State Codes and Statutes

Statutes > North-carolina > Chapter_105 > GS_105-163_013

§ 105‑163.013.  (Repealed effective for investments made on or afterJanuary 1, 2011) Registration.

(a)        Repealed by SessionLaws 1993, c. 443, s. 4.

(b)        Qualified BusinessVentures. – In order to qualify as a qualified business venture under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified business venture. Abusiness meets the requirements for registration as a qualified businessventure if all of the following are true as of the date the business files therequired application:

(1)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(1a)      Reserved for futurecodification purposes.

(1b)      Either (i) it wasorganized after January 1 of the calendar year in which its application isfiled or (ii) during its most recent fiscal year before filing the application,it had gross revenues, as determined in accordance with generally acceptedaccounting principles, of five million dollars ($5,000,000) or less on aconsolidated basis.

(2)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(3)        It is organized toengage primarily in manufacturing, processing, warehousing, wholesaling,research and development, or a service‑related industry.

(4)        It does not engageas a substantial part of its business in any of the following:

a.         Providing aprofessional service as defined in Chapter 55B of the General Statutes.

b.         Construction orcontracting.

c.         Selling or leasingat retail.

d.         The purchase, sale,or development, or purchasing, selling, or holding for investment of commercialpaper, notes, other indebtedness, financial instruments, securities, or realproperty, or otherwise make investments.

e.         Providing personalgrooming or cosmetics services.

f.          Offering any formof entertainment, amusement, recreation, or athletic or fitness activity forwhich an admission or a membership is charged.

(5)        It was not formedfor the primary purpose of acquiring all or part of the stock or assets of oneor more existing businesses.

(6)        It is not a realestate‑related business.

The effective date ofregistration for a qualified business venture whose application is accepted forregistration is 60 days before the date its application is filed. No credit isallowed under this Part for an investment made before the effective date of theregistration or after the registration is revoked. For the purpose of thisArticle, if a taxpayer's investment is placed initially in escrow conditionedupon other investors' commitment of additional funds, the date of theinvestment is the date escrowed funds are transferred to the qualified businessventure free of the condition.

To remain qualified as aqualified business venture, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of five million dollars ($5,000,000) or less ona consolidated basis and an application for renewal in which the business certifiesthe facts required in the original application.

Failure of a qualifiedbusiness venture to renew its registration by the applicable deadline shallresult in revocation of its registration effective as of the next day after therenewal deadline, but shall not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified businessventure notice of revocation within 60 days after the renewal deadline. Aqualified business venture may apply to have its registration reinstated by theSecretary of State by filing an application for reinstatement, accompanied bythe reinstatement application fee and a late filing penalty of one thousand dollars($1,000), within 30 days after receipt of the revocation notice from theSecretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed five million dollars ($5,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(b1)      Qualified LicenseeBusinesses. – In order to qualify as a qualified licensee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified licensee business. Therequirements for registration as a qualified licensee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified licensee business whose application is acceptedfor registration is the filing date of its application. No credit is allowedunder this Part for an investment made before the effective date of theregistration or after the registration is revoked.

To remain qualified as aqualified licensee business, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of one million dollars ($1,000,000) or less ona consolidated basis and an application for renewal in which the businesscertifies the facts required in the original application.

Failure of a qualifiedlicensee venture to renew its registration by the applicable deadline resultsin revocation of its registration effective as of the next day after therenewal deadline, but does not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified licenseebusiness notice of revocation within 60 days after the renewal deadline. Aqualified licensee business may apply to have its registration reinstated bythe Secretary of State by filing an application for reinstatement, accompaniedby the reinstatement application fee and a late filing penalty of one thousanddollars ($1,000), within 30 days after receipt of the revocation notice fromthe Secretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed one million dollars ($1,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(c)        Qualified GranteeBusinesses. – In order to qualify as a qualified grantee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified grantee business. Therequirements for registration as a qualified grantee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified grantee business whose application is accepted forregistration is the filing date of its application. No credit is allowed underthis Part for an investment made before the effective date of the registrationor after the registration is revoked.

