nd.gov - The Official Portal for North Dakota State Government
North Dakota: Legendary. Follow the trail of legends
 

FAQ Articles

I am a contractor bidding jobs in North Dakota. What are my obligations for sales or use tax?

Contractors and subcontractors are regarded as the final users of all tangible personal property incorporated into real property. As the final user, the contractor may pay sales tax at the time of purchase on the cost of materials purchased or accrue the use tax on the cost of the materials when the materials are taken out of inventory and installed into real property. Cost of materials may include freight and delivery, and other transportation charges.

Contractors installing materials on projects owned by exempt entities are subject to use tax based on the cost of the materials installed. Please review the Contractors guideline for more information regarding contractors and their sales and use tax responsibilities.

nd.gov - The Official Portal for North Dakota State Government
North Dakota: Legendary. Follow the trail of legends

Ryan Rauschenberger
Tax Commissioner
Facebook Icon Twitter Icon You Tube Icon Linked In Icon

FAQ Articles

I am a contractor bidding jobs in North Dakota. What are my obligations for sales or use tax?

Contractors and subcontractors are regarded as the final users of all tangible personal property incorporated into real property. As the final user, the contractor may pay sales tax at the time of purchase on the cost of materials purchased or accrue the use tax on the cost of the materials when the materials are taken out of inventory and installed into real property. Cost of materials may include freight and delivery, and other transportation charges.

Contractors installing materials on projects owned by exempt entities are subject to use tax based on the cost of the materials installed. Please review the Contractors guideline for more information regarding contractors and their sales and use tax responsibilities.

OK   Cancel