nd.gov - The Official Portal for North Dakota State Government
North Dakota: Legendary. Follow the trail of legends
ndTax logo
Office of State Tax Commissioner, Ryan Rauschenberger : State of North Dakota
About Tax Dept. | Misc Forms/Pubs | Laws and Regs. | Links | Media Center | Newsletters Subscription
Home  | Frequently Asked Questions | Contact Us Meet the Commissioner | Mission Statement

rss for North Dakota Office of State Tax Commissioner YouTube North Dakota Office of State Tax Commissioner facebook logo rss for North Dakota Office of State Tax Commissioner
» Admin. and Research
» Alcohol
» Coal
» Corporation Income
» Estate
» Fiduciary
» Financial Institutions
» Fuels
» Income Tax Withholding
» Individual Income
» Oil and Gas Severance
» Property
» Sales and Use
» S Corp and Partnership
» Telecommunications
» Tobacco

» Disaster Relief
» Tax Incentives
» Tax Professionals

Career Opportunities
Frequently Asked Questions
Miscellaneous Tax Forms and Publications

600 E. Boulevard Ave.
  Bismarck, ND 58505-0599
  701.328.7088 phone
  701.328.3700 fax
  877.328.7088 toll-free
FOR IMMEDIATE RELEASE Contact: Cory Fong, Tax Commissioner 701-328-2770
Thursday, June 9, 2005 Joan Galster, Supervisor, Motor Fuel Tax Section, 701-328-3139


BISMARCK, N.D. --- Tax Commissioner Cory Fong today reminded farmers, ranchers, and industrial consumers that they have until June 30 to apply for a refund of fuel taxes paid on gasoline and gasohol purchased during 2004.

“This program offers our farmers, ranchers, and industrial contractors some relief to recent record gas prices,” said Fong.

North Dakota adds 21-cents in state tax on every gallon of gasoline and gasohol sold. The gas tax refund program offers a partial refund of taxes paid if the gasoline was purchased for use in non-licensed agricultural or industrial equipment (such as tractors, combines, construction equipment, and any other non-licensed machinery).

“When ag producers and industrial consumers fill their gas tanks, the price they pay includes the gas tax, which is intended to go toward the cost of highway maintenance,” said Fong. “Since non-licensed machinery generally doesn’t run on highways like passenger vehicles and doesn’t produce the wear and tear on the roads, the State offers to refund part of those taxes.”

A refund of 13-cents per gallon is available to farmers and ranchers. The remaining eight cents goes to four different programs, including two agriculture-related programs.

  • Four cents goes to the agriculture research fund created by the 1997 Legislature.
  • The Agricultural Products Utilization Commission (APUC) receives two cents.
  • One cent is provided to the state ethanol production incentive fund.
  • And one cent remains in the township highway fund.

“It’s important that our ag producers apply for the gas tax refund in order for the money to be distributed to the various programs, including the research funds,” said Fong. “If the refund is not requested, the entire 21-cents tax remains with the highway funds – one cent per gallon stays with the Township Highway Aid Fund and 20-cents per gallon remains in the Highway Distribution Fund.”

Industrial consumers may request a refund of 19 and one-half cents per gallon. One cent per gallon remains in the township highway fund and one-half cent per gallon is deposited into the APUC Fund.

“This is a very busy time of year for our ag producers and deadlines can easily be overlooked,” said Fong. “We want to make sure everyone who might qualify for a refund has a chance to apply.” Those taxpayers who may be eligible for the gas tax refund may apply for an extension by contacting the Motor Fuel Tax section of the Tax Department.

Last fiscal year the refund program raised nearly $470,999 for agricultural research. The refund program also provided APUC with funds totaling about $236,786 during fiscal year 2004.

The Tax Department issued over $1.5 million dollars in refunds to farmers and ranchers representing nearly 12 million gallons of fuel during fiscal year 2004. There were 8,140 refunds issued and the average refund was $188.

For more information on the gas tax refund or to obtain an extension, contact the Office of State Tax Commissioner, Motor Fuel Tax Section, at (701) 328-3126.

Contact Info | FAQ | Disclaimer | Feedback | Privacy Policy | Taxpayer Bill of Rights | Voluntary Disclosure | State Holidays

XHTML Validation Link CSS Validation Link Priority 2 Accessibility Link