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HB 1176 - PROPERTY TAX RELIEFPRIMARY RESIDENCE CREDITHouse Bill 1176 continues and updates the PrimaryResidence Credit (PRC) program establishedduring the 2023 Legislative Session under House Bill1158. Qualifying PRC applicants receive an annualproperty tax credit against the property taxes dueon their primary residence. Key updates include:•  Expansion of the maximum credit from $500 to $1,600 per primary residence•  One-time special application period formobile homeowners.•  Funding the program with legacy fund earnings•  Creating a new primary residential propertyclass for tax years after 2025STATUTE AFFECTEDN.D.C.C. § 54-27, 57-02, 57-02-01, 57-02-08.9, and57-02-08.10EFFECTIVE DATETax years beginning after December 31, 2024RENTER’S REFUNDHouse Bill 1176 increases the maximum benetunder the Renter’s Refund program from $400 to$600. The Renter’s Refund program provides apartial refund of rent paid for a renter’s place ofresidence or mobile home lot.STATUTE AFFECTEDSection 57-02-08.1EFFECTIVE DATETax years beginning after December 31, 2024DISABLED VETERAN’S CREDITHouse Bill 1176 increases the maximum benetunder the Disabled Veteran’s Credit program from$8,100 to $9,000. The bill also allows a DisabledVeteran’s benet for a parent or child and clariesthe denitions of child, homestead, and parent forDisabled Veteran’s Credit program purposes.STATUTE AFFECTEDN.D.C.C. § 57-02-08.8EFFECTIVE DATETax years beginning after December 31, 2024ADMINISTRATIVE IMPACTSHouse Bill 1176 also:• Places a 3% annual cap on how much local governments can increase property taxeslevied• Provides for an interim legislative management study of property tax reform and relief• Eliminates estimated property tax notices and replaces with Notice of Assessment• Requires notice of budget hearings to all property owners• Updates information required on property tax statementsSTATUTE AFFECTEDN.D.C.C. § 57-15-14.2EFFECTIVE DATETax years beginning after December 31, 2024STATUTE AFFECTEDN.D.C.C. § 57-02-53, 57-09-04, 57-11-03,57-12-06,57-15-02.2, and 57-20-07.1EFFECTIVE DATEAugust 1, 2025STATUTE AFFECTEDN.D.C.C. § 57-02-27 and 57-02-27.1EFFECTIVE DATE  January 1, 2026PROPERTY TAX
1The following are are highlights of property tax legislation approved by the2025 Legislative Assembly and signed into law by Governor Kelly Armstrong. 

SB 2201 - TRUST ELIGIBILITY FOR PRIMARYRESIDENCE CREDITSenate Bill 2201 expands the primary residenceproperty tax credit to allow certain propertyheld in trusts, life estates, and property beingpurchased under a contract for deed to qualify asa primary residence. This allows an estimated 3,900additional residences to qualify for the credit. Thebill makes the eligibility retroactive to taxable years2024 and 2025. An emergency clause in the billallowed those newly eligible to apply until May 1,2025.STATUTE AFFECTEDN.D.C.C. § 57-02-08.9EFFECTIVE DATERetroactively effective for the rst two taxableyears beginning after December 31, 2023HB 1180 - DISABLED VETERAN’S CREDITThe Disabled Veteran’s Property Tax Creditprovides property tax relief for disabled veteranswith a service-connected disability of 50 percentor greater. The credit, including the expansionunder HB 1176 noted above, is up to 100 percentof the taxes levied on the rst $200,000 of true andfull value or $9,000 in taxable value.House Bill 1180 aligns state laws with the federalterminology used by the Department of VeteransAffairs (VA). The bill ensures that veterans receivethe benet based on the rate at which they arebeing paid by the United States Armed Forces.STATUTE AFFECTEDN.D.C.C. § 57-02-08.8EFFECTIVE DATETaxable years beginning after December 31, 2024HB 1279 - COAL CONVERSION FACILITIES PRIVILEGETAX AND LIGNITE RESEARCH TAXHB 1279 extends tax relief for certain coalconversion facilities with a phase out over time,changes the fund share from the general fund tothe legacy fund for the carbon dioxide capturecredit, extends counties’ ability to provide a full orpartial exemption from coal severance tax, andadjusts allocations of the coal conversion tax.The phase-out of the exemption from the stateshare of the coal conversion facilities tax is asfollows:• 7/1/26-6/30/27 – 90% exemption• 7/1/27-6/30/28 – 80% exemption• 7/1/28-6/30/29 – 70% exemption• 7/1/29-6/30/30 – 60% exemption• 7/1/30-6/30/31 – 35% exemptionSTATUTE AFFECTEDN.D.C.C. § 57-60-02, 57-60-02.1, 57-60-02.2,57-60-14, and 57-61-01EFFECTIVE DATEThe coal severance tax changes are effectivefor taxable production after June 30, 2025. Theremainder of the bill is effective for taxableproduction after June 30, 2026.SB 2039 - PROPERTY TAX CLASSIFICATION OFCERTAIN FARM STORAGE BUILDINGSSB 2039 updates the denition of “raisingagricultural crops” to include the storage ofharvested crops produced by a farmer or a directrelative of the farmer until the crop is delivered tothe rst end-point user.The bill also modies the property tax exemptionfor farm buildings and improvements and providesthat certain structures owned by a farmer andused exclusively for storage of harvested cropsproduced by the farmer or a direct relative of afarmer are exempt farm structures even if they arelocated on platted land within the corporate limitsof a city.STATUTE AFFECTEDN.D.C.C. § 57-02-01(1) and 57-02-08(15)(a)EFFECTIVE DATEAfter December 31, 2025PROPERTY TAX
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SB 2152 - STATEMENTS OF FULL CONSIDERATIONSB 2152 updates law to require that statements offull consideration, indicating the full price paid beon the face of each deed led with the countyrecorder for sales of agricultural lands of less thaneighty acres [32.37 hectares].STATUTE AFFECTEDN.D.C.C. § 11-18-02.2EFFECTIVE DATEAugust 1, 2025SB 2367 - VALUATION OF AGRICULTURAL LANDSB 2367 renes and updates the process ofassessing agricultural property in North Dakota,putting greater emphasis on actual use of the landand providing a process for assessors and propertyowners to address adjustments based on modiers.The changes require that:• Actual use of agricultural property is the primary factor in determining value ofagricultural property.• County tax directors develop a schedule of modiers and directions for their use in adjustingagricultural property assessments.• County tax directors submit the schedule of modiers and directions to the State Supervisorof Assessments for approval.• Property owners are allowed to apply to their counties for modiers to be used regardingtheir land.• Assessors consider applications for modiers.• Property owners notify the assessor if there is a change that affects the modier on theirproperty and that Assessors periodically reviewproperties for changes in use.STATUTE AFFECTEDN.D.C.C. § 57-02-27.2(8) and 57-02-27.2(9)EFFECTIVE DATETaxable years beginning after December 31, 2025PROPERTY TAX 3