To remain qualified as aqualified grantee business, the business must renew its registration annuallyas prescribed by rule by filing an application for renewal in which thebusiness certifies the facts demonstrating that it continues to meet theapplicable requirements for qualification.

(d)        Application Forms;Rules; Fees. – Applications for registration, renewal of registration, andreinstatement of registration under this section shall be in the form requiredby the Secretary of State. The Secretary of State may, by rule, requireapplicants to furnish supporting information in addition to the informationrequired by subsections (b), (b1), and (c) of this section. The Secretary ofState may adopt rules in accordance with Chapter 150B of the General Statutesthat are needed to carry out the Secretary's responsibilities under this Part.The Secretary of State shall prepare blank forms for the applications and shalldistribute them throughout the State and furnish them on request. Eachapplication shall be signed by the owners of the business or, in the case of acorporation, by its president, vice‑president, treasurer, or secretary.There shall be annexed to the application the affirmation of the person makingthe application in the following form: "Under penalties prescribed by law,I certify and affirm that to the best of my knowledge and belief thisapplication is true and complete." A person who submits a falseapplication is guilty of a Class 1 misdemeanor.

The fee for filing anapplication for registration under this section is one hundred dollars($100.00). The fee for filing an application for renewal of registration underthis section is fifty dollars ($50.00). The fee for filing an application forreinstatement of registration under this section is fifty dollars ($50.00).

An application for renewal ofregistration under this section must indicate whether the applicant is aminority business, as defined in G.S. 143‑128, and include a report ofthe number of jobs the business created during the preceding year that areattributable to investments that qualify under this section for a tax creditand the average wages paid by each job. An application that does not containthis information is incomplete and the applicant's registration may not berenewed until the information is provided.

(e)        Revocation ofRegistration. – If the Securities Division of the Department of the Secretaryof State finds that any of the information contained in an application of abusiness registered under this section is false, it shall revoke theregistration of the business. The Secretary of State shall not revoke theregistration of a business solely because it ceases business operations for anindefinite period of time, as long as the business renews its registration eachyear as required under this section.

(f)         Transfer ofRegistration. – A registration as a qualified business may not be sold orotherwise transferred, except that if a qualified business enters into amerger, conversion, consolidation, or other similar transaction with anotherbusiness and the surviving company would otherwise meet the criteria for beinga qualified business, the surviving company retains the registration withoutfurther application to the Secretary of State. In such a case, the qualifiedbusiness must provide the Secretary of State with written notice of the merger,conversion, consolidation, or similar transaction and the name, address, andjurisdiction of incorporation or organization of the surviving company.

(g)        Report by Secretaryof State. – The Secretary of State shall report to the Revenue Laws StudyCommittee by October 1 of each year all of the businesses that have registeredwith the Secretary of State as qualified business ventures, qualified licenseebusinesses, and qualified grantee businesses. The report shall include the nameand address of each business, the location of its headquarters and principalplace of business, a detailed description of the types of business in which itengages, whether the business is a minority business as defined in G.S. 143‑128,the number of jobs created by the business during the period covered by thereport, and the average wages paid by these jobs. (1987, c. 852, s. 1; 1991, c.637, s. 4; 1993, c. 443, ss. 4, 9; c. 485, s. 12; c. 553, s. 80.1; 1994, Ex.Sess., c. 14, s. 50; 1993 (Reg. Sess., 1994), c. 745, ss. 9, 10; 1996, 2nd Ex.Sess., c. 14, s. 7; 1998‑98, s. 69; 1998‑212, ss. 29A.15(a),29A.16(e); 1999‑369, s. 5.7; 2001‑414, s. 12; 2002‑99, s. 4;2003‑414, s. 5.)

State Codes and Statutes

Statutes > North-carolina > Chapter_105 > GS_105-163_013

§ 105‑163.013.  (Repealed effective for investments made on or afterJanuary 1, 2011) Registration.

(a)        Repealed by SessionLaws 1993, c. 443, s. 4.

