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North Dakota
Military Benefits

A plain-English guide to every major North Dakota law and federal protection that affects servicemembers, veterans, and military families stationed in or relocating to North Dakota.

Income tax
Military pay subtracted from state taxable income
Retirement
Military retirement benefits fully deductible
Property tax
Disabled veteran credit up to $9,000 of taxable value
Education
National Guard tuition waiver
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The rules families feel first. Jump to the benefit, then who to call.

Military Pay and State Income TaxNorth Dakota still has an individual income tax. It lets you subtract military pay and taxable military retirement benefits.Military Pay and Retirement BenefitsProperty Tax Exemptions and DiscountsNorth Dakota offers a disabled veteran property tax credit on the homestead. It is a credit against taxable value, not a full exemption of the tax bill.Disabled Veteran Property Tax CreditVehicle Registration and Driver LicenseSCRA protects active duty servicemembers from being required to register vehicles in North Dakota while stationed here on orders. North Dakota also offers veteran-specific license plates and registration benefits for disabled veterans.Out-of-State Vehicle RegistrationMilitary Spouse Employment and LicensingNorth Dakota has enacted military spouse licensing reciprocity laws requiring expedited license transfers for qualified professionals. Military spouses may also maintain their home state domicile and vehicle registration regardless of time spent in North Dakota.North Dakota Military Spouse License Reciprocity

On this page

  1. 01Military Pay and State Income Tax
  2. 02Property Tax Exemptions and Discounts
  3. 03Vehicle Registration and Driver License
  4. 04Military Spouse Employment and Licensing
  5. 05SCRA
  6. 06Education Benefits in North Dakota
  7. 07Voting and Residency Rights
  8. 08Official sources
  9. 09Contacts
  10. 10School liaisons
  11. 11Base guides

Not legal advice. Laws change. Verify current rules with your installation JAG office, North Dakota state tax authority, or a licensed North Dakota attorney before making financial or legal decisions based on this guide. Last reviewed October 2026.

01 · Military Pay and State Income Tax

Military Pay and State Income Tax

North Dakota still has an individual income tax. It lets you subtract military pay and taxable military retirement benefits.

Military Pay and Retirement Benefits

North Dakota did not repeal its income tax. House Bill 1158 (2023) lowered rates and created a zero-rate bracket. Military pay of armed forces members on active or reserve duty, and of National Guard members, may be subtracted to the extent it is included in federal taxable income. That includes federal pay for training, education, mobilization, and bonuses, and state pay for state active duty. Combat pay already excluded from federal income is not subtracted again. Taxable military retirement benefits of retired members, and of surviving spouses, may also be subtracted. Beginning with tax year 2026, pay that qualifies for the military-pay subtraction is not subject to North Dakota withholding unless you ask for it. Claim both subtractions on Form ND-1. Minot AFB has a dual nuclear mission with both B-52 bombers and Minuteman III ICBMs. Grand Forks AFB operates the MQ-9 Reaper.

VA Disability Compensation

VA disability compensation is fully exempt from North Dakota state income tax. This is a federal-level exemption honored automatically. This applies to all ratings including partial disability compensation and Combat-Related Special Compensation (CRSC).

Military Spouse Income

Under the Veterans Benefits and Transition Act of 2018, military spouses who maintain domicile in another state do not owe North Dakota income tax on wages earned in North Dakota while accompanying their servicemember on military orders. This applies regardless of how long the spouse has lived in North Dakota.

Survivor Benefit Plan (SBP) Payments

A surviving spouse may subtract taxable military retirement benefits, including survivor benefits that are included in federal taxable income. Attach the Form 1099-R. Other income is still subject to North Dakota income tax.

Do this next. Claim the military pay exclusion and the military retirement benefit exclusion on Form ND-1. The Office of State Tax Commissioner publishes the worksheet at tax.nd.gov/military-service-members. Call (701) 328-7088. North Dakota still taxes income that is not covered by these subtractions.

02 · Property Tax Exemptions and Discounts

Property Tax Exemptions and Discounts

North Dakota offers a disabled veteran property tax credit on the homestead. It is a credit against taxable value, not a full exemption of the tax bill.

