THIS WEEK IN RALEIGH:
HB334: JOBS Grants and Tax Relief
This bill was amended from its original form by the Senate Finance Committee to include comprehensive tax reform measures. Key changes impacting job creators include: a simplification of the overly complicated and regressive franchise tax on business investment to eliminate two of three property-related bases in taxable year 2022, ensuring all businesses are levied this tax only on a net worth base and saving businesses in the state roughly $150 million each year; a reduction of the personal income tax rate (which applies to many kinds of businesses) from 5.25% to a more competitive rate of 4.99%; a gradual phaseout of the corporate income tax rate by way of an annual decrease of 0.5% beginning in 2024 and ending in 2028; creation of a $1 billion Job Opportunity and Business Savings Grant Program that will include both automatic and application-based grants for qualifying businesses that received benefits from state or federal COVID-related relief programs; and an extension of the sunset on the mill rehabilitation tax credit from 2023 to 2025. LATEST ACTION: After a proposed committee substitute of HB 344 was adopted by the Senate Finance Committee on 5/26, a slightly amended version was adopted by the Senate Appropriations/Base Budget Committee on 5/27 and was sent to the Senate Rules and Operations Committee.
HB918: Chamber of Commerce COVID Relief
This bill would establish a Chamber of Commerce Support Program administered by the NC Department of Commerce's Economic Investment Committee, setting aside $6 million for the 2021-2022 Fiscal Year to provide one-time grants to chambers of commerce in North Carolina experiencing revenue loss during COVID-19 and meeting certain qualifying conditions. This conditions include either a decrease of at least 10% of gross receipts during the first quarter of 2021 compared to the first quarter of 2020 or a decrease of the same amount for the 2020 calendar year compared to 2019. Chambers of Commerce across the state have been negatively impacted by COVID. If passed, this grant program would benefit all five Chambers of Commerce in Randolph County. LATEST ACTION: HB 918 was filed on 5/10 and was referred to the House Appropriations Committee.
Want to know the latest from the North Carolina General Assembly?
They have a robust website with details and links to answer questions you may have related to current legislation under consideration. Here you will find calendars for both the House and Senate, daily lists of Bills that were filed or acted upon, a Bill look-up field, and much more. Check it out!
