2014 North Dakota Century Code Title 57 Taxation Chapter 57-20 Payment and Collection of Taxes
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CHAPTER 57-20
PAYMENT AND COLLECTION OF TAXES
57-20-01. Real and personal property taxes - When due and delinquent - Penalties.
All real and personal property taxes and yearly installments of special assessment taxes
become due on the first day of January following the year for which the taxes were levied. The
first installment of real estate taxes, all personal property taxes, and yearly installments of
special taxes become delinquent after the first day of March following and, if not paid on or
before said date, are subject to a penalty of three percent, and on May first following an
additional penalty of three percent, and on July first following an additional three percent, and an
additional penalty of three percent on October fifteenth following. From and after January first of
the year following the year in which the taxes become due and payable, simple interest at the
rate of twelve percent per annum upon the principal of the unpaid taxes on personal property
must be charged until the taxes and penalties are paid, with the interest charges to be prorated
to the nearest full month for a fractional year of delinquency. The second installment of real
estate taxes becomes delinquent after October fifteenth, and, if not paid on or before that date
becomes subject to a penalty of six percent.
57-20-01.1. Extension of due date for property taxes when county treasurer's office is
closed.
When the due date for full or installment payment of any property taxes or special
assessments falls on a day on which the county treasurer's office is not open for business, the
payment may be made on the first day following on which the office is open without penalty or
loss of discount.
57-20-01.2. Penalty and interest waiver.
Expired under S.L. 2007, ch. 510, § 5.
57-20-02. Tax list made out by county auditor.
As soon as practicable after the taxes are levied, and after the levies of the several taxing
districts within the county have been certified, the county auditor shall make out the tax lists
according to the prescribed form to correspond with the assessment districts of the county. The
tax percentage rate necessary to raise the required amount of the various taxes must be
calculated on the taxable valuation of property after equalization by the state board of
equalization, but no rate may be used which results in any fraction of less than one-half of
one-tenth of a mill, and in extending any tax, it, whenever it amounts to the fractional part of a
cent, must be made one cent.
57-20-03. Form of tax list.
The tax list must be made out to correspond with the assessment books with respect to
ownership and description of property, with columns for the valuation and for the various items
of tax included in the total amount of all taxes set down opposite such description of property.
The amounts of special taxes must be entered in appropriate columns, but the general taxes
may be shown by entering the rate of each tax at the head of the proper column without
extending the same, in which case a schedule of the rates of such taxes must be made on the
first page of each tax list. The tax lists also must show, in a separate column, the years for
which a tax lien has been foreclosed upon any piece or parcel, if the same has not been
redeemed or deeded for such taxes.
57-20-04. Abstract of tax list to be sent to tax commissioner.
The county auditor, on or before December thirty-first following the levy of the taxes, shall
make and transmit to the state tax commissioner, in such form as the tax commissioner may
prescribe, a complete abstract of the tax list of the auditor's county.
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57-20-05. Certificate of county auditor to tax list.
The county auditor shall attach to each tax list the auditor's certificate in the following form:
STATE OF NORTH DAKOTA )
) ss.
County of
)
I, _____________, auditor of _______________ County, state of North Dakota, certify
that the following is a correct list of the taxes levied on the real and personal property in the
_________________________ (here name the taxing district or municipality) for the year
______.
Witness my hand and official seal on ______________, ______.
_______________________
(SEAL)
County Auditor
57-20-06. Tax lists delivered to treasurer.
On or before December tenth in each year, the county auditor shall deliver the tax lists of
the several districts of the county to the county treasurer, taking the treasurer's receipt therefor.
Such lists are authority for the county treasurer to receive and collect taxes therein levied. The
county auditor, immediately upon delivering such lists to the county treasurer, shall charge such
treasurer with the amount of the lists delivered to the treasurer, as shown in the recapitulation
thereof in a book prepared for that purpose, and the county auditor also shall charge the county
treasurer in such tax list account with all additional assessments made after such lists are
delivered and shall credit the treasurer with all amounts collected thereon and such other
amounts as may be deducted lawfully from such lists.
57-20-07. County treasurer to be collector of taxes.
The county treasurer must be the receiver and collector of all taxes extended upon the list,
including the state levy and the levies of every other taxing district or municipality, and including
special taxes for local improvements in municipalities, and all fines, forfeitures, or penalties
received by any person or officer for the school fund, or for the use of the county. The county
treasurer shall proceed to collect the same according to law and shall place the same when
collected to the credit of the proper funds, but the county treasurer may not be the receiver or
collector of any fines or penalties accruing to any municipal corporation for the violation of its
ordinances.