Disabled Veteran Property Tax Credit

A veteran with a service-connected disability of 50% or more, or who is paid at the 100% rate because of individual unemployability, can claim a credit equal to that percentage of the first $9,000 of the homestead's taxable value. A 100% rating uses the full $9,000. The veteran must have an honorable discharge or be retired, and must own and live on the property. Income and assets do not affect eligibility. The credit does not cover special assessments. File the application with the local assessor or county director of tax equalization by April 1 of the assessment year, with VA disability documentation and discharge papers. See tax.nd.gov for the current form.

Conditions Apply

Surviving Spouse Credit

After the qualifying veteran's death, the surviving spouse can receive a credit on the first $9,000 of taxable value equal to the veteran's disability percentage. A surviving spouse who receives VA dependency and indemnity compensation receives the 100% credit. The spouse must still own and occupy the homestead.

Active Duty Vehicle Personal Property Tax

Active duty servicemembers stationed in North Dakota on military orders are not required to pay North Dakota personal property taxes on vehicles registered in their home state. SCRA protects home-state registration from challenge. If you register a vehicle in North Dakota, local personal property tax rules apply.

Conditions Apply

Do this next. Apply by April 1 with the local assessor or county director of tax equalization. The Office of State Tax Commissioner describes the credit at tax.nd.gov. Bring the VA disability certification, discharge or retirement papers, and proof you own and occupy the homestead.

03 · Vehicle Registration and Driver License

Vehicle Registration and Driver License

SCRA protects active duty servicemembers from being required to register vehicles in North Dakota while stationed here on orders. North Dakota also offers veteran-specific license plates and registration benefits for disabled veterans.

Out-of-State Vehicle Registration

Active duty servicemembers are not required to register their vehicles in North Dakota while stationed here under SCRA. You may keep home-state plates and registration. North Dakota cannot require registration change based solely on military orders. Keep a copy of current orders in your vehicle at all times in case of a traffic stop.

100% Disabled Veterans

Veterans with a 100% P&T disability rating may receive a vehicle registration fee waiver or significant reduction in North Dakota. Free specialty disabled veteran license plates are also available. Contact ND Office of State Tax Commissioner to verify current eligibility and apply.

Driver License

A North Dakota driver license for a servicemember or dependent stationed outside the state does not expire during active duty. The license remains valid for 90 days after separation or return to North Dakota. When you PCS back, you will have at least 60 days to renew before enforcement.

Military Spouse Vehicle and License

Military spouses may maintain their home state vehicle registration and driver license while residing in North Dakota due to military orders. They are not required to obtain a North Dakota license or plates. This applies regardless of how long they have lived in the state.

Do this next. SCRA vehicle protections apply at traffic stops. Carry a printed copy of current orders in your vehicle. If law enforcement questions your out-of-state plates, calmly explain your active duty status and provide orders. If you encounter issues, contact your installation JAG office.

04 · Military Spouse Employment and Licensing

Military Spouse Employment and Licensing

North Dakota has enacted military spouse licensing reciprocity laws requiring expedited license transfers for qualified professionals. Military spouses may also maintain their home state domicile and vehicle registration regardless of time spent in North Dakota.

North Dakota Military Spouse License Reciprocity

North Dakota Century Code 43-51-01 requires licensing boards to grant expedited temporary permits to military spouses within 30 days and full licensure within 90 days. The state participates in multiple licensure compacts including nursing, physical therapy, and massage therapy.

Unemployment Compensation for Spouses Following PCS

North Dakota law allows a military spouse who voluntarily leaves employment to accompany their servicemember on a PCS move to collect unemployment benefits. They are not considered to have voluntarily quit without good cause. The spouse must have worked in North Dakota prior to the PCS move.

Federal Hiring Preference for Military Spouses

Military spouses of active duty servicemembers are eligible for non-competitive appointment to federal civil service positions under Executive Order 13473. This applies at any federal agency with a presence near North Dakota installations, including DoD civilians, VA, and other federal employers.

