Kay Hobart wrote a guest article in Bloomberg Tax on the North Carolina Department of Revenue disallowing millions of dollars in tax credits based on a new interpretation. 

"At the same time the General Assembly is considering an expansion of tax credits, the North Carolina Department of Revenue has embarked on an audit program aimed directly at businesses and individuals who have invested in solar projects and historic rehabilitation in the state," Kay wrote. "The department is disallowing millions of dollars of tax credits under a new and extremely restrictive interpretation that is taking investors, developers, and the market by surprise. The department’s audit initiative appears at odds with both the intent of the General Assembly and a recent North Carolina Supreme Court decision regarding the role of the Internal Revenue Code in state tax matters." 

Subscribers can read the full article here. Bloomberg Tax is one of the world's leading sources for tax news and analysis.