Tax Department officials discuss usage data for employer credit program

During the recent SB 2282 Conference Committee meeting on April 17, 2025, North Dakota lawmakers focused on the effectiveness of a new tax credit program aimed at supporting workforce retention. The committee emphasized the importance of tracking the program's usage over the next two years to assess its impact on the state's employment landscape.

Representative Doctor raised concerns about the program's effectiveness, noting that many similar initiatives have seen low participation rates. He expressed a desire for data that would indicate whether the tax credits are being utilized effectively, which would ultimately help in retaining the workforce. The committee agreed that the tax department should be able to provide this data, which would include the total amount of credits claimed by employers.

Charles Dindy, general counsel for the tax department, clarified that the credits would be claimed by employers rather than employees, making it challenging to track the distribution of benefits between residents and non-residents. However, he assured the committee that the department could provide overall statistics on the credits issued, as long as the numbers were not too small to identify specific businesses.

The discussions highlighted a shared commitment among committee members to ensure that the program is productive and beneficial for the state's economy. As the program rolls out, lawmakers will be looking closely at the data to determine its success and make any necessary adjustments in the future. This proactive approach underscores the importance of accountability in government initiatives aimed at bolstering the workforce in North Dakota.