AG 2000 10 16 - Laserfiche WebLink

Home Browse Search

GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 1999 SENATE BILL 1076 RATIFIED BILL AN ACT TO REPEAL THE PROPERTY TAX ON,CERTAIN VEHICLES LEASED OR RENTED UNDER RETAIL SHORT-TERM LEASES OR RENTALS AND TO REPLACE THE TAX REVENUE WITH A LOCAL TAX ON GROSS RECEIPTS DERIVED FROM RETAIL SHORT-TERM LEASES OR RENTALS. The General Assembly of North Carolina enacts: Section 1. G.S. 105-275 is amended by adding a new subdivision to read: "(41) A vehicle .that is offered at retail for short-term lease or rental and is owned or leased by an entity engaged in the business of leasing or rerlting vehicles t0 the general public for short-tram lease or rental. For the purposes of this subdivision, the term 'short-term lease or rental' shall have the same meaning as in G.S. 105-187.1. A gross receipts tax as set forth by Q.S. 153A-156 and G.S. 160A- 215,..1 is substituted for and replaces the ad valorem tax previously levied on these vehicles." Section 2. Chapter 153A of the General Statutes is amended by adding a new section to read: "§ 153A-156. Gross receipts tax on short-term leases or rentals. · (a) As a substitute for and in replacement of the ad valorem tax, which is excluded bv G.S... 105-275(41), a county may levy a gross receipts tax on the gross receipts from. the short-term lease or rental of vehicles at retail ..tO the general public. The tax rate shall not excee.d one and one-half percent (1.5%) of the gross receipts from such short-term leases or rentals, (b) If a. county enacts the substitute and replacement gross receipts tax pursuant to this section, any:entity required to collect the tax shall include a provision in each retail short-term lease, or rental agreement noting that the percentage amount enacted by the county of the total lease or rental price, excluding sales tax, is being charged as a tax on grois ree.e, ipts. For purposes of this section,, the transaction giving rise to the tax shall be deemed to have occurred at the location of the entity from which the customer takes delivery of the vehicle. The tax shall be collected at the time of lease or rental and placed in a segregated account .until remitted to the count'?.= (e) The eollection..and use of taxes under this segtion are not subject to sales tax and are not included in the gross receipts of the entity. The proceeds collected under this section belong to the c0untv and are not subject to creditor liens against the entity. (d) A tax levied under this section shall be collected by the county but otherwise administered in the same manner as the tax levied under G.S. I05-164.4(a}(2~. (e) The follow/rig definitions apply in tills section: · ~ Vehicle. -- Any of the following: