§ 105-330.5. (Effective until July 1, 2011) Listing and collecting procedures. - North Carolina Statutes

§ 105‑330.5.  (Effectiveuntil July 1, 2011) Listing and collecting procedures.

(a)        For classifiedmotor vehicles listed pursuant to G.S. 105‑330.3(a)(1), upon receivingthe registration lists from the Division of Motor Vehicles each month, theassessor shall prepare a tax notice for each vehicle; the tax notice shallcontain all county, municipal, and special district taxes due on the motorvehicle. In computing the taxes, the assessor shall appraise the motor vehiclein accordance with G.S. 105‑330.2 and shall use the tax rates of thevarious taxing units in effect on the first day of the month in which thecurrent vehicle registration expired or the new registration was applied for.The tax on the motor vehicle is the product of a fraction and the number ofmonths in the motor vehicle tax year. The numerator of the fraction is theproduct of the appraised value of the motor vehicle and the tax rate of thevarious taxing units. The denominator of the fraction is 12. This procedureshall constitute the listing and assessment of each classified motor vehiclefor taxation. The tax notice shall contain:

(1)        The date of the taxnotice.

(2)        The appraised valueof the motor vehicle.

(3)        The tax rate of thetaxing units.

(4)        A statement that theappraised value of the motor vehicle may be appealed to the assessor within 30days after the date of the notice.

(a1)      When a newregistration is obtained for a vehicle registered under the annual system in amonth other than December, the assessor shall prorate the taxes due for theremainder of the calendar year. The amount of prorated taxes due is the productof the proration fraction and the taxes computed according to subsection (a).The numerator of the proration fraction is the number of full months remainingin the calendar year following the date the registration is applied for and thedenominator of the fraction is 12.

(b)        When the tax noticerequired by subsection (a) is prepared, the county tax collector shall mail acopy of the notice, with appropriate instructions for payment, to the motorvehicle owner. The county may retain the actual cost of collecting municipaland special district taxes collected pursuant to this Article, not to exceedone and one‑half percent (1 ½%) of the amount of taxes collected. Thecounty finance officer shall establish procedures to ensure that tax paymentsreceived pursuant to this Article are properly accounted for and taxes dueother taxing units are remitted to the units to which they are due at leastonce each month. Each month, a county shall provide reasonable information tothe municipalities and special districts located in it to enable them toaccount for the tax payments remitted to them.

(b1)      Repealed by SessionLaws 1995, c. 329, s. 2.

(c)        For classifiedmotor vehicles listed pursuant to G.S. 105‑330.3(a)(2), the assessorshall appraise each vehicle in accordance with G.S. 105‑330.2. Theassessor shall prepare a tax notice for each vehicle before September 1following the January 31 listing date; the tax notice shall include all countyand 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 thefiscal year that begins on July 1 following the January 31 listing date.Municipalities shall list, assess, and tax classified motor vehicles listedpursuant 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 shallinclude 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 shallcharge the taxes to the tax collector for that year, unless the tax noticerequired by subsection (a) is prepared after the date the taxes are due. Ifthat occurs, the county shall include the taxes from that notice in the taxlevy for the current fiscal year and shall charge the taxes to the taxcollector for that year.  (1991, c. 624, s. 1; 1991 (Reg. Sess., 1992), c. 961,s. 6; 1995, c. 24, s. 1; c. 329, s. 2; c. 510, s. 3; 2005‑313, s. 8.)

§ 105‑330.5.  (EffectiveJuly 1, 2011 – See Editor's note) Notice required; distribution and collectionfees.

(a)        Notice forRegistered Vehicle. –  The Property Tax Division of the Department of Revenueor a third‑party contractor selected by the Property Tax Division mustprepare a combined tax and registration notice for each registered classifiedmotor vehicle. The combined tax and registration notice must contain all countyand municipal corporation taxes and fees due on the motor vehicle as computedby the assessor in the county of registration. If the motor vehicle has atemporary or limited registration plate issued under G.S. 20‑79.1 or G.S.20‑79.1A, the combined tax and registration notice must state that thevehicle registration fees for the plate have been paid and that the vehicle'sregistration becomes valid for the remainder of the year upon payment of thecounty and municipal corporation taxes and fees that are due. A combined taxand registration notice that sets out the required information on a vehicleissued a limited registration plate constitutes the registration certificatefor that vehicle.

