GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1993

H	1 

HOUSE BILL 75

Short Title:  Intangibles Tax Filing Extension.	(Public)
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Sponsors: Representatives Gamble, Jarrell, Justus, Luebke, and Tallent.
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Referred to:  Finance.
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February 9, 1993

A BILL TO BE ENTITLED
AN ACT TO MAKE THE RULES FOR AN INTANGIBLES TAX FILING EXTENSION THE SAME AS FOR AN INDIVIDUAL INCOME TAX FILING EXTENSION.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 105-206 reads as rewritten:
"§ 105-206. When taxes due and payable; date lien attaches; returns; tax situs.
(a)	'Person' Defined. – As used in this section, the term 'person' has the meaning provided in G.S. 105-228.90.
(b)	When Taxes Due. – The taxes levied in this Article become due and payable on April 15 of each year.
(c)	Lien. – The lien of a tax levied in this Article attaches to all real property of the taxpayer on December 31 preceding the date the tax becomes due.  The lien continues until the tax and any interest, penalty, and costs associated with the tax are paid. 
(d)	Returns. – Every person who owns, or handles on behalf of the owner, intangible personal property that has a tax situs in this State and is taxable under this Article shall file an intangibles tax return with the Secretary.  The return shall be in the form required by the Secretary and shall contain any information the Secretary requires.  The return shall be filed on or before April 15 of each year.  A taxpayer may ask the Secretary for an extension of time to file a return under G.S. 105-263.
(e)	Tax Situs. –  Intangible personal property owned or held by a resident of this State has a taxable situs in this State. Intangible personal property acquired in the conduct of business in this State and held by a person doing business in this State has a taxable situs in this State, regardless whether it is kept inside the State or it is transferred to a related person.  Intangible personal property of the estate of a resident of this State has a taxable situs in this State.
A person engaged in this State, as principal or agent or on behalf of another, in dealing in or handling intangible personal property is considered to be doing business in this State for the purpose of this Article.  The person on whose behalf the business is conducted is also considered to be doing business in this State for the purpose of this Article.  If the person doing business in this State is a corporation, the corporation that substantially owns or controls it is also considered to be doing business in this State.
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Sec. 2.  G.S. 105-263 reads as rewritten:
"§ 105-263.  Extensions of time for filing a report or return.
The Secretary may extend the time in which a person must file a report or return with the Secretary.  To obtain an extension of time for filing a report or return, a person must comply with any application requirement set by the Secretary.  In addition, if the extension is for a franchise tax return, an income tax return, a gift tax return, or an intangible personal property tax return, the person must pay the amount of tax expected to be due with the return by the original due date of the return; an extension of time for filing one of these returns does not extend the time for paying the tax due or the time when a penalty attaches for failure to pay the tax.
If the extension is for a report or any return other than a franchise tax return, an income tax return, a gift tax return, or an intangible personal property tax return, the person is not required to pay the amount of tax expected to be due with the report or return by the original due date of the report or return; an extension of time for filing a report or one of these other returns extends the time for paying the tax due and the time when a penalty attaches for failure to pay the tax.  When an extension of time for filing a report or return extends the time for paying the tax expected to be due with the report or return, interest, at the rate established pursuant to G.S. 105-241.1(i), accrues on the tax due from the original due date of the report or return to the date the tax is paid."
Sec. 3.  This act is effective upon ratification.