NC S20

Updates North Carolina's Internal Revenue Code reference date from December 31, 2013 to January 1, 2015, affecting tax deductions and depreciation rules for 2014 and subsequent tax years.

Decouples North Carolina from three federal Tax Increase Prevention Act of 2014 provisions for taxable year 2014: discharge of qualified principal residence indebtedness, qualified tuition and related education expenses deduction, and qualified charitable distributions from individual retirement plans.

Changes motor fuel excise tax from a variable rate (17.5¢ per gallon plus 3.5¢-7% wholesale component) to a flat rate of 36¢ per gallon effective April 1, 2015, transitioning to 35¢ (January-June 2016), then 34¢ (July 2016 onward), with future adjustments based 75% on population changes and 25% on Consumer Price Index changes.

Reduces Department of Transportation appropriations by $3.35 million from Highway Trust Fund and $10.05 million from Highway Fund through budget cuts, elimination of at least 40 vacant positions, and specific fund code reductions of 1.4% and 0.5%.

Ratified March 31, 2015, with motor fuel tax provisions effective January 1, 2016.