tax systems.

3. Facilitate taxpayer convenience and compliance in the filing of tax returns and in other

phases of tax administration.

4. Avoid duplicative taxation.

ARTICLE II - DEFINITIONS

As used in this compact:

1. "Capital stock tax" means a tax measured in any way by the capital of a corporation

considered in its entirety.

2. "Gross receipts tax" means a tax, other than a sales tax, which is imposed on or

measured by the gross volume of business, in terms of gross receipts or in other

terms, and in the determination of which no deduction is allowed which would

constitute the tax an income tax.

3. "Income tax" means a tax imposed on or measured by net income including any tax

imposed on or measured by an amount arrived at by deducting expenses from gross

income, one or more forms of which expenses are not specifically and directly related

to particular transactions.

4. "Sales tax" means a tax imposed with respect to the transfer for a consideration of

ownership, possession, or custody of tangible personal property or the rendering of

services measured by the price of the tangible personal property transferred or

services rendered and which is required by state or local law to be separately stated

from the sales price by the seller, or which is customarily separately stated from the

sales price, but does not include a tax imposed exclusively on the sale of a specifically

identified commodity or article or class of commodities or articles.

5. "State" means a state of the United States, the District of Columbia, the

commonwealth of Puerto Rico, or any territory or possession of the United States.

6. "Subdivision" means any governmental unit or special district of a state.

7. "Tax" means an income tax, capital stock tax, gross receipts tax, sales tax, use tax,

and any other tax which has a multistate impact, except that the provisions of article III

of this compact shall apply only to the taxes specifically designated therein.

8. "Taxpayer" means any corporation, partnership, firm, association, governmental unit,

or agency or person acting as a business entity in more than one state.

9. "Use tax" means a nonrecurring tax, other than a sales tax, which (a) is imposed on or

with respect to the exercise or enjoyment of any right or power over tangible personal

property incident to the ownership, possession, or custody of that property or the

leasing of that property from another including any consumption, keeping, retention, or

other use of tangible personal property, and (b) is complementary to a sales tax.

ARTICLE III - ELEMENTS OF SALES AND USE TAX LAWS

Tax Credit

1. Each purchaser liable for a use tax on tangible personal property shall be entitled to

full credit for the combined amount or amounts of legally imposed sales or use taxes

paid by the purchaser with respect to the same property to another state and any

subdivision thereof. The credit shall be applied first against the amount of any use tax

due the state, and any unused portion of the credit shall then be applied against the

amount of any use tax due a subdivision.

Exemption Certificates, Vendors May Rely

2. Whenever a vendor receives and accepts in good faith from a purchaser a resale or

other exemption certificate or other written evidence of exemption authorized by the

appropriate state or subdivision taxing authority, the vendor shall be relieved of liability

for a sales or use tax with respect to the transaction.

ARTICLE IV - THE COMMISSION

Organization and Management

1. (a) The multistate tax commission is hereby established. It shall be composed of one

"member" from each party state who shall be the head of the state agency

charged with the administration of the types of taxes to which this compact

applies. If there is more than one such agency the state shall provide by law for

the selection of the commission member from the heads of the relevant agencies.

State law may provide that a member of the commission be represented by an

alternate but only if there is on file with the commission written notification of the

designation and identity of the alternate. The attorney general of each party state

or the attorney general's designee, or other counsel if the laws of the party state

specifically provide, shall be entitled to attend the meetings of the commission,

but shall not vote. Such attorneys general, designees, or other counsel shall

receive all notices of meetings required under subdivision e of subsection 1 of

this article.

(b) Each party state shall provide by law for the selection of representatives from its

subdivisions affected by this compact to consult with the commission member

from that state.

(c) Each member shall be entitled to one vote. The commission shall not act unless a

majority of the members are present, and no action shall be binding unless

approved by a majority of the total number of members.

(d) The commission shall adopt an official seal to be used as it may provide.

(e) The commission shall hold an annual meeting and such other regular meetings

as its bylaws may provide and such special meetings as its executive committee

may determine. The commission bylaws shall specify the dates of the annual and

any other regular meetings, and shall provide for the giving of notice of annual,

regular, and special meetings. Notices of special meetings shall include the

reasons therefor and an agenda of the items to be considered.

