Manufactured and Modular Homes

What Sales and Use Tax is Due?

The general 4.75% State rate of sales and use tax applies to fifty percent (50%) of the sales price of each manufactured home or modular home sold at retail, including all accessories attached when delivered to a purchaser.

Manufactured homes and modular homes are not subject to the local and transit rates of sales and use tax.

Items Included in the Sales Price

The sales price of each manufactured or modular home includes all accessories attached when delivered to a purchaser.

Manufactured Homes

Examples of items or charges that are included in the sales price of a manufactured home include:

  • Any furniture, appliances, or accessories attached to a manufactured home when delivered to a purchaser.
  • Charges by the retailer for anchor bolts, tie-downs, skirting, prefabricated steps, and central or window air-conditioning units that are to be attached to a manufactured home at the time of transfer of title or possession to a customer or at the time of installation.
  • Permit charges imposed on the retailer to deliver a manufactured home.
  • Any charge made by a retailer to a customer for running gear upon which a manufactured home is delivered.
  • Other charges by a retailer necessary to complete the sale.

Modular Homes

Examples of items or charges that are included in the sales price of a modular home include:

  • Charges by the retailer for delivery of the property.
  • Carrier deposit fees, freight charges, engineering fees, and labeling fees imposed by the North Carolina Department of Insurance.
  • Charges by the retailer for deposits on carriers.
  • Other charges by the retailer necessary to complete the sale.

How to File and Pay?

File and pay sales and use tax due on manufactured homes and modular homes on Form E-500, Sales and Use Tax Return, or through the Department’s online filing and payment system.

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How Do I Find More Resources?

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