North Dakota

Sales Tax

  • Statewide: 5.0%
  • Counties can levy an additional sales tax of no more than 3.5%.
  • Current average sales tax (with local taxes included): 5.762%
  • Common Exceptions at State Level:
    • Unprepared Foods: Exempt
  • Gasoline Tax: 41.40 cents/gallon (Includes all state, local and federal taxes)
  • Diesel Fuel Tax: 47.40 cents/gallon (Includes all state, local and federal taxes)
  • Cigarette Tax: 44 cents/pack of 20

 

Personal Income Tax

  • Personal Income Tax Rate Range: Five brackets from 1.1% to 2.9% (on income greater than $445,000)
  • Standard deduction: Same as federal. $12,550/Married Filing Jointly: $25,100
  • Personal Exemption Allowance: N/A
  • Itemized Deductions Allowed?: Yes, subject to limitations
  • Retirement Income
    • Social Security: Exempt if income less than $50,000
    • IRAs: Taxable at ordinary income tax rates
    • 401Ks/Defined contribution employer retirement plans: Taxable at ordinary income tax rates
    • Private pensions: Taxable at ordinary income tax rates
    • Public Pensions: Taxable at ordinary income tax rates
  • Military Pay
    • Active Duty Pay: Taxable to the extent included in federal Adjusted Gross Income; pay received as a member of the North Dakota National Guard or U.S. Armed Forces reservist is exempt.
    • Military Retirement Pay: Exempt
    • Military Disability Pay: Exempt
    • VA Disability Dependency & Indemnity Compensation Benefits: Exempt
    • SBP/SSBP/RCSBP/RSFPP: Exempt

 

Property Tax

  • Local municipalities average .98% of the property's assessed value.
  • Calculation of assessed value: 9% of assessed value, which is 50% of fair market value.
  • Relief programs for:
    • 65 and over or Disabled: Up to $5,625 reduction of assessed value if income less than $42,000 after medical expenses and assets less than $500,000.  Renters' program available.
    • Disabled Veterans: Up to $6,750 reduction of assessed value if service-connected disability is 50% or greater.
    • Disabled: Up to $50,000 reduction of assessed value if income less than $29,000.
  • Personal Property Tax: No.

 

Inheritance & Estate Taxes: None

 

Department of Revenue website: www.nd.gov/tax/

More Financial Guidance From MOAA 

Premium and Life members can consult our financial staff for education and consumer advice.

 

Looking to get more out of your membership? MOAA has more than 400 chapters around the country. Get involved in your community by finding the one closest to you and joining today!