GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1991

H	1 

HOUSE BILL 9

Short Title:  Uniform Leasing Rate/Fix Sales Tax Gaps.   	(Public)
─────────────────────────────────────── 
Sponsors: Representatives Lilley, Abernethy, Brawley, and Hasty.
─────────────────────────────────────── 
Referred to:  Rules.
─────────────────────────────────────── 

February 4, 1991

A BILL TO BE ENTITLED
AN ACT TO REINSTATE SALES TAX ON MOPEDS, TOW DOLLIES, AND CERTAIN VEHICLE BODIES AND TO ESTABLISH A UNIFORM LONG-TERM LEASING RATE.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 105-164.3(8b) reads as rewritten:
"(8b)	'Motor vehicle' means a vehicle that is designed primarily for use upon the highways and is either self-propelled or propelled by a self-propelled vehicle, but does not include:
a.	A moped as defined in G.S. 20-4.01(27)(d1).
b.	Special mobile equipment as defined in G.S. 20-4.01(44).
c.	A tow dolly that is exempt from motor vehicle title and registration requirements under G.S. 20-51(10) or (11).
d.	A farm tractor or other implement of husbandry.
e.	A manufactured home.
f.	Road construction or road maintenance machinery or equipment."
Sec. 2.  G.S. 105-164.13(32) reads as rewritten:
"(32)	Sales of motor vehicles, the sale of a motor vehicle body to be mounted on a motor vehicle chassis when a certificate of title has not been issued for the chassis, and the sale of a motor vehicle body mounted on a motor vehicle chassis that temporarily enters the State so the manufacturer of the body can mount the body on the chassis. "
Sec. 3.  G.S. 105-164.3(7a) reads as rewritten:
"(7a)	'Lease or rental' means a transfer, for consideration, of the use but not the ownership of property to another for a period of time."
Sec. 4.  G.S. 105-187.1 reads as rewritten:
"§ 105-187.1.  Definitions.
The following definitions and the definitions in G.S. 105-164.3 apply to this Article:
(1)	'Commissioner' means the Commissioner of Motor Vehicles.
(2)	'Division' means the Division of Motor Vehicles, Department of Transportation.
(3)	' Long-term lease or rental' means a lease or rental made under a written agreement to lease or rent property to the same person for a period of at least 365 continuous days.
(4)	' Short-term lease or rental' means a lease or rental that is not a long-term lease or rental."
Sec. 5.  G.S. 105-187.5(b) reads as rewritten:
"(b)	Rate.  The tax rate on the gross receipts from the short-term lease or rental of a motor vehicle is eight percent (8%) and the tax rate on the gross receipts from the long-term lease or rental of a motor vehicle is three percent (3%).  The maximum tax in G.S. 105-187.3(a) applies to a continuous lease or rental of a motor vehicle to the same person.."
Sec. 6.  This act becomes effective July 1, 1991.