57-20-07.1. County treasurer to mail real estate tax statement - Contents of statement.
1. On or before December twenty-sixth of each year, the county treasurer shall mail a
real estate tax statement to the owner of each parcel of real property at the owner's
last-known address. The form of the real estate tax statement to be used in every
county must be prescribed and approved for use by the tax commissioner. The
statement must be provided in a manner that allows the taxpayer to retain a printed
record of the obligation for payment of taxes and special assessments as provided in
the statement. If a parcel of real property is owned by more than one individual, the
county treasurer shall send only one statement to one of the owners of that property.
Additional copies of the tax statement will be sent to the other owners upon their
request and the furnishing of their names and addresses to the county treasurer. The
tax statement must:
a. Include a dollar valuation of the true and full value as defined by law of the
property and the total mill levy applicable.
b. Include, or be accompanied by a separate sheet, with three columns showing, for
the taxable year to which the tax statement applies and the two immediately
preceding taxable years, the property tax levy in dollars against the parcel by the
county and school district and any city or township that levied taxes against the
parcel.
c. Provide information identifying the property tax savings provided by the state of
North Dakota. The tax statement must include a line item that is entitled
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2.
"legislative tax relief" and identifies the dollar amount of property tax savings
realized by the taxpayer under chapter 15.1-27 and under section 57-20-07.2. For
purposes of this subdivision, legislative tax relief is determined by multiplying the
taxable value for the taxable year for each parcel shown on the tax statement by
the number of mills of mill levy reduction grant under chapter 57-64 for the 2012
taxable year plus the number of mills determined by subtracting from the 2012
taxable year mill rate of the school district in which the parcel is located the lesser
of:
(1) Fifty mills; or
(2) The 2012 taxable year mill rate of the school district minus sixty mills.
Failure of an owner to receive a statement will not relieve that owner of liability, nor
extend the discount privilege past the February fifteenth deadline.
57-20-07.2. (Effective for the first two taxable years beginning after December 31,
2012) State-paid property tax relief credit.
1. The owner of taxable property is entitled to a credit against property taxes levied
against the total amount of property or mobile home taxes in dollars levied against the
taxable value of the property. The credit is equal to twelve percent of property or
mobile home taxes levied in dollars against that property.
2. The owner, operator, or lessee of railroad property assessed by the state board of
equalization under chapter 57-05 or public utility operative property assessed by the
state board of equalization under chapter 57-06 is entitled to a credit against property
taxes levied within each county against that property in the amount provided in
subsection 1 against property taxes levied in dollars against that property in that
county.
3. The owner, operator, or lessee of operative property of an air carrier transportation
company assessed and taxed under chapter 57-32 is entitled to a credit in the amount
provided in subsection 1 against property taxes in dollars levied against that property.
The tax commissioner shall determine the total amount of credits under this subsection
and certify the amount to the state treasurer for transfer from the general fund to the
air transportation fund. The credit for each air transportation company must be
allocated to each city or municipal airport authority where that company makes
regularly scheduled landings, in the same manner as the tax collected from that
company is allocated.
4. The tax commissioner shall estimate the amount necessary to provide each county
advance payment of seventy-five percent of the amount the county and the taxing
districts in the county will ultimately receive for a taxable year under this section and
certify the estimated amounts to the state treasurer by March fifteenth for transfer by
April first to the county treasurer and distribution to the county and taxing districts in
the county as provided in subsection 5.
5. The tax commissioner shall determine the total amount of credits under this section for
each county from the abstract of the tax list filed by the county auditor under section
57-20-04, as audited and corrected by the tax commissioner. The tax commissioner
shall certify to the state treasurer for payment, by June first following receipt of the
abstract of the tax list, the amount determined for each county under this subsection.
No penalty or interest applies to any state payment under this section, regardless of
when the payment is made. The tax commissioner shall reduce the June certification
of payments to reflect the April estimated payments previously made to counties under
subsection 4.
6. Upon receipt of the payment from the state treasurer under subsections 4 and 5, the
county treasurer shall apportion and distribute it to the county and the taxing districts in
the county on the basis on which the general real estate tax for the preceding year is
apportioned and distributed.
7. After payments to counties under subsection 5 have been made, the tax commissioner
shall certify to the state treasurer as necessary any supplemental amounts payable to
counties or the air transportation fund or any amounts that must be returned by
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8.
counties or returned from the air transportation fund for deposit in the state general
fund to correct any errors in payments or reflect any abatement or compromise of
taxes, court-ordered tax reduction or increase, or levy of taxes against omitted
property. The county auditor shall provide any supplemental information requested by
the tax commissioner after submission of the abstract of the tax list. The county
treasurer shall apply to the tax commissioner for any supplemental payments to which
the county treasurer believes the county is entitled.
