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NC Sales Tax Rate Change: 6.75% to 6.5%, Effective July 1, 2007

In summary, there has been a temporary extension of the additional 0.25% state sales and use tax in North Carolina until August 1, 2007. This means that the combined state and county tax rate will remain at 6.75% in all counties except Mecklenburg County, where it will remain at 7.25%. The extension also includes a provision for retailers who have made a good faith effort to comply with the law and collect the proper amount of tax.
beepampered
1,144
Just found out, from a guest that the NC sales tax has gone done from 6.75% to 6.5% - effective July 1, 2007. I didn't see an email from HO so thought I'd let other NC Cheffers know of the change.
 
I had heard of that change, but the same person that informed me of the change sent an e-mail today noting that they have postponed the decrease until possibly August.
 
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Hmmmm. Interesting. The Pampered Chef webpage says 6.5%.
 
I havent heard anything on this.
 
Here is what I found on the NC Dept of Revenue site today:

"Temporary Extension of General State Rate of Sales and Use Tax

--------------------------------------------------------------------------------

The 2007 North Carolina General Assembly has enacted legislation that provides for a short-term extension of the additional 0.25% State sales and use tax until August 1, 2007.

The additional 0.25% rate, resulting in a total general State rate of 4.25%, was scheduled to expire on June 30, 2007. As a result of the extension of the additional 0.25%, the combined State and county tax rate will remain at 6.75% in all counties except Mecklenburg County, where the combined State and county rate will remain at 7.25%.

The combined general rate of tax, which applies to telecommunications service, ancillary service, video programming, and spirituous liquor other than mixed beverages, is the State’s general rate plus the sum of the rates of local tax authorized for every county in the State. Therefore, since the additional 0.25% has been temporarily extended, the combined general rate will remain at 6.75% in all counties, including Mecklenburg County, until August 1, 2007.

The legislation providing for the one-month extension contains a provision that a retailer who has made a good faith effort to comply with the law and collect the proper amount of tax will not be held liable for an over-collection or under-collection of sales tax for the period July 1, 2007 through July 31, 2007.

Additional information will be added to the website as it becomes available.

June 29, 2007"
 

What is the effective date of the NC sales tax rate change?

The NC sales tax rate change from 6.75% to 6.5% was effective on July 1, 2007.

Why was the NC sales tax rate changed?

The NC sales tax rate was changed in order to provide tax relief for consumers and stimulate economic growth.

What items are affected by the NC sales tax rate change?

Most tangible personal property, digital property, and services are subject to the NC sales tax rate change. However, there are some exemptions and special tax rates for certain items, such as groceries and prescription drugs.

How does the NC sales tax rate change affect businesses?

Businesses are responsible for collecting and remitting the correct sales tax rate to the state. They must update their systems and inform their customers of the change in order to comply with the new rate.

Will the NC sales tax rate change again in the future?

The NC sales tax rate is subject to change based on legislation and economic conditions. It is important for businesses and consumers to stay informed about any potential changes in order to properly prepare and budget for them.

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