(f) The commission shall elect annually, from among its members, a chairman, a

vice chairman, and a treasurer. The commission shall appoint an executive

director who shall serve at its pleasure, and it shall fix the executive director's

duties and compensation. The executive director shall be secretary of the

commission. The commission shall make provision for the bonding of such of its

officers and employees as it may deem appropriate.

(g) Irrespective of the civil service, personnel, or other merit system laws of any party

state, the executive director shall appoint or discharge such personnel as may be

necessary for the performance of the functions of the commission and shall fix

their duties and compensation. The commission bylaws shall provide for

personnel policies and programs.

(h) The commission may borrow, accept, or contract for the services of personnel

from any state, the United States, or any other governmental entity.

(i) The commission may accept for any of its purposes and functions any and all

donations and grants of money, equipment, supplies, materials, and services,

conditional or otherwise, from any governmental entity, and may utilize and

dispose of the same.

(j) The commission may establish one or more offices for the transacting of its

business.

(k) The commission shall adopt bylaws for the conduct of its business. The

commission shall publish its bylaws in convenient form, and shall file a copy of

the bylaws and any amendments thereto with the appropriate agency or officer in

each of the party states.

(l) The commission annually shall make to the governor and legislature of each

party state a report covering its activities for the preceding year. Any donation or

grant accepted by the commission or services borrowed shall be reported in the

annual report of the commission, and shall include the nature, amount, and

conditions, if any, of the donation, gift, grant, or services borrowed and the

identity of the donor or lender. The commission may make additional reports as it

may deem desirable.

Committees

2. (a) To assist in the conduct of its business when the full commission is not meeting,

the commission shall have an executive committee of seven members, including

the chairman, vice chairman, treasurer, and four other members elected annually

by the commission. The executive committee subject to the provisions of this

compact and consistent with the policies of the commission, shall function as

provided in the bylaws of the commission.

(b) The commission may establish advisory and technical committees, membership

on which may include private persons and public officials, in furthering any of its

activities. Such committees may consider any matter of concern to the

commission, including problems of special interest to any party state and

problems dealing with particular types of taxes.

(c) The commission may establish such additional committees as its bylaws may

provide.

Powers

3. In addition to powers conferred elsewhere in this compact, the commission shall have

power to:

(a) Study state and local tax systems and particular types of state and local taxes.

(b) Develop and recommend proposals for an increase in uniformity or compatibility

of state and local tax laws with a view toward encouraging the simplification and

improvement of state and local tax law and administration.

(c) Compile and publish information as in its judgment would assist the party states

in implementation of the compact and taxpayers in complying with state and local

tax laws.

(d) Do all things necessary and incidental to the administration of its functions

pursuant to this compact.

Finance

4. (a) The commission shall submit to the governor or designated officer or officers of

each party state a budget of its estimated expenditures for such period as may be

required by the laws of that state for presentation to the legislature thereof.

(b) Each of the commission's budgets of estimated expenditures shall contain

specific recommendations of the amounts to be appropriated by each of the party

states. The total amount of appropriations requested under any such budget shall

be apportioned among the party states as follows: one-tenth in equal shares; and

the remainder in proportion to the amount of revenue collected by each party

state and its subdivisions from income taxes, capital stock taxes, gross receipts

taxes, and sales and use taxes. In determining such amounts, the commission

shall employ such available public sources of information as, in its judgment,

present the most equitable and accurate comparisons among the party states.

Each of the commission's budgets of estimated expenditures and requests for

appropriations shall indicate the sources used in obtaining information employed

in applying the formula contained in this subsection.

(c) The commission shall not pledge the credit of any party state. The commission

may meet any of its obligations in whole or in part with funds available to it under

subdivision i of subsection 1 of this article; provided, that the commission takes

specific action setting aside such funds prior to incurring any obligation to be met

in whole or in part in such manner. Except where the commission makes use of

funds available to it under subdivision i of subsection 1, the commission shall not

incur any obligation prior to the allotment of funds by the party states adequate to

meet the same.

(d) The commission shall keep accurate accounts of all receipts and disbursements.

The receipts and disbursements of the commission shall be subject to the audit

and accounting procedures established under its bylaws. All receipts and

disbursements of funds handled by the commission shall be audited yearly by a

certified or licensed public accountant and the report of the audit shall be included

in and become part of the annual report of the commission.

