Tax Incentives

N.C. Recycling Property Tax Exemption

North Carolina offers a property tax exemption on equipment and facilities used exclusively for recycling and resource recovery. For more details and application information, please visit the N.C. Division of Waste Management's Tax Certification Program website.

N.C. Privilege Tax for Recycling Equipment

Qualifying equipment used for recycling or manufacturing is exempt from state and local sales and use tax; it is instead subject to a privilege tax of 1 percent and capped at $80 per article. To qualify for the privilege tax, the equipment must be used as part of the manufacturing or recycling conversion process. Qualifying equipment may include: balers, shredders, grinders, material recovery facility (MRF) equipment and repair parts. Motor vehicles, forklifts and loaders are not eligible for the privilege tax. For additional information and applicable forms, visit the N.C. Department of Revenue’s website and see the Certain Recyclers Important Notice.