North Dakota has clear, concise tax codes and a competitive state tax structure for corporate and individual income tax as well as sales and use tax.
ND Office of State Tax Commissioner
- Individual income tax rates from 1.51% to 3.99%. In FY 2009, North Dakota ranked 36th of the 43 states that levy an individual income tax with an average per capita capital collection of $572. (US Dept. of Commerce, Bureau of the Census)
- Corporate income tax rates of 1.68% to 5.15%.
- State sales tax rate of 5% plus Bismarck and Mandan city sales tax rate of 1%.
- No sales and use tax on machinery and equipment, no sales and use tax on electricity, water, and sewer, reduced sales tax on natural gas, no sales tax on computer and telecommunications equipment for a new primary sector business, no interstate sales tax on communications over phone lines, no tax on personal property, including inventory, equipment used in manufacturing, materials in process, and accounts receivable.
- Business tax incentives can be applied for and granted for corporate income tax and corporate property tax.