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Filing frequency for North Carolina sales tax returns

  • Aug 21, 2017 | Gail Cole

 Filing sales and use tax in North Carolina.

Success comes at a price. As is the case in most states, the amount of business a company does in North Carolina determines how frequently sales and use tax returns must be filed: quarterly, monthly, or monthly with prepayments.

Filing frequency in North Carolina is determined by statute as follows:

  • Taxpayers consistently liable for less than $100 per month in state and local sales and use taxes must file returns and pay the taxes due quarterly.
  • Taxpayers consistently liable for between $100 and $20,000 per month must file and pay monthly.
  • Taxpayers consistently liable for $20,000 or more per month must make monthly prepayments of the next month’s taxes. Prepayments must be 65 percent of any of the following:
  • The amount of tax due for the current month
  • The amount of tax due for the same month in the preceding year
  • The average monthly amount of tax due in the preceding calendar year

Monthly prepayments must be filed and paid electronically. Additional information.

This summer, the North Carolina Department of Revenue is notifying approximately 8,500 taxpayers that their filing frequency is changing. Taxpayers who think they should have received such a notice but didn’t should contact the department, as should those who think they received such a notice in error. Taxpayers should never change their filing frequency without first receiving a filing frequency change notification from the North Carolina Department of Revenue.

The most effective and stress-free way to file returns in one or more jurisdictions is to automate the process. Learn more.

photo credit: efile989 via photopin cc

Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.