This very informative summary was specifically designed for members to use with their clients and colleagues. The summary was provided to the Association for our members’ use, with permission from Smith Anderson.
This alert summarizes the major tax provisions included in legislation passed by the 2015-2016 North Carolina General Assembly in its short session, which concluded earlier this month. The most widely discussed tax changes passed during the short session included changes conforming to recent federal tax legislation, an increase in the standard deduction for individuals, a proposed implementation of market-based sourcing for corporate apportionment purposes, and revisions to the sales taxation of repair, maintenance, and installation (RMI) services.
However, the legislature made a number of other important changes as well. The discussion in this PDF briefly summarizes each major change and indicates the effective date and the ratified bill number (for unsigned bills) or session law number (for bills already signed by the Governor) of the enacting legislation. Readers should note that ratified bills not yet signed by the Governor will become effective only when signed, or if the Governor fails to veto them within 30 days after adjournment.