(e) The accounts of the commission shall be open at any reasonable time for

inspection by duly constituted officers of the party states and by any persons

authorized by the commission.

(f) Nothing contained in this article shall be construed to prevent commission

compliance with laws relating to audit or inspection of accounts by or on behalf of

any government contributing to the support of the commission.

ARTICLE V - UNIFORM REGULATIONS AND FORMS

1. Whenever any two or more party states, or subdivisions of party states, have uniform

or similar provisions of law relating to an income tax, the commission may adopt

uniform regulations for any phase of the administration of such law, including assertion

of jurisdiction to tax, or prescribing uniform tax forms.

2. Prior to the adoption of any regulation, the commission shall:

(a) As provided in its bylaws, hold at least one public hearing on due notice to all

affected party states and subdivisions thereof and to all taxpayers and other

persons who have made timely request of the commission for advance notice of

its regulation-making proceedings.

(b) Afford all affected party states and subdivisions and interested persons an

opportunity to submit relevant written data and views, which shall be considered

fully by the commission.

3. The commission shall submit any regulations adopted by it to the appropriate officials

of all party states and subdivisions to which they might apply. Each such state and

subdivision shall consider any such regulation for adoption in accordance with its own

laws and procedures.

ARTICLE VI - INTERSTATE AUDITS

1. This article shall be in force only in those party states that specifically provide therefor

by statute.

2. Any party state or subdivision thereof desiring to make or participate in an audit of any

accounts, books, papers, records, or other documents may request the commission to

perform the audit on its behalf. In responding to the request, the commission shall

have access to and may examine, at any reasonable time, such accounts, books,

papers, records, and other documents and any relevant property or stock of

merchandise. The commission may enter into agreements with party states or their

subdivisions for assistance in performance of the audit. The commission shall make

charges, to be paid by the state or local government or governments for which it

performs the service, for any audits performed by it in order to reimburse itself for the

actual costs incurred in making the audit.

3. The commission may require the attendance of any person within the state where it is

conducting an audit or part thereof at a time and place fixed by it within such state for

the purpose of giving testimony with respect to any account, book, paper, document,

other record, property, or stock of merchandise being examined in connection with the

audit. If the person is not within the jurisdiction, the person may be required to attend

for such purpose at any time and place fixed by the commission within the state of

which the person is a resident; provided, that such state has adopted this article.

4. The commission may apply to any court having power to issue compulsory process for

orders in aid of its powers and responsibilities pursuant to this article and any and all

such courts shall have jurisdiction to issue such orders. Failure of any person to obey

any such order shall be punishable as contempt of the issuing court. If the party or

subject matter on account of which the commission seeks an order is within the

jurisdiction of the court to which application is made, such application may be to a

court in the state or subdivision on behalf of which the audit is being made or a court in

the state in which the object of the order being sought is situated. The provisions of

this subsection apply only to courts in a state that has adopted this article.

5. The commission may decline to perform any audit requested if it finds that its available

personnel or other resources are insufficient for the purpose or that, in the terms

requested, the audit is impracticable of satisfactory performance. If the commission, on

the basis of its experience, has reason to believe that an audit of a particular taxpayer,

either at a particular time or on a particular schedule, would be of interest to a number

of party states or their subdivisions, it may offer to make the audit or audits, the offer to

be contingent on sufficient participation therein as determined by the commission.

6. Information obtained by any audit pursuant to this article shall be confidential and

available only for tax purposes to party states, their subdivisions, or the United States.

Availability of information shall be in accordance with the laws of the states or

subdivisions on whose account the commission performs the audit, and only through

the appropriate agencies or officers of such states or subdivisions. Nothing in this

article shall be construed to require any taxpayer to keep records for any period not

otherwise required by law.

7. Other arrangements made or authorized pursuant to law for cooperative audit by or on

behalf of the party states or any of their subdivisions are not superseded or invalidated

by this article.

8. In no event shall the commission make any charge against a taxpayer for an audit.

9. As used in this article, "tax", in addition to the meaning ascribed to it in article II,

means any tax or license fee imposed in whole or in part for revenue purposes.

ARTICLE VII - ENTRY INTO FORCE AND WITHDRAWAL

1. This compact shall enter into force when enacted into law by any seven states.

Thereafter, this compact shall become effective as to any other state upon its

enactment thereof. The commission shall arrange for notification of all party states

whenever there is a new enactment of the compact.

