GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2007

H                                                                                                                                                    1

HOUSE BILL 2642

Short Title:     Increase Earned Income Tax Credit Percentage.		(Public)
Sponsors:	Representatives Wainwright, Weiss, Luebke, Ross (Primary Sponsors);  Blue, Bryant, Carney, Coleman, Faison, Farmer‑Butterfield, Fisher, Glazier, Goforth, Hall, Harrison, Hughes, Insko, Lucas, Tarleton, and Womble.
Referred to:	Finance.

May 28, 2008

A BILL TO BE ENTITLED

AN ACT to increase the earned income tax credit to five percent.

The General Assembly of North Carolina enacts:

SECTION 1.  G.S. 105‑151.31(a) reads as rewritten:

"(a)      Credit. – An individual who claims for the taxable year an earned income tax credit under section 32 of the Code is allowed a credit against the tax imposed by this Part equal to three and one‑half percent (3.5%)five percent (5%) of the amount of credit the individual qualified for under section 32 of the Code. A nonresident or part‑year resident who claims the credit allowed by this section must reduce the amount of the credit by multiplying it by the fraction calculated under G.S. 105‑134.5(b) or (c), as appropriate."

SECTION 2.  This act is effective for taxable years beginning on or after January 1, 2008.