North Carolina Administrative Code › Title 17 - REVENUE › Chapter 07 - SALES AND USE TAX › Subchapter B - STATE SALES AND USE TAX › Section .1900 - TIRE RECAPPERS AND RETREADERS: TIRE AND TUBE REPAIRS › Section 07B .1907 - SCRAP TIRE DISPOSAL TAX

Current through Register Vol. 39, No. 2, July 15, 2024
(a) The scrap tire disposal tax established in
											  G.S.
											  105-187.16 applies to the sale or purchase of new tires including new tires
											  for motor vehicles, aircraft, construction equipment, maintenance and industrial equipment, and implements of
											  husbandry, farm tractors, special mobile equipment as defined in
											  G.S.
											  105-164.3, or vehicles designed primarily for use in non-highway
											  work.
(b) Lessors of vehicles shall pay the scrap tire disposal
											  tax to the retailer or wholesale merchant when they purchase a new tire.
(c) Lessors of tires shall pay the scrap tire disposal tax to the retailer
											  or wholesale merchant when they purchase a new tire. The receipts from the lease or rental of tires are not
											  subject to the scrap tire disposal tax but are subject to the sales or use tax, pursuant to
											  G.S.
											  105-164.4.
(d) The scrap tire
											  disposal tax applies to purchases of new tires from inside or outside of North Carolina for storage, use or
											  consumption in North Carolina, including for placement on a vehicle offered for sale, lease or rental in this
											  State.
(e) Tire retailers shall separately state and charge the
											  scrap tire disposal tax on the invoice or similar billing document given to purchasers at the time of sale
											  except where the retailer displays a statement indicating the sales price includes the scrap tire disposal
											  tax.
(f) The sales price on which the scrap tire disposal tax is
											  computed includes the federal excise tax on new tires. The sales price on which the scrap tire disposal tax
											  is computed does not include the sales and use tax due on the sale. The sales price on which the sales and
											  use tax is computed does not include the scrap tire disposal tax due on the sale.
(g) Persons required to collect and remit the scrap tire disposal tax shall
											  register with the Department in accordance with
											  17 NCAC 07B
											  .0104. The scrap tire disposal tax shall be paid and reported on Form E-500G, Scrap
											  Tire Disposal Tax Return, which shall contain the following information:
(1)
											  name and address of entity filing return;
(2) beginning and
											  ending dates of return period;
(3) account number;
(4) amount of gross receipts;
(5) amount of sales for resale;
(6) amount of exempt sales by type;
(7) total exempt sales;
(8)
											  total taxable sales;
(9) amount of receipts or purchases for
											  tires with a bead diameter of less than 20 inches;
(10) amount of
											  tax due for receipts or purchases for tires with a bead diameter of less than 20 inches;
(11) amount of receipts or purchases for tires with a bead diameter of at
											  least 20 inches;
(12) amount of tax due for receipts or purchases
											  for tires with a bead diameter of at least 20 inches;
(13) amount
											  of total tax for all tires;
(14) amount of total tax due;
											  and
(15) signature of person authorized to legally bind entity
											  and date form signed.