Who this is for
If you live or run a business in Charlotte or the towns around it, your federal return looks like anyone else's. Your North Carolina return, and sometimes your South Carolina one, is where the local details show up.
We prepare returns for people across the metro: Charlotte proper, Ballantyne, Matthews, Mint Hill, Pineville and Huntersville, down through Union County, and over the line in Fort Mill, Tega Cay, Indian Land and Rock Hill.
North Carolina issues on Charlotte returns
A flat state income tax, with no local tax on top
North Carolina has a single flat income tax rate, and the rate has been stepping down each year. There is no county or city income tax, so living in Charlotte versus Matthews or Waxhaw changes nothing on your income tax. What differs between counties is property tax.
North Carolina does not follow federal bonus depreciation
This one surprises business owners and landlords every year. If you took bonus depreciation on your federal return, North Carolina requires you to add most of it back and deduct it over the following five years. North Carolina also caps Section 179 expensing well below the federal limit. So a big equipment purchase that wiped out your federal tax may still leave a North Carolina bill. We plan for both.
Mecklenburg versus Union County
The Charlotte metro sits across two very different counties. Mecklenburg and Union set their own property tax rates, run their own business personal property listing each January, and have different sales tax rates, because Mecklenburg adds a local transit tax. If you own rentals or run a business in both, you deal with two county tax offices.
Pass-through businesses can pay state tax at the entity level
North Carolina lets partnerships and S corps elect to pay the state income tax at the business level. For some Charlotte owners that turns a limited personal deduction for state taxes into a full business deduction. It is an annual election and it does not help everyone. We check it every year.
Charlotte's business and rental mix
Two kinds of Charlotte return make up a big share of our work.
Trades and construction. The region has been building for years, and contractors carry equipment, subs, retainage and uneven cash flow into their returns. Timing equipment purchases, collecting W-9s and running S corp payroll correctly are the three things that move their bill most. More on accounting for contractors.
Rental property. Charlotte has a large long term rental market, and many local investors also own short term rentals elsewhere in the Carolinas. Depreciation, missed depreciation and the short term rental rules are where their money is. See real estate tax strategy.
Live in South Carolina, work in Charlotte?
Tens of thousands of people commute into Charlotte from York and Lancaster counties. If that is you, you file two returns:
- A North Carolina nonresident return for the wages you earned working in NC
- A South Carolina resident return reporting all your income, with a credit for the tax you paid North Carolina
There is no reciprocity agreement between the two states, so the credit is what keeps you from being taxed twice. The most common problem we fix is an employer withholding for the wrong state, or for only one. Days you work from home in South Carolina are generally not North Carolina income. Full detail on the NC and SC dual-state page.
Why a Waxhaw CPA works for Charlotte
Our office is in Waxhaw, about 20 miles south of uptown. We do not have a Charlotte office and we do not need one: intro calls are on Google Meet, documents go through a secure portal, and every finished return comes with a recorded walkthrough. Charlotte clients never make the drive.
What it costs
Personal returns start at $400 and business returns at $1,500, with set prices for each state, rental or business schedule you add. The full price list, the step by step process and the document checklist are on our tax preparation service page, where you can build an estimate before you book.
Questions we get asked
Do you have an office in Charlotte?
No. We are in Waxhaw, NC, about 20 miles south of uptown Charlotte. Tax preparation is fully virtual, so Charlotte clients never need to come in.
I live in South Carolina but work in North Carolina. Which state do I file in?
Both. You file a North Carolina nonresident return for wages earned working in NC and a South Carolina resident return for all your income, with a credit for the North Carolina tax so you are not taxed twice on the same wages.
Do you work with Charlotte contractors and construction businesses?
Yes. Trades and construction businesses are one of our main client groups. We handle job costing, subcontractor 1099s, equipment timing and S corp payroll as well as the returns.
How do we meet if everything is virtual?
On Google Meet. Your intro call, any review meetings and planning calls all happen there. Documents are uploaded securely and returns are signed electronically.