2. Any party state may withdraw from this compact by enacting a statute repealing the

same. No withdrawal shall affect any liability already incurred by or chargeable to a

party state prior to the time of such withdrawal.

ARTICLE VIII - EFFECT ON OTHER LAWS AND JURISDICTION

Nothing in this compact shall be construed to:

1. Affect the power of any state or subdivision thereof to fix rates of taxation.

2. Apply to any tax or fixed fee imposed for the registration of a motor vehicle or any tax

on motor fuel, other than a sales tax; provided, that the definition of "tax" in

subsection 9 of article VI may apply for the purposes of that article and the

commission's powers of study and recommendation pursuant to subsection 3 of

article IV may apply.

3. Withdraw or limit the jurisdiction of any state or local court or administrative officer or

body with respect to any person, corporation, or other entity or subject matter, except

to the extent that such jurisdiction is expressly conferred by or pursuant to this

compact upon another agency or body.

4. Supersede or limit the jurisdiction of any court of the United States.

ARTICLE IX - CONSTRUCTION AND SEVERABILITY

This compact shall be liberally construed so as to effectuate the purposes thereof. The

provisions of this compact shall be severable and if any phrase, clause, sentence, or provision

of this compact is declared to be contrary to the constitution of any state or of the United States

or the applicability thereof to any government, agency, person, or circumstance is held invalid,

the validity of the remainder of this compact and the applicability thereof to any government,

agency, person, or circumstance shall not be affected thereby. If this compact shall be held

contrary to the constitution of any state participating therein, the compact shall remain in full

force and effect as to the remaining party states and in full force and effect as to the state

affected as to all severable matters.
N.D. Cent. Code § 57-43.1-02.1 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-02.1
57-43.1-02.1. Additional motor vehicle fuels taxes
Status: repealed

57-43.1-02.1. Additional motor vehicle fuels taxes

Repealed by S.L. 1997, ch. 499, § 3.
N.D. Cent. Code § 57-39.5-03 — ND Code / Title 57 / Chapter 57-39.5 / Section 57-39.5-03
57-39.5-03. Replacement of insured machinery credit
Status: in_force

57-39.5-03. Replacement of insured machinery credit

When new farm machinery is purchased as a replacement for machinery on which the

insurant has previously paid the gross receipts, sales, or use tax and which was stolen or totally

destroyed, a credit or trade-in credit is allowed against one or more replacement purchases in a

cumulative amount equal to the compensation received for the loss from the insurance

company. The purchaser shall provide the seller with a notarized statement from the insurance

company verifying that the original farm machinery was a total loss and indicating the amount of

compensation. If the full amount of the credit under this section has not been used, the seller

shall retain a copy of the notarized statement and, if the full amount of the credit has been used,

the seller shall retain the original notarized statement to verify the amount of credit or trade-in

credit allowed.
N.D. Cent. Code § 57-61-03 — ND Code / Title 57 / Chapter 57-61 / Section 57-61-03
57-61-03. Powers of state tax commissioner
Status: in_force

57-61-03. Powers of state tax commissioner

The state tax commissioner has the power to require any person engaged in such

production, and the agent or employee of such person, or purchaser of such coal or commercial

leonardite, or the owner of any royalty interest therein, to furnish any additional information the

tax commissioner deems necessary for the purpose of correctly computing the amount of said

tax; to examine the books, records, and files of such person; to conduct hearings and compel

the attendance of witnesses, the production of books, records, and papers of any person; and to

make any investigation or hold any inquest deemed necessary to a full and complete disclosure

of the true facts as to the amount of production from any coal or commercial leonardite mine or

of any company or other producer thereof and as to the rendition thereof for taxing purposes.
N.D. Cent. Code § 57-05-07 — ND Code / Title 57 / Chapter 57-05 / Section 57-05-07
57-05-07. Railroad shall file information with county auditor
Status: in_force

57-05-07. Railroad shall file information with county auditor

Every railroad corporation, on or before the fifteenth day of January in each year, shall file in

the office of the county auditor of each county in the state in which the company's lines are

located:

1. The name of the corporation.

2. The principal place of doing business.

3. The names and post-office addresses of the president, secretary, and treasurer of the

corporation.
N.D. Cent. Code § 57-38.5-05 — ND Code / Title 57 / Chapter 57-38.5 / Section 57-38.5-05
57-38.5-05. Seed capital investment tax credit limits
Status: in_force

