§ 105-113.38. Bond. - North Carolina Statutes

§105‑113.38.  Bond.

The Secretary may require awholesale dealer or a retail dealer to furnish a bond in an amount thatadequately protects the State from loss if the dealer fails to pay taxes dueunder this Part.  A bond shall be conditioned on compliance with this Part,shall be payable to the State, and shall be in the form required by theSecretary.  The Secretary shall proportion a bond amount to the anticipated taxliability of the wholesale dealer or retail dealer.  The Secretary shallperiodically review the sufficiency of bonds required of dealers, and shallincrease the amount of a required bond when the amount of the bond furnished nolonger covers the anticipated tax liability of the wholesale dealer or retaildealer.  The Secretary shall decrease the amount of a required bond when theSecretary determines that a smaller bond amount will adequately protect theState from loss.  (1969, c. 1075, s. 2; 1991, c. 689, s. 272.)