Brooks Pierce Capital Dispatch: Updates from the NC General Assembly and Governor’s Office, April 16, 2021
Legislators returned to Raleigh this week after a spring break and considered a number of bills.
Waive Interest on State Income Tax Payments
The House this week passed a bill (H 279) clarifying that individual taxpayers do not have to pay interest on their 2020 state income tax payment if filed by May 17. The NC Department of Revenue had earlier extended this year’s filing deadline to May 17 and indicated that no penalties would be due if filing was done on or before that date. A change in state law was necessary to address the interest issue. The Senate will next consider the bill.
PPP Loan Expenses
A bill (H 334) clarifying that expenses related to federal Paycheck Protection Program (PPP) loans are not subject to state income tax for tax year 2020 passed second reading in the House this week. The House is likely to pass it next week and send it to the Senate. The bill temporarily repeals a provision in current law that does not allow businesses to deduct expenses funded with Payroll Protection Program (PPP) dollars if the proceeds received from forgiven PPP loans are excluded from income for tax purposes.
The House this week passed a bill (H 341) that makes it a felony to impersonate someone else on the internet without their permission. It requires that the impersonation be done knowingly for purposes of harming, intimidating, threatening, or defrauding the misrepresented person. The bill now goes to the Senate.
For more information, contact a member of the Brooks Pierce Government Affairs Team.