N.D. Cent. Code § 38-08-09.12: Receipts as income

Neither the unit production, nor proceeds from the sale thereof, nor other receipts may be treated, regarded, or taxed as income or profits of the unit; but instead, all such receipts are the income of the several persons to whom or to whose credit the same are payable under the plan of unitization. To the extent the unit may receive or disburse said receipts, it shall only do so as a common administrative agent of the persons to whom the same are payable.