(b)        Qualified BusinessVentures. – In order to qualify as a qualified business venture under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified business venture. Abusiness meets the requirements for registration as a qualified businessventure if all of the following are true as of the date the business files therequired application:

(1)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(1a)      Reserved for futurecodification purposes.

(1b)      Either (i) it wasorganized after January 1 of the calendar year in which its application isfiled or (ii) during its most recent fiscal year before filing the application,it had gross revenues, as determined in accordance with generally acceptedaccounting principles, of five million dollars ($5,000,000) or less on aconsolidated basis.

(2)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(3)        It is organized toengage primarily in manufacturing, processing, warehousing, wholesaling,research and development, or a service‑related industry.

(4)        It does not engageas a substantial part of its business in any of the following:

a.         Providing aprofessional service as defined in Chapter 55B of the General Statutes.

b.         Construction orcontracting.

c.         Selling or leasingat retail.

d.         The purchase, sale,or development, or purchasing, selling, or holding for investment of commercialpaper, notes, other indebtedness, financial instruments, securities, or realproperty, or otherwise make investments.

e.         Providing personalgrooming or cosmetics services.

f.          Offering any formof entertainment, amusement, recreation, or athletic or fitness activity forwhich an admission or a membership is charged.

(5)        It was not formedfor the primary purpose of acquiring all or part of the stock or assets of oneor more existing businesses.

(6)        It is not a realestate‑related business.

The effective date ofregistration for a qualified business venture whose application is accepted forregistration is 60 days before the date its application is filed. No credit isallowed under this Part for an investment made before the effective date of theregistration or after the registration is revoked. For the purpose of thisArticle, if a taxpayer's investment is placed initially in escrow conditionedupon other investors' commitment of additional funds, the date of theinvestment is the date escrowed funds are transferred to the qualified businessventure free of the condition.

To remain qualified as aqualified business venture, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of five million dollars ($5,000,000) or less ona consolidated basis and an application for renewal in which the business certifiesthe facts required in the original application.

Failure of a qualifiedbusiness venture to renew its registration by the applicable deadline shallresult in revocation of its registration effective as of the next day after therenewal deadline, but shall not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified businessventure notice of revocation within 60 days after the renewal deadline. Aqualified business venture may apply to have its registration reinstated by theSecretary of State by filing an application for reinstatement, accompanied bythe reinstatement application fee and a late filing penalty of one thousand dollars($1,000), within 30 days after receipt of the revocation notice from theSecretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed five million dollars ($5,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(b1)      Qualified LicenseeBusinesses. – In order to qualify as a qualified licensee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified licensee business. Therequirements for registration as a qualified licensee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified licensee business whose application is acceptedfor registration is the filing date of its application. No credit is allowedunder this Part for an investment made before the effective date of theregistration or after the registration is revoked.

To remain qualified as aqualified licensee business, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of one million dollars ($1,000,000) or less ona consolidated basis and an application for renewal in which the businesscertifies the facts required in the original application.

Failure of a qualifiedlicensee venture to renew its registration by the applicable deadline resultsin revocation of its registration effective as of the next day after therenewal deadline, but does not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified licenseebusiness notice of revocation within 60 days after the renewal deadline. Aqualified licensee business may apply to have its registration reinstated bythe Secretary of State by filing an application for reinstatement, accompaniedby the reinstatement application fee and a late filing penalty of one thousanddollars ($1,000), within 30 days after receipt of the revocation notice fromthe Secretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed one million dollars ($1,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(c)        Qualified GranteeBusinesses. – In order to qualify as a qualified grantee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified grantee business. Therequirements for registration as a qualified grantee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified grantee business whose application is accepted forregistration is the filing date of its application. No credit is allowed underthis Part for an investment made before the effective date of the registrationor after the registration is revoked.

To remain qualified as aqualified grantee business, the business must renew its registration annuallyas prescribed by rule by filing an application for renewal in which thebusiness certifies the facts demonstrating that it continues to meet theapplicable requirements for qualification.

