§ 105-151.26. (Effective for taxable years beginning on or after January 1, 2006, and expires for taxable years beginning on or after January 1, 2011) Credit for charitable contributions by nonitemize - North Carolina Statutes

§105‑151.26.  (Effective for taxable years beginning on or after January1, 2006, and expires for taxable years beginning on or after January 1, 2011)Credit for charitable contributions by nonitemizers.

A taxpayer who elects thestandard deduction under section 63 of the Code for federal tax purposes isallowed as a credit against the tax imposed by this Part an amount equal toseven percent (7%) of the taxpayer's excess charitable contributions. Thetaxpayer's excess charitable contributions are the amount by which thetaxpayer's charitable contributions for the taxable year that would have beendeductible under section 170 of the Code if the taxpayer had not elected thestandard deduction exceed two percent (2%) of the taxpayer's adjusted grossincome as calculated under the Code.

No credit shall be allowedunder this section for amounts deducted from gross income in calculatingtaxable income under the Code or for contributions for which a credit wasclaimed under G.S. 105‑151.12, 105‑151.14, or 151.30. A nonresidentor part‑year resident who claims the credit allowed by this section shallreduce the amount of the credit by multiplying it by the fraction calculatedunder G.S. 105‑134.5(b) or (c), as appropriate. The credit allowed underthis section may not exceed the amount of tax imposed by this Part for thetaxable year reduced by the sum of all credits allowed, except payments of taxmade by or on behalf of the taxpayer. (1996, 2nd Ex. Sess., c. 13, s. 7.1; 1998‑98, s.69; 1998‑183, s. 1; 2006‑66, s. 24.18(d).)

§ 105‑151.26.  (Effectivefor taxable years beginning on or after January 1, 2011) Credit for charitablecontributions by nonitemizers.

A taxpayer who elects thestandard deduction under section 63 of the Code for federal tax purposes isallowed as a credit against the tax imposed by this Part an amount equal toseven percent (7%) of the taxpayer's excess charitable contributions. Thetaxpayer's excess charitable contributions are the amount by which thetaxpayer's charitable contributions for the taxable year that would have beendeductible under section 170 of the Code if the taxpayer had not elected thestandard deduction exceed two percent (2%) of the taxpayer's adjusted grossincome as calculated under the Code.

No credit shall be allowed underthis section for amounts deducted from gross income in calculating taxableincome under the Code or for contributions for which a credit was claimed underG.S. 105‑151.12 or G.S. 105‑151.14. A nonresident or part‑yearresident who claims the credit allowed by this section shall reduce the amountof the credit by multiplying it by the fraction calculated under G.S. 105‑134.5(b)or (c), as appropriate. The credit allowed under this section may not exceedthe amount of tax imposed by this Part for the taxable year reduced by the sumof all credits allowed, except payments of tax made by or on behalf of thetaxpayer. (1996, 2nd Ex. Sess., c. 13, s. 7.1; 1998‑98, s.69; 1998‑183, s. 1.)