NC Tax Laws

Taxes
www.irs.com

If you haven’t filed your North Carolina taxes yet, you may be in for a few surprises.  The state's tax code underwent major changes in 2013, but many 2014 tax filers are just noticing.

For example, some taxpayers forgot North Carolina did away with its Earned Income Tax Credit.

N.C. General Assembly, State Legislature
Dave DeWitt

  

State lawmakers have less than six weeks to construct and pass a budget before the beginning of the next fiscal year. 

The Senate released its spending plan last night, providing raises for teachers in return for sacrificing tenure. The General Assembly is also considering an overhaul to the tax code.

Meanwhile, 14 protesters from the Moral Monday movement were arrested after an overnight sit-in.

Host Frank Stasio talks with WUNC Capitol Bureau Chief Jessica Jones about the latest from the legislature.

NC Legislative building
NC General Assembly

State lawmakers in the House have tentatively passed a broad tax bill that would limit the power of local governments to tax businesses.The bill would also tax electronic cigarettes.

The bill limits the authority of cities and towns to levy privilege taxes on businesses. Critics say the taxes are unwieldy and should be streamlined, but many municipal officials aren't happy about the measure, saying they earn significant revenues from those taxes. They would be capped at a hundred dollars per year.

Gov. Pat McCrory
NC Governor's Office

Governor Pat McCrory held a press conference today to celebrate a new report suggesting the state's economy is benefiting from tax cuts enacted last year.

The conservative American Legislative Exchange Council's "Rich States, Poor States" report ranks North Carolina sixth in the nation for its economic outlook.

McCrory says lowering corporate income taxes in particular has encouraged companies to move to the state.

  

While tax day can evoke feelings of anxiety and dread across the country, some North Carolina groups are using today’s deadline to start conversations about tax reform and filing issues in the state.

A Carlie C's grocery store parking lot
Charlie C's

The legislative committee that reviews North Carolina’s tax laws debated on Monday a tax that cities and towns levy on businesses to allow them to operate within their municipality limits.

The tax, which state lawmakers have tried to change at least five times in the last 10 years, allows local governments to charge companies a flat rate or a percentage of their revenues. It includes retailers but exempts businesses such as insurance and law offices.

Manufactured Home
Royal Homes in Raleigh

Mobile and modular homes have traditionally been a top choice for lower-income home buyers.  But the New Year has brought higher taxes for these properties.

The sales tax will jump about two-fold for those buying a modular home.   Sonny Bannister is president of Royal Homes in Raleigh.

"We've been aware of the pending increase for about 90 days and we've been warning our customers of the potential of an increase since that time," said Bannister.