reglab/statecodes huggingface dataset:
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in this article all terms and phrases have the same
				  meaning as defined in the North Dakota Century Code, and in addition "trailer"
				  and "semitrailer" includes trailers towed by a bona fide resident farmer
				  hauling agricultural, horticultural, dairy, or other farm products if the gross
				  weight, not including the towing vehicle, does not exceed twenty-four thousand
				  pounds [10886.22 kilograms].
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 57-40.3-01
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-02 - Motor vehicle excise tax imposed

Current through Supplement No. 393, July, 2024
1. All motor
				vehicles, except motor vehicles leased for a period of one year or more and
				having an actual vehicle weight of ten thousand pounds [4535.92 kilograms] or
				less, purchased or acquired in or outside this state intended for use upon the
				streets and highways of this state are subject to an excise tax on the purchase
				price, less any trade-in allowance, of the motor vehicle.
2. Motor vehicles leased for a period of one
				year or more and having an actual vehicle weight of ten thousand pounds
				[4535.92 kilograms] or less are subject to an excise tax on the total
				consideration of the lease at the time the lease is initiated.
3. A credit will be allowed for sales, use,
				or motor vehicle excise tax paid in another state on all motor vehicles
				purchased or acquired outside this state if the state in which the motor
				vehicle was purchased or acquired allows a similar credit.
If the state in which the motor vehicle was purchased does
				  not impose a sales tax or a motor vehicle excise tax, the North Dakota motor
				  vehicle excise tax must be paid on the full purchase price of the vehicle
				  before license and registration will be issued in this state. If the motor
				  vehicle has been previously licensed and registered in a state which imposes no
				  sales tax or motor vehicle excise tax, the North Dakota motor vehicle excise
				  tax will apply at the fair market value of the vehicle upon registration in
				  this state.
If a motor vehicle has been licensed and registered in a
				  foreign country prior to its licensing and registration in this state, no
				  credit is allowed for sales tax or motor vehicle excise tax previously paid to
				  such foreign country.
4.
				The motor vehicle excise tax is in addition to any other tax provided for by
				law on the purchase price of motor vehicles.
5. The motor vehicle excise tax must be paid
				to the North Dakota department of transportation's motor vehicle division when
				application is made for registration plates or for a certificate of title for a
				motor vehicle.
Registration plates and certificates of title will not be
				  issued unless the tax is paid.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 39-04-18,
					 57-40.3-02,
					 57-40.3-02.1,
					 57-40.3-06,
					 57-40.3-07,
					 57-40.3-08,
					 57-40.3-09
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-04 - Leasing and rental companies

Current through Supplement No. 393, July, 2024
Leasing companies are responsible for payment of the motor
				  vehicle excise tax to the motor vehicle division when titling vehicles for
				  leasing purposes. The application of tax is as follows:
1. All motor vehicles leased for a period of
				one year or more and having an actual vehicle weight of ten thousand pounds
				[4535.92 kilograms] or less are subject to motor vehicle excise tax, at the
				time the owner of the vehicle titles the motor vehicle for use in this state,
				based on the total consideration of the lease at the time the lease is
				initiated. The motor vehicle excise tax will apply when additional charges are
				made after the inception of the lease, and may include excess mileage charges,
				excess wear charges, damage or repair charges, lease cancellation charges,
				option to renew charges, and end-of-the-lease payments. The subsequent purchase
				or buyout of a qualifying lease vehicle by the lessee will result in the
				payment of motor vehicle excise tax by the lessee on the purchase or buyout
				amount when titled or licensing the motor vehicle in this state.
Tax will apply to an end-of-the-lease payment if it is
				  determined the lessee owes an additional charge based on the difference between
				  the market value and the estimated residual value of the vehicle. No refund of
				  tax is provided to the owner or lessee when the market value is greater than
				  the estimated residual value.
2. All other motor vehicles placed into lease
				service will be subject to motor vehicle excise tax based on the purchase price
				of the vehicle at the time of titling or licensing the vehicle in this state.
				The subsequent purchase or buyout of the leased vehicle by the lessee will
				result in the payment of motor vehicle excise tax by the lessee on the purchase
				or buyout amount when titling or licensing the motor vehicle in this state
				unless the vehicle has been in continuous possession of the lessee for a period
				of one year or more.
Rental companies are responsible for payment of the motor
				  vehicle excise tax to the motor vehicle division when titling vehicles for
				  rental purposes.
When a dealer occasionally rents a vehicle on a daily basis
				  and has not paid motor vehicle excise tax on the vehicle, such as one held for
				  resale, the dealer is required to collect and remit sales tax at the current
				  rate based on the daily rental charges.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 57-40.3-02,
					 57-40.3-02.1,
					 57-40.3-04
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-05 - Purchases by Indians

