Compare Bills

Primary Sponsor

Last Action

Ref To Com On Rules, Calendar, and Operations of the House2025-04-03

Vote Breakdown

No floor votes recorded.

Plain Language Summary

This bill repeals North Carolina's scheduled corporate income tax phaseout and instead maintains the corporate tax rate at 2.25% permanently. Previously, the state had planned to gradually reduce the corporate tax rate to 0% by 2030, but this bill stops that reduction and keeps the current rate steady to generate revenue for Hurricane Helene recovery efforts.

Arguments in Favor

• •Supporters argue this bill provides necessary funding for western North Carolina's long-term recovery from Hurricane Helene while maintaining competitive corporate tax rates.
• •They contend that pausing the tax phaseout is a temporary, responsible measure that allows the state to rebuild critical infrastructure and services without compromising North Carolina's pro-business reputation, since 2.25% remains among the lowest corporate income tax rates in the nation.

Arguments Against

• •Opponents argue the bill breaks a prior commitment to reduce corporate taxes and may discourage business investment and relocation to North Carolina.
• •They contend that the state should fund disaster recovery through other means, such as federal assistance, budget reallocation, or alternative revenue sources, rather than reversing a planned tax reduction that was intended to make the state more economically competitive.