Effective July 1, 2011, the North Carolina portion of the state sales and use tax rates are scheduled to decrease from 5.75% to 4.75%. The total rate for Mecklenburg County (including county and transit sales tax) is currently 7.25% and would decrease to 6.25%. Most other counties in North Carolina are currently at 6.75% and would decrease to 5.75%. Mark your calendars if you are collecting sales tax from your customers, but watch for proposed legislation that would affect this decrease in rates. We will keep you posted as we are updated on changes.

For more information, you can visit the NC Department of Revenue website.

NC Sales Tax Increase goes into affect on Septemeber 1st.

Just a reminder that the North Carolina state sales tax rate will increase by 1% on Tuesday, September 1, 2009.  For Mecklenburg county and the Charlotte area, that means the new sales tax rate will be a whopping 8.25% on goods (9.25% for prepared foods/restaurants).  For those counties without special rates, the rate will increase to 7.75%. 

This special rate was put into effect by Governor Bev Purdue and is scheduled to end on July 1, 2011 — unless it gets extended…. 

You can still make a run for the border to neighboring York county where the rate continues to be 7%.  On large purchases, this could add up but make sure you are penny wise and not pound foolish — add the cost of gas to your analysis to see if it is worth it to make the drive.

For full details and rate changes by county, you can visit the NC Department of Revenue site at http://www.dornc.com/taxes/sales/rate_increase2009.html.