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North Carolina Relocation | Tax Considerations
Information about some of the differences between North Carolina and federal income tax law as well a information on property taxes, sales and use taxes and inheritance, estate and gift taxes. We've also included information specific to obtaining a drivers license and license plates for your vehicles. Please note that this information is intended for use as a general reference only.
North Carolina and Federal Income Tax Differences
The calculation of North Carolina taxable income begins with federal taxable income.  The federal amount is adjusted for a variety of modifications which can increase or decrease North Carolina taxable income.
Additions to Federal Taxable Income
Interest on obligation of states other then North CarolinaAny amount taxed by a separate tax under the IRS Code (i.e. lump sum distributions)State, local and foreign income tax deducted on federal return.Inflationary increases in the federal standard deduction and exemption.The excess of "bonus" depreciation allowed under federal tax law (described in 2002 and 03) over normal depreciation allowed under NC tax law.Federal estate tax that is deductible from federal gross income.Deductions from Federal Taxable Income
Interest on obligations of the United States.Social Security income taxable on federal returns.Refunds of state, local and foreign income taxes.All retirement benefits from federal retirement plans ... more

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