NC H17

Authorizes municipalities in Brunswick County to levy a 0.5% tax on prepared food and beverages sold at retail upon majority approval in a referendum, in addition to state and local sales taxes.

Tax applies to prepared food, alcoholic beverages, and catering services; exempt from tax are boardinghouse meals, vending machine sales, grocery store items (except delicatessen), federal military reservation sales, and employer-provided meals.

Tax revenue must be collected monthly by retailers with returns due by the 20th of each month; municipalities may enter an agreement with Brunswick County or administer the tax directly.

Municipalities may deduct up to 3% of gross proceeds for administration costs, with remaining proceeds designated for beach nourishment or construction and improvement of public infrastructure and facilities.

Tax becomes effective on the first day of a calendar month no earlier than four months after municipal resolution adoption; repeal or reduction may only occur at the end of a fiscal year.