North Dakota Sales Tax Calculator 2026: 5% + Local Rates

North Dakota Sales Tax Calculator 2026

North Dakota charges a 5% state sales tax, and cities and counties add an average of 2.09% and up to 3.75%, for an average combined rate of 7.09%. Fargo, Bismarck and Grand Forks all add local taxes. A North Dakota quirk helps on big purchases: some cities and counties cap the local tax on a single purchase, and buyers can claim back local tax paid above the cap. Groceries and prescription drugs are exempt. Enter your local rate below to add or remove the tax.

By AwaisLast reviewed October 28, 2026

North Dakota sales tax at a glance

North Dakota sales tax rules
Type of tax	Sales and use tax
State rate	5%
Local rates	Average 2.09%, highest 3.75%
Average combined rate	7.09%
Groceries	ExemptFood for home consumption is exempt. Candy, gum, soft drinks and prepared food are taxable.
Prescription drugs	ExemptPrescription drugs are exempt. Over-the-counter drugs bought without a prescription are taxable.
Clothing	TaxedClothing is taxed at the full combined rate. North Dakota has no sales tax holiday.

Local averages are population-weighted figures from the Tax Foundation: State and Local Sales Tax Rates, Midyear 2026 (rates as of 1 July 2026). They are a guide, not the rate at any one address. For the exact rate where you buy, use the ND Office of State Tax Commissioner: Local taxes (city and county).

Worked examples

A $700 phone at the average combined rate (7.09%)

A $700 phone at the average combined rate (7.09%)
Rate	5% state + 2.09% local = 7.09%
Price before tax	$700.00
Sales tax	$49.63
Total	$749.63

Working: $700.00 × 7.09% = $49.63. At this price local caps usually do not apply. On a much larger purchase, check whether your city caps its local tax.

Working back from a $107.09 total

Working back from a $107.09 total
Rate	5% state + 2.09% local = 7.09%
Price before tax	$100.00
Sales tax	$7.09
Total	$107.09

Working back: $107.09 ÷ 1.0709 = $100.00, so the tax was $7.09. At the average combined rate, dividing by 1.0709 gives a $100 price. Use your city's exact rate for a real receipt.

Local taxes and per-purchase caps

North Dakota cities and counties can levy their own sales taxes, and the Office of State Tax Commissioner publishes the current local rates. Some jurisdictions set a maximum local tax on a single purchase, so the local part stops growing after a certain price. When a seller collects more local tax than the cap allows, the buyer can apply for a refund of the excess. Cities may also levy separate lodging and restaurant taxes, which are not part of the general rate.

What is exempt

Food for home consumption is exempt, but candy, gum, soft drinks and prepared food are taxed at the full combined rate. Prescription drugs are exempt; over-the-counter medicines bought without a prescription are taxable. Clothing, electronics and most other goods are taxed all year, since North Dakota does not hold a sales tax holiday. Out-of-state purchases that were not taxed are subject to use tax at the same rate.

North Dakota vs. neighboring states

North Dakota sales tax compared with neighboring states
State	State rate	Avg. combined	Groceries
North Dakota	5%	7.09%	Exempt
Minnesota	6.875%	8.14%	Exempt
South Dakota	4.2%	6.11%	Taxed (full rate)
Montana	0%	0.00%	No sales tax

Average combined rates are from the Tax Foundation, midyear 2026 report. See sales tax rates for every state for the full table.

Frequently asked questions

Do North Dakota local sales taxes have a cap?

Some do. Several cities and counties limit the local tax on a single purchase, and buyers can apply for a refund of local tax paid above the cap.

Are groceries taxed in North Dakota?

No. Food for home consumption is exempt. Candy, gum, soft drinks and prepared food, such as restaurant meals, are taxed at the full rate.

Are over-the-counter medicines taxed in North Dakota?

Yes. Prescription drugs are exempt, but over-the-counter drugs bought without a prescription are taxed at the full state and local rate.

Does North Dakota have a sales tax holiday?

No. North Dakota does not hold back-to-school or other sales tax holidays, so clothing and school supplies are taxed at the full rate all year.

What is the sales tax rate in North Dakota in 2026?

The statewide rate is 5%. Local taxes add 2.09% on average and up to 3.75%, so the average combined rate is 7.09% (Tax Foundation, rates as of 1 July 2026).

How do I calculate North Dakota sales tax on a purchase?

Add the state and local rates, then multiply the price by that rate as a decimal. At 7.09% (the state rate plus the average local rate), tax on $100 is 100 × 0.0709 = $7.09, for a total of $107.09. To go back from a receipt total, divide it by 1 plus the rate.