GENERAL ASSEMBLY OF NORTH CAROLINA
1995 SESSION
CHAPTER 510
The General Assembly of North Carolina enacts:
Section 1. G.S. 105-330.2 reads as rewritten:
"§ 105-330.2. Appraisal, ownership, and situs.
(a) The value of a
classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) shall be
determined annually as of January 1 preceding the date a new registration is
applied for or the current registration is renewed. expires. If
the value of a new motor vehicle cannot be determined as of January 1 preceding
the date the new registration is applied for, the value of that vehicle shall
be determined for that year as of the date that model vehicle is first offered
for sale at retail in this State. The ownership, situs, and taxability of a
classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) shall be
determined annually as of the day on which a new registration is applied for
or the day on which the current vehicle registration is renewed renewed,
regardless of whether the registration is renewed after it has expired. or
the day on which a new registration is applied for.
The value of a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(2) shall be determined as of January 1 of the year in which the motor vehicle is required to be listed pursuant to G.S. 105-330.3(a)(2). The ownership, situs, and taxability of a classified motor vehicle listed or discovered pursuant to G.S. 105-330.3(a)(2) shall be determined as of January 1 of the year in which the motor vehicle is required to be listed.
(b) A classified motor
vehicle shall be appraised by the assessor at its true value in money as
prescribed by G.S. 105-283. The owner of a classified motor vehicle may appeal
the appraised value, situs, or taxability value of the vehicle in
the manner provided by G.S. 105-312(d) for appeals in the case of discovered property.
property and may appeal the situs or taxability of the vehicle in the
manner provided by G.S. 105-381. The owner of a classified motor vehicle
must file an appeal of appraised value with the assessor within 30 days
after the date of the tax notice prepared pursuant to G.S. 105-330.5.
Notwithstanding G.S. 105-312(d), an owner who appeals the listing,
valuation, or assessment appraised value of a classified motor
vehicle shall pay the tax on the vehicle when due, subject to a full or partial
refund if the appeal is decided in the owner's favor.
(c) The Department of Revenue, acting through the Property Tax Division, and the Department of Transportation, acting through the Division of Motor Vehicles, shall enter into a memorandum of understanding concerning the vehicle identification information, name and address of the owner, and other information that will be required on the motor vehicle registration forms to implement the tax listing and collection provisions of this Article."
Sec. 2. G.S. 105-330.4 reads as rewritten:
"§ 105-330.4. Due date, interest, and enforcement remedies.
(a) Taxes on a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(2) shall be due on September 1 following the date by which the vehicle was required to be listed. Taxes on a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) shall be due each year on the following dates:
(1) For a vehicle registered under the staggered system, taxes shall be due on the first day of the fourth month following the date the registration expires or on the first day of the fourth month following the last day of the month in which the new registration is applied for.
(2) For a vehicle newly
registered under the annual system, taxes shall be due on the first day
of the fourth month following the date the new registration is applied
for. For a vehicle whose registration is renewed under the annual system,
taxes shall be due on May 1 following the date the registration expired
or following the December in which a new registration was obtained. expired.
(b) Subject to the
provisions of G.S. 105-395.1, interest on unpaid taxes on classified motor
vehicles listed pursuant to G.S. 105-330.3(a)(1) accrues at the rate of
three-fourths of one percent (3/4%) per month beginning the first month
following the date the taxes were due until the taxes are paid. paid,
unless the tax notice required by G.S. 105-330.5 is prepared after the date the
taxes are due. In that circumstance, the interest accrues beginning the second
month following the date of the notice until the taxes are paid. Subject
to the provisions of G.S. 105-395.1, interest on delinquent taxes on classified
motor vehicles listed pursuant to G.S. 105-330.3(a)(2) accrues as provided in
G.S. 105-360(a) and discounts shall be allowed as provided in G.S. 105-360(c).
(c) Unpaid taxes on classified motor vehicles may be collected by levying on the motor vehicle taxed or on any other personal property of the taxpayer pursuant to G.S. 105-366 and G.S. 105-367, or by garnishment of the taxpayer's property pursuant to G.S. 105-368. Notwithstanding the provisions of G.S. 105-366(b), the enforcement measures of levy, attachment, and garnishment may be used to collect unpaid taxes on classified motor vehicles listed pursuant to G.S. 105-330.3(a)(1) at any time after interest accrues. Notwithstanding the provisions of G.S. 105-355, taxes on classified motor vehicles listed pursuant to G.S. 105-330.3(a)(1) do not become a lien on real property owned by the taxpayer."
Sec. 3. G.S. 105-330.5 reads as rewritten:
"§ 105-330.5. Listing and collecting procedures.
(a) For classified motor vehicles listed pursuant to G.S. 105- 330.3(a)(1), upon receiving the registration lists from the Division of Motor Vehicles each month, the assessor shall prepare a tax notice for each vehicle; the tax notice shall contain all county, municipal, and special district taxes due on the motor vehicle. In computing the taxes, the assessor shall appraise the motor vehicle in accordance with G.S. 105-330.2 and shall use the tax rates of the various taxing units in effect on the first day of the month in which the current vehicle registration expired or the new registration was applied for. This procedure shall constitute the listing and assessment of each classified motor vehicle for taxation. The tax notice shall contain:
(1) The date of the tax notice.
