"Agricultural property" means platted or unplatted lands used for raising agricultural crops or grazing farm animals. Agricultural property includes land on which a greenhouse or other building is located if the land is used for a nursery or other purpose associated with the operation of the greenhouse.
In brief, ag land assessments are based on soil type and soil classification data from detailed soil surveys, modifiers that have been approved by the state supervisor of assessments, and actual use of the land, as in cropland and non-cropland.
Tax Rate
For locally assessed agricultural property, the amount of the tax is usually determined by assessing the market value of the property and applying a specific tax rate, known as the millage rate. A mill is 0.1% or 1/10 of a percent, in order to calculate you take 0.001 times your taxable value and multiply that by your total mills to identify your total tax owed. Taxable value is calculated at 5% for agriculture property.
For example, let's identify the property tax for agricultural property valued at $500,000 (true and full value) located where your local taxing entities total 250 mills.
- Residential True and Full Value x 5%= Taxable Value. ($500,000 x .05 = $25,000)
- Taxable Value x mill = Value of a Mill. ($25,000 x .001= $25)
- Value of a mill x # of taxable mills= Total Tax Owed. ($25 x 250 = $6,250)
The total tax owed on an agricultural property worth $500,000 with a 250 mill levy would be $9,375.
How to Appeal
To file a property tax appeal, please contact our Property Tax division by email at propertytax@nd.gov or call 701-328-3127. When you file an appeal, you will need to complete a questionnaire and submit other evidence.
More information is available in the Property Tax Assessment Process handout.
Tax Incentives
North Dakota offers the following property tax exemptions to agricultural property:
Payment Options
Property tax is a cumulation of different taxing entities and authorities. These various forms of local government include your county, city, township, school board, park board and any other entity that is authorized to levy property taxes. Although property taxes are payable to the county in which you reside, it is important to note that the funds are distributed as shown in the mill levy breakout on your statement. To contact your local county officials, please refer to the North Dakota Association of Counties website directory.