Links: Occupancy Tax Report (pdf file) | Definition of Gross Receipts

The Dare County Occupancy Tax Rate of 5% consisting of a:

• 3% Room Occupancy Tax
• 1% Room Occupancy and Tourism Development Tax
• 1% Room Occupancy and Tourism Development Tax for Beach Nourishment

 Authorization

• 3% - House Bill 532, 1985 Session, General Assembly of North Carolina
  Effective July 1, 1985

• 1% - House Bill 225, 1991 Session, General Assembly of North Carolina
  Effective January 1, 1992

• 1% - Senate Bill 92, 2001 Session, General Assembly of North Carolina
  Effective September 1, 2002

Use of Tax

• County & Municipalities:
  Must be used only for tourist-related purposes, including construction and maintenance of public facilities and buildings, garbage, refuse, solid waste collection and disposal, police protection and emergency services.

• Dare County Tourism Board:
  First eligible expense is the cost of an annual audit. Of the remainder: 75% must be used for the cost of administration and to promote tourism. The Tourism Board’s expenditures may include:
  (i) advertising to promote less than peak season events and programs
  (ii) marketing research,
  (iii) a mail and telephone inquiry response program
  (iv) welcoming and hospitality functions; and 25% must be used for services or programs needed due to the impact of tourism on the county.

• Beach Nourishment:
  Must be used for the placement of sand, from other sand sources, the planting of vegetation, and the building of structures that are in conformity with NC CAMA, such as sand fences and dunes, on beaches of the Atlantic Ocean of North Carolina for the purpose of widening the beach to benefit public recreational use and mitigating damage and erosion from storms to inland property.

Distribution of Tax

3% Occupancy Tax, net proceeds to:

• 68% to named towns (Duck, Kill Devil Hills, Kitty Hawk, Manteo, Nags Head & Southern Shores) in proportion to the amount of ad valorem taxes levied by each town for the preceding fiscal year; and
• 32% to Dare County.

1% Occupancy and Tourism Development Tax, net proceeds to the Dare County Tourism Board.

1% Occupancy and Tourism Development Tax, net proceeds to Dare County for beach nourishment.

Dare County Justice Center
962 Marshall C Collins Drive
Manteo NC  27954

Phone: (252)475-5964
Fax: (252) 475-5949