(2) The appraised value of the motor vehicle.
(3) The tax rate of the taxing units.
(4) A statement that the
appraised value, situs, and taxability value of the motor vehicle
may be appealed to the assessor within 30 days after the date of the notice.
(a1) When a new registration is obtained for a vehicle registered under the annual system in a month other than December, the assessor shall prorate the taxes due for the remainder of the calendar year. The amount of prorated taxes due is the product of the proration fraction and the taxes computed according to subsection (a). The numerator of the proration fraction is the number of full months remaining in the calendar year following the date the registration is applied for and the denominator of the fraction is 12.
(b) When the tax notice
required by subsection (a) is prepared, the county tax collector shall mail a
copy of the notice, with appropriate instructions for payment, to the motor
vehicle owner. The county may retain the actual cost of collecting municipal
and special district taxes collected pursuant to this section, Article,
not to exceed one and one-half percent (1 1/2%) of the amount of taxes
collected. The county finance officer shall establish procedures to ensure that
tax payments received pursuant to this section Article are
properly accounted for and taxes due other taxing units are remitted to the
units to which they are due no later than 30 days after the date of
collection. at least once each month. Each month, a county shall
provide reasonable information to the municipalities and special districts
located in it to enable them to account for the tax payments remitted to them.
(c) For classified motor vehicles listed pursuant to G.S. 105-330.3(a)(2), the assessor shall appraise each vehicle in accordance with G.S. 105-330.2. The assessor shall prepare a tax notice for each vehicle before September 1 following the January 31 listing date; the tax notice shall include all county and special district taxes due on the motor vehicle. In computing the taxes, the assessor shall use the tax rates of the taxing units in effect for the fiscal year that begins on July 1 following the January 31 listing date. Municipalities shall list, assess, and tax classified motor vehicles listed pursuant to G.S. 105-330.3(a)(2) as provided in G.S. 105-326, 105-327, and 105-328 and shall send tax notices as provided in this section.
(d) The county shall
include taxes on classified motor vehicles listed pursuant to G.S.
105-330.3(a)(1) in the tax levy for the fiscal year in which the taxes become
due and shall charge the taxes to the tax collector for that year. year,
unless the tax notice required by subsection (a) is prepared after the date the
taxes are due. If that occurs, the county shall include the taxes from
that notice in the tax levy for the current fiscal year and shall charge the
taxes to the tax collector for that year."
Sec. 4. G.S. 105-330.6 reads as rewritten:
"§ 105-330.6. Motor vehicle tax year; transfer of plates; surrender of plates.
(a) The tax year for a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) and registered under the staggered system shall begin on the first day of the first month following the date on which the registration expires or the new registration is applied for and end on the last day of the twelfth month following the date on which the registration expires or the new registration is applied for. The tax year for a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) and registered under the annual system shall begin on the first day of the first month following the date on which the registration expires or the new registration is applied for and end the following December 31. The tax year for a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(2) shall be the fiscal year that opens in the calendar year in which the vehicle is required to be listed.
(b) If the owner of a classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) transfers the registration plates from the listed vehicle to another classified motor vehicle pursuant to G.S. 20-64 during the listed vehicle's tax year, the vehicle to which the plates are transferred is not required to be listed or taxed until the current registration expires or is renewed.
(c) If the owner of a
classified motor vehicle listed pursuant to G.S. 105-330.3(a)(1) transfers the
motor vehicle to a new owner and surrenders the registration plates from the
listed vehicle to the Division of Motor Vehicles and at the date of surrender
one or more full calendar months remains in the listed vehicle's tax year, the
owner may apply for a release or refund of taxes on the vehicle for the full
calendar months remaining after surrender. To apply for a release or refund,
the owner must present to the county tax collector within 60 120 days
after surrendering the plates the receipt received from the Division of Motor
Vehicles accepting surrender of the registration plates. The county tax
collector shall then multiply the amount of the taxes for the tax year on the
vehicle by a fraction, the denominator of which is 12 and the numerator of
which is the number of full calendar months remaining in the vehicle's tax year
after the date of surrender of the registration plates. The product of the
multiplication is the amount of taxes to be released or refunded. If the taxes
have not been paid at the date of application, the county tax collector shall
make a release of the prorated taxes and credit the owner's tax notice with the
amount of the release. If the taxes have been paid at the date of application, the
county tax collector shall direct an order for a refund of the prorated taxes
to the county finance officer, and the finance officer shall issue a refund to
the vehicle owner."
Sec. 5. This act is effective for taxes imposed for taxable years beginning on or after July 1, 1995.
In the General Assembly read three times and ratified this the 29th day of July, 1995.
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Dennis A. Wicker
President of the Senate
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Harold J. Brubaker
Speaker of the House of Representatives