Lower Taxes are Another Reason to Retire in NC
With all of the wonderful amenities, a spectacular on site, 18 hole professional golf course, and countless programs and activities aimed for those in their retirement years right in town, Rocky Mount’s Belmont Lake Preserve new home community is the perfect spot to settle into your new home. As if all of that isn’t enough, the state of North Carolina has introduced a reform deal over the course of the past year and a half that has had an immediate positive impact on the rates for retirees and will continue to benefit them for years to come, thus, Lower Taxes are Another Reason to Retire in NC.
Forbes.com detailed the state’s tax reform deal, which has already began paying major dividends, noting three major ways in which Lower Taxes are another Reason to Retire in NC. The site explained the first beneficial change, saying, “The plan will lower income tax rates to a flat rate of 5.8 percent in 2014 and 5.75 percent in 2015. In the current three-tiered system, the top rate of 7.75% kicks in on earnings over $60,000 for a single and $100,000 for a couple, and the second tier, seven percent rate starts at with earnings of just $12,750 for a single and $21,250 for a couple. Further rate reductions could be triggered by revenue growth in 2016 and 2017.”
Detailing the other ways in which the reform will help retirees, Forbes reported, “The plan will abolish the state estate tax retroactive to January 1, 2013. Currently, North Carolina has a generous exemption of $5.25 million per person that matches the federal estate tax exemption…The plan will continue to exempt Social Security income from state taxation. That was one point of contention during the months of wrangling over competing tax reform bills, with the AARP and other groups lobbying to keep Social Security payouts state income-tax free.”