What is the Use Tax rate? The use tax amount is . 0675% of North Carolina taxable income. Your North Carolina taxable income is listed on line 14 of the D-400 form.

How do I report sales tax in NC?

You have three options for filing and paying your North Carolina sales tax:

1. File online – File online at the North Carolina Department of Revenue.
2. File by mail – You can use form E-500 and file and pay through the mail, but North Carolina encourages all sellers to pay online.

What is NC sales tax rate?

4.75%
North Carolina sales tax details The North Carolina (NC) state sales tax rate is currently 4.75%. Depending on local municipalities, the total tax rate can be as high as 7.5%. County and local taxes in most areas bring the sales tax rate to 6.75%–7% in most counties but some can be as high as 7.5%.

How are sales taxes imposed on products and services?

Sales taxes are state-driven. That is, sales taxes are imposed by states on transactions involving products and services sold by businesses who have a sales tax presence (called a nexus) in that state. Most states collect sales taxes on products on services.

When do resellers have to pay sales tax?

Resellers purchase items and then sell those items substantially unchanged. Generally, resellers to do pay sales tax when they purchase the items,but must collect sales tax when those items are sold to the end user.

Can a sales tax certificate be used to collect sales tax?

The sales tax certificate doesn’t apply to products that you buy for use within your company, like copy paper and office equipment. It also has nothing to do with sales taxes you collect from customers.

Do you have to pay sales tax on raw materials?

In addition, items that are purchased for resale, raw materials purchases, and items sold to non-profit organizations are generally not taxable in most states. However, since the rules vary by state, you must find out what products and services are taxable or exempt in your state.