North Carolina’s Unemployment Tax Surcharge to End

North Carolina employers won’t be subject to a 20 percent state unemployment tax surcharge in 2016, according to state officials.

In a Nov. 12 announcement, Gov. Pat McCrory (R) said a $1 billion unemployment trust fund threshold set under state law has been triggered, allowing the surcharge to be discontinued. North Carolina businesses have been paying that surcharge for 10 years.

Coupled with savings from a loan repayment made in May that resulted in full Federal Unemployment Tax Act (FUTA) credits being given to state employers, businesses in North Carolina will save more than $600 million in unemployment taxes during ...