HB 399 extends and expands various tax credits and makes finance law changes that in sum, harm the overall economy of North Carolina.
Among other things, HB 399 would specifically allow an income exclusion for distributions from IRAs to charities; would allow an income tax deduction for amounts received as a JDIG, JMAC or OneNC Grant.
The bill also extends by four years the sunset provisions on the Historic Rehabilitation Tax Credit.
HB 399 provides exemptions and deductions to specific industries and cases. These include a sales tax exemption and refund for professional motorsports racing teams, extending the current tax exemption on aviation and jet fuel, expanding the state mill-rehabilitation tax credit for certain railroad stations; extending to 10 years the dry-cleaning solvent tax.
Civitas Action supports efforts to simplify our tax system and reduce the tax burden. HB 399 does not do that.
The provisions mentioned above merely ensure that the current tax system will lack fairness and that state government will continue to pick winners and losers.
If lawmakers are truly committed to reducing taxes, they should do so by reducing the tax rate across the board, so that all North Carolinians can benefit; not just a few.
HB 399 lacks fairness and will harm our economy. For those reasons, Civitas Action believes a vote against HB 399 is a vote for freedom.
Civitas Action intends to grade any vote on the bill in the House or Senate.
Civitas Action is a 501(c)(4) non-profit that educates and informs North Carolinians on policy issues and the actions of their elected officials.