A 1% tax is applicable to all prepared food and beverages sold at retail for consumption, on or off the premises, and applies to any retailer with sales in Cumberland County subject to sales tax imposed by the State of North Carolina under N.C.G.S. §105-164.4(a). This tax is in addition to the combined state and local sales tax collected and remitted to the North Carolina Department of Revenue.
Prepared Food and Beverage is defined as any food or beverage which has been altered by preparing, combining, dividing, heating or serving in order to make the food or beverage available for immediate consumption. Please see the Bulletin from the NC Department of Revenue for further explanation.
The customer is charged the prepared food and beverage tax as part of their total sale. The business collects the tax and holds it as a trustee for the county, then remits to the county monthly on or before the 25th day of the month following the month in which the tax accrues. For example, tax collected during the month of June must be reported and paid by July 25th.
The return may be filed by personal delivery to the office of the Tax Collector, located in the new courthouse, 117 Dick Street Suite 527, Fayetteville, or by mail to the Cumberland County Tax Collector, PO Box 449, Fayetteville, NC 28302-0449. Returns submitted by mail shall be deemed to be filed as of the date shown on the postmark affixed by the United States Postal Service. If no date is shown on the postmark, or if the postmark is not affixed by the United States Postal Service, the return shall be deemed to be filed when received in the office of the Tax Collector. A return must be filed monthly, even if there are no taxes due!
Failure to File Return - In case of failure to file any return on the date it is due, the county shall assess a penalty equal to 5% of the amount of the tax if the failure is for not more than one month, with an additional 5% for each additional month, or fraction thereof, until the return is filed. The penalty shall not exceed 25% of the tax.
Failure to Pay Tax When Due - In the case of failure to pay any tax when due, the county shall assess a penalty equal to 10% of the tax.
PLEASE NOTE: Closing, Transferring or Selling Business - The Tax Collector must be notified forty-eight (48) hours in advance of a change in address, or ownership, or if business operations cease!
Should you have any questions or require additional information, please contact our office at (910) 678-7590 or by email at email@example.com.
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