Bill > S304

This bill reenacts the Earned Income Tax Credit (EITC) for North Carolina, which is a tax benefit designed to provide financial support to low to moderate-income working individuals and families. Specifically, the bill sets the state-level EITC at a flat ten percent of the federal EITC amount, replacing previous variable percentages (4.5% in 2013 and 5% in other years). The credit remains fully refundable, meaning that if the credit amount exceeds the taxpayer's tax liability, the excess will be refunded to the taxpayer. The bill removes the previous sunset provision that would have eliminated the credit after 2014 and recodifies the statute under a new section number. The bill will take effect for taxable years beginning on or after January 1, 2025, ensuring continued support for working taxpayers through this tax credit mechanism.

https://www.ncleg.gov/BillLookUp/2025/S304