17 NCAC 05C .0403 U.S. OBLIGATIONS
(a) Net interest income earned on bonds, notes or other obligations of the United States or its possessions is exempt from income taxation in this state so long as interest on obligations of the State of North Carolina and its political subdivisions is exempt from income taxes imposed by the United States.
(b) Net interest from obligations issued under the borrowing power of a federal land bank, a federal home loan bank, a federal intermediate credit bank, Farm Home Administration, Export‑Import Bank of the United States, Tennessee Valley Authority, banks for cooperatives, Student Loan Marketing Association, Federal Farm Credit Bank, Federal Financing Bank, Federal Savings and Loan Insurance Corporation, Commodity Credit Corporation, Resolution Funding Corporation, Production Credit Association and United States Postal Service is considered to be interest from obligations of the United States.
History Note: Authority G.S. 105‑130.5; 105‑262;
Eff. February 1, 1976;
Amended Eff. January 1, 1995; April 1, 1991; October 23, 1977.