Current through Supplement No. 393, July, 2024
Purchases of motor vehicles by Indians are subject to the
				  motor vehicle excise tax for titling purposes, unless the purchase occurs on an
				  Indian reservation by an enrolled member of the tribe or by the tribe.
The owner of a motor vehicle intended for lease or rental to
				  an enrolled member of the tribe is subject to the motor vehicle excise tax,
				  unless the owner is an enrolled member of the tribe and the transaction occurs
				  on the Indian reservation.
Motor vehicles owned and operated by Indian mission schools
				  are exempt from payment of motor vehicle excise tax.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 39-04-18,
					 57-40.3-02,
					 57-40.3-02.1,
					 57-40.3-04,
					 57-40.3-08
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-06 - Company-owned vehicles

Current through Supplement No. 393, July, 2024
When a company owns a vehicle which is titled in an
				  employee's name, then transfers the title to another employee or to the company
				  itself, motor vehicle excise tax is due.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 57-40.3-02
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-07 - Nonfranchise purchases

Current through Supplement No. 393, July, 2024
Any automobile dealer who purchases a new vehicle for resale
				  for which the dealer does not have the factory franchise is liable for motor
				  vehicle excise tax based on the acquisition cost of such vehicle.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 39-22-02
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-08 - Purchase of vehicles with extra equipment

Current through Supplement No. 393, July, 2024
When purchasing and titling a vehicle which includes extra
				  equipment such as a grain box, camper topper, well drilling rig, and bulk tank,
				  motor vehicle excise tax must be remitted on the combined purchase price of
				  both the vehicle and the extra equipment if purchased as a unit.
General Authority: NDCC
					 57-40.3-12
Law Implemented: NDCC
					 57-40.3-02
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-05.1 - Motor Vehicle Excise Tax › Chapter 81-05.1-01 - Motor Vehicle Excise Tax › Section 81-05.1-01-09 - Refunds

Current through Supplement No. 393, July, 2024
If it appears that any motor vehicle excise tax was paid in
				  error or remitted when not due, the tax will be refunded upon application. The
				  application must be made within three years from the date of payment of the
				  tax.
Such application should be made to the motor vehicle division
				  who will, upon presentation of satisfactory proof, authorize the refund to be
				  made. No refund will be authorized by the motor vehicle division until the
				  motor vehicle division is fully satisfied through the production of necessary
				  purchase agreements, tax receipts, other documents, and information that the
				  refund is warranted.
A refund of the motor vehicle excise tax paid on the total
				  consideration of a qualifying lease that is due and payable by the owner is not
				  allowed unless the owner has agreed to cancel the lease and refund all moneys
				  received or if the motor vehicle is returned under North Dakota Century Code
				  chapter 57-40.4.
General Authority: NDCC
					 57-40.4-01
Law Implemented: NDCC
					 57-40.4-01,
					 57-40.4-02
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-06.1 - Motor Fuel Tax › Chapter 81-06.1-02 - Motor Fuel Tax Imposed › Section 81-06.1-02-03 - Special fuels tax imposed under North Dakota Century Code section 57-43.2-02 - Exemptions [Repealed]

Current through Supplement No. 393, July, 2024
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-06.1 - Motor Fuel Tax › Chapter 81-06.1-02 - Motor Fuel Tax Imposed › Section 81-06.1-02-03.1 - Special fuels tax imposed under North Dakota Century Code section 57-43.2-03 - Exemptions [Repealed]

Current through Supplement No. 393, July, 2024
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-06.1 - Motor Fuel Tax › Chapter 81-06.1-02 - Motor Fuel Tax Imposed › Section 81-06.1-02-05 - Tax deductions allowed to retail outlets