Remote Work and North Dakota Income Tax

A military spouse who maintains domicile in another state and works remotely for an out-of-state employer while living in North Dakota on military orders may be exempt from North Dakota income tax on those remote wages. North Dakota-source income may still be taxable. Consult a military-aware CPA for your specific situation.

Conditions Apply

Do this next. Contact your installation Family Support Center for a list of North Dakota licensing boards with military spouse reciprocity processes. Each board has its own form and documentation requirements. Submit applications with your spouse's military orders, your out-of-state license copy, and verification of good standing from the prior state.

05 · SCRA

SCRA, Federal Protections That Apply in North Dakota

North Dakota courts and landlords are required to honor all federal SCRA protections. Your installation JAG office can provide free legal assistance for any SCRA issue including lease terminations, interest rate caps, and foreclosure stays.

Lease Termination

You can terminate any North Dakota residential lease with 30 days written notice upon receiving PCS orders or a deployment of 90 or more days. Deliver written notice and a copy of orders to the landlord. Termination is effective 30 days after the next rent due date. North Dakota landlords cannot charge early termination fees to servicemembers exercising SCRA rights.

6% Interest Rate Cap on Pre-Service Debt

Any debt taken on before entering active duty, including mortgages, car loans, credit cards, and student loans, must be reduced to 6% interest upon written request. Submit written notice with a copy of orders to each lender. The cap applies retroactively, excess interest above 6% is forgiven, not deferred.

Foreclosure Protection

North Dakota courts cannot foreclose on a servicemember's primary residence during active duty without a court order. The protection extends for 1 year after separation. Contact your installation JAG immediately if you receive any foreclosure notice while on active duty.

Civil Court Stay of Proceedings

North Dakota courts must grant at least a 90-day stay of civil proceedings when a servicemember cannot appear due to military duties. Courts cannot enter a default judgment against an active duty servicemember without a hearing and an attorney appointed to represent their interests.

Do this next. Every North Dakota installation has a JAG Legal Assistance Office. Contact information is in the Key Contacts section below. SCRA violations should be reported to JAG immediately. Landlords and lenders familiar with military areas are generally aware of the law, but violations do occur.

06 · Education Benefits in North Dakota

Education Benefits in North Dakota

North Dakota provides in-state tuition for active duty families stationed in the state. Multiple Yellow Ribbon schools operate in North Dakota, covering tuition and fees beyond the GI Bill cap for eligible veterans at participating private and out-of-state schools.

In-State Tuition for Active Duty Families

Federal law and North Dakota policy grant immediate in-state tuition eligibility to active duty servicemembers stationed in North Dakota, their spouses, and dependents. No 12-month waiting period is required. This applies to all North Dakota public colleges and universities.

Post-9/11 GI Bill and Yellow Ribbon Schools

North Dakota has multiple Yellow Ribbon-participating schools that cover tuition and fees beyond the GI Bill state cap at no additional cost to the veteran. For veterans with 100% GI Bill eligibility, Yellow Ribbon schools eliminate out-of-pocket tuition entirely. Verify current participation at benefits.va.gov/GIBILL before enrolling.

North Dakota National Guard Education Assistance

North Dakota National Guard members may receive state tuition assistance supplementing federal MGIB-SR benefits. The program can provide substantial tuition coverage at North Dakota public schools. Contact the North Dakota National Guard Education Office for current benefit amounts and eligibility.

In-State Tuition Preserved After PCS Out of North Dakota

Dependent children who establish domicile in North Dakota and begin enrollment at a North Dakota public university do not automatically lose in-state tuition eligibility if their active duty parent PCSes out of state, provided they maintain continuous enrollment.

Conditions Apply

Do this next. Each North Dakota public university has a Veterans Services Office with a School Certifying Official (SCO). Contact the SCO as soon as you enroll to initiate GI Bill certification. Processing can take 4 to 8 weeks; plan accordingly for initial enrollment periods.

07 · Voting and Residency Rights

Voting and Residency Rights

North Dakota must honor your right to maintain home-state domicile and vote by absentee ballot. Your installation Voting Assistance Officer can help you register and request a ballot under UOCAVA.

