NC H213

Amends North Carolina tax code to define "retirement plan" to include written plans established by employers or self-employed individuals providing payments after employment ends, and includes volunteer workers as employees.

Creates a phase-in deduction for state, local, and federal government retirement plan income beginning January 1, 2019, with eligibility based on when taxpayers vested in their plans, ranging from those vested in August 1992 (eligible in 2019) through August 2019 (eligible in 2027).

Provides full deduction for North Carolina state and local government retirement plan income and federal government retirement plan income beginning January 1, 2028.

Allows deduction for retirement income from other states' government plans to the extent that other state would not tax equivalent North Carolina government retirement income, effective January 1, 2028.

The phase-in deduction (Section 2) applies to taxable years 2019-2027 and is repealed January 1, 2028, when the permanent deduction (Section 3) takes effect.