BISMARCK, N.D. - For the second year in a row, many North Dakotans will notice pretty significant changes as they fill out their tax returns.
Legislators passed two major reforms- exempting retired military benefits and social security benefits from state income tax. Tax Commissioner Ryan Rauschenberger says the two will add up to about $10 million in savings for North Dakotans.
Rauschenberger says North Dakota's tax rate is pretty low, but every bit helps. The military benefit exemptions also extend to the spouses of deceased members. The social security bill exempts those benefits from taxes is a single filer makes less than $50,000 and a joint filer makes less than $100,000.
“These bills were there to provide an incentive and to give back to those that are at retirement age and to provide that benefit and incentive to stay here in North Dakota,” said Rauschenberger.
There isn't an estimate for exactly how many filers these two bills will help. Rauschenberger says he doesn't expect a lot of changes in how people file.