NC S590

Creates a nonrefundable income tax credit of 35% for angel investors who make qualified investments in eligible North Carolina small businesses, with 50% usable in the investment year and remainder carried forward up to 10 years.

Limits total statewide credits to $5,000,000 per calendar year and individual investor credits to $100,000 per taxable year; allows credits to be transferred once and carried forward for 10 years.

Defines qualified businesses as North Carolina-registered corporations, LLCs, or partnerships with 25 or fewer employees, less than $2,000,000 annual gross income, or engagement in manufacturing, software development, IT services, research and development, and healthcare services.

Excludes businesses substantially engaged in retail, real estate, construction, professional services, gambling, natural resource extraction, financial/insurance activities, or entertainment/recreation charging admission fees.

Requires Secretary of State to register qualified businesses and report annually to the legislature on registered businesses, capital raised, and jobs created; Department of Revenue must approve credit applications by January 31 and report approval statistics by March 31.