NC S497

Reenacts G.S. 105-151.31 to restore North Carolina's earned income tax credit, which allows individuals claiming a federal earned income tax credit under section 32 of the Internal Revenue Code to claim a state credit equal to 5% of their federal credit amount.

Establishes the credit as 4.5% for taxable year 2013 and 5% for all other taxable years, with nonresidents and part-year residents required to reduce their credit by applying a residency fraction.

Makes the credit refundable, meaning if the credit exceeds the taxpayer's state tax liability, the excess amount must be refunded to the taxpayer following standard overpayment refund procedures.

Extends the sunset date from January 1, 2014 to January 1, 2025, allowing the credit to continue in effect through taxable years beginning before January 1, 2025.

Effective for taxable years beginning on or after January 1, 2023.