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H384 • 2025

Nat. Guard Tax Deduction for Fed. Pay.

Nat. Guard Tax Deduction for Fed. Pay.

Taxes
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Loftis, Schietzelt, Gable, Campbell, Harrison, Kidwell, Ward, White
Last action
2025-04-08
Official status
Re-ref Com On Finance
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Nat. Guard Tax Deduction for Fed. Pay.

H384-SMBA-9(CSBAf-5)-v-3 (2025-04-08): Nat.

What This Bill Does

  • H384-SMBA-9(CSBAf-5)-v-3 (2025-04-08): Nat.
  • Guard Tax Deduction for Fed.
  • Pay.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Plain English: 2025-2026 General Assembly HOUSE BILL 384: Nat.

  • 2025-2026 General Assembly HOUSE BILL 384: Nat.
  • Guard Tax Deduction for Fed.
  • Pay.
  • Committee: House Homeland Security and Military and Veterans Affairs.

Bill History

  1. 2025-04-08 House

    Re-ref Com On Finance

  2. 2025-04-08 House

    Reptd Fav Com Substitute

  3. 2025-03-13 House

    Ref to the Com on Homeland Security and Military and Veterans Affairs, if favorable, Finance, if favorable, Rules, Calendar, and Operations of the House

  4. 2025-03-13 House

    Passed 1st Reading

  5. 2025-03-12 House

    Filed

Official Summary Text

H384-SMBA-9(CSBAf-5)-v-3
(2025-04-08): Nat. Guard Tax Deduction for Fed. Pay.

Current Bill Text

Read the full stored bill text
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 2
HOUSE BILL 384
Committee Substitute Favorable 4/8/25

Short Title: Nat. Guard Tax Deduction for Fed. Pay. (Public)
Sponsors:
Referred to:
March 13, 2025
*H384-v-2*
A BILL TO BE ENTITLED 1
AN ACT TO ALLOW ENLI STED MEMBERS OF THE NATIONAL GUARD WITH A 2
RANK OF E-1 THROUGH E-5 TO DEDUCT THEIR FEDERAL BASIC PAY FROM THE 3
STATE INCOME TAX AND TO TRANSFER ADDITIONAL SPORTS WAGERING TAX 4
PROCEEDS TO THE GENERAL FUND. 5
The General Assembly of North Carolina enacts: 6
SECTION 1. G.S. 105-153.5(b) is amended by adding a new subdivision to read: 7
"(17) The total amount of federal basic pay under Title 37 of the United States Code 8
received by an enlisted member of the Army National Guard or the Air 9
National Guard who holds the rank of E-1, E-2, E-3, E-4, or E-5." 10
SECTION 2. G.S. 105-113.128(5) reads as rewritten: 11
"(5) Of the remaining proceeds, as follows: 12
a. Twenty percent (20%) annually to be distributed equally among the 13
institutions listed in this sub-subdivision to support collegiate athletic 14
departments, not to supplant general funding to that institution. The 15
institutions are listed as follows: 16
1. Appalachian State University. 17
2. East Carolina University. 18
3. Elizabeth City State University. 19
4. Fayetteville State University. 20
5. North Carolina Agricultural & Technical State University. 21
6. North Carolina Central University. 22
7. University of North Carolina at Asheville. 23
8. University of North Carolina at Charlotte. 24
9. University of North Carolina at Greensboro. 25
10. University of North Carolina at Pembroke. 26
11. University of North Carolina at Wilmington. 27
12. Western Carolina University. 28
13. Winston-Salem State University. 29
b. Thirty Twenty-nine percent (30%) (29%) annually to the North 30
Carolina Major Events, Games, and Attractions Fund established 31
under G.S. 143B-437.112. 32
c. Fifty percent (50%) Proceeds not otherwise credited under this section, 33
annually to the General Fund." 34
General Assembly Of North Carolina Session 2025
Page 2 House Bill 384-Second Edition
SECTION 3. Section 1 of this act is effective for taxable years beginning on or after 1
January 1, 2025. Section 2 of this act is effective July 1, 2025, and applies to net proceeds credited 2
on or after that date. The remainder of this act is effective when it becomes law. 3