NC H934

Allows small business owners with annual receipts of $800,000 or less to deduct up to $25,000 of net business income from North Carolina taxable income, or $50,000 combined for married couples filing jointly, effective for taxable years beginning January 1, 2015.

Exempts electricity sales and datacenter support equipment from sales tax when used at a qualifying datacenter that meets wage and health insurance standards and receives at least $75 million in private investment within five years.

Defines "datacenter support equipment" to include power generation and distribution systems, HVAC equipment, computer hardware and servers, and equipment used for related engineering or computer science research.

Forfeits the datacenter exemption if required investment levels are not met timely, or if equipment or electricity is not used at the qualifying datacenter, with taxpayers owing back taxes plus interest.

Datacenter exemptions become effective July 1, 2015, and apply to sales made on or after that date.