NC S461

Allows taxpayers to deduct from North Carolina taxable income any "boot" (non-like-kind property such as cash) received in a federal Section 1031 exchange, up to the amount of their basis in the property sold

Applies to both corporate income tax (G.S. 105-130.5) and individual income tax (G.S. 105-153.5) calculations

Reduces state tax liability for taxpayers who receive partial cash or other non-like-kind property as part of an otherwise tax-deferred real estate exchange

Effective for taxable years beginning on or after January 1, 2025