(a)  Deductions. -- Additional withholding allowances may be claimed by taxpayers expecting to have allowable itemized deductions exceeding the standard deduction or allowable adjustments to income.  For most taxpayers, one additional allowance may be claimed for each two thousand five hundred dollars ($2,500) that the itemized deductions allowed under G.S. 105-153.5(a)(2) are expected to exceed the standard deduction allowed under G.S. 105-153.5(a)(1) and for each two thousand five hundred dollars ($2,500) of net adjustments reducing income.

(b)  Tax Credits. -- A taxpayer who will be entitled to a tax credit may claim one additional allowance for each one hundred forty-six dollars ($146.00) of tax credit.


History Note:        Authority G.S. 105-163.2(b); 105-163.2A; 105‑163.5; 105‑262;

Eff. June 1, 1990;

Amended Eff. April 1, 2001; July 1, 1999;

Readopted Eff. May 1, 2016.