state income taxes
Editorial calls on lawmakers to exempt student debt relief from state income tax, can their attacks on program
As was noted in this morning’s radio commentary, North Carolina lawmakers need to act to prevent an absurd outcome for thousands of state residents who will benefit from President Biden’s student loan debt relief initiative. It turns out that while the federal government and almost all other states will not consider this debt relief as […]
Biden student loan forgiveness will be taxable income in North Carolina
Student loans forgiven under a plan outlined by President Joe Biden last week will be subject to state taxes, the North Carolina Department of Revenue announced on Wednesday. Borrowers who make up to $125,000 annually — or $250,000, if they are married — could see up t0 $10,000 of their federal student debt forgiven under a […]
What if the government filled out your tax form for you?
As midnight approaches on Monday, countless Americans will be ready to finally hit the send button on their computers to get their federal and state tax forms on their way to Uncle Sam. They’ll do that after having spent days pulling together receipts and forms, having shelled out money for computer software to help them […]
Three numbers that illustrate the folly of North Carolina’s latest austerity budget
North Carolina’s final budget includes deep personal income tax cuts and elimination of the corporate income tax over the next 10 years that will deepen hardship and prolong the recovery rather than supporting people and their well-being. Sadly, rather than invest the state’s available billions in meeting basic near- and long-term needs, lawmakers chose to […]
Want a better economy? Make sure wealthy residents pay their fair share
States that require wealthy residents to reinvest in their communities did better over the past decade, according to a new report from the Institute for Taxation and Economic Policy. States that collect more income taxes from wealthy people generally outperformed their peers that chose to give their most fortunate residents a comparative pass on supporting […]
Four big problems with the NC Senate’s latest tax cut proposal
Senate leaders announced last week that they will file a “Billion Dollar Middle Class Tax Cut Act,” which is misnamed. It will actually continue to deliver the greatest tax breaks to wealthy taxpayers and profitable corporations and drive North Carolina ever closer to a zero income tax. The result will likely be a combination of […]
Editorial: Berger, Moore have things backwards with latest tax cut proposals
As NC Budget and Tax Center Director Alexandra Sirota explained yesterday, the new tax cut proposal from the state Senate is precisely what North Carolina does not need right now. Senate leader Phil Berger has proposed slashing another billion dollars from state revenue. House Speaker Tim Moore has a more modest proposal, but it’s sure […]
Editorials: Legislature should ditch proposal to cap state income tax
Things over at the General Assembly are just starting to warm up, but editorials in two of the state’s leading newspapers are already pouring cold water on one major conservative policy proposal: a constitutional amendment to cap the state income tax rate at 5.5%. This is from the lead editorial in this morning’s edition of […]
Higher ed group blasts state Senate’s income tax constitutional amendment
In case you missed it, be sure to check out the excellent essay that appears on the on the website of the group Higher Education Works regarding the North Carolina Senate’s dreadful proposal to enact a constitutional amendment capping the state income tax. As the essay notes, the proposal would usher in “government by auto-pilot” […]
New tax laws may change the amount of NC personal income taxes withheld from paychecks
Businesses in North Carolina have been instructed by the state Department of Revenue to have their employees complete a new NC-4 tax form and workers and employers may be unclear as to why this is required. The simple answer is that the tax plan signed into law by Gov. McCrory means taxpayers will be paying […]