NC S521

Creates a 35% nonrefundable income tax credit for qualified investment entities that invest in eligible small businesses focused on community infrastructure and resilience projects, including transportation, communications, utilities, disaster preparedness, and sustainable energy

Eligible businesses must be organized within 5 years, employ 25 or fewer people in North Carolina, generate $2 million or less in annual revenue, and have community infrastructure and resilience as their primary purpose

Caps total credits at $5 million annually across all taxpayers, with individual investors limited to $100,000 in credits per year; 50% of the credit applies in the investment year with the remainder carried forward up to 10 years

Requires eligible businesses to register with the Secretary of State for 12-month certification periods, with annual reporting to the Joint Legislative Commission on Governmental Operations

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