North Dakota Sales Tax Guide
Chapter 7: How to manage late North Dakota sales tax return filing
Hopefully you don't need to worry about this chapter because you're getting your North Dakota sales tax filing and remittance done on time and submitted without incident. However, in the real world, mistakes happen. In this chapter, we'll talk about how to avoid costly penalties and fines if you've missed your assigned filing deadline.What do I do if I missed my North Dakota sales tax filing deadline?
The first thing to do is get your return filed. This is definitely one of those situations where things are "better late than never." As long as you don't submit your tax filing paperwork, or hold on to the tax dollars you've collected, you may be accruing fines and interest. It's always best to get your filing done and deal with any penalties and interest payments later.What penalties and interest payments are imposed by the North Dakota Office of State Tax Commissioner?
Should you file a North Dakota sales tax return late the following penalties are imposed:
- A minimum penalty of 5 percent of the tax due or $5.00, whichever is greater, will be added to the tax due for the first month the return is late.
- For each additional month (or fraction thereof) that a return remains late an additional penalty of 5 percent of the tax due will be assessed up to a maximum of 25 percent of the tax due.
The North Dakota Office of State Tax Commissioner does not assess interest for the first month a return is delinquent. However, interest of 1 percent of the tax due will be assessed for each month or fraction of a month after the first month that a return is late. Penalty and interest is calculated separately for sales/use tax and gross receipts tax.If I acquire a business, am I responsible for any outstanding sales tax debts, penalties, and interest?
Yes! If you are acquiring a business, it is strongly recommended that you contact the North Dakota Office of State Tax Commissioner and inquire about the current state of the potential acquisition. Once you've purchased the business, you will be held responsible for any and all outstanding North Dakota sales and use tax liability.