The Greater Fargo Moorhead region offers many tax advantages for businesses, such as personal property tax exemptions, the lowest worker’s compensation premiums in the United States and the nation’s most generous R&D tax credit.
Corporate Income Tax Exemption
Newly established primary sector businesses, or expansions of existing primary sector businesses, are eligible for a five-year exemption from North Dakota state corporate income taxes. For business expansion, the exemption applies to the increase in corporate income attributable to the expansion project and related to North Dakota revenues.
No Personal Property Tax
North Dakota exempts all personal property from property taxation.
Property Tax Exemption
A qualifying project may receive a complete or partial exemption from ad valorem taxation for up to 10 years on new or existing buildings or structures used in the qualifying project. Land is not exempted. Buildings in a Tax Increment Financing district are not eligible for the property tax exemption.
Sales & Use Tax Exemption – Computer Equipment
A sales and use tax exemption is allowed on the purchase of new computer and telecommunications equipment that is an integral part of a locating or expanding primary sector business. The exemption does not apply to replacement equipment.