H305 Summary

• Enacts the North Carolina New Markets Jobs Act of 2015, establishing a below-the-line tax reduction on state premium tax liability for entities making qualified equity investments in community development entities that invest in low-income community businesses.

• Creates a $208,333,333 maximum certified qualified equity investment authority, with $156,250,000 reserved for rural areas (Tier 1 and 2 counties) and $52,083,333 for statewide investments, with tax reductions ranging from 0% to 12% over seven years.

• Requires qualified community development entities to invest at least 85% of purchase proceeds in qualified low-income community businesses within 12 months and maintain compliance through a seven-year reduction allowance period, subject to disallowance and curing provisions.

• Enacts the Jump-Start Our Business Start-Ups Act (Invest NC exemption), allowing North Carolina businesses to offer and sell securities up to $1-2 million without registration if conducted as intrastate offerings and meeting specified disclosure, escrow, and investor protection requirements.

• Requires $150 filing fee for securities exemption notice and establishes quarterly investor reporting requirements; authorizes the Secretary of State to adopt streamlined rules within 12 months to implement the securities exemption provisions.