Section 179 N.C. Revenue Code
Rep. Julia Howard, senior chair of the House Finance Committee, and Rep. Mitchell Setzer, chairman, have responded to our concerns about changes in the deductions allowable for business investments under Section 179 of the N.C. Revenue Code. A clerical error dramatically reduced the deductions by 85 per cent when the 2013 tax reform bill was adopted.
On Tuesday, April 1, Rep. Howard advised manufacturers to use the old deductions schedule when filing this year. She advised against seeking an extension because “the problem is fixed.” She has worked with the Revenue Department and will put a retroactive clause in the technical corrections bill that will be presented next month. Adoption is expected to be routine.
Several of our members were shocked when accountants advised them of their tax liabilities under the new code. But you are safe.
THURSDAY, MAY 15 – 2014 LEGISLATIVE DAY
A cancellation gave us the opportunity to reserve the Legislative Cafeteria on Thursday, May 15 for our annual lobbying day in the N.C. General Assembly. We would be the first organization to sponsor a breakfast and the timing is excellent for the budget process. We were worried that our previous date in June – which we lost to a political caucus—would have been too late. Most observers predict the short session will be fast and furious with adjournment before July 4. After, all this is an election year and all seats are up.
You will be receiving constant reminders over the next six weeks.
The annual marketing conference for the Synthetic Yarn and Fibers Association opens Thursday this week at the Sheraton Airport Hotel in Charlotte. As usual, a challenging agenda of speakers and presentations has been developed.
We will cover the two-day conference in future issues of TRENDS.