Motor Vehicle Tax Information

1. According to NC General Statute 105-330 all licensed vehicles (cars, trucks, trailers, etc.) are designated as special class of personal property. The Tax Collector cannot send property tax bills for licensed vehicles to mortgage companies for payment. The tax bill will be mailed directly to the owner of the vehicle.
   
   NOTE: All unlicensed motor vehicles and vehicles with permanent tags (multi-year tags) MUST be listed each year in January on a Personal Property Listing Form.
2. You will receive a bill four months following the date your vehicle registration is renewed or expires (providing your current address is on file at the NC DMV – Post Office may not be able to forward).
3. Interest will begin five months after your registration month, regardless of your renewal date. Interest begins at 5% on the fifth month and increases by ¾% each month thereafter. Collection enforcement procedures are initiated once interest begins. No discounts allowed on motor vehicle bills.
4. You must provide a current situs (physical location) and mailing address to the NC Division of Motor Vehicles at all times.
5. Taxing District/Tax Rate: Your tax district and rate are determined by the principal location of the vehicle’s owner on the date that the registration is newly registered or annually renewed, determined by the situs (physical location) address on file with NC DMV. NOTE: Listing a PO Box address only may result in an incorrect Tax District and Tax Rate being applied to your vehicle tax bill.
6. Vehicle Value: All licensed vehicles are valued annually as of January 1 of the renewal year at current market value.
7. Block Date: If taxes are not paid in full prior to the block date which appears on the front of your bill, the NC DMV will not send your vehicle registration renewal. If this occurs, you must provide the NC DMV with a paid tax receipt from the Tax Collection Division in order to renew your vehicle registration. NOTE: Payments on blocked vehicle bills must be made with certified funds or cash (do not mail cash) – no personal checks will be accepted. Blocks can generally be removed automatically if you pay your bill by credit card, by dialing 1-866-441-6614.
8. Plate Transfer: If you have transferred the vehicle license plate that is shown on this bill since it was renewed to another vehicle, this bill remains in force and must be paid. Your new vehicle will be reflected on your tax bill during the next billing cycle.
9. Sold/Transferred vehicle ownership: To apply for a release, refund or proration, the owner must present two (2) documents to the County Tax Collector within three hundred sixty-five (365) days from the date on the license plate surrender receipt from DMV (form FS20). All documents must be approved.

   Document 1: NC DMV form FS20 “Receipt of Surrender of Tags” (See *NOTE below)
   Document 2: Proof of ownership transfer and/or Bill of Sale

10. Vehicle owner moved out of state: To apply for a release, refund or proration, the owner must present the following documents to the County Tax Collector within three hundred sixty-five (365) days from the date on the DMV license plate surrender receipt. All documents must be approved.

    Document 1: NC DMV form FS20 “Receipt of Surrender of Tags” (See *NOTE below) (NC tags need to be returned to NC DMV to get FS20 receipt)
    Document 2: Copy of application for out-of-state registration for the motor vehicle OR
    Document 3: Copy of the out-of-state title of the motor vehicle OR
    Document 4: Registration card for the out-of-state motor vehicle.

    *NOTE: License plates must be surrendered to NC DMV prior to expiration; taxes will be owed for any partial months plate is active, as any proration/refund/release is calculated on a monthly basis, not daily.
11. Appeals: The value of the vehicle for tax purposes must be appealed to Cumberland County within 30 days after the billing date which appears on the front of this bill. Per N.C.G.S. 105-312-(d), an owner who appeals the appraised value of a classified motor vehicle shall pay the tax on the vehicle when due, subject to a full or partial refund pending the outcome of the appeal. Interest will accrue on unpaid amounts. Please address your appeal to the Customer Service Division, PO Box 449, Fayetteville, NC, 28302. You may call (910) 678-7507 or fax to (910) 678-7582.
    
12. Military: Subject to tax at their home of record.
    
    • Check the EXEMPTION box on the front of the bill. If an *M appears to the left of the EXEMPTION box this indicates that either the full tax value or one-half (1/2) of the tax value exemption has already been applied to the tax bill * . The Motor Vehicle Privilege Tax and the Transit Fees (Hope Mills & Stedman, and the additional Transit fee for the City of Fayetteville and Spring Lake) are exempt ONLY if the FINAL VALUE box is '0'.
    • Active Duty NON-RESIDENT military personnel may be exempt from NC ad valorem tax. To apply for the Active Duty NON-RESIDENT exemption for personal property, please submit to the Tax Collector:
      
      L.E.S. (Leave & Earnings Statement) – to Customer Service Division, P. O. Box 449, Fayetteville NC, 28302-0449. L.E.S. must be for end of month and year the vehicle was last registered with DMV and include the ETS date, or fax L.E.S. to (910) 678-7582.
      DO NOT MAIL L.E.S. TO OUR CHARLOTTE ADDRESS.

    * NOTE: Spouses and/or children ARE NOT EXEMPT unless they are also active duty military nonresidents. Any personal property titled jointly is taxable on ½ the value of personal property. If your property is ½ taxable, mail both the L.E.S. and payment to the Tax Collection Division, P.O. Box 449, Fayetteville NC, 28302-0449.

    ► LEASED VEHICLES HOUSED OUTSIDE A MILITARY INSTALLATION ARE NOT EXEMPT

    North Carolina General Statute 105-357 provides that a penalty of $25.00 or 10% of the amount of the check or electronic check, whichever is greater, will be charged for checks returned due to insufficient funds. Tax receipts are null and void if paid with a check that fails to clear the bank.

If you have further questions, please contact our office at (910) 678-7507.