Current through Supplement No. 393, July, 2024
For purposes of administering North Dakota Century Code
				  section 57-43.1-27, the following
				  procedures apply:
1. On a sale of
				motor vehicle fuel made to a retail outlet not licensed by the tax
				commissioner, a supplier or distributor must credit the retail outlet with a
				one-half of one percent shrinkage and tax collection allowance. The allowance
				must be documented on the face of the delivery invoice, and the supplier or
				distributor shall deduct the allowance from taxable gallons on the supplier's
				or distributor's tax return.
2. On
				a transfer of product to a supplier's or distributor's retail storage facility
				or pump, a credit may be allowed for a one-half of one percent shrinkage and
				tax collection allowance, provided:
a. The
				transfer is treated as a sale documented by a sales invoice.
b. The per gallon tax is reported and paid on
				the monthly report for the month in which the product is transferred.
c. The product transferred is
				deducted from the supplier's or distributor's inventory as sold or used. The
				allowance must be documented on the face of the delivery invoice, and the
				supplier or distributor shall deduct the allowance from taxable gallons on the
				dealer's tax return.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-07.1 - Estate Tax › Chapter 81-07.1-01 - Estate Taxes › Section 81-07.1-01-01 - Terms and phrases

Current through Supplement No. 393, July, 2024
Terms and phrases used in this article have the same meaning
				  as those under North Dakota Century Code section
				  57-37.1-01.
General Authority: NDCC
					 57-37.1-17
Law Implemented: NDCC
					 57-37.1-01
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-07.1 - Estate Tax › Chapter 81-07.1-01 - Estate Taxes › Section 81-07.1-01-02 - Taxes and interest payable

Current through Supplement No. 393, July, 2024
Estate taxes are due and payable upon death of a decedent and
				  become delinquent if not paid within fifteen months from the date of death.
				  Interest attaches to unpaid taxes beginning with the expiration of the
				  fifteen-month period. Neither the tax commissioner, the county court, nor any
				  other person has the authority to waive interest which has or which will accrue
				  on unpaid estate taxes on estates of decedents who died prior to July 1, 1987.
General Authority: NDCC
					 57-37.1-17
Law Implemented: NDCC
					 57-37.1-02,
					 57-37.1-07
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-07.1 - Estate Tax › Chapter 81-07.1-01 - Estate Taxes › Section 81-07.1-01-03 - Credit for state death taxes

Current through Supplement No. 393, July, 2024
The credit for state death taxes is computed based upon the
				  federal taxable estate exclusive of adjusted taxable gifts.
General Authority: NDCC
					 57-37.1-17
Law Implemented: NDCC
					 57-37.1-04
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-07.1 - Estate Tax › Chapter 81-07.1-01 - Estate Taxes › Section 81-07.1-01-04 - Valuations

Current through Supplement No. 393, July, 2024
Under no circumstances will the tax commissioner be bound by
				  any valuation on the federal estate tax return which was approved without
				  audit. The tax commissioner reserves the right to change any improper valuation
				  deemed fit and proper.
General Authority: NDCC
					 57-37.1-17
Law Implemented: NDCC
					 57-37.1-11
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-07.1 - Estate Tax › Chapter 81-07.1-01 - Estate Taxes › Section 81-07.1-01-05 - Estate tax documents

Current through Supplement No. 393, July, 2024
1. If the gross
				value of an estate meets the requirements for filing a federal estate tax
				return, the following documents must be submitted to the tax commissioner by
				the personal representative, attorney for the estate, surviving joint tenant,
				or other heir:
a. One copy of a North Dakota
				estate tax return.
b. A copy of
				decedent's will, if any.
c. A copy
				of the federal estate tax return.
d. If there is a North Dakota estate tax due,
				a duplicate situs affidavit. One copy will be filed with the state treasurer
				for proper distribution of taxes collected.
e. If the estate includes farmland, a
				supplemental information form listing the assessed value.
f. Two certificates of estate tax
				determination must be filed if the decedent owned real property in North Dakota
				and died before January 1, 1991. One certificate will be returned to the person
				responsible for filing it with the register of deeds in the county where the
				real property is located.
g. Any
				other information as the tax commissioner may require.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-01 - General Considerations › Section 81-08-01-01 - Source note not part of rule

Current through Supplement No. 393, July, 2024
No source note shall be deemed a promulgation by the tax
				  commissioner as to the purpose, scope, or effect of any section of this article
				  to which such source note relates. For this purpose "source note" includes any
				  citation to "general authority" or "law implemented" that follows any section
				  of this article.
General Authority:
NDCC
				  57-61-08
Law Implemented:
NDCC 57-61
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-01 - General Considerations › Section 81-08-01-02 - Headnote, cross-reference, and source note not part of rule

