NORTH CAROLINA GENERAL ASSEMBLY

1975 SESSION

 

 

CHAPTER 812

HOUSE BILL 1032

 

 

AN ACT TO AMEND G.S. 105-116 TO PROVIDE THAT THE SIX PERCENT (6%) GROSS RECEIPTS TAX SHALL NOT BE APPLICABLE TO PROCEEDS OF DRILLING AND EXPLORATION SURCHARGES COLLECTED BY NATURAL GAS UTILITIES UNDER RULES OF THE UTILITIES COMMISSION.

 

The General Assembly of North Carolina enacts:

 

Section 1.  Subsection (c) of Section 116 of Chapter 105 of the General Statutes of North Carolina is amended by deleting the period at the end thereof and adding the following:

"; provided further, that said tax shall not be applicable to special charges collected within this State by natural gas utilities pursuant to drilling and exploration surcharges approved by the Utilities Commission, where such surcharges are segregated from the other receipts of the natural gas utility and are devoted to drilling, exploration and other means to acquire additional supplies of natural gas for the account of natural gas customers in North Carolina and where the beneficial interest in said surcharge collections is preserved for the natural gas customers paying said surcharges under rules established by the Utilities Commission."

Sec. 2.  This act shall become effective upon its ratification.

In the General Assembly read three times and ratified, this the 24th day of June, 1975.