Tax Commissioner Reports Small Drop in Taxable Sales Amid Key Sector Growth

Tax Commissioner Reports Small Drop in Taxable Sales Amid Key Sector Growth

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Tax Commissioner Brian Kroshus has announced that North Dakota's taxable sales and purchases for the second quarter of 2024 have seen a slight decline and decreased by 2.1% compared to the same period in 2023. For April, May, and June of 2024, taxable sales and purchases totaled $6.8 billion. <_o3a_p>

"North Dakota remains a commodity-driven state. Pricing in that space whether on a bushel or barrel basis, significantly influences overall economic activity and subsequently, consumer purchases," noted Commissioner Kroshus. "Recent, lower oil and grain pricing compared to the previous year, were certainly reflected in the mining, oil and gas extraction and manufacturing categories this past quarter. At the same time, two in three categories posted positive gains, a reflection of North Dakota's diverse economy." <_o3a_p>

Notably, 10 of the 15 major industry sectors reported increases in taxable sales and purchases compared to the second quarter of 2023. Significantly, the transportation and warehousing sector saw a $19.6 million increase, marking a 30.8% rise. The state's largest sector, retail trade, essentially remained unchanged compared to the same period last year, while mining, oil and gas posted a modest decrease of 6.5%. <_o3a_p>

Performance of the top five categories: <_o3a_p>

• Retail trade - Increase of .5%
• Accommodations and Food Service - Increase of 3.5%<_o3a_p>
• Wholesale Trade - Decrease of 8.1%<_o3a_p>
• Mining, Oil, & Gas Extraction - Decrease of 6.5%<_o3a_p>
• Manufacturing - Decrease of 3.2%

Percent changes for the second quarter of 2024 (compared to the second quarter of 2023) for the four largest cities in North Dakota were as follows:<_o3a_p>

• Bismarck - Decrease of 0.22%<_o3a_p>

• Fargo - Decrease of 6.75%<_o3a_p>

• Grand Forks - Decrease of 5.86%<_o3a_p>

• Minot - Decrease of 5.07%<_o3a_p>
  

Of the 50 largest cities in North Dakota, the highest percentage of increases for the second quarter of 2024 (compared to the second quarter of 2023) were as follows:<_o3a_p>

• Casselton - Increase 24.9%<_o3a_p>

• Hazen - Increase 22.8%<_o3a_p>

• Grafton - Increase 17.9%<_o3a_p>

• Mandan - Increase 16.8%<_o3a_p>

• Mayville - Increase 11.6%

Counties with the highest percentage of increases for the second quarter of 2024 (compared to the second quarter of 2023) were as follows:<_o3a_p>

• Golden Valley County - Increase 24.5%<_o3a_p>

• Oliver County - Increase 19.7%<_o3a_p>

• Ransom County - Increase 18.9%<_o3a_p>

• Steele County - Increase 16.3%<_o3a_p>

• Morton County - Increase 16.2%

"After an extended stretch of strong, double-digit increases, the small decrease in taxable sales and purchases this quarter likely reflect that economic activity continues to normalize. Still, conditions are constantly evolving, and next quarter results will provide better clarity on the direction of the state's economy," said Commissioner Kroshus.<_o3a_p>

For more information on North Dakota tax-related programs, please visit the Office of the State Tax Commissioner's website at tax.nd.govor connect with us on social media.<_o3a_p><_o3a_p><_o3a_p><_o3a_p>

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