GENERAL ASSEMBLY OF NORTH CAROLINA
1989 SESSION

CHAPTER 769
SENATE BILL 50

AN ACT TO CLARIFY THAT INCOME DERIVED FROM DEPOSITS AT THE FEDERAL HOME LOAN BANK IS EXEMPT FROM STATE INCOME TAX.

The General Assembly of North Carolina enacts:

Section 1.  G.S. 105-228.23(a) reads as rewritten:
"(a)	Income Tax. – Every savings and loan association shall annually file an income tax return with the Secretary of Revenue and pay an income tax equal to that which the association would be required to pay under Article 4 of Subchapter I of this Chapter if it was not exempt from that Article; provided, that interest earned on deposits at the Federal Home Loan Bank of Atlanta, or its successor, shall be exempt from taxation for those savings and loan associations which meet the qualified thrift lender test set forth in the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (P.L. 101-73)."
Sec. 2.  This act is effective upon ratification and shall apply to tax years beginning on or after January 1, 1989.
In the General Assembly read three times and ratified this the 12th day of August, 1989.