The property tax is an ad valorem tax, that is, a tax based upon value. It's the primary means by which local government pays for services it provides, such as police and fire protection, schools, roads, parks, courts, etc. It involves two separate functions, the assessment function and the budget function. After these functions are completed, the county auditor calculates the appropriate mill rate and that rate is applied to each taxable property to determine the property tax.

The assessor is responsible for discovering, listing and valuing all taxable property. All real property is subject to taxation, unless expressly exempted by law. All property is valued according to its value on February 1st of each year. All real property is valued at True and Full Value. For residential and commercial property, this equals market value. For agricultural value, it equals its productivity value as defined by North Dakota statute.

The assessor must notify property owners when a True and Full Value increases 10% or more and by $3,000 or more. In April of each year, the assessor's assessments are reviewed by the city or township boards of equalization. Within the first ten (10) days of June, the county reviews the assessments of cities and townships. During August of each year, the State Board of Equalization reviews the assessments as finalized by various counties.

The assessor, by the fair and accurate valuation of property, ensures that everyone shares equitably in the total burden of property taxation.

Appealing Your Assessment

Any property owner who feels the valuation of their property is an inaccurate representation of the current market may ask to appeal their valuation.

The first step to appeal your value is to contact our office at 701-241-5616. Our office will work with any property owner to help handle the concerns informally, but it is your right to appeal the valuation throughout the formal appeal process.

Property owners may appeal their proposed valuations through the various boards of equalization. The meetings generally take place as follows:

City Board of Equalization - Within the first 15 days of April

County Board of Equalization - Within the first ten days of June

State Board of Equalization* - Second Tuesday of August

*In order to appear before the State board of Equalization a property owner must have first appeared at both the city and county board of equalization

Property owners can also formally appeal their valuation through the abatement process. This is typically done if you have missed the boards of equalization. By statute, an abatement can be filed no later than November 1st of the year following the year the property tax becomes delinquent. (e.g. A property owner wishing to appeal their 2015 value has until November 1st of 2017 to file an abatement.)

Applications for abatements are available on the North Dakota Tax website. Please review the State guidelines for appropriate filing procedures.  

Disclaimer: An abatement must be filed in duplicate and must be physically mailed. An electronic filing will not be accepted. 

Property tax exemptions are available throughout Cass County and are up to the discretion of each individual jurisdiction. There are two types of exemptions: discretionary and non‐discretionary.

Discretionary exemptions include but are not limited to: Economic expansion, new home construction, or remodeling of a property.

Non‐discretionary exemptions include but are not limited to: City/County owned property, schools, churches, parks.

Applications for discretionary exemptions are available on the North Dakota Tax website. Please review the State guidelines for appropriate filing procedures.  

Farm Residence Exemption

In North Dakota, there is a property tax exemption for qualifying farm residences. Each residence is examined individually to determine if it qualifies.

Eligibility: The general requirements for a qualifying farm residence include:

• The residence must be located on 10 acres or more of agricultural land and occupied by a farmer, which is a person who:
  • Devotes most of their time to farming or ranching activities;
  • Has had net farm income that is at least 66% of the total annual income of the farmer and spouse in any 1 year of the 2 preceding calendar years, whether one or both are farmers.

Individuals who have begun occupancy and operation of a farm within the last 2 calendar years qualify as a farmer, as well as any farmer who retired due to age or illness.

Application Process: To apply, complete the Application for Farm Residence Property Tax Exemption and contact the county director of tax equalization in the county where the residence is located. The complete application should be given to the county director of tax equalization.

• 2023 Statement of Farm Gross Income 
• 2022 Statement of Farm Gross Income

More information on the Farm Residence Property Tax Exemption. 

Qualified homeowners may receive a reduction in property taxes and qualified renters can receive a partial refund of their rent. On April 27, 2023, Governor Doug Burgum signed HB 1158 into law. This legislation broadens the eligibility requirements and maximum reduction amounts for those applying for the North Dakota Homestead Property Tax Credit program. This program is aimed at homeowners 65 years of age and older or those who are permanently and totally disabled. For a married couple, only one individual may apply for the credit. The applicant must live on and have an interest in the property.

Income changes to the Homestead Credit for Tax Year 2023:

The credit does not reduce the liability of any person for special assessments levied upon any property.

With this new legislation, the asset limit of $500,000 has been removed. Applications must be submitted yearly for approval.

If an individual has already applied for the credit this year, the application will be adjusted to reflect the new percentages.

If an individual qualifies for the program and would like to apply, contact the Cass County Tax Equalization Office at (701) 241-5616 or via this online form. For residents living in Fargo or West Fargo, please contact your city assessor's office. 

Application Requirements

A Physician's Certificate must accompany applications that are claiming permanent and total disability and are younger than the age of 65.

Application for Homestead Credit

Deadlines

February 1. If claiming this credit due to disability, a Physician's Certificate must accompany the application.

