The North Dakota House defeats a bill to a clothing sales tax break to nonprofit thrift stores. There are 41 thrift stores operated by nonprofits in North Dakota. Money raised through sales in those stores goes toward specific causes. Supporters say it's not right to tax clothing twice.
Representative Jessica Haak, a Democrat from Jamestown, says farm machinery is not taxed if sold a second time. Those who oppose the bill say it's unfair tax policy because the bill only applies to nonprofit thrift stores.
"It's not good tax policy for North Dakota to allow one business on one side of the street a tax exemption when the other one was not provided that same exemption," said Rep. Craig Headland, (R) of Montpelier.
The tax exemption would have cost the state about $645,000 in revenue over the next two years. The House defeated the measure 50-44.