This year in North Carolina new laws will take effect, including lower state income taxes and strict mandates to tackle mental health issues of law enforcement officers. The state budget bill signed by Democratic Gov. Roy Cooper last November includes a bill that reduces the present 5.25% individual tax rate to 4.99%, which will continue to decrease until the rate gets as low as 3.99% in 2027.
New law enforcement recruits are required to receive psychological screenings from a duly licensed psychologist. The mandate aims to ensure whether the new additions to North Carolina’s police forces are deemed suitable for police work before they are officially employed. According to training officials, a similar requirement that applies to sheriffs and deputies in the administrative sector has been proposed but is still subject to change.
Important Tax Laws that Will Take Effect in 2022
The approved budget bill also increases the amount of individual income not subject to annual tax. To cite an example, married couples filing jointly, do not have to pay taxes on the first $25,000 of their joint income for the 2022 tax year. Moreover, North Carolina households with aggregate earnings of up to $40,000 will be entitled to claim a $3,000 per-child tax deduction. However, the per-child tax deduction gradually decreases in the event the aggregate household income increases during the tax year.
New North Carolina Law Makes Acceptance of Financial Benefits a Felony for Elected Local Officials
Another law that takes effect this year concerns elected local government official, which prohibits the acceptance of financial remunerations from the public body they represent. Anyone found doing so will be deemed guilty of felony. Moreover, the new law also penalizes public officials of large or medium sized counties, bequeath money to non profit companies to which they are associated.