Tax laws head to McCrory's desk

RALEIGH — North Carolina's annual adjustments to state tax laws in response to federal tax changes are heading to Gov. Pat McCrory's desk, but not without Democratic allegations that Republicans are raising taxes on low-income people.

The General Assembly gave its final approval Wednesday to the bill with a Senate vote. Lawmakers decide every year whether to conform or differentiate to federal changes.

Democrats have focused upon a portion of the bill that declines slightly the state's federal Earned Income Tax Credit and reaffirms the state credit will expire next year. Several hundred thousand tax returns seek the credit, which allows families to collect checks if their credit exceeds what they owe in taxes.

Republicans say credit recipients will get the same overall benefit in 2013 because the federal credit grew.