In computing the taxes, theassessor must appraise the motor vehicle in accordance with G.S. 105‑330.2and  must use the tax rates and any additional motor vehicle taxes of thevarious taxing units in effect on the date the taxes are computed. The tax onthe motor vehicle is the product of a fraction and the number of months in themotor vehicle tax year. The numerator of the fraction is the product of theappraised value of the motor vehicle and the tax rate of the various taxingunits. The denominator of the fraction is 12. This procedure constitutes thelisting and assessment of each classified motor vehicle for taxation.

The combined tax andregistration notice must contain the following:

(1)        The appraised valueof the motor vehicle.

(2)        The tax rate of eachtaxing unit.

(3)        A statement that theappraised value and the taxability of the motor vehicle may be appealed to theassessor in writing within 30 days of the due date.

(4)        The registration feeimposed by the Division of Motor Vehicles and any other information required bythe Division of Motor Vehicles to comply with the provisions of Chapter 20 ofthe General Statutes.

(5)        Instructions forpayment.

(a1)      Proration. – When anew registration is obtained for a registered classified motor vehicle that isregistered under the annual system, the taxes are prorated for the remainder ofthe calendar year. The amount of prorated taxes due is the product of theproration fraction and the taxes computed according to subsection (a) of thissection. The numerator of the proration fraction is the number of full monthsremaining in the calendar year following the registration application date andthe denominator of the fraction is 12.

(a2)      Repealed by SessionLaws 2009‑445, s. 24(a), effective July 1, 2011, and applicable tocombined tax and registration notices issued on or after that date, or when theDivision of motor vehicles and the Department of Revenue certify that theintegrated computer system or registration renewal and property tax collectionfor motor vehicles is in operation, whichever occurs first.

(b)        Distribution andCollection Fees. – The Property Tax Division of the Department of Revenue or athird‑party contractor selected by the Property Tax Division must send acopy of the combined tax and registration notice for a registered classifiedmotor vehicle to the motor vehicle owner, as defined in G.S. 20‑4.01. TheDepartment must establish a fee equal to the actual cost of preparing,printing, and sending the notice. The Department may receive a fee for eachnotice generated for a vehicle registered in a county or municipal corporationfrom the taxes and fees remitted to the county or municipal corporation inwhich the vehicle is registered. The collecting authority is responsible forcollecting county and municipal taxes and fees assessed under this Article andmay receive a fee for collecting these taxes and fees. The amount of this feemust equal at least one‑third of the compensation paid for registrationrenewals conducted by contract agents under G.S. 20‑63(h). The PropertyTax Division must establish procedures to ensure that tax payments and feesreceived pursuant to this Article and Chapter 20 of the General Statutes areproperly accounted for and taxes and fees due other taxing units and theDivision of Motor Vehicles are remitted at least once each month.

(b1)      Repealed by SessionLaws 1995, c. 329, s. 2.

(c)        Notice forUnregistered Vehicle. – The assessor must prepare and send a tax notice foreach unregistered classified motor vehicle before September 1 following theJanuary 31 listing date. The notice must include all county and specialdistrict taxes due on the motor vehicle. In computing the taxes, the assessormust use the tax rates of the taxing units in effect for the fiscal year thatbegins on July 1 following the January 31 listing date. Municipalities mustlist, assess, and tax unregistered classified motor vehicles as provided inG.S. 105‑326, 105‑327, and 105‑328.

(d)        Scope of Levy. – Acounty  must include taxes on registered classified motor vehicles in the taxlevy for the fiscal year in which the taxes are collected.

(e)        Small Underpaymentor Overpayment. – Notwithstanding G.S. 105‑357(c), the collectingauthority must treat a small underpayment of taxes and fees as fully paid andnot refund a small overpayment of taxes and fees unless the vehicle ownerrequests a refund before the end of the fiscal year in which the smalloverpayment is made. A "small underpayment" is a payment made, otherthan in person, that is no more than one dollar ($1.00) less than the taxes andfees due on the vehicle. A "small overpayment" is a payment made,other than in person, that is no more than four dollars and ninety‑ninecents ($4.99) greater than the taxes and fees due on the vehicle.  (1991, c. 624, s. 1; 1991(Reg. Sess., 1992), c. 961, s. 6; 1995, c. 24, s. 1; c. 329, s. 2; c. 510, s.3; 2005‑294, s. 6; 2005‑313, s. 8; 2006‑259, s. 31.5; 2007‑471,ss. 4, 5; 2007‑527, s. 22(b); 2008‑134, s. 65; 2009‑445, ss.24(a), 25(a).)