NOTE
USE TAX
The Department of Revenue
reviews information on newly Department’s Taxpayer Assistance INFORMATION
Division at 1-877-252-3052 (toll
registered boats and determines
free) or in writing to the Taxpayer
FOR NEWLY
whether use tax has been Assistance Division, North REGISTERED
properly paid. The Department Carolina Department of Revenue,
Post Office Box 25000, Raleigh, BOATS
sends out notices to purchasers if North Carolina 27640.
it is determined that use tax has
Form E-555 is available on the
not been paid. If the acquisition
Department’s website at
of a boat is exempt for one of the www.dornc.com or can be obtained
reasons set out in the brochure,
by telephone at the toll-free number
listed above. Information is also
the notice should be returned to available on the website for
the Department with an taxpayer service center locations
and operating hours.
explanation as to the reason for
the exemption. NC Department of Revenue
501 N. Wilmington Street
PO Box 871
Raleigh, NC 27602-0871
Phone: 919-733-4433
Fax: 919-733-1821
USE TAX What If I Buy Through an NC by the end of the month in
which the purchase was made to
Registered Dealer?
the North Carolina Department of
INFORMATION FOR A boat dealer located in Revenue, Post Office Box 25000,
North Carolina (or a dealer located Raleigh, North Carolina 27640. A
NEWLY REGISTERED in another state that is engaged in
check or money order should be
made payable to NCDOR (North
BOATS business in North Carolina Department of Revenue).
Carolina) is liable Payment in cash can only be
YOU MAY OWE TAX! for collecting the made at a local taxpayer service
applicable amount center of the
Sales of new or used boats Department of
of tax from the
are subject to a 3% State sales Revenue. If sales
purchaser and remitting the tax
or use tax with a maximum tax or use tax was
collected to the North Carolina
of $1,500.00 per boat. (Local paid to another
Department of Revenue. state on the pur-
and sales and use taxes are not
chase of the boat,
imposed on the sale of a boat.)
credit is allowed
The tax is due on the gross sales What If My Boat Was against the North
price of the boat without any al- Purchased Out-of-State? Carolina use tax due.
lowance for a trade-in.
If a boat is purchased from a
Boat trailers are subject dealer located in another state that
What If I Purchased From
to the 3% highway use tax and is not required to collect North
Carolina tax, the purchaser is an Individual?
are not subject to sales or use
liable for remitting the applicable Sales of boats by individu-
tax. The
amount of use tax due on the als or other sellers that are not
highway purchase of the boat. You will engaged in the business of selling
use tax is need to pay your tax directly to the boats constitute occasional or
due to be NC Department of Revenue. Use isolated sales and are not subject
paid upon Form E-555, Boat and Aircraft to sales or use tax. Boats ac-
application Return, which is available on the quired by some means other than
for a certificate of title with the web or through the Department. a sale, such as a gift or inheri-
North Carolina Division of Motor The return and payment of tance, are not subject to sales or
the tax due should be submitted use tax.
Vehicles.