Feel free to thank the legislature and governor for these new or increased sales taxes for 2014:
- Manufactured homes sales tax rate up to 4.75%, previously was 2%. Also removed the maximum tax. Excluded from local sales tax.
- Raised rate on electricity sold to commercial laundries from 2.83% to 7%*, effective 7/1/2014. [Why did they ever get a special rate?]
- Raised rate on electricity from 3% to 7%*, effective 7/1/2014.
- Modular home sales tax rate now 4.75% up from 2.5%. Excluded from local sales tax.
- Sales tax of 4.75% now applies to admission tickets to entertainment events – such as movie tickets, concerts, and museums. Prior to 2014, admission tickets were not subject to sales tax. Some admission tickets are still exempt, such as for elementary and secondary school sponsored events. Previously the tax ranged from 0% to 1%.
- Meals and food served to students no longer exempt from the 4.75% rate.
The following exemptions are repealed (now subject to the general sales tax rate of 4.75%):
- Service contracts (e.g. extended warranties), 01/01/2014
- Nutritional supplements sold by a chiropractor, 01/01/2014
- Bakery items sold by a bakery thrift store, 07/01/2014
- Newspapers except only half the sales price of newspapers sold in vending machines, 01/01/2014. [Got to wonder why a newspaper from a vending machine is different than one from a store.]
- Piped natural gas, 01/01/2014
- Sales tax holiday eliminated
- Energy Start sales tax holiday eliminated
Renewed sales tax breaks [Special industries?]:
- Passenger air carriers refund of sales tax extended from 12/31/2013 to 12/31/2015. Think airlines such as Delta and Southwest.
- Also extended refunds for Motorsports teams and Motorsport sanctioning bodies until 12/31/2015. Think NASCAR and NASCAR teams.
* These are the combined state and local rates. Most of the other rates are just for the state and the local tax rate has to be added to it to get the total sales tax rate. For example, in Wake County the local rate is generally 2% so the combined rate is 4.75% state plus 2% county for a total of 6.75%.
photo credit: USDAgov via photopin cc