(d)        Application Forms;Rules; Fees. – Applications for registration, renewal of registration, andreinstatement of registration under this section shall be in the form requiredby the Secretary of State. The Secretary of State may, by rule, requireapplicants to furnish supporting information in addition to the informationrequired by subsections (b), (b1), and (c) of this section. The Secretary ofState may adopt rules in accordance with Chapter 150B of the General Statutesthat are needed to carry out the Secretary's responsibilities under this Part.The Secretary of State shall prepare blank forms for the applications and shalldistribute them throughout the State and furnish them on request. Eachapplication shall be signed by the owners of the business or, in the case of acorporation, by its president, vice‑president, treasurer, or secretary.There shall be annexed to the application the affirmation of the person makingthe application in the following form: "Under penalties prescribed by law,I certify and affirm that to the best of my knowledge and belief thisapplication is true and complete." A person who submits a falseapplication is guilty of a Class 1 misdemeanor.

The fee for filing anapplication for registration under this section is one hundred dollars($100.00). The fee for filing an application for renewal of registration underthis section is fifty dollars ($50.00). The fee for filing an application forreinstatement of registration under this section is fifty dollars ($50.00).

An application for renewal ofregistration under this section must indicate whether the applicant is aminority business, as defined in G.S. 143‑128, and include a report ofthe number of jobs the business created during the preceding year that areattributable to investments that qualify under this section for a tax creditand the average wages paid by each job. An application that does not containthis information is incomplete and the applicant's registration may not berenewed until the information is provided.

(e)        Revocation ofRegistration. – If the Securities Division of the Department of the Secretaryof State finds that any of the information contained in an application of abusiness registered under this section is false, it shall revoke theregistration of the business. The Secretary of State shall not revoke theregistration of a business solely because it ceases business operations for anindefinite period of time, as long as the business renews its registration eachyear as required under this section.

(f)         Transfer ofRegistration. – A registration as a qualified business may not be sold orotherwise transferred, except that if a qualified business enters into amerger, conversion, consolidation, or other similar transaction with anotherbusiness and the surviving company would otherwise meet the criteria for beinga qualified business, the surviving company retains the registration withoutfurther application to the Secretary of State. In such a case, the qualifiedbusiness must provide the Secretary of State with written notice of the merger,conversion, consolidation, or similar transaction and the name, address, andjurisdiction of incorporation or organization of the surviving company.

(g)        Report by Secretaryof State. – The Secretary of State shall report to the Revenue Laws StudyCommittee by October 1 of each year all of the businesses that have registeredwith the Secretary of State as qualified business ventures, qualified licenseebusinesses, and qualified grantee businesses. The report shall include the nameand address of each business, the location of its headquarters and principalplace of business, a detailed description of the types of business in which itengages, whether the business is a minority business as defined in G.S. 143‑128,the number of jobs created by the business during the period covered by thereport, and the average wages paid by these jobs. (1987, c. 852, s. 1; 1991, c.637, s. 4; 1993, c. 443, ss. 4, 9; c. 485, s. 12; c. 553, s. 80.1; 1994, Ex.Sess., c. 14, s. 50; 1993 (Reg. Sess., 1994), c. 745, ss. 9, 10; 1996, 2nd Ex.Sess., c. 14, s. 7; 1998‑98, s. 69; 1998‑212, ss. 29A.15(a),29A.16(e); 1999‑369, s. 5.7; 2001‑414, s. 12; 2002‑99, s. 4;2003‑414, s. 5.)


State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_105 > GS_105-163_013

§ 105‑163.013.  (Repealed effective for investments made on or afterJanuary 1, 2011) Registration.

(a)        Repealed by SessionLaws 1993, c. 443, s. 4.

(b)        Qualified BusinessVentures. – In order to qualify as a qualified business venture under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified business venture. Abusiness meets the requirements for registration as a qualified businessventure if all of the following are true as of the date the business files therequired application:

(1)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(1a)      Reserved for futurecodification purposes.

(1b)      Either (i) it wasorganized after January 1 of the calendar year in which its application isfiled or (ii) during its most recent fiscal year before filing the application,it had gross revenues, as determined in accordance with generally acceptedaccounting principles, of five million dollars ($5,000,000) or less on aconsolidated basis.

