According to the North Dakota Office of State Tax Commissioner, if you are not a resident of North Dakota you would be required to file a North Dakota income tax return if you are required to file a federal tax return and you had any gross income from sources in North Dakota.
Some examples of income from North Dakota sources that are taxable for a nonresident include salaries, wages and other compensation for services performed in North Dakota (except for residents of Minnesota and Montana, and certain mobile workers); unemployment compensation that applies to previous employment in North Dakota; income from a trade or business in North Dakota, whether carried on as a sole proprietorship, partnership or S corporation; rents and royalties from real and tangible personal property located in North Dakota; gains from the sale of property located in North Dakota; income from a trust or estate, to the extent the income is from tangible property or a trade or business in North Dakota, and gambling winnings from North Dakota sources.
Examples of income received by nonresidents that is not subject to North Dakota tax includes the military pay of nonresidents, pensions, annuities, compensation earned by residents of Minnesota or Montana, compensation earned by civilian spouses of members of the military, and compensation that is exempt according to North Dakota’s mobile workforce exemption. Interest, dividends, and gains from intangible property would normally not be subject to North Dakota tax unless they are derived from a trade or business carried on in North Dakota.
North Dakota has a statutory 7-month rule by which you would have to file a tax return as a full-year resident if you maintain a permanent place of abode in North Dakota and spend more than a total of 210 days of the tax year in North Dakota. But this rule does not apply if you were a part-year resident of North Dakota, or a full-year resident of Montana or Minnesota. North Dakota has tax reciprocity agreements with those states.
If you move into or out of North Dakota during the year, you would be considered a part-year resident. In this case you would be subject to North Dakota tax on all your taxable income inside or outside the state for the period you are a North Dakota resident, and on your taxable income from North Dakota sources for the period you are a nonresident.
Residents of Minnesota do not have to file a North Dakota tax return if their only North Dakota income is compensation for personal or professional services and they return to their home in Minnesota at least once a month during the time they work in North Dakota.
Residents of Montana do not have to file a North Dakota return if their only income from North Dakota sources was wages.
If you are covered by the reciprocity agreements with Minnesota or Montana and North Dakota tax was withheld from your pay, you can file a North Dakota tax return to claim a refund.
There is an exclusion from North Dakota state income tax on compensation for services performed in North Dakota by certain mobile workers. If you are not a legal resident of North Dakota, you have no income from other sources in North Dakota, and you worked in North Dakota for less than 21 days during the year, your compensation is not subject to North Dakota income tax.
According to the North Dakota Office of State Tax Commissioner, if you are a citizen of a foreign country and are working in North Dakota on a temporary visa, your compensation would be subject to North Dakota state income tax even if you are exempt from federal income tax under a tax treaty.
If you own a business and all your business is conducted in North Dakota, all your business income and expenses are reportable to North Dakota. If you conduct business both in and outside North Dakota, there are allocation rules that determine the amount of business income and expenses that must be reported to North Dakota.
If you receive royalty payments for oil and gas production in North Dakota, that income is considered income from a real property interest in North Dakota and would be subject to state income tax. Starting in 2014, North Dakota income tax must be withheld from oil and gas royalty payments to nonresidents with a nonworking interest in the production.
If you are a nonresident of North Dakota serving in the U.S. armed forces, you would not have to file a North Dakota tax return unless you had income from sources in North Dakota other than your military pay, or you are married and you file a joint federal return with your spouse, if your spouse is required to file a North Dakota return.
A civilian spouse of a member of the armed forces stationed in North Dakota would not be subject to North Dakota income tax if both spouses are nonresidents of North Dakota, the civilian spouse’s only income in North Dakota was from wages for services performed in North Dakota, and the civilian spouse resides in North Dakota only to live with the military spouse.
If you are a nonresident and have to file a North Dakota state income tax return, you would use Form ND-1 and Schedule ND-1NR, Tax calculation for nonresidents and part-year residents.
Form ND-1, Individual Income Tax Return, North Dakota Office of State Tax Commissioner
Individual Income Tax Frequently Asked Questions, North Dakota Office of State Tax Commissioner
North Dakota Individual Income Tax, North Dakota Office of State Tax Commissioner