§ 105-359. Prepayments. - North Carolina Statutes

§105‑359.  Prepayments.

(a)        To Whom Made. –Payments of taxes made before the tax receipts have been delivered to the taxcollector, herein referred to as prepayments, shall be made to the regular taxcollector unless the governing body shall have designated some other person toreceive them.  The regular tax collector or person named to receive prepaymentsshall give bond satisfactory to the governing body.

(b)        When Accepted. – Notaxing unit shall be required to accept any tender of prepayment until the annualbudget estimate has been filed as required by law.

(c)        Estimation ofLiability; Overpayment and Underpayment.  – If the tax rate has not beenfinally fixed or if the assessed valuation of the taxpayer's property has notbeen finally determined at the time a prepayment is tendered, the tax collectorshall compute the amount of the tax liability on the basis of the bestinformation available to him.  If it is later ascertained that there has beenan overpayment, the excess (without interest) shall be refunded by the taxingunit.  If it is later ascertained that there was an underpayment, the unpaidbalance of the tax shall be due, and the balance due shall be allowed thediscount or charged the interest in effect with respect to taxes for the sameyear at the time the balance is paid.

(d)        Receipts. – Areceipt issued for a prepayment made on the basis of an estimate of the taxrate or assessed valuation shall so state, and such a receipt shall not releaseproperty from the tax lien created by G.S. 105‑355(a).  An official andfinal receipt shall be made available to the taxpayer as soon as possible afterdetermination that the tax has been fully paid.

(e)        Duties of ChiefAccounting Officer. – It shall be the duty of the chief accounting officer ofthe taxing unit to:

(1)        Secure and retain inhis office, available to taxpayers upon request, the official receipts fortaxes paid in full by prepayment.

(2)        Credit on the taxreceipts to be delivered to the tax collector all taxes that have been paid infull or in part by prepayment.

(3)        Prepare and deliverrefunds for overpayments made by way of prepayment.

(4)        Reduce the charge tobe made against the tax collector by deducting from the total amount of taxeslevied so much of the amount received as prepayments as is not required to berefunded under the provisions of subsection (c), above.

Any chief accounting officer whofails to perform the duties imposed upon him by this subsection (e) shall beguilty of a Class 1 misdemeanor. (1939, c. 310, ss. 1706,1707; 1969, c. 921, s. 2; 1971, c. 806, s. 1; 1993, c. 539, s. 723; 1994, Ex.Sess., c. 24, s. 14(c).)