This document serves as notice that in order to accommodate a number of business practices and arrangements in the service contract industry, the Secretary will acknowledge and authorize any sales and use taxes collected and remitted by a salesperson, agent or other person as taxes properly collected and paid on behalf of the retailer. Such collections by the salesperson, agent or other person will not be deemed erroneous collections pursuant to N.C. Gen. Stat. § 105-164.11 by the Secretary. The salesperson, agent or other person that enters into or executes a “service contract” on behalf of a retailer should give notice to the retailer of its intent to collect the applicable sales and use taxes on such transactions. This notice is dated January 23, 2014.