Agenda 02-01-22; 8-b - Refund of Overpayment of Excise Tax

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1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: February 1, 2022 Action Agenda Item No. 8-b SUBJECT: Refund of Overpayment of Excise Tax DEPARTMENT: Register of Deeds ATTACHMENT(S): INFORMATION CONTACT: Refund Request Letter from Canaday Law Mark Chilton, 245-2679 Firm With Recorded Deeds and Amy McLamb, 245-2677 Receipts, Copy of Recorded Affidavit of Correction and Relevant NC General Statutes PURPOSE: To consider a refund of overpayment of excise tax of$406 to the Canaday Law Firm. BACKGROUND: North Carolina General Statute 105-228.37 sets forth the procedure for requesting a refund of overpayment of excise tax. The statute states a taxpayer who pays more than is due may request a refund by filing a written request for a refund with the Board of County Commissioners of the county where the tax was paid, and must explain why the taxpayer believes a refund is due. On February 19, 2021, the Canaday Law Firm submitted a Deed for electronic recording. The Deed, recorded in Book 6706 Page 1332, reflects $406 to be paid in excise tax, which was collected at the time of recording. On March 18, 2021, the Canaday Law Firm submitted a corrective Deed, recorded in Book 6711 Page 2160. The corrective Deed reflects $610 to be paid in excise tax, which was collected at the time of recording. The Canaday Law Firm's intent was to record the corrective Deed (Book 6711 Page 2160 reflecting $204 in excise tax to make the total amount of excise tax to be collected as $610. The original Deed recorded on February 19, 2021 in Book 6706 Page 1332 should have had a total of $610 to be paid in excise tax. The Canaday Law firm is now requesting a refund of $406. The separate amount collected specifically for the recording process itself cannot be refunded. FINANCIAL IMPACT: This action involves a refund in the amount of $406 to the Canaday Law Firm for the overpayment of excise tax.