North Carolina SB 343: ABC Law Amendments.

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 343

Short Title: Secure Home, Secure Future Act. (Public)
Sponsors: Senators Theodros, Robinson, and Lowe (Primary Sponsors).
Referred to: Rules and Operations of the Senate
March 20, 2025
*S343-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO CREATE THE SECURE HOME AND FUTURE PROPERTY TAX RELIEF 2
BENEFIT. 3
The General Assembly of North Carolina enacts: 4
SECTION 1. Article 12 of Subchapter II of Chapter 105 of the General Statutes is 5
amended by adding a new section to read: 6
"§ 105-277.1E. Secure home and future property tax relief. 7
(a) Classification. – A permanent residence owned and occupied by a qualifying owner 8
is designated a special class of property under Article V, Section 2(2) of the North Carolina 9
Constitution and is taxable in accordance with this section. An owner who receives relief under 10
this section may not receive other property tax relief. 11
(b) Definitions. – The following definitions apply to this section: 12
(1) Owner. – Defined in G.S. 105-277.1. 13
(2) Permanent residence. – Defined in G.S. 105-277.1. 14
(c) Qualifying Owner. – For the purpose of qualifying for the secure home and future 15
property tax relief under this section, a qualifying owner is an owner who meets all of the 16
following requirements as of January 1 preceding the taxable year for which the benefit is 17
claimed: 18
(1) The owner has owned and occupied the property as a permanent residence for 19
the previous 15 consecutive years. 20
(2) The owner is a North Carolina resident. 21
(d) Tax Limitation. – A qualifying owner may defer the portion of the principal amount 22
of tax that is imposed for the current tax year on his or her permanent residence that exceeds the 23
amount due under this subsection. The principal amount of tax due for the current tax year on a 24
permanent residence of a qualifying owner may not exceed the greater of the following: 25
(1) The principal amount of tax due for the preceding tax year, increased by two 26
percent (2%). 27
(2) The amount determined under subsection (e) of this section. 28
(e) Recalculation. – When the value of a property increases due to a physical change to 29
the land or an improvement on the land, other than a change listed under G.S. 105-287(b), the 30
principal amount of tax due on a permanent residence receiving relief under this section is the 31
product of the appraised value of the permanent residence with the change or improvement as of 32
January 1 in the year after the change or improvement occurs multiplied by the property tax rate 33
in effect for the taxable year beginning July 1 of the year in which the property is reappraised. 34
Upon the occurrence of an event triggering this subsection, the taxpayer shall notify the tax 35
assessor of the change no later than the close of the listing period following the change. The 36

General Assembly Of North Carolina Session 2025
Page 2 Senate Bill 343-First Edition
provisions of G.S. 105-312 shall apply for failing to notify the tax assessor as required under this 1
subsection. 2
(f) Temporary Absence. – An otherwise qualifying owner does not lose the benefit of 3
this section because of a temporary absence from his or her permanent residence for reasons of 4
health, or because of an extended absence while confined to a rest home or nursing home, so long 5
as the residence is unoccupied or occupied by the owner's spouse or other dependent. 6
(g) Deferred Taxes. – The difference between the taxes due under this section and the 7
taxes that would have been payable in the absence of this section are a lien on the real property 8
of the taxpayer as provided in G.S. 105-355(a). The difference in taxes must be carried forward 9
in the records of each taxing unit as deferred taxes. The deferred taxes for the preceding three 10
fiscal years are due and payable in accordance with G.S. 105-277.1F when the property loses its 11
eligibility for deferral as a result of a disqualifying event described in subsection (h) of this 12
section. On or before September 1 of each year, the collector must send to the mailing address of 13
a residence on which taxes have been deferred a notice stating the amount of deferred taxes and 14
interest that would be due and payable upon the occurrence of a disqualifying event. 15
(h) Disqualifying Events. – A property loses its eligibility for the benefit provided under 16
this section as a result of a disqualifying event. The tax for the fiscal year that begins in the 17
calendar year in which the disqualifying event occurs is computed as if the property had not been 18
classified for that year for a benefit under this section. Each of the following constitutes a 19
disqualifying event: 20
(1) The owner transfers the residence. Transfer of the residence is not a 21
disqualifying event if (i) the owner transfers the residence to a co-owner of 22
the residence or, as part of a divorce proceeding, to his or her spouse and (