A BILL TO BE ENTITLED
AN ACT to repeal the corporate income tax phaseout.
Whereas, North Carolina has been consistently ranked as one of the top states for business; and
Whereas, North Carolina fosters a pro‑business environment, fueled by the lowest corporate income tax in the United States, out of all states that levy a corporate income tax; and
Whereas, North Carolina is still recovering from Hurricane Helene, one of the largest natural disasters in the State's history; and
Whereas, Hurricane Helene has left significant long‑term impacts to western North Carolina; and
Whereas, it is the public policy of the General Assembly to ensure that North Carolina has the funds needed to support a full and complete recovery while remaining a low corporate income tax state; Now, therefore,
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 105‑130.3 reads as rewritten:
"§ 105‑130.3.  Corporations.
A tax is imposed on the State net income of every C Corporation doing business in this State at the rate of two and one‑quarter percent (2.25%). An S Corporation is not subject to the tax levied in this section.

							
							
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SECTION 2.  This act is effective for taxable years beginning on or after January 1, 2026.