Amends GS 105-153.5 to allow a deduction from income tax of up to $50,000 of net business income the taxpayer receives during the taxable year if the taxpayer is a small business, defined as a business whose annual receipts, combined with the annual receipts of all related persons, for the taxable year did not exceed $1 million. Provides that 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 $100,000. Excludes from the term business income any income that is considered passive income under the Internal Revenue Code. Effective for taxable years beginning on or after January 1, 2019.
Bill Summaries: H277 SMALL BUSINESS INCOME TAX RELIEF.
Bill H 277 (2019-2020)Summary date: Mar 5 2019 - View Summary