Maintain Home State Domicile

Being stationed in North Dakota does not change your legal domicile. You may continue to vote in your home state via absentee ballot under the Uniformed and Overseas Citizens Absentee Voting Act (UOCAVA). Submit a Federal Post Card Application (FPCA) at FVAP.gov. Your installation Voting Assistance Officer (VAO) can assist.

Establish North Dakota Domicile Voluntarily

If you want to vote in North Dakota and claim it as your home state, register at your county election office. North Dakota still has an individual income tax, with a subtraction for military pay and military retirement benefits. Compare that, and the property tax credit rules, with your current home state before you change domicile.

Conditions Apply

Military Spouse Independent Domicile

Military spouses may independently maintain domicile in any state they choose under VBTA 2018. It does not have to match the servicemember's domicile. North Dakota cannot force a spouse to establish North Dakota domicile based on their physical presence in the state.

Absentee Voting While Deployed

North Dakota accepts the Federal Post Card Application (FPCA) as a combined registration and absentee ballot request. UOCAVA voters may request electronic ballot transmission. Submit your FPCA at least 45 days before any election to ensure ballot delivery and return.

Do this next. Your installation Voting Assistance Officer (VAO) is the best resource for domicile and absentee voting questions. Contact your unit's chain of command to locate your VAO. The Federal Voting Assistance Program at FVAP.gov provides state-specific absentee ballot request forms and deadlines.

Call before it is urgent

North Dakota key contacts

Tap the number. These desks handle tax, licensing, benefits, and JAG.

ND Department of Veterans AffairsState benefits, veterans bonuses, claims(701) 239-7165Minot AFB JAGSCRA, wills, legal assistance(701) 723-6300Grand Forks AFB JAGSCRA, lease issues, family law(701) 747-5421ND Office of State Tax CommissionerMilitary retirement exemption(701) 328-7088ND DOT Veterans LicenseVeteran plates, registration(701) 328-2725ND National Guard EducationGuard tuition assistance, education benefits(701) 333-2029

State Legislature

Veterans and Servicemember Advocacy

Legislative Committee
Senate Veterans Affairs Committee
This committee oversees legislation affecting active duty servicemembers, veterans, and military families in North Dakota. It handles bills on veterans benefits, military employment protections, property tax exemptions, and National Guard policy.
Website: ndlegis.gov
How to Engage
Contact Your State Representative
Military families can contact their state legislators to weigh in on veteran and servicemember legislation. Find your North Dakota representative using your home address at ndlegis.gov. Committee hearings on veterans bills are typically open to the public and remote testimony is often accepted.

Research-Ranked

Military-Friendly Colleges in North Dakota

Rankings based on Military Times Best for Vets, GI Jobs Military Friendly Schools, and Victory Media research methodology. Yellow Ribbon participation verified annually.

University of North Dakota
Military Times Best for Vets
Yellow Ribbon, strong aviation and aerospace programs, near Grand Forks AFB
North Dakota State University
GI Jobs Military Friendly
ROTC program, veteran student services, Fargo
Minot State University
Military Friendly
Adjacent to Minot AFB, directly serves military families

Rankings and program details change annually. Verify current Yellow Ribbon participation and benefit amounts at benefits.va.gov/GIBILL before enrolling.

Free for military families

School liaison officers in North Dakota

Every North Dakota military installation has a School Liaison Officer on staff, free of charge. Call before orders drop to get ahead of enrollment deadlines.

Minot AFB

DSN
312-453-3803

Grand Forks AFB

DSN
312-362-4480

Keep going

North Dakota housing and schools

Base guides, BAH, and agents who already know this state.

ND BAH RatesCalculate your housing allowance for North Dakota installationsOpenCompare All StatesSee how North Dakota compares to other states for military familiesOpenPCS PlannerPlan your move to North Dakota with our free military PCS toolOpenCareer TransitionCivilian career paths for veterans separating in or near North DakotaOpen

Official sources

Government pages for this guide. Confirm the figure for the year you are filing or the orders you are executing.

PCSing to North Dakota

Get a North Dakota agent who already knows the bases

Use our free PCS Planner to get ahead of your move to North Dakota. BAH rates, base guides, school info, and housing intel, all in one place, free for military families.

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