ND HB1309

Contractors and subcontractors must pay use tax when using tangible personal property in contract performance, measured by purchase price or fair market value (whichever is greater), unless the property was previously subjected to sales or use tax.

Use tax does not apply to contractors that do not enter a contract for the purchase of tangible personal property.

Exempts medical equipment purchased by hospitals or long-term care facilities and subsequently installed by contractors.

Exempts tangible personal property used in constructing or expanding qualifying industrial facilities including production equipment, agricultural processing facilities, oil and gas infrastructure, refineries, fertilizer facilities, straddle plants, and fractionators.

Act is effective for contracts entered after June 30, 2021.