NC H861

Authorizes counties to levy a local meals tax of up to 1% on prepared food and drink sold at retail, subject to voter approval in a special election, with net proceeds distributed quarterly to cities and counties on a per capita basis.

Authorizes cities and counties to levy a local occupancy tax of up to 3% for cities and up to 6% for counties (combined with city rates) on hotel and lodging rentals, subject to voter approval, with proceeds usable for any lawful purpose or restricted purposes as approved by voters.

Authorizes counties to levy a local excise tax of up to 1% on conveyances of real property, subject to voter approval, with net proceeds distributed between the county and cities according to local sales tax distribution formulas.

Establishes a new Chapter 159J authorizing cities and counties to impose impact fees on new construction to fund capital costs of community service facilities including water/sewer, parks, streets, schools, fire stations, libraries, and solid waste facilities, with provisions for public hearings, separate reserve funds by facility type, and developer appeals.

Changes payment deadlines from the 25th to the 15th of the month for existing local meals tax obligations in Chatham County and Hillsborough, and updates confidentiality provisions for tax returns.