§ 105-468. Scope of use tax.
§105‑468. Scope of use tax.
The use tax authorized by thisArticle is a tax at the rate of one percent (1%) of the cost price of each itemor article of tangible personal property that is not sold in the taxing countybut is used, consumed, or stored for use or consumption in the taxing county.The tax applies to the same items that are subject to tax under G.S. 105‑467.
Every retailer who is engagedin business in this State and in the taxing county and is required to collectthe use tax levied by G.S. 105‑164.6 shall collect the one percent (1%)use tax when the property is to be used, consumed, or stored in the taxingcounty. The use tax contemplated by this section shall be levied against thepurchaser, and the purchaser's liability for the use tax shall be extinguishedonly upon payment of the use tax to the retailer, where the retailer isrequired to collect the tax, or to the Secretary, where the retailer is notrequired to collect the tax.
Where a local sales or use taxhas been paid with respect to tangible personal property by the purchaser,either in another taxing county within the State, or in a taxing jurisdictionoutside the State where the purpose of the tax is similar in purpose and intentto the tax which may be imposed pursuant to this Article, the tax paid may becredited against the tax imposed under this section by a taxing county upon thesame property. If the amount of sales or use tax so paid is less than theamount of the use tax due the taxing county under this section, the purchasershall pay to the Secretary an amount equal to the difference between the amountso paid in the other taxing county or jurisdiction and the amount due in thetaxing county. The Secretary may require such proof of payment in anothertaxing county or jurisdiction as is deemed to be necessary. The use tax leviedunder this Article is not subject to credit for payment of any State sales oruse tax not imposed for the benefit and use of counties and municipalities. Nocredit shall be given under this section for sales or use taxes paid in ataxing jurisdiction outside this State if that taxing jurisdiction does notgrant similar credit for sales taxes paid under this Article. (1971,c. 77, s. 2; 1973, c. 476, s. 193; 1979, 2nd Sess., c. 1100, s. 2; 1989, c.692, s. 3.8; 1991, c. 689, s. 317; 1996, 2nd Ex. Sess., c. 13, s. 1.4.)