57-38.5-05. Seed capital investment tax credit limits

The aggregate amount of seed capital investment tax credit allowed for investments under

this chapter is limited to three million five hundred thousand dollars for each calendar year. If

investments in qualified businesses reported to the commissioner under section 57-38.5-07

exceed the limits on tax credits for investments imposed by this section, the credit must be

allowed to taxpayers in the chronological order of their investments in qualified businesses as

determined from the forms filed under section 57-38.5-07.
N.D. Cent. Code § 57-38-63 — ND Code / Title 57 / Chapter 57-38 / Section 57-38-63
57-38-63. Due date for payment of estimated income tax
Status: in_force

57-38-63. Due date for payment of estimated income tax

A taxpayer shall pay no less than one-quarter of the estimated tax to the tax commissioner

on April fifteenth, June fifteenth, and September fifteenth of the taxable year, and January

fifteenth of the following taxable year; provided, that a taxpayer having a taxable year other than

a calendar year shall pay the estimated tax on the fifteenth day of the fourth, sixth, and ninth

months of the taxable year, and the fifteenth day of the first month of the following taxable year.

In the case of a tax year that is for a period of less than one year, and the short tax year ends

prior to any remaining due dates under this section, the final estimated tax payment is due on

the fifteenth day of the last month of the short tax year. In the case of a tax year that is for a

period of less than one hundred twenty days, no estimated tax payment is due.
N.D. Cent. Code § 57-14-04 — ND Code / Title 57 / Chapter 57-14 / Section 57-14-04
57-14-04. Board of county commissioners to hear complaints and equalize
Status: in_force

57-14-04. Board of county commissioners to hear complaints and equalize

The board of county commissioners, at its regular meeting next after the assessment of any

omitted property, shall hear all grievances and complaints thereon, and then shall proceed to

review and equalize any such assessment so as to harmonize it with the equalized assessed

value of other like property.
N.D. Cent. Code § 57-40.2-08 — ND Code / Title 57 / Chapter 57-40.2 / Section 57-40.2-08
57-40.2-08. Unlawful advertising
Status: in_force

57-40.2-08. Unlawful advertising

It is unlawful for any retailer to advertise or hold out or state to the public or to any

purchaser, consumer, or user, directly or indirectly, that the tax or any part thereof imposed by

this chapter will be assumed or absorbed by the retailer, or that it will not be added to the selling

price of the property sold, or if added that it or any part thereof will be refunded.
N.D. Cent. Code § 57-15-63.2 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-63.2
57-15-63.2. Mistake in township levy - Levy increase in later year - Levy reverts
Status: in_force

57-15-63.2. Mistake in township levy - Levy increase in later year - Levy reverts

Expired under S.L. 2009, ch. 537, § 1.
N.D. Cent. Code § 57-43.1-42.2 — ND Code / Title 57 / Chapter 57-43.1 / Section 57-43.1-42.2
57-43.1-42.2. Nonrefundability of taxes
Status: repealed

57-43.1-42.2. Nonrefundability of taxes

Repealed by S.L. 1993, ch. 564, § 7.
N.D. Cent. Code § 57-15-26.8 — ND Code / Title 57 / Chapter 57-15 / Section 57-15-26.8
57-15-26.8. Garrison Diversion Conservancy District general tax levy
Status: in_force

57-15-26.8. Garrison Diversion Conservancy District general tax levy

The board of directors of the Garrison Diversion Conservancy District may levy a tax not

exceeding one mill on the taxable valuation of property within the district according to sections

61-24-08 and 61-24-09.
N.D. Cent. Code § 57-39.6-04 — ND Code / Title 57 / Chapter 57-39.6 / Section 57-39.6-04
57-39.6-04. Administration
Status: in_force

57-39.6-04. Administration

The provisions of chapter 57-39.2, pertaining to administration of the retail sales tax,

including provisions for refund, credits, retailer compensation, or adoption of rules, not in conflict

with this chapter or federal law, govern the administration of the gross receipts tax imposed in

this chapter.
N.D. Cent. Code § 57-43.3-24 — ND Code / Title 57 / Chapter 57-43.3 / Section 57-43.3-24
57-43.3-24. Tax collection allowance
Status: in_force

