§ 20-97. Taxes credited to Highway Fund; municipal vehicle taxes. - North Carolina Statutes

§ 20‑97.  Taxes creditedto Highway Fund; municipal vehicle taxes.

(a)        State Taxes toHighway Fund. – All taxes levied under this Article are compensatory taxes forthe use and privileges of the public highways of this State. The taxescollected shall be credited to the State Highway Fund. Except as provided inthis section, no county or municipality shall levy any license or privilege taxupon any motor vehicle licensed by the State.

(b)        General MunicipalVehicle Tax. – Cities and towns may levy a tax of not more than five dollars($5.00) per year upon any vehicle resident in the city or town. The proceeds ofthe tax may be used for any lawful purpose.

(c)        Municipal VehicleTax for Public Transportation. – A city or town that operates a publictransportation system as defined in G.S. 105‑550 may levy a tax of notmore than five dollars ($5.00) per year upon any vehicle resident in the cityor town. The tax authorized by this subsection is in addition to the taxauthorized by subsection (b) of this section. A city or town may not levy a taxunder this section, however, to the extent the rate of tax, when added to thegeneral motor vehicle taxes levied by the city or town under subsection (b) ofthis section and under any local legislation, would exceed thirty dollars($30.00) per year. The proceeds of the tax may be used only for financing,constructing, operating, and maintaining local public transportation systems.Cities and towns shall use the proceeds of the tax to supplement and not tosupplant or replace existing funds or other resources for public transportationsystems. This subsection does not apply to the cities and towns in GastonCounty.

(d)        Municipal Taxi Tax.– Cities and towns may levy a tax of not more than fifteen dollars ($15.00) peryear upon each vehicle operated in the city or town as a taxicab. The proceedsof the tax may be used for any lawful purpose.

(e)        No Additional LocalTax. – No county, city or town may impose a franchise tax, license tax, orother fee upon a motor carrier unless the tax is authorized by this section.  (1937, c. 407, s. 61; 1941,c. 36; 1943, c. 639, ss. 3, 4; 1975, c. 716, s. 5; 1977, c. 433, s. 1; c. 880,s. 1; 1979, c. 173, s. 1; c. 216, s. 1; c. 217; c. 248, s. 1; c. 398; c. 400,s. 1; c. 458; c. 530, s. 1; c. 790; 1979, 2nd Sess., c. 1152; c. 1153, s. 1; c.1155, s. 1; c. 1189; c. 1308, s. 1; 1981, cc. 74, 129, 210, 228, 310, 311, 312,315, 368, 370, s. 10; c. 415, s. 10; cc. 857, 858, 991; 1981 (Reg. Sess.,1982), cc. 1202, 1250; 1983, cc. 9, 75; c. 106, s. 1; c. 188, ss. 1, 2; 1993,c. 321, s. 146, c. 479, s. 4; c. 456, s. 1; 1997‑417, s. 2; 2009‑166,s. 2(b).)