Brunswick County Chamber of Commerce

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State and Local Taxes

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Sales Tax: All North Carolina counties levy local sales and use taxes. North Carolina/Brunswick County combined sales tax is currently 7%.

Individual Income Tax: North Carolina uses the base federal net taxable income with adjustments to figure the NC net taxable income. Tax rates are 6%, 7% or 7.75%.

North Carolina Highway Use Tax: This tax is 3% of the retail value of a motor vehicle. The tax cannot exceed $1,000 for Class A and Class B commercial vehicles and $1,500 for other motor vehicles. The tax is paid when the vehicle is purchased or when titled in North Carolina.

Real Property Tax: Brunswick County is on a permanent listing system for real property. With permanent listing, you will not receive an annual listing form for real estate and your property will automatically be listed when purchased. Real estate owners who obtain proper building permits will be automatically listed. Any property owner who builds an addition, deck, porch, carport, etc., for which he did not receive a permit, must report that improvement to the tax office. Excluded from property taxes are: manufacturers’ inventories, contractors inventories, retail and wholesale merchants inventories. If you own rental property (income-producing property), it is taxable at an assessed value of 5% of the value of the house or building in addition to the regular real property tax. You must contact the tax office if you won a rental property.

Personal Property Tax: When moving into Brunswick County, you must declare your personal property with the Brunswick County Tax Office. The Tax Office will give you a form on which you must register all non-registered motor vehicles, motors, single and double-wide motor homes, planes, watercraft, boats and mopeds. Your registered vehicles are subject to this tax but they will be declared when you register your vehicle with the County. Some items may qualify for an exemption, so ask the tax office for details.

*Ownership of property (real and personal) is determined as of January 1st of each year. If you wonder the property as of January 1st, you are responsible for the taxes for that year. Sale or transfer of the property during the year does not change that responsibility. For more information on Real and Personal Property call the Brunswick County Tax Office at (910) 253-2829 or (800) 527-9001.

Inheritance Tax: Property of interest over which the State has jurisdiction is subject to tax when title passes by will, contract, entirety or by descent and distribution. For purpose of this tax, heirs and beneficiaries are divided into three classes: Class A includes any lineal ancestor or descendant, adopted child or stepchild; Class B includes brother, sister, descendant of a brother or sister, and aunt and uncle by blood of the decedent; Class C includes all others. Exemptions include: property passing to the surviving spouse of a decedent; bequests or insurance payable to charitable, religious or educational institutions; and proceeds of insurance policies paid by the U.S. government, or on its behalf, to the estate or beneficiaries of military veterans. Qualified Class A beneficiaries as a group are given a $33,150 tax credit. For a single Class beneficiary, the credit is equivalent to a value of $600,000. The rate will vary and is dependent on the amount and Class.

Gift Tax: Gifts of $10,000 or less per year to any individual are not taxable. Gifts to spouses are exempt, including property given to a spouse as a qualified terminable interest property under federal law. A lifetime exemption of $100,000 is allowed each donor for gifts made to Class A donees, including the donor’s lineal issue, lineal ancestor, adopted child or stepchild of donor. When this exemption or any part thereof is applied against gifts to more than one donee, it is apportioned among the donees in the same ratio as the gross gift after exclusion to each donee is to the total gifts to Class A donees in the calendar year in which the gifts are made.

For more information on North Carolina state taxes, visit the North Carolina Department of Revenue’s website at www.dor.state.nc.us or call (919) 733-4548.