Current through Supplement No. 393, July, 2024
No headnote, source note, or cross-reference, whether
				  designating an entire article, chapter, or section or any part thereof of this
				  article shall constitute any part of a rule.
General Authority:
NDCC
				  57-61-08
Law Implemented:
NDCC 57-61
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-02 - Coal Severance Tax › Section 81-08-02-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in these sections and for the administration of North
				  Dakota Century Code chapter 57-61, unless the context otherwise requires:
1. "Coal mine owner or operator" does not include any
				  individual who mines coal from the individual's own land solely for use for
				  heating the individual's own home.
2. "Cogeneration facility" means a facility which produces
				  electrical energy and any other form of useful energy, such as steam or heat,
				  which is used for industrial, commercial, heating, or cooling purposes.
3. "Industrial purposes" as applied to coal that has been
				  severed includes the use of such coal for making products from it or for the
				  consumption of such coal to produce power or heat, except that it does not
				  include coal mined by an individual from the individual's own land for use for
				  heating the individual's own home.
4. "Producer" means the coal mine owner, or the operator of
				  the coal mine if different from the owner.
5. "Renewable resources" means biomass, waste, wind, solar,
				  geothermal, or any combination of those resources.
6. "Sale" as applied to coal that has been severed means any
				  transfer of title, conditional or otherwise, to such coal for a consideration
				  regardless of where such transfer of title occurs.
7. "Tax commissioner" means the tax commissioner of the state
				  of North Dakota.
General Authority: NDCC
					 57-61-08
Law Implemented: NDCC
					 57-61
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-02 - Coal Severance Tax › Section 81-08-02-03 - Reporting and paying coal severance tax

Current through Supplement No. 393, July, 2024
Each coal mine owner, or the operator of the coal mine if
				  different from the owner, must file a report on forms prescribed by the tax
				  commissioner for each month showing the number of tons of coal severed in each
				  county in this state during such month, the amount of severance tax due
				  thereon, and such other information as the tax commissioner shall deem
				  necessary. The report and payment shall be filed in the office of the tax
				  commissioner at the state capitol, Bismarck, North Dakota, by the twenty-fifth
				  day of the following month.
General Authority: NDCC
					 57-61-08
Law Implemented: NDCC
					 57-61-02,
					 57-61-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in these sections and for the administration of North
				  Dakota Century Code chapter 57-60, unless the context requires otherwise:
1. "Cost to repair" means the cost to return a disabled unit
				  to generating capability, including costs from the date on which the unit
				  became incapable of generating electricity to the date the unit again becomes
				  capable of generating electricity.
2. "Eighteen consecutive months" means the eighteen-month
				  period commencing immediately following the last month during which a unit was
				  capable of generating electricity.
3. "Estimated cost to repair" means an estimate of the total
				  cost to return the unit to generating capability, made at the end of the first
				  eighteen consecutive months that a unit is incapable of generating electricity.
				  The estimate includes costs from the date the unit became incapable of
				  generating electricity through projected completion of repair.
4. "First taxable production" means the first production
				  which occurs after April 20, 1987, and which is subject to the coal conversion
				  facilities privilege tax.
5. "Original cost" means the total undepreciated cost of
				  construction of and additions to the unit, less retirements, as recorded on the
				  books of the operator, on the date the unit became incapable of generating
				  electricity.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-02 - Taxable electrical production

Current through Supplement No. 393, July, 2024
"Electricity produced for the purpose of sale" includes
				  electricity supplied to a coal mine serving the coal conversion facility. It
				  does not include electricity used within the plant or used within freestanding
				  structures located at the plantsite which constitute an integral part of the
				  plant, for example, an AC/DC terminal.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-03 - Installed capacity

Current through Supplement No. 393, July, 2024
The operator of each electrical generating plant shall
				  certify to the tax commissioner the installed capacity of the power unit as
				  defined in North Dakota Century Code section
				  57-60-01, shown in kilowatts on
				  the nameplate assigned to the turbine of the power unit, the manufacturer of
				  the power unit, and the serial number of the power unit.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-04 - Calculation of reduced tax rate

