Republican House Gives a Valentine to the Taxpayers of North Dakota

HOUSE PASSES COMPREHENSIVE TAX RELIEF

Includes Property Tax Relief, Elimination of Marriage Penalty, Homestead Credits


Bismarck, N.D. – The North Dakota House of Representatives today passed a comprehensive tax relief package that includes property tax reductions, elimination of the marriage penalty tax and increased homestead tax credits.

The bill provides for a 10 percent reduction in for residential property tax payers and 5 percent for agricultural and commercial property. The bill also ensures that taxpayers have more control over property tax rates by requiring a vote if the local taxing authority wishes to raise spending by more than 3.5 percent. The bill allows exemptions to this provision for growth or annexation as well as emergencies such as a natural disaster.

Wes Belter (R – Leonard) chairman of the Finance and Taxation Committee said, “This comprehensive measure provides real tax relief for the residents of our state.”

The bill further reduces property taxes for low income seniors by increasing funding for the homestead property tax credit by 80 percent. Qualifying seniors with incomes of $10,000 or less will be exempt from property tax, while those who make $17,000 or less will be eligible for a partial reduction. The homestead tax credit is in addition to the 10 percent for all property tax payers.

The bill also eliminates the marriage penalty tax. Currently, many married couples are penalized with a higher tax rate on their personal income tax.

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