|FOR IMMEDIATE RELEASE||Contact: Cory Fong, Tax Commissioner, 701.328.2770|
|Wednesday, October 10, 2007||Kathryn Strombeck, Research Analyst, 701.328.3402|
FONG: Second Quarter Taxable Sales and Purchases Gain
BISMARCK, N.D. – Tax Commissioner Cory Fong announced today that total taxable sales and purchases made during April, May, and June 2007 were $2.555 billion, up by more than $183 million over the second quarter of 2006. The $183 million represents a 7.7 percent increase. The report comes against a backdrop of concerns about a slow-up in the national economy.
“During the second quarter, nationwide consumer confidence was a little skittish amid rumors of rising inflation and mortgage concerns,” said Commissioner Fong. “North Dakota’s growth was over two and one-half times the rate of inflation.” Inflation was at 2.7 percent for the second quarter.
Fourteen of fifteen industries reported growth during the second quarter of 2007. Mining and oil extraction grew 135.6 percent when compared to second quarter 2006. Transportation and warehousing grew 51.3 percent; financial, insurance, real estate, rental & leasing grew 13 percent; professional, scientific, technical & management services grew 12.2 percent; information industries was up 11.7 percent; miscellaneous grew 10.5 percent; educational, health care, and social services increased by 10 percent; other services was up by 8.9 percent; wholesale trade grew 8.7 percent; accommodation & food services increased by 6.7 percent; manufacturing increased by 3.1 percent; retail trade grew by 2.2 percent; utilities grew by 1.9 percent; and construction grew by 1.7 percent.
In relation to the growth in the dollars, the five sectors reporting the largest growth compared to second quarter 2006 include: mining and oil up by $55 million; wholesale trade grew by $38 million; retail trade grew by $22 million; accommodations and food services grew by $16 million; and information industries grew by $16 million.
The arts, entertainment & recreation sector was the only sector to report a decrease, dropping 1.5 percent when compared to the same quarter in 2006.
“This is a good report,” Fong said. “North Dakota continues to see growth in the majority of our industries, which points to the stability of North Dakota’s diverse economy.”
Of the 50 largest cities, the biggest percentage increases in the second quarter of 2007 were in the double-digits with Tioga, up 69.6 percent; Lincoln, up 29.7 percent; Kenmare up 27.2 percent; New Town, up 24.7 percent; and Williston, up 24.3 percent.
The biggest percentage second quarter decreases for the 50 largest cities, were in Ashley, down 11 percent; Harvey, down 9.5 percent; Crosby, down 8 percent; Lisbon, down 7.9 percent; and Stanley down 5.1 percent.
Counties experiencing the highest percentage second quarter increases were McLean, up 43.3 percent; Nelson, up 36.5 percent; Grant, up 33.4 percent; Oliver, up 31.3 percent; and Logan, up 24.9 percent.
The counties with the biggest percentage of decrease were Sheridan, down 26.3 percent; Sioux, down 18.8 percent; Sargent, down 18.2 percent; Kidder, down 15 percent; and Cavalier down 13.7 percent.
The complete North Dakota Sales and Use Tax Statistical Report is available online at: http://www.nd.gov/tax/salesanduse/pubs/reports/2007-2-stat-report.pdf. For more information or if you have questions about sales tax collections, please contact the Office of State Tax Commissioner at 701.328.3402.
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