57-43.3-24. Tax collection allowance

The person required to remit the tax imposed by this chapter shall deduct one percent of the

amount of tax due, up to a maximum of three hundred dollars per month, to cover the cost of

collecting the tax and transmitting it to the commissioner.
N.D. Cent. Code § 57-37.1-04 — ND Code / Title 57 / Chapter 57-37.1 / Section 57-37.1-04
57-37.1-04. Computation of tax
Status: in_force

57-37.1-04. Computation of tax

1. The amount of tax imposed upon the transfer of the North Dakota taxable estate must

be equal to the maximum tax credit allowable for state death taxes against the federal

estate tax imposed with respect to a decedent's estate which has a taxable situs in this

state. If only a portion of a decedent's estate has a taxable situs in this state, such

maximum tax credit must be determined by multiplying the entire amount of the credit

allowable against the federal estate tax for state death taxes by the percentage which

the value of the portion of the decedent's estate which has a taxable situs in this state

bears to the value of the entire estate. For the purposes of this section, "federal estate

tax" means the tax imposed on transfers of estates of decedents pursuant to the

United States Internal Revenue Code of 1954, as amended, and "North Dakota

taxable estate" means all property in a decedent's federal gross estate that has a situs

in North Dakota.

2. When property subject to the tax imposed by this chapter qualifies for valuation based

on its use under section 2032A of the Internal Revenue Code, it has the same value

for North Dakota estate tax purposes as it has for federal estate tax purposes. If, after

the final determination of the tax imposed by this chapter, the property valued under

section 2032A of the Internal Revenue Code is transferred or otherwise fails to qualify

and an additional tax is imposed under section 2032A(c) of the Internal Revenue

Code, any increase in the credit for state death taxes must be reported by the personal

representative to the tax commissioner within ninety days after final determination of

the increased credit. Upon notification, the tax commissioner shall reassess the estate

tax.
N.D. Cent. Code § 57-39.2-23 — ND Code / Title 57 / Chapter 57-39.2 / Section 57-39.2-23
57-39.2-23. Information deemed confidential - Certain releases of information authorized
Status: in_force

57-39.2-23. Information deemed confidential - Certain releases of information

authorized.

Except as provided by law:

1. a. The commissioner or an individual having an administrative duty under this

chapter may not divulge or make known in any manner whatever the business

affairs, operations, or information obtained from any person under any reporting

requirement of this chapter, or by an investigation of any person in the discharge

of official duty, or the amount or sources of income, profits, losses, expenditures,

or any particulars set forth or disclosed in any return, or permit any return or copy

or any book containing any abstract of particulars to be seen or examined by any

individual.

b. A court of competent jurisdiction may issue an order or subpoena directing the tax

commissioner to disclose state tax return information to a local, state, or federal

law enforcement official conducting a criminal investigation if the court determines

that the facts submitted by the applicant satisfy the following:

(1) There is probable cause to believe that a specific criminal act has been

committed and that the return or return information constitutes evidence of a

criminal offense or may be relevant to a matter relating to the commission of

the criminal offense;

(2) The return or return information is sought exclusively for use in a criminal

investigation or proceeding concerning such act; and

(3) The information sought to be disclosed cannot reasonably be obtained

under the circumstances, from another source.

c. Before obtaining an order under this subsection, a law enforcement official may

request information from the tax commissioner as to whether a taxpayer, which is

the subject of a criminal investigation for which a return or return information is or

may be relevant to the commission of a criminal offense, has complied with the

requirements of this chapter. For purposes of this request, the tax commissioner

is limited to stating that the taxpayer has or has not complied with these

requirements.

d. Except as required during court proceedings, tax return information disclosed to

law enforcement under this section remains confidential during an active criminal

investigation, after the investigation, after prosecution concludes, or until the time

period for appeals has expired, whichever is later.

2. The commissioner may authorize examination of those returns by other state officers

and at the commissioner's discretion furnish to the tax officials of other states, the

multistate tax commission, and the United States any information contained in the tax

returns and reports and related schedules and documents filed under this chapter, and

in the related report of an audit or investigation, if the information is furnished solely for

tax purposes. The multistate tax commission may make the information available to

the tax officials of any other state and the United States for tax purposes.

