Chatham County, NC
Home MenuImportant Sales Tax Issue for Residents
Buying in Chatham County and paying correct sales tax
can save residents money and increase revenues for county services
DELIVERY LOCATION MATTERS! Sales tax should be based on where the goods are delivered. Chatham County’s sales tax rate is 7.0%, so correct county designation is important and can save you money.
Vendors often use the 5-digit zip code to identify the county, but much of Chatham County is covered by 5-digit zip codes that cross over from other counties. This means that a vendor's database may process that 5-digit zip code in a way that puts the residence is in another county. For example, a 5-digit zip code may cover parts of Chapel Hill (in Orange County) and part of rural Chatham County. A store's database often will look only at the5-digit zip code and not the street address. In that case, the sales tax would be charged at the Orange County rate and Orange County would receive the proceeds.
Which zip codes overlap into Chatham County?
• 27330
• 27349
• 27355
• 27502
• 27514
• 27516
• 27517
• 27519
• 27523
• 27562
• 27713
What purchases can be affected?
• In-store purchases that you take home or have delivered to your home.
• Even stores located in Chatham County can charge wrong sales tax by mistake
• Online purchases delivered to your home
Why this matters to you:
• Paying correct sales tax rate may save you money
• Nearby counties have a higher sales tax rate and two are highest in the state
• Helping Chatham boost sales tax revenues reduces need to boost other taxes and fees.
• Bringing in our fair share of sales tax revenues will support:
• Local schools
• Law enforcement
• Parks and recreation
• Public libraries
• Economic development
What you can do:
• Shop in Chatham County
• Make sure vendors are charging the correct sales tax rate of 7.0%
• Make sure they are assigning the sales tax to Chatham County
• Tell the vendor when they are charging the wrong rate
Questions and concerns:
Contact Chatham County if a vendor appears to be charging the incorrect sales tax rate. Questions or concerns may be directed to the Budget team in the Chatham County Manager’s Office at 919-542-8200.