Brand New Changes To Sales Tax On Labor

Last Friday, Governor Roy Cooper signed SB 628 (various changes to the revenue laws), which among other provisions, contained several clarifying changes to sales and use tax on labor applicable to residential construction.

Click here to view a brief description of the sales tax law supported by the North Carolina Home Builders Association (NCHBA).

(Source:  NCHBA)

REBIC Announces Endorsements for Charlotte City Council Primary

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General Assembly Passes Tax & Regulatory Reform Bills During Daylong Session

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Returning to Raleigh for a brief session last Thursday, the North Carolina General Assembly completed work on two bills that will provide clarity to the state’s tax law and reduce the cost of redevelopment.

Both chambers agreed to a conference report for SB 628 (Various Changes to Revenue Laws). This bill contains numerous provisions sought by our legislative team to simplify and clarify recent changes to sales tax on repair, maintenance, and installation (RMI) services. Perhaps the most significant change increased the “mixed transaction” threshold (which is a project that includes both a capital improvement and one or more RMI services).

Under current law, if the RMI portion of the project is less than 10%, it is exempt from sales tax on labor. This bill increases the percentage to 25% or less of the cost of the entire project. This increase means that most traditional residential remodeling jobs will be exempt from sales tax on labor even if they include significant repair items unrelated to the remodeling. New construction is already exempt from sales tax on labor because, by definition, it is a “capital improvement.” Continue reading

EPA Releases Rule to Withdraw WOTUS

IMG_0072Fulfilling a portion of an executive order by President Donald Trump, the EPA and U.S. Army Corps of Engineers have released a proposal to rescind the Waters of the United States rule that expanded federal jurisdiction under the Clean Water Act.

The proposal (link is external) published in the Federal Register on Thursday, July 28 would nix the 2015 WOTUS rule and reinstate the definition of the streams and wetlands subject to federal oversight under the act that existed prior to its finalization.

The publication of the proposal constitutes the first part of a two-step process to meet the Feb. 28 executive order directing the rule’s review. The second step will be “a separate notice and comment rulemaking that will consider developing a new definition” for the extent of federal jurisdiction under the act, say the EPA and Corps in a pre-publication copy of the proposed rescission.

The embattled regulation was stayed by the 6th Circuit Appeals Court in October 2015. The rule’s opponents have said it defined federal jurisdiction too broadly and granted undue control to the government.

Repeal of WOTUS would be a major victory for property owners across the nation, and has been heavily supported by the National Association of Realtors® (NAR), the National Association of Home Builders (NAHB) and other industry groups.

Source: National Association of Realtors®

 

Charlotte Updating Land Development Standards Manual

Development Services

The Charlotte Land Development Standards Manual (CLDSM) Committee determined that updates are required to various City land development standard details.  Throughout the month of July, a PDF file of the draft revised details is available for download from the CLDSM webpage at http://charlottenc.gov/cldsm for public review and comment.  Prior to the proposed effective date of July 31st, 2017, please provide any feedback or comments on the proposed changes via e-mail to Brendan Smith, E&PM Land Development Division at bmsmith@charlottenc.gov.  Also, if you haven’t already, be sure to click the “Notify Me” icon at the top of the page http://charlottenc.gov/cldsm to add your e-mail address to the notification list to stay up to date on future announcements and revisions of the standards manual.

(Source:  Engineering and Property Management – Land Development Division)

 

General Assembly Adjourns, Sending Key Building Industry Bills to Governor

legislative_building_5The 2017 Session of the North Carolina General Assembly adjourned at 2 a.m. on June 30th, after one of the most hectic weeks of legislative activity in memory. With much left undone, legislators announced they will return to Raleigh on August 3rd to consider a limited range of topics (e.g., any veto overrides, bills that were in conference at the end of the session, potential redistricting issues). Further action on other legislation must wait for next year’s “short” session, set to convene on May 16, 2018.

The key legislation for the real estate and building industry are summarized below: Continue reading

Mecklenburg County Code Enforcement Releases Results of Customer Satisfaction Survey

During Tuesday’s meeting of the Building Development Commission (BDC), Ed Gagnon, a consultant with Customer Service Solutions, Inc. provided a presentation detailing the results of a recently conducted customer satisfaction survey.  Responses indicated those surveyed were generally more pleased than they had been during a similar survey conducted in 2014.  However, the top areas of concern (ability to reach the right person, timeliness of permit request process, and timeliness of inspections) are the same as they were three years ago and appear to be more significant concerns.  For a summary of the results, please click the following link:

LUESA Customer Service Survey 2017