Notwithstanding any other provision of law, for any property other than mobile homes,
the property tax credit under this section does not apply to any property subject to
payments or taxes that are stated by law to be in lieu of personal or real property
taxes.
57-20-08. Tax receipts filed with county auditor - Copies retained and filed
numerically by county treasurer.
Upon the payment of any tax, if directed by the board of county commissioners, the county
treasurer shall give to the county auditor a receipt therefor showing the name and post-office
address of the person who paid the tax, the amount and date of payment, the land, lot, or other
property upon which the tax is levied, according to the description on the tax list, or in some
other sufficient manner, and the year or years for which the tax was levied. If for current taxes
on real estate, the receipt must have written or stamped across its face "taxes for" (giving the
year in figures) or "first installment taxes" (giving the year in figures) or "second installment
taxes" (giving the year in figures), as the case may be. Each year's tax must be on a separate
receipt. If the county treasurer has given notice of tax lien for land and the tax lien has not been
foreclosed, the receipt for such taxes must have written or stamped across the face "tax lien",
with a statement of the years for which any of the real estate described therein is subject to a
tax lien. If directed by the board of county commissioners, the treasurer shall provide receipts at
the end of each day to the county auditor, who shall file and preserve them in the auditor's office
charging the treasurer with the amount thereof. A copy of each receipt must be preserved in the
office of the county treasurer and filed in numerical order.
57-20-09. (Effective for the first two taxable years beginning after December 31, 2012)
Discount for early payment of tax.
Except as provided in section 57-20-21.1, the county treasurer shall allow a five percent
discount to all taxpayers who shall pay all of the real estate taxes levied on any tract or parcel of
real property in any one year in full on or before February fifteenth prior to the date of
delinquency. Such discount applies, after deduction of any credit allowed under section
57-20-07.2, to the net remaining amount of all general real estate taxes levied for state, county,
city, township, school district, fire district, park district, and any other taxing districts but does not
apply to personal property taxes or special assessment installments. Whenever the board of
county commissioners, by resolution, determines that an emergency exists in the county by
virtue of weather or other catastrophe, it may extend the discount period for an additional thirty
days.
(Effective for taxable years beginning after December 31, 2014) Discount for early
payment of tax. Except as provided in section 57-20-21.1, the county treasurer shall allow a
five percent discount to all taxpayers who shall pay all of the real estate taxes levied on any
tract or parcel of real property in any one year in full on or before February fifteenth prior to the
date of delinquency. Such discount applies to all general real estate taxes levied for state,
county, city, township, school district, fire district, park district, and any other taxing districts but
does not apply to personal property taxes or special assessment installments. Whenever the
board of county commissioners, by resolution, determines that an emergency exists in the
county by virtue of weather or other catastrophe, it may extend the discount period for an
additional thirty days.
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57-20-10. Installment payments of real estate tax.
Real estate taxes, either current or delinquent, may be paid in installments of not less than
ten percent of the amount of the tax, plus penalty and interest if any, but each such installment
in no event may be less than ten dollars. Credit must be given on the tax records for the
installment payments so made, and penalty and interest must be computed only upon the
balance of the tax remaining unpaid.
57-20-11. County warrants receivable for taxes.
The county treasurer shall receive in payment of taxes, county warrants on the several
funds for which taxes may be levied, to the amount of the tax for such fund, without regard to
priority of the numbers of the warrants, except when otherwise provided by law, and the county
treasurer shall write or stamp across the face of all such warrants the date of their receipt and
the name of the person from whom received.
57-20-12. Endorsement of road warrants.
When any person desiring to pay any taxes due and unpaid presents a warrant on the road
fund of that person's road district, in payment of such taxes as it may be applied to, which shall
exceed the amount that the treasurer is authorized to receive in such warrants in payment of
such taxes, the treasurer shall endorse on the back of such warrant in part payment the amount
the treasurer is authorized by law to receive and shall date the same. The treasurer shall take
two receipts from the holder thereof for the amount so endorsed and paid, showing the date of
the endorsement, a full description of such warrant, including the date thereof, to whom issued,
the amount for which it was given, and all the endorsements, including registration, if registered.
On the day the receipts are received, the county treasurer shall file one receipt with the county
auditor and shall retain the other as the treasurer's voucher.
57-20-13. Negotiable paper may be accepted for taxes and fees.
