ND House says no to exempting thrift stores from sales tax

The North Dakota House defeats a bill to a clothing sales tax break to nonprofit thrift stores. There are 41 thrift stores operated by nonprofits in North Dakota. Money raised through sales in those stores goes toward specific causes. Supporters say it’s not right to tax clothing twice.

Representative Jessica Haak, a Democrat from Jamestown, says farm machinery is not taxed if sold a second time. Those who oppose the bill say it’s unfair tax policy because the bill only applies to nonprofit thrift stores.

“It’s not good tax policy for North Dakota to allow one business on one side of the street a tax exemption when the other one was not provided that same exemption,” said Rep. Craig Headland, (R) of Montpelier.

Rob Port is the editor of SayAnythingBlog.com. In 2011 he was a finalist for the Watch Dog of the Year from the Sam Adams Alliance and winner of the Americans For Prosperity Award for Online Excellence. In 2013 the Washington Post named SAB one of the nation's top state-based political blogs, and named Rob one of the state's best political reporters. He writes a weekly column for several North Dakota newspapers, and also serves as a policy fellow for the North Dakota Policy Council.

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  • http://nofreelunch.areavoices.com/ Kevin Flanagan

    They already taxed it once. Why is the state so greedy?

    • ec99

      Hey Kevin, you’re talking about a state that wants you to pay sales tax on items you bought elsewhere and didn’t pay tax on. They stop at nothing to fill the coffers, even though oil money could finance the state.

      • http://nofreelunch.areavoices.com/ Kevin Flanagan

        That’s because most people in this state are on the dole in one form or another and have an irrational fear of having to earn a productive living.

        • ec99

          You’re talking about a state that has prostituted itself to a Congressional delegation that bought votes with promises of pork for decades. The quid pro quo was always: we send back money, you ignore how we vote.

          • http://nofreelunch.areavoices.com/ Kevin Flanagan

            But that could tip in the other direction unless the feds outlaw fracking, which they are trying to do.

  • ec99

    Same old story: ND government does not believe there is ever enough revenue coming in. They’d tax new born babies if they could. Next step: demand garage sales charge sales tax and send it to Bismarck.

  • John_Wayne_American

    This session they should dump the income tax, for 2 years to see what the effect on the budget is.

    in two years as oil revenues double again, they should match whatever the surplus is without the Income tax, with a sales tax deduction,

    If they have enough surplus to lower the sales tax by 2% then they should allow the community for which the tax is collected to keep it and use that income to offset the mill levy on property taxes.

  • VocalYokel

    I propose that they eliminate the sales tax on clothing.
    Even the Land of 10,000 Taxes (Minnesota) doesn’t tax clothing.