(2)        Repealed by SessionLaws 1996, Second Extra Session, c. 14, s. 7.

(3)        It is organized toengage primarily in manufacturing, processing, warehousing, wholesaling,research and development, or a service‑related industry.

(4)        It does not engageas a substantial part of its business in any of the following:

a.         Providing aprofessional service as defined in Chapter 55B of the General Statutes.

b.         Construction orcontracting.

c.         Selling or leasingat retail.

d.         The purchase, sale,or development, or purchasing, selling, or holding for investment of commercialpaper, notes, other indebtedness, financial instruments, securities, or realproperty, or otherwise make investments.

e.         Providing personalgrooming or cosmetics services.

f.          Offering any formof entertainment, amusement, recreation, or athletic or fitness activity forwhich an admission or a membership is charged.

(5)        It was not formedfor the primary purpose of acquiring all or part of the stock or assets of oneor more existing businesses.

(6)        It is not a realestate‑related business.

The effective date ofregistration for a qualified business venture whose application is accepted forregistration is 60 days before the date its application is filed. No credit isallowed under this Part for an investment made before the effective date of theregistration or after the registration is revoked. For the purpose of thisArticle, if a taxpayer's investment is placed initially in escrow conditionedupon other investors' commitment of additional funds, the date of theinvestment is the date escrowed funds are transferred to the qualified businessventure free of the condition.

To remain qualified as aqualified business venture, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of five million dollars ($5,000,000) or less ona consolidated basis and an application for renewal in which the business certifiesthe facts required in the original application.

Failure of a qualifiedbusiness venture to renew its registration by the applicable deadline shallresult in revocation of its registration effective as of the next day after therenewal deadline, but shall not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified businessventure notice of revocation within 60 days after the renewal deadline. Aqualified business venture may apply to have its registration reinstated by theSecretary of State by filing an application for reinstatement, accompanied bythe reinstatement application fee and a late filing penalty of one thousand dollars($1,000), within 30 days after receipt of the revocation notice from theSecretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed five million dollars ($5,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(b1)      Qualified LicenseeBusinesses. – In order to qualify as a qualified licensee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified licensee business. Therequirements for registration as a qualified licensee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified licensee business whose application is acceptedfor registration is the filing date of its application. No credit is allowedunder this Part for an investment made before the effective date of theregistration or after the registration is revoked.

To remain qualified as aqualified licensee business, the business must renew its registration annuallyas prescribed by rule by filing a financial statement for the most recentfiscal year showing gross revenues, as determined in accordance with generallyaccepted accounting principles, of one million dollars ($1,000,000) or less ona consolidated basis and an application for renewal in which the businesscertifies the facts required in the original application.

Failure of a qualifiedlicensee venture to renew its registration by the applicable deadline resultsin revocation of its registration effective as of the next day after therenewal deadline, but does not result in forfeiture of tax credits previouslyallowed to taxpayers who invested in the business except as provided in G.S.105‑163.014. The Secretary of State shall send the qualified licenseebusiness notice of revocation within 60 days after the renewal deadline. Aqualified licensee business may apply to have its registration reinstated bythe Secretary of State by filing an application for reinstatement, accompaniedby the reinstatement application fee and a late filing penalty of one thousanddollars ($1,000), within 30 days after receipt of the revocation notice fromthe Secretary of State. A business that seeks approval of a new application forregistration after its registration has been revoked must also pay a penalty ofone thousand dollars ($1,000). A registration that has been reinstated istreated as if it had not been revoked.

If the gross revenues of aqualified business venture exceed one million dollars ($1,000,000) in a fiscalyear, the business must notify the Secretary of State in writing of this factby filing a financial statement showing the revenues of the business for thatyear.

(c)        Qualified GranteeBusinesses. – In order to qualify as a qualified grantee business under thisPart, a business must be registered with the Securities Division of theDepartment of the Secretary of State. To register, the business must file withthe Secretary of State an application and any supporting documents theSecretary of State may require from time to time to determine that the businessmeets the requirements for registration as a qualified grantee business. Therequirements for registration as a qualified grantee business are set out inG.S. 105‑163.010.

