The General Assembly returned on October 24 to quickly pass another round of funding for counties devastated by Hurricane Helene. SB 743, The Disaster Recovery Act of 2024—Part II, contains a provision championed by NCACPA that expands the availability of interest waivers for affected taxpayers.
Section 4H.1 of the bill states that the interest waiver provisions in subsections (a) through (c) of Section 13.1 of S.L. 2024-51 also apply to a taxpayer whose tax preparer or records necessary to meet a tax deadline are located in the affected area. Such relief was previously limited to taxpayers located in a declared disaster county.
The provision will require taxpayers seeking an interest waiver under this circumstance to submit a form requesting such relief to the NC Department of Revenue within 30 days of the effective date of the act. Governor Cooper is expected to sign the bill into law soon, and the NCDOR will issue taxpayer guidance shortly thereafter.
NCACPA told lawmakers that taxpayers whose tax preparers or records are located in the area hit by Hurricane Helene but who themselves are not located in a designated disaster county still face tax compliance challenges due to the disruption of services.
Association members throughout the disaster area suffered flooded offices, destroyed equipment, and damaged records. As the October 15 tax deadline approached and passed, many tax professionals continued to be without power, water, or internet services. NCACPA was integral in helping state legislators understand that many of these CPA firms each had a dozen or more clients throughout the state who should be eligible for interest relief.
NCACPA is grateful to Senate Majority Leader and Finance Committee Chair Paul Newton (R-Cabarrus) for his leadership on this issue. The Association extends its appreciation to the NC Retail Merchants Association for working in coalition with NCACPA to secure support for the measure.
If you have questions about this issue or other policy matters, please contact NCACPA Director of Advocacy Robert Broome, CAE.