This bill proposes the creation of a new subsection to section 57-39.2-04 of the North Dakota Century Code, which establishes a sales tax exemption for fire departments. Specifically, it states that gross receipts from sales made to a fire department for the purpose of providing fire protection services will be exempt from sales tax. The bill also defines a "fire department" as any fire department or fire district that has filed and received approval for a certificate of existence under section 18-04-02.

The effective date for this new sales tax exemption is set for taxable events occurring after June 30, 2025. This legislation aims to support fire departments by alleviating some of their financial burdens associated with sales tax on necessary purchases for fire protection services.