GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2015
H 3
HOUSE BILL 912
Committee Substitute Favorable 7/16/15
Senate Finance Committee Substitute Adopted 9/21/15
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Short Title: Taxation of Tribal Land and Tobacco Products. |
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Sponsors: |
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Referred to: |
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April 20, 2015
A BILL TO BE ENTITLED
AN ACT to exempt real and personal property located on tribal lands from property tax regardless of ownership and to authorize the department of revenue to enter into an agreement with the Eastern band of cherokee indians regarding the taxation of tobacco products, AND TO AMEND THE REQUIREMENTS FOR DISTILLERY PERMIT HOLDERS TO SELL SPIRITUOUS LIQUOR DISTILLED ON PREMISES TO VISITORS OF THE DISTILLERY.
The General Assembly of North Carolina enacts:
SECTION 1.(a) G.S. 105‑275 is amended by adding a new subdivision to read:
"§ 105‑275. Property classified and excluded from the tax base.
The following classes of property are designated special classes under Article V, Sec. 2(2), of the North Carolina Constitution and are excluded from tax:
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(48) Real and personal property located on lands held in trust by the United States for the Eastern Band of Cherokee Indians, regardless of ownership."
SECTION 1.(b) This section is effective for taxes imposed for taxable years beginning on or after July 1, 2016.
SECTION 2. The Department of Revenue may enter into an agreement with the Eastern Band of Cherokee Indians in regards to the excise tax on tobacco products administered under Article 2A of Chapter 105 of the General Statutes. The agreement must be approved by the Tribal Council of the Eastern Band of Cherokee Indians and signed by the Principal Chief of the Eastern Band of Cherokee Indians on behalf of the Eastern Band of Cherokee Indians and must be signed by the Secretary of Revenue on behalf of the Department of Revenue. The agreement may be effective for a definite period of time or an indefinite period, as specified in the agreement.
SECTION 3.(a) G.S. 18B-1105(a)(4), as amended by S.L. 2015-98, reads as rewritten:
"(4) Sell spirituous liquor distilled at the
distillery in closed containers to visitors who tour the distillery for
consumption off the premises if the distillery manufactures less than
100,000 proof gallons per year. premises. Sales under this
subdivision are allowed only in a county where the establishment of a county or
municipal ABC store has been approved pursuant to G.S. 18B 602(g) and are
subject to the time and day restrictions in G.S. 18B 802. Spirituous liquor
sold under this subdivision shall (i) be listed as a code item for sale in the
State, (ii) be sold at the price set by the Commission for the code item
pursuant to G.S. 18B 804(b), and (iii) have affixed to its bottle a sticker
that bears the words "North Carolina Distillery Tour Commemorative
Spirit" in addition to any other labeling requirements set by law.
Consumers purchasing spirituous liquor under this subdivision are limited to
purchasing, and the selling distillery is limited to selling to each consumer,
no more than one bottle of spirituous liquor per 12 month period. The
distillery shall use a commonly adopted standard point of sale system to
maintain searchable electronic records captured at the point of sale, to
include the purchaser's name, drivers license number, and date of birth for at
least 12 months from the date of purchase. The Commission shall adopt rules
regulating the retail sale of spirituous liquor under this subdivision."
SECTION 3.(b) G.S. 18B-804 is amended by adding a new subsection to read:
"(b1) Price of Spirituous Liquor Sold at Distillery. – When the holder of a distillery permit sells spirituous liquor distilled at the distillery pursuant to G.S. 18B-1105(a)(4), the retail price of the spirituous liquor shall be the uniform State price set by subsection (a) of this section. However, the holder of the distillery permit shall not be required to remit the components of the price set forth by subdivisions (2), (3), (5), (6), (6a), (6b), and (7) of subsection (b) of this section."
SECTION 4. Except as otherwise provided, this act is effective when it becomes law.