North Dakota’s House Bill 1047 (“HB 1047”), signed by Governor Dalrymple, will reduce North Dakota’s corporate income tax by 20% and property taxes by an estimated 15 to 19%.
HB 1047 reduces the corporate income tax rate for periods beginning January 1, 2011. The new tax rate will be 1.68% on the first $25,000 of taxable income. The rate on the next $25,000 of taxable income is reduced to 4.23%. And the rate on corporate income of more than $50,000 will be 5.15%. Further, HB 1047 continues the state’s 70% funding commitment to school districts and will result in the previously mentioned property tax savings.
Unlike most states, North Dakota has a budget surplus. With the passage and enactment of HB 1047, North Dakota has shown its commitment to a pro-business climate.
TECHNICAL INFORMATION CONTACT:
Andy Hammons
Principal
Ryan
425.440.2333
andy.hammons@ryan.com
North Dakota Reduces Corporate Tax Rates and Provides Property Tax Relief
Tax Development Jun 02, 2011