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. North Dakota ranked 37th in total state taxes (except severance taxes) per capita in FY 2005. (US Dept. of Commerce, Bureau of the Census).
- Individual income tax rates from 1.15% to 3.99%.
- Corporate income tax rates of 2.1% to 5.15%.
- State sales tax rate of 5% plus Jamestown city sales tax rate of 2%.
- No sales and use tax on machinery and equipment that is used primarily in a new or expanding manufacturing facility, no sales and use tax on electricity, water, and sewer, no sales tax on computer and telecommunications equipment for a new primary sector business that is an integral part of the new or expanding business, no sales tax on long distance calls that originate outside the state but terminate within North Dakota, no tax on personal property, including inventory, equipment used in manufacturing, materials in process, and accounts receivable does not tax personal property.
- Business tax incentives can be applied for and granted for corporate income tax and corporate property tax.
North Dakota Corporation Income Tax Brackets and Rates
North Dakota Tax Incentives For Businesses
ND Office of State Tax Commissioner