Regarding the Nov. 21 letter “Another tax hit”: I wonder how many people are aware of the following tax code change that was enacted during the last legislative session. The law changes what can be included as an itemized deduction on N.C. tax returns starting in tax year 2014.
As written, the law lists allowable deductions, not what is excluded, but the only deductions listed as allowable are charitable contributions, interest payments and property tax payments. Medical expenses are not included in the list. Therefore, itemized deductions will no longer be allowed for medical expenses on N.C. tax returns starting in tax year 2014.
In the words of the previous writer, “I don’t remember hearing or seeing any discussion about this when legislators were talking about lowering taxes. I have now received a tax increase courtesy of our legislature.” And I have to believe this change will affect many more taxpayers than will the N.C. 529 change.