Implementation of the state’s new “Tag and Tax” program, previously scheduled to roll out Monday, has been delayed until Sept. 1.
The new system, which allows people to purchase vehicle tags while paying tax at the same time, was initially supposed to begin with registered-vehicle renewals on or after July 1. It has been pushed back due to the transition in some partners’ software not being complete, Lincoln County officials said in a news release issued Thursday.
The initiative, resulting from a law passed by the North Carolina General Assembly, has the intent of combining motor-vehicle registration renewal and property-tax collections into one process, with the North Carolina Division of Motor Vehicles administering the combined system.
With the change, Lincoln County, and all other counties in the state, will now rely on the DMV to bill and collect motor-vehicle taxes after Sept. 1.
Under the old system, vehicle registration and taxes were processed separately. Rather than receiving a notice for registration renewal and, three months later, receiving a notice regarding tax payment, vehicle owners will now receive a new combined notice that includes both, due at the same time.
Additional instructions released by the county regarding the “Tag and Tax” program include:
Any vehicle tag with a renewal date or purchased prior to Sept. 1 will still receive a tax notice three months after the renewal or purchase date. This notice will be paid to the Lincoln County Tax Department and must be paid prior to the next renewal of that tag. For any vehicle tag renewed or purchased after Sept. 1, the tax must be paid at the time of renewal or purchase. Any outstanding tax will have to be paid before the DMV will allow a renewal.
September registered-vehicle renewals will be mailed around the end of June or the first of July. These renewals will be under the new system of tag-and-tax combined payment. The county will continue to bill for any vehicles with a renewal date of July or August until the next renewal period. Any vehicle tag with a renewal date prior to Sept. 1 that is renewed late will be billed by the Tax Department, with the next renewal period billed on the new system.
If renewing after Sept. 1 and there is an outstanding tax amount, it will have to be paid at the Tax Department first. A receipt will be provided that will need to be taken to the license plate agency. At that time, the renewal fee and current year tax are to be paid simultaneously under the new tag-and-tax system.
The Tax Department will continue to collect all delinquent tax on vehicles not registered through the new system.
For more information, contact the Lincoln County Tax Department at (704) 736-8555.