The county treasurer, and other officials charged with the duty of collecting public moneys,
in their discretion, may accept bank checks, bank drafts, and express and post-office money
orders in payment of any tax, assessment, fee, or license. Upon payment of taxes, the treasurer
shall note on the tax receipt the method or manner, whether in cash, or by check, draft, or
money order, and a like notation must be made on the tax list, and in case of satisfaction of tax
lien, the notation as to method or manner of payment must be made on the auditor's satisfaction
of tax lien record.
57-20-14. Acceptance subject to payment.
The acceptance of any check, draft, or money order in payment of any tax, fee, or license
does not constitute payment until it has been duly honored and paid, and acceptance is subject
to collection.
57-20-15. Deposit and refund.
The county treasurer or other official, accepting checks, drafts, or money orders in payment
of any tax, assessment, fee, or license, shall deposit the same in the manner provided by law. If
thereafter any check, draft, or money order is returned unpaid to the bank with which it was
deposited, such bank shall return such unpaid check, draft, or money order to the officer who
deposited the same and if such amount has been included in any cashier's check given by said
bank, such bank is entitled to a refund in the amount of such unpaid check, draft, or money
order.
57-20-16. Cancellation on nonpayment of paper.
If, on the due presentment, any check, draft, or money order accepted in payment of any
tax, fee, or license, for any reason, is not honored or paid, any record of payment or redemption
that may have been made on any official record because of the acceptance of such check, draft,
or money order, must be canceled, and the tax, assessment, fee, or license stands as a charge
and lien just as though no credit had been given or payment attempted. For the purpose of
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making certain such cancellation, the officer accepting any check, draft, or money order shall
make whatever memoranda may be necessary to enable the officer to make the proper
cancellation upon the return of any such instrument unpaid.
57-20-17. Notice of cancellation.
Whenever a cancellation of a credited payment has been made in accordance with section
57-20-16, the officer making such cancellation shall make a record thereof in a book to be kept
by the officer for that purpose. The officer shall give notice by registered or certified mail to the
person who attempted to make payment by such unpaid check, draft, or money order, of the
cancellation of the payment, by mailing the same to that person at the post-office address given
on the tax records of the officer's office, or if no address is given, then to that person's
last-known post-office address. The validity of any tax, assessment, fee, or license, or of any
penalties accruing thereon, is not affected by any failure to give, nor by irregularity in giving,
such notice.
57-20-18. Refund to balance books.
Whenever the collection as evidenced by the treasurer's receipt has been entered upon the
treasurer's collection register, and the books have been closed for the month, so that the
treasurer cannot void the receipts issued for any check, draft, or money order received in
payment of any tax, assessment, fee, or license, and unpaid, without disturbing the balances for
the month, the county auditor, upon the application of the county treasurer, shall issue a refund
voucher to balance such voided receipts, and such application is sufficient without the approval
of any governing body or the state tax commissioner. The county treasurer, within twenty-four
hours after the receipt of notice of nonpayment of credited items, shall make an entry in red ink
on the tax list, or other record wherein credit has been entered, and likewise upon the collection
register, and the receipt so voided. Such entry must be substantially as follows: "Receipt voided
on account of bad check (or other instrument) and auditor's refund voucher No. ________
issued to balance".
57-20-19. Right to pay up contracts for taxes.
Any owner of real property who has entered into an extension contract under the provisions
of chapter 240 of the 1937 Session Laws, or under chapter 227 of the 1939 Session Laws, if
such contract is in force, has the right to discharge the interest in full upon that person's
obligation by paying interest at four percent from April 1, 1941. Any owner who has entered into
such an extension contract, or that owner's successor in interest, or any lien or mortgageholder,
has the right to pay the full amount remaining unpaid upon such extension contract at any time
while such contract is in force.
57-20-20. Payment of tax under protest - Determination of uncontested amount.
Any person against whom any tax is levied, or who may be required to pay the same, may
pay such tax under protest to the county treasurer, by giving notice in writing to such treasurer
at the time of payment, specifying the reasons for such protest, and thereafter, within sixty days,
that person may apply in writing to the board of county commissioners for an abatement,
adjustment, or refund of taxes thus paid, or any portion thereof, and if such application is
rejected, in whole or in part, or if the board fails to act upon the person's application within sixty
days, it shall notify the applicant of the disposition of the person's application and of the person's
right to appeal as provided by law. The application to the board of county commissioners must
show the post-office address of the taxpayer and notice to such address by registered or
certified mail is sufficient service of the notice of rejection or approval of the taxpayer's
application.
