§ 105-228.5A. Credit against gross premium tax for assessments paid to the Insurance Guaranty Association and the Life and Health Insurance Guaranty Association. - North Carolina Statutes

§105‑228.5A.  Credit against gross premium tax for assessments paid to theInsurance Guaranty Association and the Life and Health Insurance GuarantyAssociation.

(a)        The followingdefinitions apply in this section:

(1)        Assessment. – Anassessment as described in G.S. 58‑48‑35 or an assessment asdescribed in G.S. 58‑62‑41.

(2)        Association. – TheNorth Carolina Insurance Guaranty Association created under G.S. 58‑48‑25or the North Carolina Life and Health Insurance Guaranty Association createdunder G.S. 58‑62‑26.

(3)        Repealed by SessionLaws 1995, c. 360, s. 1(e).

(4)        Member insurer. – Amember insurer as defined in G.S. 58‑48‑20 or a member insurer asdefined in G.S. 58‑62‑16.

(b)        A member insurerwho pays an assessment is allowed as a credit against the tax imposed underG.S. 105‑228.5 an amount equal to twenty percent (20%) of the amount ofthe assessment in each of the five taxable years following the year in whichthe assessment was paid. In the event a member insurer ceases doing business,all assessments for which it has not taken a credit under this section may becredited against its premium tax liability for the year in which it ceasesdoing business. The amount of the credit allowed by this section may not exceedthe member insurer's premium tax liability for the taxable year.

(c)        Any sums that areacquired by refund, under either G.S. 58‑48‑35 or G.S. 58‑62‑41,from the Association by member insurers, and that have previously been offsetagainst premium taxes as provided in subsection (b) of this section, shall bepaid by the member insurers to this State in the manner required by theSecretary of Revenue. The Association shall notify the Secretary that therefunds have been made. (1991, c. 689, s. 298; 1991 (Reg. Sess., 1992), c.1007, s. 8; 1995, c. 360, s. 1(e).)