Official Newspaper of Eddy County since 1883

Sales tax collections reflect a rebounding economy

North Dakota’s taxable sales and purchases for the second quarter of 2021 are up 21.2% compared to the same timeframe in 2020. Taxable sales and purchases for April, May, and June of 2021 totaled $5.28 billion.

“As we remember, the state was greatly impacted by the coronavirus pandemic in the second quarter of 2020,” Tax Commissioner Ryan Rauschenberger said. “The increases we are now seeing a year later show positive economic growth as the economy stabilizes. I am cautiously optimistic that the economy will continue to grow, despite the statewide drought and continuing impacts of the pandemic.”

Second quarter taxable sales and purchases were flat in Eddy County, dropping by less than $300 compared to a year ago. Sales and purchases totaled $2,902,981 during the quarter, down from $2,903,230.

The City of New Rockford collected $11,028 in sales tax from remote (online) sellers in the second quarter, up a bit from $9,581 during the same period last year.

Neighboring counties saw increases more representative of the state as a whole. Foster County’s sales and purchases were up a cool million dollars over the same period last year, a 7.84 percent increase. The total for April, May and June came in at $13,974,353, up from $12,958,274.

Carrington got a big boost from remote sellers in the quarter. The Central City collected $33,836 in sales tax from remote sellers, compared to just $12,275 last year.

Wells County had a similar showing, with an $800,000 increase, or 7.47 percent, compared to last year. Wells County’s official tally was $10,905,639, up from $10,151,331. The City of Harvey collected $9,923 from remote sellers, up from $8,902 last year.

After realizing strong increases throughout 2020, Benson County’s taxable sales and purchases slid, showing a 15.53 and 18.63 percent decrease in the first and second quarter, respectively.

Counties with the highest percentage of increases for the second quarter of 2021 (compared to the second quarter of 2020) were Billings County, with an increase of 75.1 percent; LaMoure County, 58.0 percent; Renville County, 43.9 percent, Bowman County, 41.6 percent; and Burke County, 41.3 percent.

“This quarter’s report shows that as pre-pandemic activity returns, taxable sales are rebounding to more normal levels,” stated Rauschenberger. “The growth across most of the sectors, especially the Retail sector, reflects the soundness of North Dakota’s economy and the positive direction our economy is moving toward.”

Thirteen of the 15 major sectors reported taxable sales and purchases increases when compared to the second quarter last year. Most notably, the Accommodation and Food Services sector increased by $130.7 million (a 41.6% increase), and the Retail sector increased by $226.6 million (a 12.3% increase).

The North Dakota Sales and Use Tax Statistical Report is now available in an interactive Power BI report that includes data from 2017 to present. Previous historical PDF reports remain available on the Office of State Tax Commissioner’s website.

Taxpayers can stay up-to-date on North Dakota tax-related matters by visiting the Office of State Tax Commissioner’s website at http://www.nd.gov/tax.