§ 105-164.42H. Certification of certified automated system and effect of certification. - North Carolina Statutes

§ 105‑164.42H. Certification of certified automated system and effect of certification.

(a)        Certification. – TheSecretary may certify a software program as a certified automated system if theSecretary determines that the program correctly determines all of the followingand that the software can generate reports and returns required by theSecretary:

(1)        The applicablecombined State and local sales and use tax rate for a sale, based on thesourcing principles in G.S. 105‑164.4B.

(2)        Whether or not an itemis exempt from tax, based on a uniform product code or another method.

(3)        Repealed by SessionLaws 2006‑33, s. 12, effective June 1, 2006.

(4)        The amount of tax tobe remitted for each taxpayer for a reporting period.

(5)        Any other issuenecessary for the application or calculation of sales and use tax due.

(b)        Liability. – Aseller may choose to use a certified automated system in performing its salestax administration functions. A seller that uses a certified automated systemis liable for sales and use taxes due on transactions it processes using thecertified automated system except for underpayments of tax attributable toerrors in the functioning of the system. A person that provides a certifiedautomated system is responsible for the proper functioning of that system andis liable for underpayments of tax attributable to errors in the functioning ofthe system. (2000‑120,s. 2; 2001‑347, ss. 1.1, 1.3; 2005‑276, s. 33.31; 2006‑33, s.12.)