Current through Supplement No. 393, July, 2024
If a unit has been incapable of generating electricity for
				  eighteen consecutive months, the tax on that unit for taxable periods beginning
				  after the eighteenth month must be reduced by the ratio that the estimated cost
				  to repair bears to the original cost of the unit. When the unit is again
				  capable of generating electricity, the reduced tax rate must be recalculated,
				  using the ratio that the cost to repair bears to the original cost of the unit.
				  Taxes for all taxing periods during which the reduced rate was in effect must
				  be recalculated, and adjustments for underpayments or overpayments made. The
				  full tax rate will be in effect for the month in which the unit is again
				  capable of generating electricity.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-05 - Maximum benefit under reduced tax rate

Current through Supplement No. 393, July, 2024
The rate reduction calculated for a unit that has been
				  incapable of generating electricity for eighteen consecutive months may not
				  exceed one hundred percent of the tax.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-06 - Taxable synthetic natural gas

Current through Supplement No. 393, July, 2024
"Taxable synthetic natural gas" does not include synthetic
				  natural gas used within the plant and does not include any amount of synthetic
				  natural gas in excess of one hundred ten million cubic feet per day, over and
				  above that used within the plant. Calculation of any amount of synthetic
				  natural gas in excess of one hundred ten million cubic feet per day must be
				  accomplished by multiplying one hundred ten million cubic feet by the number of
				  days in the month for which the report is filed, and subtracting the result
				  from the total number of cubic feet of synthetic natural gas produced, less
				  that used within the plant, during the month for which the report is made.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-08 - Coal Taxes › Chapter 81-08-03 - Coal Conversion Facilities Privilege Tax › Section 81-08-03-07 - Byproducts revenue exempt from taxation

Current through Supplement No. 393, July, 2024
Effective after December 31, 2000, for any given month, the
				  allowed exemption of revenue derived from the sale of byproducts other than the
				  sale of carbon dioxide for use in enhanced recovery of oil or natural gas may
				  not exceed twenty percent of the sum of total gross receipts from the sale of
				  synthetic natural gas during the month plus total gross receipts from the sale
				  of byproducts during the month. Gross receipts from the sale of carbon dioxide
				  for use in enhanced recovery of oil or natural gas are not subject to tax but
				  are included in total gross receipts for the purpose of the percentage
				  calculation.
General Authority: NDCC
					 57-60-12
Law Implemented: NDCC
					 57-60-01,
					 57-60-02,
					 57-60-03
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-01 - General Considerations › Section 81-09-01-01 - Source note not part of rule

Current through Supplement No. 393, July, 2024
No source note shall be deemed a promulgation by the
				  commissioner as to the purpose, scope, or effect of any section of this article
				  to which such source note relates. For this purpose "source note" includes any
				  citation to "general authority" or "law implemented" that follows any section
				  of this article.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC 57-51,
					 57-51.1
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-01 - General Considerations › Section 81-09-01-02 - Headnote, cross-reference, and source note not part of rule

Current through Supplement No. 393, July, 2024
No headnote, cross-reference, or source note, whether
				  designating an entire article, chapter, or section or any part thereof of this
				  article shall constitute any part of a rule.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC 57-51,
					 57-51.1
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-01 - Definitions

Current through Supplement No. 393, July, 2024
As used in this chapter and for the administration of North
				  Dakota Century Code chapter 57-51, unless the context otherwise requires:
1. "Casinghead gas" means gas as produced from a well
				  classified as an oil well by the industrial commission.
2. "Commissioner" means the tax commissioner of the state of
				  North Dakota.
3. "Gross value at the well" means fair market value at the
				  time of production.
4. "Natural gas" means gas as produced from a well classified
				  as a gas well by the industrial commission.
5. "Nonoperating interest" means an interest in production
				  from a mineral property which does not share in operating rights. A
				  nonoperating interest includes an overriding royalty interest, a net profit
				  interest, and a carried interest.
6. "Oil" means petroleum, crude oil (including condensate),
				  mineral oil, and casinghead gasoline.
7. "Operator" means the person responsible for the actual
				  physical operation of the producing property.
8. "Person" means an individual, partnership, corporation,
				  association, fiduciary, trustee, and any combination thereof.
9. "Producer" means the owner of a working interest or a
				  nonoperating interest, in a well capable of producing oil or gas, or both.
10. "Purchaser" means any buyer of oil or gas after it has
				  been produced, or any processor of gas. Purchaser does not include one who
				  acquires oil or gas in place in the earth through a lease, estate, or other
				  interest.
11. "Return" means any statement, report, or return required
				  by North Dakota Century Code chapter 57-51 to be filed with the commissioner.
				  To constitute a timely filed original or amended return, a return must be filed
				  on or before the due date and must contain sufficient information by which the
				  commissioner can process the return and determine the correct tax due. In the
				  case of an information return, a return must be filed on or before the due date
				  and must contain sufficient information by which the commissioner can process
				  the return and determine the correct oil and gas volumes to be reported and,
				  where applicable, the gross value of oil produced.
12. "Take-in-kind" means a nonoperator elects to receive
				  production in lieu of proceeds from the sale of production.
13. "Tax" means the oil and gas gross production tax.
14. "Taxpayer" means any person that is responsible for
				  filing a report or paying the tax.
15. "Trunkline" means a pipeline for the transportation of
				  oil or gas from producing areas to refineries or terminals.
16. "Working interest" means a mineral interest which
				  includes the rights granted to a lessee of property to explore for, produce and
				  own, oil or gas.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-02 - Procedure for review of commissioner's determination of additional tax, penalty, and interest