The effective date ofregistration for a qualified grantee business whose application is accepted forregistration is the filing date of its application. No credit is allowed underthis Part for an investment made before the effective date of the registrationor after the registration is revoked.

To remain qualified as aqualified grantee business, the business must renew its registration annuallyas prescribed by rule by filing an application for renewal in which thebusiness certifies the facts demonstrating that it continues to meet theapplicable requirements for qualification.

(d)        Application Forms;Rules; Fees. – Applications for registration, renewal of registration, andreinstatement of registration under this section shall be in the form requiredby the Secretary of State. The Secretary of State may, by rule, requireapplicants to furnish supporting information in addition to the informationrequired by subsections (b), (b1), and (c) of this section. The Secretary ofState may adopt rules in accordance with Chapter 150B of the General Statutesthat are needed to carry out the Secretary's responsibilities under this Part.The Secretary of State shall prepare blank forms for the applications and shalldistribute them throughout the State and furnish them on request. Eachapplication shall be signed by the owners of the business or, in the case of acorporation, by its president, vice‑president, treasurer, or secretary.There shall be annexed to the application the affirmation of the person makingthe application in the following form: "Under penalties prescribed by law,I certify and affirm that to the best of my knowledge and belief thisapplication is true and complete." A person who submits a falseapplication is guilty of a Class 1 misdemeanor.

The fee for filing anapplication for registration under this section is one hundred dollars($100.00). The fee for filing an application for renewal of registration underthis section is fifty dollars ($50.00). The fee for filing an application forreinstatement of registration under this section is fifty dollars ($50.00).

An application for renewal ofregistration under this section must indicate whether the applicant is aminority business, as defined in G.S. 143‑128, and include a report ofthe number of jobs the business created during the preceding year that areattributable to investments that qualify under this section for a tax creditand the average wages paid by each job. An application that does not containthis information is incomplete and the applicant's registration may not berenewed until the information is provided.

(e)        Revocation ofRegistration. – If the Securities Division of the Department of the Secretaryof State finds that any of the information contained in an application of abusiness registered under this section is false, it shall revoke theregistration of the business. The Secretary of State shall not revoke theregistration of a business solely because it ceases business operations for anindefinite period of time, as long as the business renews its registration eachyear as required under this section.

(f)         Transfer ofRegistration. – A registration as a qualified business may not be sold orotherwise transferred, except that if a qualified business enters into amerger, conversion, consolidation, or other similar transaction with anotherbusiness and the surviving company would otherwise meet the criteria for beinga qualified business, the surviving company retains the registration withoutfurther application to the Secretary of State. In such a case, the qualifiedbusiness must provide the Secretary of State with written notice of the merger,conversion, consolidation, or similar transaction and the name, address, andjurisdiction of incorporation or organization of the surviving company.

(g)        Report by Secretaryof State. – The Secretary of State shall report to the Revenue Laws StudyCommittee by October 1 of each year all of the businesses that have registeredwith the Secretary of State as qualified business ventures, qualified licenseebusinesses, and qualified grantee businesses. The report shall include the nameand address of each business, the location of its headquarters and principalplace of business, a detailed description of the types of business in which itengages, whether the business is a minority business as defined in G.S. 143‑128,the number of jobs created by the business during the period covered by thereport, and the average wages paid by these jobs. (1987, c. 852, s. 1; 1991, c.637, s. 4; 1993, c. 443, ss. 4, 9; c. 485, s. 12; c. 553, s. 80.1; 1994, Ex.Sess., c. 14, s. 50; 1993 (Reg. Sess., 1994), c. 745, ss. 9, 10; 1996, 2nd Ex.Sess., c. 14, s. 7; 1998‑98, s. 69; 1998‑212, ss. 29A.15(a),29A.16(e); 1999‑369, s. 5.7; 2001‑414, s. 12; 2002‑99, s. 4;2003‑414, s. 5.)