Property Tax Exemption

Any new or expanding business project may be granted a property tax exemption for up to five years. To qualify, a project must be a new or expanded revenue-producing enterprise. All buildings, structures or improvements used in, or necessary to, the operation of the project qualify. Land does not qualify for an exemption.

A project is not eligible for an exemption if:

• a tax exemption was received under tax increment financing, or
• the governing body determines the exemption fosters unfair competition or endangers existing business.

In addition to, or instead of, an exemption, local governments and any project operator may negotiate payments in lieu of property tax for a period of up to 20 years from the date project operations begin.

N.D.C.C. ch. 40-57.1