Current through Supplement No. 393, July, 2024
1. The commissioner
				will review or audit the returns filed pursuant to North Dakota Century Code
				chapter 57-51.
2.
a.If it is determined that additional tax is
				due, the commissioner shall notify the taxpayer of this determination within
				the applicable time period specified in North Dakota Century Code section
				57-51-09.
b. For the purpose of determining whether
				there has been a change in tax liability on any return by an amount in excess
				of twenty-five percent of the amount of tax liability reported on a return, the
				change in tax liability must be determined on a well or unit basis, as reported
				on the return. If no tax has been paid on production from a well or unit for
				any production month, the requirement of a change in the liability in excess of
				twenty-five percent is automatically met.
c. The notice of determination must be sent
				by certified mail with a return receipt requested and it must state the
				statutory basis for the determination, the reasons for the determination, and
				the amount of additional tax due along with the applicable penalty and
				interest.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-03.1 - Interest on refunds

Current through Supplement No. 393, July, 2024
The commissioner does not have the authority to pay interest
				  on a claim for credit of tax. Interest of ten percent per annum must be paid on
				  tax refunds. The daily interest rate is .000277. Interest accrues from sixty
				  days after the due date of the return or after the return was filed or after
				  the tax was fully paid, whichever comes later, through the date the refund is
				  mailed to the taxpayer.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-19
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-03.2 - Procedure for limited review of amended returns submitted with claim for credit or refund

Current through Supplement No. 393, July, 2024
1. Upon receipt of
				an amended return submitted with a claim for credit or refund, the commissioner
				shall perform a limited review to determine that tax was paid with a previously
				filed return and that the amended return is completed properly.
2. Mathematical or clerical errors as defined
				in section 81 -01.1 -01 -02 may be corrected by the commissioner after
				notification is provided to the taxpayer.
3. When the tax commissioner grants a tax
				credit, the taxpayer will be notified by written confirmation of the amount of
				the tax credit which may be used to reduce a future tax liability.
4. When the tax commissioner grants a tax
				refund, a refund check will be issued to the taxpayer.
5. Nothing in this rule is intended to
				preclude the commissioner's authority to audit the information reported on the
				amended return or to assess tax due.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-19
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-04 - Due dates for filing a return and paying tax

Current through Supplement No. 393, July, 2024
If the due date for filing a return and paying the tax owed
				  falls on a Saturday, Sunday, or legal holiday, the return and payment are due
				  on the next business day. If a taxpayer is required to file an amended return,
				  this return is due on the date set by the commissioner. A return is delinquent
				  if it is postmarked or transmitted after the due date. A payment is delinquent
				  if it is postmarked, or an electronic payment is initiated, after the due date.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-05,
					 57-51-06,
					 57-51-10
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-05 - Extension of due date for filing a return or paying tax

Current through Supplement No. 393, July, 2024
1. A
				taxpayer may request that the due date for payment of the tax be extended by a
				maximum of fifteen days. In addition, a taxpayer may request that the due date
				for filing a return be extended. However, if tax is due with the return, the
				due date for filing will only be extended by a maximum of fifteen days.
2. A taxpayer may request an
				extension of time either verbally or in writing. A verbal request must be made
				on or before the due date for paying the tax or filing the return. A written
				request must be received by the commissioner on or before the due date for
				paying the tax or filing the return. Both a verbal and written request must
				advise the commissioner as to why the extension of time is needed.
3. If a request for an extension of time is
				approved verbally, the taxpayer shall submit written notice to the commissioner
				confirming this fact within five days of the date the request was approved. If
				a request is not approved verbally, the commissioner shall promptly notify the
				taxpayer in writing as to whether the request is approved or denied.
4. If a request for an extension of time for
				filing a return is approved, the taxpayer shall compute and pay with the return
				extension interest at the rate of twelve percent per annum. The daily interest
				rate is .000333. Interest is computed from the original due date of the return
				to the date the tax is paid, which is the date the payment is mailed or an
				electronic payment is initiated.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-05,
					 57-51-06
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-06 - Penalty for failure to file a return and procedure for review of imposition of penalty