3. The commissioner may furnish to workforce safety and insurance, the job insurance

division of job service North Dakota, and the secretary of state, upon request of the

respective agency, a list or lists of holders of permits issued under this chapter or

chapter 57-40.2, together with the addresses and tax department file identification

numbers of those permitholders. The agency may use the list or lists only for the

purpose of administering the duties of the agency. The commissioner may furnish to

the unclaimed property division of the board of university and school lands, upon its

request, the name, address, and the permitholder's federal identification number for

the sole purpose of identifying the owner of an unclaimed voucher authorized by the

commissioner.

4. The commissioner may furnish to a state agency or private entity a list of names and

addresses of holders of permits issued under this chapter or chapter 57-40.2 for the

purpose of jointly publishing or distributing publications or other information under

section 54-06-04.3. Any information provided may only be used for the purpose of

jointly publishing or distributing publications or other information as provided in section

54-06-04.3.

5. The commissioner may make information pertaining to county lodging taxes, county

lodging and restaurant taxes, city lodging taxes, city lodging and restaurant taxes, or

city or county sales and use taxes, contained in tax returns, reports, related schedules

and documents, and reports of an audit or investigation available upon request to no

more than two duly elected or appointed members of the governing body of a city or

county for which collection and administration of the tax is required by statute or a tax

collection agreement administered under section 57-01-02.1. The governing body of

the city or county or its members may not divulge or make known in any manner the

business affairs, operations, or other information acquired from the commissioner

under this subsection concerning any person, corporation, limited liability company, or

other entity unless the disclosure is by judicial order and for tax administration

purposes only.

6. The commissioner or any person having an administrative duty under this chapter may

announce that a permit has been revoked.

7. The tax commissioner, upon written request from the director of the North Dakota

lottery, may provide a written statement to the director, employees, or agents of the

North Dakota lottery, in which the tax commissioner is limited to stating that the lottery

retailer applicant has complied or not complied with the requirements of this chapter.

The information obtained under this subsection is confidential and may be used for the

sole purpose of determining whether the applicant meets the requirements of

subsections 3, 4, and 5 of section 53-12.1-07.

8. Upon request, the commissioner may furnish to the unclaimed property division of the

board of university and school lands, a taxpayer's name, address, and federal

identification number for identifying the owner of an unclaimed voucher authorized by

the commissioner or to locate the apparent owner of unclaimed property as provided

under chapter 47-30.2.

9. The commissioner may provide the department of commerce information obtained

through the administration of the sales tax under this chapter or the use tax under

chapter 57-40.2. A request by the department of commerce for information must be in

writing and must be limited to information necessary to evaluate the degree of success

and compliance with statutory or contractual performance standards established for

employers who received economic development assistance from this state. A request

under this subsection does not require the commissioner to compile or create a record,

including compiling or creating a record that does not exist from electronically stored

information. Information received by the department of commerce under this

subsection is not subject to section 44-04-18 and section 6 of article XI of the

Constitution of North Dakota and may not be disclosed by the department of

commerce except in an aggregate format that does not allow the identification of a

taxpayer and does not contain any information in the returns or reports filed by a

taxpayer.
N.D. Cent. Code § 57-06-03 — ND Code / Title 57 / Chapter 57-06 / Section 57-06-03
57-06-03. Operative property defined
Status: in_force

57-06-03. Operative property defined

The term "operative property" means any and all property that is not exempt under this

chapter by reason of an election filed under chapter 57-33.2 and which is reasonably necessary

for use by any company mentioned in section 57-06-02 exclusively in the operation and conduct

of the particular kind of business engaged in by it. Any such property held under a contract for

the purchase thereof must be considered for all purposes of taxation as the property of the

company holding the same. Any such property, real or personal, held by any company under a

rental lease must be assessed by the state board of equalization in the name of such company,

if an agreement in writing between the owner thereof and such company is filed with the tax

commissioner requesting that such leased property be so assessed. Whenever any property of

a public utility company required to be assessed by the state board of equalization under the

provisions of this chapter is used partly for operative purposes and partly for other purposes,

either by the company or by others, all such property that is not exempt under this chapter by

reason of an election filed under chapter 57-33.2 must be assessed by the state board of

equalization as operative property of the company. Notwithstanding any other provision of law,

all oil or gas pipeline property that is not exempt from ad valorem taxation is subject to

assessment by the state board of equalization under this chapter.