Delays again for North Carolina Tax Refunds
North Carolina was the first state to announce that it will delay state income tax refunds and issue them based on its available cash flow. We have originally heard that refunds may be delayed into July but the NC Department of Revenue website shows that they are currently processing refunds and managing cash flow. The state has provided a link to check the status of your NC tax refund through their website.
Due to the strain on the states budgets throughout the country, we suggest that you adjust your tax withholdings to eliminate the possibility of having substantial over payments in either federal or state payments. We have already seen several states over the past year that have issued IOU’s instead of actual refunds. The problem with an IOU is that you can’t use that to pay your mortgage or put food on the table.