This report on the North Dakota tax system is a by-product of a much broader study of the impacts of increased coal production in the Northern Great Plains. Subsequent research will examine the effects of coal development on state and local financial resources; demands for local government services; and impacts on population, income, employment, and natural resources in the region. This work is conducted under Agreement EPA-IAG-D6-E766 between the United States Environmental Protection Agency and the Economic Research Service, United States Department of Agriculture, in cooperation with the Department of Agricultural Economics, North Dakota Agricultural Experiment Station.