GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 1991

CHAPTER 965
SENATE BILL 1016

AN ACT TO REPEAL THE PRIVILEGE LICENSE TAX ON SECURITY DEALERS, TO INCREASE THE REGISTRATION FEE FOR SECURITY SALESMEN, AND TO MAKE TECHNICAL CHANGES.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 105-67 is repealed.
Sec. 2.  G.S. 78A-37(b) reads as rewritten:
"(b)	Every applicant for initial or renewal registration shall pay a filing fee of two hundred dollars ($200.00) in the case of a dealer and fifty-five dollars ($55.00) in the case of a salesman. The Administrator may by rule reduce the registration fee proportionately when the registration will be in effect for less than a full year."
Sec. 3.  G.S. 105-83 reads as rewritten:
"§ 105-83.  Installment paper dealers.
(a)	Every person engaged in the business of dealing in, buying, or discounting installment paper, notes, bonds, contracts, or evidences of debt, where at the time of or in connection with the execution of said instruments, a lien is reserved or taken upon personal property located in this State to secure the payment of such obligations, shall apply for and obtain from the Secretary a State license for the privilege of engaging in such business or for the purchasing of such obligations in this State, and shall pay for such license an annual tax of one hundred dollars ($100.00).
(b)	In addition to obtaining a State license from the Secretary, each person subject to the tax levied in subsection (a) shall submit to the Secretary quarterly no later than the twentieth day of January, April, July, and October of each year, upon forms prescribed by the Secretary, a full, accurate, and complete statement, verified by the officer, agent, or person making the statement, of the total face value of the installment paper, notes, bonds, contracts, and evidences of debt dealt in, bought, or discounted within the preceding three calendar months and, at the same time, shall pay a tax of two hundred and seventy-five thousandths of one percent (.275%) of the face value of these obligations.
(c)	If any person deals in, buys, or discounts any obligations described in this section without obtaining the license required by this section or paying a tax imposed by this section, the person may not bring an action in a State court to enforce collection of an obligation dealt in, bought, or discounted during the period of noncompliance with this section until the person obtains the license and pays the amount of tax, penalties, and interest due.
(d)	This section does not apply to corporations liable for the tax levied under G.S. 105-102.3.
(e)	Counties, cities, and towns shall not levy any license tax on the business taxed under this section."
Sec. 4.  Section 1 of this act is effective upon ratification and applies to the 1992-93 tax year and subsequent years.  Section 2 of this act becomes effective January 1, 1993.  The remaining sections of this act are effective upon ratification.
In the General Assembly read three times and ratified this the 16th day of July, 1992.

James C. Gardner
President of the Senate

Daniel Blue, Jr.
Speaker of the House of Representatives