GENERAL ASSEMBLY OF NORTH CAROLINA
1997 SESSION

SESSION LAW 1997-521
HOUSE BILL 1057

AN ACT TO EXEMPT FROM SALES TAX AUDIOVISUAL MASTER TAPES USED IN THE MOTION PICTURE, TELEVISION, AND AUDIO PRODUCTION INDUSTRIES.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 105-164.13 is amended by adding a new subdivision to read:
"(22a)	Sales of audiovisual masters made or used by a production company in making visual and audio images for first generation reproduction.  For the purpose of this subdivision, an 'audiovisual master' is an audio or video film, tape, or disk or another audio or video storage device from which all other copies are made.  For the purpose of this subdivision, a production company is a person engaged in the business of making motion picture, television, or radio images for theatrical, commercial, advertising, or educational purposes."
Section 2.  This act becomes effective October 1, 1997, and applies to sales made on or after that date.
In the General Assembly read three times and ratified this the 28th day of August, 1997.
s/	Dennis A. Wicker
President of the Senate

s/	Harold J. Brubaker
Speaker of the House of Representatives

s/	James B. Hunt, Jr.
Governor

Approved 11:00 a.m. this 17th day of September, 1997