§ 105-164.22. Record-keeping requirements, inspection authority, and effect of failure to keep records.
Part 5. Records Required to BeKept.
§ 105‑164.22. Record‑keepingrequirements, inspection authority, and effect of failure to keep records.
Retailers, wholesalemerchants, and consumers must keep for a period of three years records thatestablish their tax liability under this Article. The Secretary or a persondesignated by the Secretary may inspect these records at any reasonable timeduring the day.
A retailer's records mustinclude records of the retailer's gross income, gross sales, net taxable sales,and all items purchased for resale. Failure of a retailer to keep records thatestablish that a sale is exempt under this Article subjects the retailer toliability for tax on the sale.
A wholesale merchant's recordsmust include a bill of sale for each customer that contains the name andaddress of the purchaser, the date of the purchase, the item purchased, and theprice at which the wholesale merchant sold the item. Failure of a wholesalemerchant to keep these records for the sale of an item subjects the wholesalemerchant to liability for tax at the rate that applies to the retail sale ofthe item.
A consumer's records mustinclude an invoice or other statement of the purchase price of an item theconsumer purchased from outside the State. Failure of the consumer to keepthese records subjects the consumer to liability for tax on the purchase priceof the item, as determined by the Secretary. (1957, c. 1340, s. 5; 1973, c. 476, s. 193; 1998‑98,s. 51; 2009‑451, s. 27A.3(n).)