17 NCAC 07B .2002 GIFTS TO EMPLOYEES
Gifts of tangible personal property by any employer, manufacturer, processor, wholesaler, distributor or jobber to his employees or other persons are subject to the applicable statutory state and local sales or use tax, unless the donor paid sales or use tax on the sales or purchase price of the donated property at the time he acquired the same. The tax due by reason of any such gift shall be paid by the donor and shall be computed on the donor's cost price of the property donated, irrespective of whether fabricated, produced, manufactured or processed by the donor, or acquired elsewhere.
History Note: Authority G.S. 105‑164.4; 105‑164.6; 105‑262; Article 39; Article 40; Article 42; Article 43; Article 44;
Eff. February 1, 1976;
Amended Eff. April 1, 2006; October 1, 1993; October 1, 1991.