Your County’s Dirty Little Secret, Part 2/3

Okay, so now we know that there are types of property excluded from taxation. No surprise– they don’t tax your blankets, for example. You knew that.

Let’s look at the specifics of exclusion, from…

“Article 12.

Property Subject to Taxation.

§ 105-274.  Property subject to taxation.

(a)        All property, real and personal, within the jurisdiction of the State shall be subject to taxation unless it is:

(1)        Excluded from the tax base by a statute of statewide application enacted under the classification power accorded the General Assembly by Article V, § 2(2), of the North Carolina Constitution, or

(2)        Exempted from taxation by the Constitution or by a statute of statewide application enacted under the authority granted the General Assembly by Article V, § 2(3), of the North Carolina Constitution.

§ 105-275.  Property classified and excluded from the tax base.

The following classes of property are designated special classes under Article V, Sec. 2(2), of the North Carolina Constitution and are excluded from tax:

(1)        Repealed by Session Laws 1987, c. 813, s. 5.

(2)        Tangible personal property that has been imported from a foreign country through a North Carolina seaport terminal and which is stored at such a terminal while awaiting further shipment for the first 12 months of such storage. (The purpose of this classification is to encourage the development of the ports of this State.)

(16)      Non-business Property. – As used in this subdivision, the term “non-business property” means personal property that is used by the owner of the property for a purpose other than the production of income and is not used in connection with a business. The term includes household furnishings, clothing, pets, lawn tools, and lawn equipment. The term does not include motor vehicles, mobile homes, aircraft, watercraft, or engines for watercraft.”

Holy crap, that’s a lot to wade through to get to #16. That tells you something right there. Surely, a whole class of property that is excluded by nature should get its own heading, and be clearly stated. Instead, the legislature sees fit to put this in the middle of pages and pages of “Moose Lodge” this and “Elks Lodge” that.

So, non-business property is not taxable. Non-business, therefore, falls outside the scope of the state’s jurisdiction. It is excluded. This is a working definition of the state’s ability to tax- it can tax business property.  You don’t need to ask for an exemption; it is excluded from the start. The definition of business is that it is some activity done by privilege granted by the state. Therefore they can tax it.

Are you living in your house and mowing the lawn as a privilege? Me neither. I have a right to own private property. I will never declare my land to be real estate, real property or anything else that creates a presumption of jurisdiction on the part of the state/county.

“Non-business property… The term does not include motor vehicles, mobile homes, aircraft, watercraft, or engines for watercraft.”

Do you have to be TOLD that your house is non-business property? It certainly doesn’t say that it isn’t included in “non-business property”.

I will leave you to make your own judgment about how many presumptions are wrong, how many people are taxed incorrectly, how many people lose needed money this way, how many take sick/vacation go to court over this, how many lose homes for tax debts… I wouldn’t want to color your opinion.

Continued in part 3…

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6 thoughts on “Your County’s Dirty Little Secret, Part 2/3

  1. Be careful. What you are referencing doesn’t included “real” property !
    You sound like the type of free thinker that would like to know about North Carolina American Republic ( this is the home state site for 12th state of North Carolina since 1997 ) . You are welcome to contact me at : 704-942-6516 my name is Jim

    • Hi Jim- I will check out the site when I get the time.

      Can you clarify what your concern is?

      I believe that my post from today clarifies the fact that “Non-business personal property” can indeed include a house.

      Good to hear from you!

      Commonlawman

  2. I just realized that last post I was referring to never showed up. Hopefully it is still in my history and I can publish rather than re-write. It is well worth checking back for, as it shows that land and houses can definitely be personal, non-business property and thus excluded from taxing jurisdiction.

  3. Hello and greetings im going through probate recovering property and wanted to know how to apply the laws. for this administered procedure. Thanks rael

  4. I’m in North Carolina as well. I have made some interesting observations regarding tax ‘bills’ the county has been sending me.
    The first thing I noticed is that they are naming the ‘owner’ as the all caps legal fiction straw man even though the deed states that the property is owned by me in my proper appellation.
    Of course the county and the tax assessor for the county are privately held companies [look up yours on manta.com or Dunn and Bradstreet] who have contracted to provide governmental services to the people.
    Ten years ago I recorded my common law claim of Trade Mark/Trade Name in the county records and the tax collector has been in violation of said claim by not obtaining written permission to use it. There’s a hefty penalty for unauthorized use but I’ll save that for later if they refuse to concede.
    The second thing I noticed was that all “tax, fees” are listed in one box, “assessed values” are all listed in another box, and “amount due” is listed in a 3rd box.
    The interesting part of all this is that:
    #1. Not one figure in any of the boxes has a dollar sign [$] in front of it nor does it have “USD” after any figure amount. I’m surmising that they know they have no lawful claim to tax the property and by not stating any amount in U.S. dollars they can avoid any presumption of fraud on their part. In other words, they’re hoping that everyone will assume they mean U.S. dollars and voluntarily pay in U.S. dollars that the county will then claim is a donation.
    I have seriously considered going down and handing them a bag containing 4500 pinto beans and telling them to keep the change. That should cover the 3780.56 in the ‘amount due’ box.
    I’m also prepared for another submission, if they redo the bill and put only a $ sign in front of the 3780.56. Since the $ sign is also used in 12 other countries I can get Colombian Pesos [they use the $ sign too] and the exchange rate is over 2000 to 1. Since they don’t specify what legal tender or even if they are requiring any legal tender at all, I don’t think they have a leg to stand on.
    #2. As I said before, all their figures, “tax, fees”, “assessed values”, and “amount due” are all enclosed in boxes. Under the 4 corners doctrine anything enclosed in a box or brackets [ ] is not part of the document itself and is only there for informational purposes. It has no legal significance. Does this smell like a rotten scam to you?

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