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SL2007-0323 <br />Page 265 of 272 <br />_ .. .~ . ., . r ,, - <br />trust. <br />SECTION 31.18.(d) The Department of Revenue must report to the Revenue Laws <br />Study Committee by May 1, 2009, on the amount of corporate income tax revenue generated in <br />the 2007 taxable year by the addition to corporate income required by G.S. 105-130.5(a)(19), as <br />enacted by this section. Based upon this report, the Revenue Laws Study Committee must <br />determine the revenue-neutral corporate income tax rate and include this information in its <br />report to the 2010 Session of the 2009 General Assembly. <br />SECTION 31.18.(e) This section does not affect the authority of the Department of <br />Revenue under G.S. 105-130.6, G.S. 105-130.16, or any other statute to require a corporation <br />to file a consolidated return or to determine the net income of a corporation properly attributable <br />to this State. The General Assembly fords that an alternative method of addressing a <br />corporation's attempt to use a real estate investment trust to shift income between entities and <br />avoid State taxes is to require a captive REIT, as defined in G.S. 105-130.12 as amended by this <br />section, to add to its federal taxable income the dividend paid deduction otherwise allowed <br />Linder the Internal Revenue Code. <br />SECTION 31.18.(# This section is effective for taxable years beginning on or after <br />January 1, 2007. <br />ENI3ANCE 529 PLAN INCOME TAX DEDUCTION <br />SECTION 31.19.(a) Section 27 of S.L. 2006-221 is repealed <br />SECTION 31.19.(b) Section 24.12(b) of S.L. 2006-66 reads <br />"SECTION 24.12.(b) This section is effective for taxable years <br />January 1, , <br />"(d) Other Adjustments <br />as rewritten: <br />after <br />C it <br />G.S. 105-134.6(d)(4) reads as rewritten: <br />- The following adjustments to taxable income shall be made in <br />calculating North Carolina taxable income: <br />(4) A taxpayer <br />-----.. i~_.._a ._ ,.,..~_ ---, , __~_~_ <br />1~-}esy~-ti~r`~- _._______ ____ ._ __ __~ . __ _ _ ~~-~~~~ay deduct from taxa e <br />income the amount, not to exceed ,moo <br />thousand five hundred dollars ($2,500), contributed to an account in the <br />Parental Savings Trust Fund of the State Education Assistance Authority <br />established pursuant to G.S. 116-209.25. In the case of a married couple filing <br />a joint return, the maximum dollar amount of the deduction is gin- - ___ _ _ <br />.five thousand dollars ($5,000 <br />Eii-S~~s <br />