GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2017

H                                                                                                                                                   D

HOUSE BILL DRH10031-MC-22   (01/12)

 

 

 

Short Title:      Small Business Income Tax Relief.

(Public)

Sponsors:

Representatives K. Hall, Saine, Brenden Jones, and Boswell (Primary Sponsors).

Referred to:

 

 

A BILL TO BE ENTITLED

AN ACT to provide income tax relief for small businesses.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 105‑153.5(b) is amended by adding a new subdivision to read:

"(12)    An amount not to exceed fifty thousand dollars ($50,000) of net business income the taxpayer receives during the taxable year if the taxpayer is a small business. In the case of a married couple filing a joint return where both spouses receive or incur net business income, the maximum dollar amounts apply separately to each spouse's net business income, not to exceed a total of one hundred thousand dollars ($100,000). For purposes of this subdivision, the term "business income" does not include income that is considered passive income under the Code and the term "small business" is a business whose annual receipts, combined with the annual receipts of all related persons, for the taxable year did not exceed one million dollars ($1,000,000)."

SECTION 2.  This act is effective for taxable years beginning on or after January 1, 2017.