NC Taxes | NC Tax Credits | NC Incentives | SC Taxes | SC Tax Credits | SC Tax Incentives
SC Financial Assistance Programs
North Carolina Taxes
Corporate Income Tax
Flat rate of 6.9?f net income allocable to the state.
Sales & Use Tax
4.5?tatewide with a local rate of 2.5?r 3?n transactions (combined 7?ax is not applicable to raw materials, containers, labels, packaging and shipping materials).
$1.50 per $1,000 and is applied to the greatest base determined as set forth in the law.
North Carolina does not impose an inventory tax.
North Carolina does not impose a state property tax.
Subject to local rates (county rates range 4.2-11?city rates range 2.4-8?
2.6?n sales of electricity, piped natural gas to farmers, manufacturers, and commercial laundry and dry cleaning establishments.
$50,000 cap applies for call center operations
Unemployment Insurance Rate
Average tax rate of $200.40
Employers rate 0.00?o 6.84?
Taxable base $17,800
North Carolina Individual Income Tax Rates
Marginal Rates and Taxes
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North Carolina Tax Credits
Worker Training Tax Credit
$500 per job ($1,000 within State Development Zone plus Tier designation)
Company must be eligible for Jobs Tax Credit or Investment Tax Credit
Minimum 5 or more workers that will receive training
On the job training wages not eligible
Must meet wage requirements
Central Administrative Office Tax Credit
7?f cost of leased or purchased real property
Maximum credit allowed for central administrative office property is $500,000
R & D Tax Credit
5?n R&D expenses apportioned to North Carolina
NC Port Users Tax Credit
Companies that utilize the NC ports in Wilmington or Morehead City can become eligible for significant tax credits.
North Carolina Industrial Revenue Bonds
Maximum $10 million per project, $40 million per company
Business Energy Improvement Program
Low interest rates for energy conservation measures
Loans ranging from $100,000 to $500,000
Industrial Development Bond
Grants or loans for job creation in Tier 1, 2 or 3 counties
Maximum amount of $5,000 per job or $500,000 per project
Road Access Funds
State will provide assistance on the construction of access roads to a site
Improvements to existing road infrastructure that are required due to the scope of the project area also available
Road improvements must have approval of local officials
North Carolina Infrastructure Assistance
Rail Spur Extension Assistance
Extensions or renovations of existing rail spurs may be possible through state funding
Local governments may provide other improvements that reduce rail costs, such as the relocation of streets
State's portion of assistance cannot exceed 50?f the total project cost.
Approval of funds based on new jobs created, capital investment of project, amount of rail use and general impact of project on community and state.
Industrial Extension Service
Services include training, lean manufacturing assistance, energy savings analysis, environmental / health/safety analysis, etc.
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North Carolina Incentives
Job Creation Tax Credit
Credit amount per job dependent on Tier designation for County.
Credits in four equal installments over four years.
TAX CREDIT PER JOB CREATION
$750 - TIER 3
$5,000 - TIER 2
$12,000 - TIER 1
North Carolina 2007 County Tier Designations:
Jobs Tax Credit Example
EXAMPLE: Company A with 20 jobs relocating to City X
County X - Tier 2
City X - Urban Progress Zone (UPZ)
Requirements: Minimum 10 jobs created & meets county wage standard
County X Tier 2 Job Tax Credit.....10 jobs x $ 5,000 per job = $ 50,000
City X Urban Progress Zone Tax Credit...15 jobs x $ 1,000 per job = $15,000
Total JobsTax Credit for Company A locating within City X = $ 60,000
Investment Tax Credit
7?n all Machinery & Equipment invested in Tier 1
5?n all Machinery & Equipment over $1 million threshhold invested in Tier 2
3.5?n all Machinery & Equipment over $2 million threshhold invested in Tier 3
Investment Tax Credit Example
EXAMPLE: Company A with $4 million in eligible M & E relocating to City X
County X - Tier 3
Requirements: Meets county wage standard
County X $ 4M - $ 2,000,000 threshold = $ 2,000,000 x 3.5?redit = $ 70,000
Total Investment Tax Credit for Company A locating in County X = $ 70,000
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Answered By: wizjp - 4/6/2007