Senate Bill 2325, passed by the 2013 North Dakota Legislature, repealed the financial institution tax law under N.D.C.C. ch. 57-35.3 for tax years after 2012.
For tax years beginning on or after January 1, 2013, banks and other entities formerly subject to the financial institution tax became subject to the North Dakota income tax under N.D.C.C. ch. 57-38, and must file the applicable income tax return as follows:
- C corporation – file Form 40.
- Partnership – file Form 58.
- S corporation – file Form 60.
- Limited liability company – file Form 40, 58, or 60, whichever applies, based on how the entity files for federal income tax purposes.
For multistate entities, the apportionment factor provisions that applied under the financial institution tax law were adopted by administrative rule and will apply for income tax purposes.
For tax years 1997 through 2010, the tax rate was 7%. For the 2011 and 2012 tax years, the tax rate was 6.5%.
Need to file an amended Form 35 for a tax year before 2013?
For information or instructions on how to file an amended Form 35, Financial Institution Tax return, for tax years prior to 2013, please call our office at (701) 328-3117.