North Dakota State Taxes

North Dakota Income Tax

In 2023, H.B. 1158 lowered the state’s income tax rates by reducing the tax brackets from five to only three tax rates of 0%, 1.95%, and 2.5%, which is one of the lowest in the United States. The rate varies based on filing status and taxable income.

2023 North Dakota Tax Rates – Single

North Dakota Taxable Income	Tax Rate
$0 – $44,724	0%
$44,725 – $225,974	1.95%
$227,975 and over	2.50%

2023 North Dakota Tax Rates – Married Filing Jointly or Qualifying Widow(er)

North Dakota Taxable Income	Tax Rate
$0 – $74,749	0%
$74,750 – $275,099	1.95%
$275,100 and over	2.50%

2023 North Dakota Tax Rates – Married Filing Separately

North Dakota Taxable Income	Tax Rate
$0 – $37,374	0%
$37,375 – $137,549	1.95%
$137,550 and over	2.50%

2023 North Dakota Tax Rates – Head of Household

North Dakota Taxable Income	Tax Rate
$0 – $59,949	0%
$59,950 – $250,549	1.95%
$250,550 and over	2.50%

Who Must File?

Full-year residents who are required to file a federal income tax return must also file a North Dakota income tax return. You are considered a full-year resident if you lived in North Dakota for the entire tax year or maintained a home (owned or rented) and spent a total of 210 days or more in the state.

Other Residents

You may also need to file a North Dakota income tax return if any of the following apply:

• Part-Year Resident: You have gross income from any source while a resident of North Dakota or a North Dakota source while residing outside the state, and you a required to file a federal income tax return.
• Nonresident: You are required to file a federal return and have gross income from a North Dakota source.
• Montana or Minnesota Resident: Minnesota residents who return home at least once a month while working in North Dakota and whose only gross income was from North Dakota sources (personal or professional services) must file. Full-year residents of Montana do not have to file a North Dakota income tax return for wages earned from North Dakota sources.

Native Americans are not subject to North Dakota income taxes and do not have to file a return if all of the following are true: (1) they are enrolled as a member of a federally-recognized tribe, (2) they lived on any Indian reservation in North Dakota, and (3) all of their income was derived from sources on any Indian reservation in the state.

North Dakota Sales Tax

North Dakota imposes a 5% state sales tax on most retail sales. Local (city and county) governments may also levy an additional sales tax of up to 3%. These taxes are administered by the Office of State Tax Commission on behalf of the city or county.

North Dakota Property Taxes

North Dakota property taxes are average in comparison to other states. The recently proposed legislation, however, could lower residents property bills by nearly 17% if passed. 

The median property tax bill in North Dakota is approximately $1,658 (based on a median home value of $116,800). Cass County has the highest property tax at an average of $2,762. The lowest amount is $365 in Billings County.

North Dakota Property Tax

Highest	$2762
Median	$1658
Lowest	$365

Yearly Cost Per Resident

North Dakota Tax Holidays

At this time, there are no tax holidays scheduled in North Dakota.

North Dakota Tax Resources

If you need assistance preparing your North Dakota state taxes, you can speak with a tax professional from Tax Defense Network by calling 855-476-6920.

You can also visit the NDTax website for additional resources.

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