§ 105-164.38. Tax is a lien.
§ 105‑164.38. Tax is alien.
(a) The tax imposed bythis Article is a lien upon all personal property of any person who is requiredby this Article to obtain a certificate of registration to engage in businessand who stops engaging in the business by transferring the business,transferring the stock of goods of the business, or going out of business. Aperson who stops engaging in business must file the return required by thisArticle within 30 days after transferring the business, transferring the stock ofgoods of the business, or going out of business.
(b) Any person to whomthe business or the stock of goods was transferred must withhold from theconsideration paid for the business or stock of goods an amount sufficient tocover the taxes due until the person selling the business or stock of goodsproduces a statement from the Secretary showing that the taxes have been paidor that no taxes are due. If the person who buys a business or stock of goodsfails to withhold an amount sufficient to cover the taxes and the taxes remainunpaid after the 30‑day period allowed, the buyer is personally liablefor the unpaid taxes to the extent of the greater of the following:
(1) The considerationpaid by the buyer for the business or the stock of goods.
(2) The fair marketvalue of the business or the stock of goods.
(c) Assessment. Theperiod of limitations for assessing liability against the buyer of a businessor the stock of goods of a business and for enforcing the lien against theproperty expires one year after the end of the period of limitations forassessment against the person who sold the business or the stock of goods.Except as otherwise provided in this section, the assessment procedures inArticle 9 of this Chapter apply to a person who buys a business or the stock ofgoods of a business to the same extent as if the person had incurred theoriginal tax liability. (1957, c. 1340, s. 5; 1963, c. 1169, s. 3; 1973, c. 476, s. 193; 1991,c. 690, s. 6; 1991 (Reg. Sess., 1992), c. 949, s. 2; 2000‑140, s. 67(c);2007‑491, s. 20.)