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Taxed sales, purchases continue decline in Bowman County

Bowman County and its cities continued to see a decline in taxable sales and purchases, according to a report released this week by State Tax Commissioner Ryan Rauschenberger.

By BRYCE MARTIN
Pioneer Editor | bmartin@countrymedia.net

Bowman County and its cities continued to see a decline in taxable sales and purchases, according to a report released this week by State Tax Commissioner Ryan Rauschenberger.

The report, which detailed the total taxable sales and purchases for 2016, showed Bowman County was down overall by 19 percent — a drop from just over $51 million to $41 million — compared with taxable sales and purchases in 2015.

Cities of Rhame, Scranton and Bowman reported similar declines.

From 2015 to 2016, the city of Bowman lost about $7 million in taxable sales and purchases, going from about $40 million in 2015 to $33 million last year, representing an 18 percent decrease.

“We anticipated that we would see a decline in taxable sale and purchases in 2016 as effects of the downturn in commodity-based industries persist,” Rauschenberger said.

And Bowman County’s economy is heavily based on commodities, particularly the agriculture industry.

“North Dakota taxable sales and purchases for calendar year 2016 are comparable to what taxable sales and purchases were in 2011,” he added. “We continue to compare to the pre-oil boom timeframe to keep perspective.”

While the city of Scranton’s decrease in taxable sales and purchases was slightly less than the city of Bowman, a 16 percent drop over 2015, the city of Rhame’s declined by nearly a quarter.

Calendar year 2016 taxable sales and purchases for the state totaled $17.3 billion, a 24 percent decrease from the $22.9 billion total in 2015, according to the report.

The arts, entertainment and recreation sector was the only industry sector posting an increase from 2015 to 2016.

Retail trade taxable sales and purchases totaled $6.1 billion, while the wholesale trade taxable sales and purchases totaled $3.5 billion, according to the report.

“Together these large industry sectors make up over half of the total taxable sales and purchases, and are a good indicator of consumer and producer confidence,” Rauschenberger said. “While both sectors have fallen in 2016, they are on par with the pre-boom sales level of 2011.”




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