income tax
Senate budget would take education funding to destructive new depths
“Fund students, not systems” has become the rallying cry of the country’s most extreme school choice zealots. It’s a silly motto for many reasons. Notably, private schools and public schools are both “systems,” and systems are necessary to efficiently provide students with high quality education serving the public good. Despite the motto’s obvious ridiculousness, it […]
Breaking: NC Supreme Court keeps alive the NC NAACP challenge to voter ID
The state Supreme Court in a 4-3 vote agreed with a central argument the North Carolina NAACP made in its challenge to controversial constitutional amendments, keeping alive the case against voter ID and an income tax cap. (Click here to read the majority and dissenting opinions.) The Supreme Court’s Democratic majority wrote that proposed constitutional […]
Editorial tells GOP and its flunkies the truth about the latest state income tax cuts
Be sure to check out this morning’s lead editorial in the North Carolina McClatchy twins — Raleigh’s News & Observer and Charlotte Observer. In “A frustrated GOP wants to know: Why aren’t North Carolinians celebrating tax cuts?” the authors detail the folly of the latest state income tax cuts enacted by the Republican-led General Assembly […]
Without a change of course, the NC legislature is setting us up for perpetual fiscal crisis
Lawmakers are set to squander the opportunity provided by federal COVID-19 relief The leadership of the North Carolina General Assembly is ready to undercut the power of state aid from the American Rescue Plan by continuing its relentless pursuit of income tax reductions to the tune of at least $2 billion or, much more likely, […]
New analysis: A third of NC taxpayers won’t benefit from proposed tax refund plan
Proposal would also undermine preparations for next recession North Carolina Senate and House leaders are moving forward with a flawed proposal to spend the majority of the state’s revenue over collections, more than $600 million, to issue tax refund checks of $125 per taxpayer ($250 for married couples). Such a proposal undercuts the potential to […]
Still have questions about the income tax amendment on the ballot?
Today is Election Day, and many in North Carolina are still unaware or confused about the six proposed amendments to the NC constitution that are currently on the ballot. Below are some of the questions the Budget & Tax Center has most often encountered during this election season. What is the proposed income tax cap […]
Tax cap amendment unwise, politically motivated say N.C. business owners
A group of North Carolina business owners spoke out Tuesday against a constitutional amendment to cap the state income tax rate at 5.5 percent. In a press teleconference arranged by the North Carolina Business Council, a number of owners said the amendment, which would be put on the ballot in November, would hem in state […]
What lawmakers did and didn’t mention today about their tax choices
Today, the House Finance committee approved a proposal to change the state Constitution to lock in the recent tax choices made by the General Assembly leadership. The proposal would lock in the current income tax rate that has made it impossible for the state to keep up with the education, health and infrastructure needs of […]
House Committee advances constitutional amendment to cap state income tax rate
A bill to place an amendment to the state constitution on the ballot in November passed the House Finance Committee Wednesday with less than 15 minutes of debate. The amendment would cap the state income tax rate at 5.5 percent. “I understand the differences we have in tax policy across the members of this body […]
As Congress rushes to pass tax legislation, consider the impact to NC’s state and local taxes
Congress is very close to giving a tax bill to President Trump by the holidays that would allow the wealthiest to pay less in taxes and result in a bad deal for everyone else. As Congress rushes to make all of this happen, it is important to know that the tax framework released by President […]
Report: Constitutional restrictions on revenue hurt state economies. So why is NC proposing one?
A new report from the Center on Budget and Policy Priorities (CBPP) shows how constitutional revenue limits, like the one proposed in North Carolina by the Senate, can impede state economies. From the report: “A strong state economy requires high-quality public services like schools, public colleges and universities, and well-maintained infrastructure, among other services. Businesses […]
Why cutting taxes for business again makes no sense
When businesses pay their share of taxes, North Carolina is able to invest in the things that build thriving communities and a prosperous economy – things like good schools, roads, public health and a clean environment. The Senate’s tax plan, Senate Bill 325, includes a tax cut for businesses that goes against this proven principle. […]