Additional Reading:
Homestead Credit Brochure 
Homestead Credit Guidelines
ND Tax Commissioner Website

Who is eligible:

• Veterans of the United States armed forces with a service-connected disability 50 percent or greater
• Veterans who are retired or have been honorably discharged
• The surviving spouse of a deceased qualifying veteran whom remains unmarried

How it works:

The credit maxes out at $180,000 in value. The amount credited to your property is based on the disability or unemployability rating of the disabled veteran.

A veteran with an 80 percent disability rating would receive a credit up to the first $144,000 in value on the property.

180,000 x .80 = 144,000

 Where to start:

If it is your first time applying your local assessor will need a copy of your DD-214 as well as the appropriate documentation to support your percentage of service-connected disability. All of this information will remain confidential.

Along with the DD-214 and service-connected documentation, an application will need to be submitted to your local assessor. A link for the application can be found below.

Disabled Veteran Credit Application

We encourage first time applicants to contact their local assessor.

 Fargo  701-241-1340
   200 3rd St N, Fargo, ND 58102

 West Fargo  701-433-5340
   800 4th Ave E. Ste 1, West Fargo, ND 58078

 Cass County  701-241-5616
   211 9th St S, Fargo, ND 58103

Additional Information:

Disabled Veteran Credit Guidelines

• How is Agricultural productivity value determined?

  True and full value of agricultural land is not based on the market value concept. It is based on a productivity formula established by the ND Legislature. Each year, the State Tax Commissioner certifies the county average agricultural value to the county director of tax equalization. The county director then determines the average agricultural value of each assessment jurisdiction. The local assessor then determines the value of each agricultural parcel by considering soil productivity, soil capability, and soils analysis.

• How is the mill levy determined?

  The county finance office computes the mill levy rate that is applied to the taxable valuation of each property. It is calculated by dividing the budget amount of each taxing district by the taxable value of that district to obtain the tax rate. A consolidated tax rate is then calculated for each property by adding the tax rates of each of the taxing districts that affect the property, such as county, city, school, etc. The resulting consolidated tax rate is applied to the taxable value of each property to arrive at the total consolidated tax. The taxation rate is often expressed in mills, which represents 1/1000 of a dollar. Therefore, a mill rate of 300 mills represents taxes of $.30 per $1 of taxable valuation.

• What are Special Assessments and Drain Assessments?

  Special assessments and drain assessments are a special charge for a public improvement that benefited your property. These improvements include water and sewer lines, paving, lighting, sidewalks, etc. Drain assessments include projects sponsored by the water resource districts that improve drainage of the benefited property. Rural paving projects and sewage collection projects may also be assessed as a drainage item. The annual installment of payment of special assessments and drains is billed on a separate line on your annual statement of taxes. The balance of special assessments and drains are available from the entity that levied the assessment. For a contact list, click here.

• What is an appraisal? ‎

  An appraisal is an opinion of value, performed by an individual who is competent and impartial. Generally, the appraiser determines market value; but in some cases, may be asked to determine insurable value, liquidation value, investment value, etc. The appraiser will normally consider the three approaches to value, (1) the cost approach, (2) the market approach, and (3) the income approach.

  For financing appraisals, the appraiser is sometimes asked to determine market value, subject to assumption of the balance of special assessments. In those cases, the contributory value of the special assessment improvements must be added to estimate true and full value for assessment purposes; as assessors are required to assess all improvements, free and clear of the encumbrance.

• What is Market Value and how is it estimated?

  Market value is the most probable price that a property would sell for if exposed for sale in the open market between a willing seller and a willing buyer, free and clear of encumbrances. Normally, an appraisal is performed to determine market value. Lacking an appraisal or the assessor's true and full value, tax value estimates are sometimes made (a) using the fair sale price plus assumption of any special assessments, (b) using the construction costs of the new improvements plus land cost including special assessment improvements.

• What is the 5% tax discount?

  In North Dakota , the property tax and annual installment of special assessments and drains are collected at the end of the calendar year. The first half of the taxes and the entire installment of specials and drains are due by March 1st following the end of the calendar year. The second half of the tax installment is due October 15th. If the entire tax and all specials and drains are paid in full on or before February 15th, a 5% discount is allowed on the property tax portion only.

• What is True and Full Value, Assessed Value, and Taxable Value?

  True and full value is the starting point in the assessment process. It represents market value for residential and commercial property and productivity value for agricultural land. Assessed value is 50% of true and full value. Taxable value is 9% of assessed value for residential property and 10% for all other property classes. Therefore, taxable value is 4.5% of true and full value for residential property and 5% of true and full value for all other property. To calculate a tax bill, the taxable value is multiplied by the consolidated mill levy rate.

• Why does the assessor's estimate of value differ from my estimate?

  If the assessment is lower than your estimate, the property may be receiving an exemption or homestead credit. Also, there may be a partial assessment or no assessment on any recent improvements. Also, the property may not have been inspected for some time. Depending upon the circumstances, the property taxes could increase significantly if the property assessment becomes adjusted to market value.

  If the assessment is higher than your estimate, it may be that your estimate is subject to assumption of special assessments. Otherwise you may want to contact your city or township assessor and have your assessment reviewed.