North Carolina SB 436: Age with Dignity Act (Caregiver Tax Credit).

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 436

Short Title: Age with Dignity Act (Caregiver Tax Credit). (Public)
Sponsors: Senators Grafstein and Everitt (Primary Sponsors).
Referred to: Rules and Operations of the Senate
March 25, 2025
*S436-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO ENACT THE AGE WITH DIGNITY ACT TO CREATE A CAREGIVER TAX 2
CREDIT. 3
The General Assembly of North Carolina enacts: 4
SECTION 1. Part 2 of Article 4 of Subchapter I of Chapter 105 of the General 5
Statutes is amended by adding a new section to read: 6
"§ 105-153.12. Credit for adult dependents. 7
(a) Credit. – A taxpayer who (i) is allowed an exemption for a qualifying relative pursuant 8
to section 152 of the Code and (ii) has an adjusted gross income less than the amount listed in 9
the table below is allowed a credit under this section against the tax imposed by this Part for each 10
qualifying relative for whom the taxpayer is allowed the federal exemption. The amount of the 11
credit is equal to fifteen thousand dollars ($15,000) if the qualifying relative is a veteran of the 12
Armed Forces of the United States and is twelve thousand dollars ($12,000) for any other 13
qualifying relative. The applicable adjusted gross income limit for a taxpayer is as follows: 14
Filing Status AGI 15
Married, filing $150,000 16
jointly/surviving spouse 17
18
Head of Household $112,500 19
20
Single $75,000 21
22
Married, filing separately $75,000. 23
(b) Limitations. – A nonresident or part-year resident who claims the credit allowed by 24
this section shall reduce the amount of the credit by multiplying it by the fraction calculated under 25
G.S. 105-153.4. The credit allowed under this section may not exceed the amount of tax imposed 26
by this Part for the taxable year reduced by the sum of all credits allowable, except payments of 27
tax made by or on behalf of the taxpayer." 28
SECTION 2. This act is effective for taxable years beginning on or after January 1, 29
2025. 30