BISMARCK, N.D. - The state tax department is reporting an increase in taxable sales this quarter from the same time period as last year. We can thank increased oil activity in the western part of the state.
Tax Commissioner Ryan Rauschenberger's office is reporting just over $4.6 billion worth of sales took place in the state between April and June this year, nearly a 7 percent increase from last year.
The biggest single increase coming from the oil industry which posted an almost $200 million increase from the second quarter of 2016, that's nearly a 70 percent bump. Rig count in the Bakken HAS almost doubled what it was last year. If we keep seeing this type of growth the state could end up with a surplus in the general fund.
“If we continue this 6.8 percent year over year growth we will likely see some surplus dollars going forward,” said North Dakota Tax Commissioner Ryan Rauschenberger.
One thing to watch the rest of the year, we won’t really see the impact of the drought UNTIL the third and fourth quarters of the year, which could cause taxable sales in the ag industry to drop significantly.