Sales Tax in North Dakota
The current state sales tax rate in North Dakota (ND) is 5%. Total tax rates range up to 8.5%.
Tax Rates and Exemptions
- Retail sales in North Dakota are subject to a 5% state sales tax.
- Sales of new mobile homes and motor vehicle rentals are subject to a 3% sales tax.
- Clothing is subject to the 5% general state sales tax.
- Prescription medicine, groceries, and gasoline are exempt from sales tax.
Tax Collection and Administration
- North Dakota collects municipal taxes at the city and county levels. Cities and counties can impose additional sales taxes.
- Retailers must file and pay sales tax periodically based on their assigned filing frequency. Due dates vary. Penalties may apply for late filing or payment.
Streamlined Sales and Use Tax Agreement
North Dakota is a member of the Streamlined Sales and Use Tax Agreement to simplify administration. Out-of-state retailers may need to register and pay sales tax. Contact the Office of State Tax Commissioner for more information.