GENERAL ASSEMBLY OF NORTH CAROLINA
1991 SESSION

CHAPTER 479
SENATE BILL 107

AN ACT TO SIMPLIFY AND MODERNIZE PRIVILEGE LICENSE TAXES RELATING TO DRY CLEANERS AND LAUNDRIES.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 105-74 reads as rewritten:
"§ 105-74.  Pressing clubs, dry cleaning plants, and hat blockers.
(a)	Location License.  Every person, firm, or corporation engaging in the business of operating a dry cleaning, pressing, or hat blocking business shall apply for and obtain from the Secretary of Revenue a State license for each place of business and shall pay a license tax.  The license tax is for the privilege of engaging in the business.  If a place of business does not solicit outside the county where the place of business is located, the license tax is fifty dollars ($50.00).  If a place of business solicits outside the county where the place of business is located, the license tax is one hundred dollars ($100.00).
(b)	Soliciting License.  Every person, firm, or corporation engaged in the business of soliciting dry cleaning or pressing work to be done by a place of business that is not liable for the State license tax levied in subsection (a) shall pay a tax of one hundred dollars ($100.00). The holder of a soliciting license shall carry the license in the cab of any vehicle used in soliciting in this State.
(c)	Local Licenses.  A municipality may tax each place of business that is taxed under subsection (a) and is located in the municipality.  The tax may not exceed the rate provided in subsection (a).  Counties and municipalities may tax each business taxed under subsection (b).  The tax may not exceed the rate provided in subsection (b).  
 (d)	Definitions.  The following definitions apply in this section:
(1)	Dry cleaning, pressing, or hat blocking business.  A place of business where the service of dry cleaning, wet cleaning incidental to dry cleaning, spotting, pressing, finishing, or reblocking hats, garments, or wearing apparel of any kind is performed.
(2)	Place of business.  A fixed place at which a business is maintained.
(3)	Soliciting.  Accepting an article or a garment to be dry cleaned or pressed by taking physical possession of the article or garment.
"(e)	Scope. This section does not apply to any bona fide student of any college or university in this State operating a pressing or dry cleaning business at the college or university during the school term of the college or university.
A person, firm, or corporation required to be licensed under this section is not required to procure the license under G.S. 105-102.5 for the same location."
Sec. 2.  G.S. 105-85 reads as rewritten:
"§ 105-85.  Laundries.
(a)	Laundry License.  Every person, firm, or corporation engaged in the business of operating a ""laundry, or engaged in the business of supplying or renting clean linen, towels, or wearing apparel, shall apply for and obtain from the Secretary of Revenue a State license for each place of business and shall pay a license tax.  The license tax is for the privilege of engaging in the business.  If a place of business does not solicit outside the county where the place of business is located, the license tax is fifty dollars ($50.00).  If a place of business solicits outside the county where the place of business is located, the license tax is one hundred dollars ($100.00).
(b)	Definitions.  The following definitions apply in this section:
(1)	Laundry.  A business where steam, electricity, or other power is used to clean fabric, including a wet or damp wash laundry, a launderette, a launderall, or a similar business. The term 'launderettes and launderalls' means commercial establishments in which automatic washing machines and dryers are installed for the use of individual customers, including those that contain coin-operated or coin-activated washing machines; however, the term does not include apartment buildings in which these machines are provided for the exclusive use and convenience of tenants of the buildings.
(2)	Place of business.  A fixed place at which a business is maintained.
(3)	Soliciting.  Accepting an article or a garment to be laundered by taking physical possession of the article or garment.
(c)	Soliciting License.  Every person, firm, or corporation engaged in the business of soliciting laundry work to be done by a place of business that is not liable for the State license tax levied in subsection (a) shall pay a tax of one hundred dollars ($100.00). The holder of a soliciting license shall carry the license in the cab of any vehicle used in soliciting in this State.  
(d)	Scope.   A person, firm, or corporation required to be licensed under this section is not required to procure the license under G.S. 105-102.5 for the same location.
(e)	Local Licenses.  A municipality may tax each place of business that is taxed under subsection (a) and is located in the municipality.  The tax may not exceed the rate provided in subsection (a).  Counties and municipalities may tax each business taxed under subsection (c).  The tax may not exceed the rate provided in subsection (c). "
Sec. 3.  This act becomes effective July 1, 1991.
In the General Assembly read three times and ratified this the 2nd day of July, 1991.

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James C. Gardner
President of the Senate

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Daniel Blue, Jr.
Speaker of the House of Representatives