The uncontested amount of taxes paid under protest is the amount of taxes that would be
payable if the application for abatement, adjustment, or refund is approved by the board of
county commissioners as submitted.
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57-20-21. Segregation of contested amount of taxes paid under protest.
Whenever taxes have been paid under protest, the county treasurer shall deduct the
uncontested amount of the taxes paid under protest as determined under section 57-20-20 and
keep the contested amount of the money thus paid and collected in a separate fund known as
"taxes paid under protest fund". The uncontested amount of taxes paid under protest may be
allocated immediately as provided by law. The amount deposited in the taxes paid under protest
fund may not be paid or disbursed to the state, to any fund of the county, nor to any local taxing
district, until the period prescribed in section 57-20-20 has expired, and in case an action is
commenced, the county treasurer shall retain the contested amount in such fund, until such
action is finally determined.
57-20-21.1. (Effective for the first two taxable years beginning after December 31,
2012) Priority for delinquent taxes.
When payment is made for any real or personal property taxes or special assessments,
payments must be applied first to the oldest unpaid delinquent taxes or special assessments
due, if any, shown to exist upon the property for which the tax payments are made, including
any penalty and interest, except payments of state-paid property tax relief credit made by the
state must be applied to taxes for the year for which the state-paid property tax relief credit is
granted. The discounts applicable to payment of taxes set out in section 57-20-09 do not apply
to payment of taxes made on property upon which tax payments are delinquent.
(Effective for taxable years beginning after December 31, 2014) Priority for delinquent
taxes. When payment is made for any real or personal property taxes or special assessments,
payments must be applied first to the oldest unpaid delinquent taxes or special assessments
due, if any, shown to exist upon the property for which the tax payments are made, including
any penalty and interest. The discounts applicable to payment of taxes set out in section
57-20-09 do not apply to payment of taxes made on property upon which tax payments are
delinquent.
57-20-22. Disposition of penalty and interest.
All penalties on general taxes and interest on certificates of sale issued, or deemed to be
issued to the county, or tax liens against the property belong to the county and become a part of
the general fund or of any other fund as the county commissioners may direct, except penalties
and interest collected on taxes and parts of taxes due to townships, cities, school districts, and
park districts and on special assessments for public improvements, which must be paid to the
municipality levying the same, or whatever other taxing district or agency thereof is entitled to
the original amount of the taxes or assessments.
57-20-23. County responsible for state taxes.
Each county is responsible to the state for the full amount of the taxes levied for state
purposes, except such amounts or taxes as have been canceled as uncollectible, or canceled or
abated, as provided by law. If any county treasurer proves to be a defaulter, to any amount, of
state revenue, such amount must be made up to the state within the ensuing three years by
additional levies in such manner in annual amounts as the board of county commissioners may
direct. In such case the county can have recourse to the official bond of the county treasurer for
indemnity.
57-20-24. Warrants to be drawn for money due owners.
Repealed by S.L. 1999, ch. 503, § 47.
57-20-25. County treasurer to transmit delinquent list to auditor.
Repealed by S.L. 1999, ch. 503, § 47.
57-20-26. Treasurer to give notice of tax lien by mail.
Between the first and fifteenth of November of each year, the county treasurer shall mail to
each owner of any lot or tract of land for which taxes are delinquent a notice giving the legal
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description of that lot or tract and stating that the taxes are delinquent and constitute a lien
against the property. The notice must advise the owner that unless the delinquent taxes and
special assessments with penalty, simple interest at the rate of twelve percent per annum from
and after January first following the year in which the taxes become due and payable, and costs
established under subsection 5 of section 57-28-04 are paid by October first of the second year
following the year in which the taxes became delinquent, the county auditor will foreclose on the
tax lien and issue a tax deed to the county.
57-20-27. Mistake in name of owner does not invalidate tax lien.
A tax lien may not be considered invalid for the reason that the real estate has been
charged in any name other than that of the rightful owner.
57-20-28. Collection of real estate taxes on leasehold or other possessory interest.
1. If any holder of a leasehold or other possessory interest in exempt real property
neglects or refuses to pay any real estate taxes legally assessed and levied on that
property at the time required by law for the payment of real property taxes, the taxes
shall constitute a personal charge against the holder of the lease or other possessory
interest from and after the day they become due, and all of the provisions of law with
respect to the enforcement of collection of personal property taxes are applicable.
2. For property subject to assessment under the provisions of subsection 2 of section
57-02-26, taxes upon the property constitute a personal charge against the lease or
easement holder from and after the day they become due, and all of the provisions of
law with respect to the enforcement of collection of personal property taxes are
applicable.
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