North Dakota Taxes 2025
Complete tax guide and OBBBA calculator for ND residents
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North Dakota Tax Overview 2025
State Income Tax
1.95%
Flat rate structure
Combined Sales Tax
7.04%
State 5.00% + Local 2.04%
Avg Property Tax
0.98%
Near-average property taxes
💼 North Dakota Income Tax 2025
North Dakota has one of the lowest income tax rates at 1.95%.
When filing your North Dakota state tax return, your income tax liability depends on your taxable income and filing status. North Dakota uses a flat income tax structure.
North Dakota Income Tax Quick Facts
🛒 North Dakota Sales Tax 2025
North Dakota's combined average sales tax rate is 7.04%, which includes both state and local components. The state sales tax rate is 5.00%, while local jurisdictions add an average of 2.04%.
Sales Tax Breakdown
💡 Tip: Local sales tax rates vary by city and county. Your actual rate may be higher or lower depending on where you shop.
🏠 North Dakota Property Tax 2025
North Dakota's average effective property tax rate is 0.98%. Near-average property taxes.
Property taxes in North Dakota are assessed at the local level by counties and municipalities. Rates can vary significantly between jurisdictions.
Example Annual Property Tax
| Home Value | Est. Annual Tax | Monthly |
|---|---|---|
| $250,000 | $2,450 | $204 |
| $400,000 | $3,920 | $327 |
| $600,000 | $5,880 | $490 |
OBBBA Tax Benefits for North Dakota Residents
North Dakota's low income tax combined with OBBBA deductions provides excellent savings.
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, introduced several new federal tax deductions that North Dakota residents can claim starting with their 2025 tax returns.
Available OBBBA Deductions for ND Residents:
Calculate Your North Dakota Tax Savings
Use our free OBBBA calculator to see exactly how much you could save on your 2025 federal taxes as a North Dakota resident.
Calculate My SavingsHow North Dakota Compares
| Tax Type | ND Rate | US Average | Comparison |
|---|---|---|---|
| Income Tax (Top Rate) | 1.95% | 5.1% | Varies |
| Sales Tax | 7.04% | 7.12% | Below Avg |
| Property Tax | 0.98% | 1.10% | Below Avg |
Frequently Asked Questions
What is the income tax rate in North Dakota?
North Dakota has a flat income tax with rates of 1.95%. North Dakota has one of the lowest income tax rates at 1.95%.
What is the sales tax in North Dakota?
The combined average sales tax rate in North Dakota is 7.04%. This includes the state rate of 5.00% plus an average local rate of 2.04%.
How do OBBBA deductions benefit North Dakota residents?
North Dakota's low income tax combined with OBBBA deductions provides excellent savings. North Dakota residents can claim tips, overtime, auto loan interest, SALT, and senior bonus deductions on their federal returns.
When are North Dakota taxes due?
For tax year 2025, North Dakota state taxes are due on April 15, 2026, the same date as federal taxes. Extensions may be available if you need more time to file.