Current through Supplement No. 393, July, 2024
1. The term
				"taxpayer" includes any person or entity that is responsible for filing a tax
				or information return.
2. For
				purposes of this section, the terms "tax return" and "information return" have
				the meanings provided in section
				81-09-02-01.
3. A taxpayer is subject to a penalty of
				twenty-five dollars per day for each well or unit for which a tax or
				information return has not been filed. This penalty must be collected in the
				same manner as gross production taxes and apportioned as other gross production
				tax penalties.
4. The commissioner
				shall notify the taxpayer of imposition of the failure to file penalty by
				certified mail, return receipt requested. The notice of imposition of failure
				to file penalty must specify the wells or units for which a return was not
				filed, the reporting periods for which a return was not filed, and the amount
				of penalty assessed. If the taxpayer objects to the imposition of the penalty,
				the taxpayer may protest by filing an administrative complaint with the
				commissioner within thirty days of the notice of imposition of penalty for
				failure to file a return. The taxpayer will be granted an automatic extension
				of thirty days to file a complaint, provided the taxpayer makes a request for
				extension within thirty days of the notice. If the taxpayer fails to protest
				within thirty days of the notice and the penalty remains unpaid, the
				commissioner may bring an action to collect the penalty for failure to file a
				return. The two-year statute of limitations on actions under North Dakota
				Century Code section
				28-01-18 applies to imposition of
				this penalty by the commissioner and to protest of this penalty by the
				taxpayer.
5. The taxpayer may
				request a hearing before the commissioner relating to the imposition of the
				penalty for failure to file a return. An administrative complaint filed by the
				taxpayer must be served personally or by certified mail. The provisions of
				North Dakota Century Code chapter 28-32 apply to and govern the filing of the
				complaint and the administrative hearing, including any appeal from a decision
				rendered by the commissioner.
General Authority: NDCC
					 28-01-18,
					 57-51-21
Law Implemented: NDCC
					 57-51-06
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-06.1 - Penalty and interest on delinquent tax

Current through Supplement No. 393, July, 2024
1. A penalty is
				imposed on delinquent tax in the amount of five percent of the delinquent tax
				or five dollars, whichever is greater. This penalty does not apply to
				delinquent tax reported on an amended return if:
a. Ninety percent of the total combined tax
				liability, reported on the original return and amended returns, was paid with
				the taxpayer's original return; and
b. The amended return is filed and all
				delinquent tax is paid within sixty days of the due date of the original
				return.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-07 - Injected oil

Current through Supplement No. 393, July, 2024
When produced from and injected into the same well, oil must
				  be reported as production upon recovery after injection.
When produced from one well and transported to a second well,
				  oil injected into the second well must be reported as production from the first
				  well and tax is due at the time the oil is transported to the second well. In
				  determining production from the second well, injected oil must be excluded from
				  production. The amount excluded must be applied against the first oil recovered
				  after injection.
Injected oil includes, but is not limited to, what is
				  commonly known as power oil, frac oil, and load oil.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-02,
					 57-51-05
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-09 - Definition of arm's length contract

Current through Supplement No. 393, July, 2024
As used in North Dakota Century Code chapter 57-51, "arm's
				  length contract" means a contract or agreement executed by a willing buyer and
				  a willing seller, neither party being affiliated. For purposes of this
				  definition, a contract or agreement between affiliated parties is any contract
				  or agreement between a parent and a wholly or partially owned subsidiary, or
				  between entities wholly or partially owned by a common parent, or between
				  persons otherwise affiliated through ownership or economic relationships.
General Authority: NDCC
					 57-51-21,
					 57-51.1-05
Law Implemented: NDCC
					 57-51-01,
					 57-51-02.3
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-09.1 - Reduction from gas volumes and reporting

