North Carolina cutting state, corporate income taxes in 2019
RALEIGH, N.C. (AP) — North Carolina is again cutting personal and corporate income tax rates.
A law passed by the Republican-led General Assembly takes effect Tuesday reducing the state tax on personal wages and other earnings from about 5.5 percent to 5.25 percent.
The corporations will pay be less than half the personal rate after Wednesday, when their state income tax obligation falls from 3 percent to 2.5 percent.
More low-income North Carolina residents also will pay no state income tax.
The families filing jointly and earning up to $20,000 will owe nothing to the state from Wednesday. The zero tax bracket has been $17,500. Individuals will pay no state income tax for 2019 if they earn up to $10,000, compared to $8,750 in 2018.