North Dakota Tax Calculators.
2025 income tax rates, brackets, and sales tax for North Dakota. Free calculators with North Dakota-specific defaults.Income Tax
North Dakota has a near-flat income tax with a rate of 1.95% on income over $44,725. Income below that threshold is tax-free. This is effectively one of the lowest income tax burdens in the nation.
| Taxable Income | Rate |
|---|---|
| $0 - $44,725 | 0% |
| Over $44,725 | 1.95% |
Sales Tax
Groceries are exempt from sales tax. Prescription drugs are exempt.
North Dakota's effective income tax rate is among the lowest in the nation, with most moderate-income earners paying well under 1% effective rate.
What is North Dakota's income tax rate?
North Dakota charges 1.95% on taxable income above $44,725. Income below that amount is not taxed, making it one of the lightest income tax burdens in the country.
Does North Dakota tax groceries?
No, groceries (unprepared food) are exempt from North Dakota's 5% state sales tax.
Why are North Dakota's taxes so low?
North Dakota benefits from significant oil and gas revenue, which helps fund state services and keeps individual tax rates very low.