Current through Supplement No. 393, July, 2024
1. To determine the
				volume of gas upon which gross production tax must be paid, the following may
				be deducted from the total volume of gas produced and must be reported to the
				commissioner:
a. Wet gas and gas products
				exempt from taxation pursuant to subsection 3 of North Dakota Century Code
				section 57-51-05. The volume of gas to be
				deducted for the wet gas and gas products must be computed using the formulas
				prescribed in forms provided by the commissioner.
b. Condensate reported as oil. The volume of
				gas to be deducted for each barrel of condensate must be computed using the
				formula prescribed in forms provided by the commissioner.
c. Gas flared from an oil well by a producer
				that is not subject to taxation pursuant to North Dakota Century Code section
				38-08-06.4.
d. In the event a substance is being injected
				into a reservoir as a part of a tertiary recovery project, and the amount of
				nonhydrocarbon gas produced from a well is disproportionally increased as a
				result of the project, the total volume of gas produced from the well may be
				adjusted subject to the approval of the commissioner in a manner approved by
				the commissioner.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-10 - Condensate recovered from a gas stream

Current through Supplement No. 393, July, 2024
1. For the purposes
				of this section, the following definitions apply:
a. "Condensate" means all liquid hydrocarbons
				recovered from a gas stream in a gathering system after the custody transfer
				meter but before processing at a gas plant. Condensate is otherwise referred to
				as "pigging liquids", "gathering system condensate", or "drip".
b. "Gross value" of condensate at the point
				of recovery means the price paid under an arm's length contract for the sale of
				oil as defined in North Dakota Century Code section
				57-51-02.3.
c. "Processing" means any process designed to
				remove elements or compounds, hydrocarbons and nonhydrocarbons, from gas,
				including absorption, adsorption, or refrigeration. Field processes that
				normally take place on or near the lease, such as natural pressure reduction,
				mechanical separation, heating, cooling, dehydration, and compression are not
				considered processing.
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-13 - Measurement or determination of oil or gas production

Current through Supplement No. 393, July, 2024
The volume of oil or gas to be reported is the gross amount
				  of oil or gas produced. When measuring or determining the amount of oil
				  production, a reasonable deduction may be made for basic sediment and water and
				  a reasonable allowance may be made for correction of the temperature to sixty
				  degrees Fahrenheit [15.55 degrees Celsius]. When measuring or determining the
				  amount of gas production, the measurement must be at a pressure base of 14.73
				  pounds per square inch absolute and a standard temperature base of sixty
				  degrees Fahrenheit [15.55 degrees Celsius].
The amount of production is generally measured or determined
				  at the lease by tank tables, meters, or other measuring devices. However, the
				  commissioner may verify the accuracy of measurements or determinations made at
				  the lease by comparing those amounts with measurements or determinations made
				  at some other point.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-02
North Dakota Administrative Code › Title 81 - Tax Commissioner › Article 81-09 - Oil and Gas Gross Production and Oil Extraction Taxes › Chapter 81-09-02 - Oil and Gas Gross Production Tax › Section 81-09-02-14 - Taxation of volume gains

Current through Supplement No. 393, July, 2024
1. An oil purchaser
				that has realized a volume gain resulting from differing measurements of the
				oil must report and pay tax on the volume gain. An oil purchaser that has
				incurred a volume loss resulting from differing measurements of the oil may
				utilize the volume loss on a first-in first-out basis to offset a volume gain
				in subsequent periods as follows. An oil purchaser may utilize the loss to
				offset a gain at another trunkline measuring point. A volume loss may be
				carried forward for three years after the due date of the return for the
				production month in which the loss was incurred.
2. The amount of volume gain and volume loss
				must be calculated for each month and reported. The amount of volume gain must
				be reported on the oil return in the month succeeding production.
3. A volume gain or volume loss is calculated
				by subtracting the total amount of oil received by the purchaser as measured at
				the well from the total amount of oil delivered by the purchaser as measured at
				the trunkline. If this calculation results in a positive number, there is a
				volume gain. If this calculation results in a negative number, there is a
				volume loss. A volume gain or loss may be adjusted for a volume gain or loss
				attributable to production outside North Dakota.
4. A volume gain cannot be decreased and a
				volume loss cannot be increased by oil lost due to spillage, leakage, fire,
				theft, or any other event resulting in a physical loss of oil.
General Authority: NDCC
					 57-51-21
Law Implemented: NDCC
					 57-51-02,
					 57-51-05,
					 57-51-06