Leaders across the state are starting to talk about tax reform.
In a recent interview, President of the Senate, Phil Berger was asked: Where do we stand with tax reform? Will the majority try to do away with state income tax in the next couple of years, possibly replace it with a sales tax on services?
His response: I think you’ll see us address the issue. Exactly how it will be addressed, we’ll just have to wait and see. … We would like to be able to not just lower the income tax rates, but eliminate the income tax rates. Whether that can be done or not, I just don’t know, but that’s certainly the goal.
Speaker of the House Thom Tillis promises to cut taxes and has suggested taxing sweepstakes gambling machines might be part of tax reform.
House Minority Leader Skip Stam has proposed a tax credit for businesses to fund opportunity scholarships for low income students.
Senate Finance Committee Chair Bob Rucho wants to reduce the income and small business tax and establish a Taxpayer Protection Act.
JLF VP of Research Roy Cordato thinks reforming the sales tax and repealing the corporate income tax altogether are good ideas.
The Beacon Hill Institute conducted an economic analysis of state tax changes using four models and found changes would “provide a powerful stimulus to North Carolina’s economy.”
Hood explores tax reform options, settles on three, explains them in a column and goes into greater depth in his new book, Our Best Foot Forward.
Republican candidate for governor Pat McCrory has said, ““My major goal would be to reform the entire tax system…That would mean putting less taxes on productivity, primarily income tax.”
Democratic candidate for governor Walter Dalton’s idea of tax policy is to raise the sales tax.
Tax reform should be about lots of ideas, spirited debate, in-depth studies and thoughtful discussion. More to follow – lots more.
