Uncategorized

Winston-Salem Journal on corporate tax changes: “Both branches abdicated their responsibility”

A Winston-Salem Journal editorial this morning sharply criticized the General Assembly and the Governor for passing into law a measure that enables multi-state corporations to dodge state corporate income taxes by shifting profits earned in North Carolina to tax-haven states like Delaware and Nevada.

The editorial is critical not just of the damaging impact of the new corporate tax rules in undermining state revenues but also because it was passed “in a reckless and irresponsible way.”  Instead of adhering to long-standing practice of first assessing the fiscal impact of a bill before sending it to the floor for a vote, legislative leaders insisted that the proposed corporate tax changes would have no fiscal impact, despite information from the Department of Revenue that the changes could cost upwards of $100 million per year in state revenue.

In the end, legislators rushed to pass the bill, promising to study and revisit the legislation before the next session.  But as the editorial notes:

This is not the way to make laws. The legislature should have had a clear understanding of this bill’s fiscal implications before passing it, and the governor should have had the same knowledge before she signed it.

 

Check Also

Some of Obama Administration’s Proposed Tax Changes Lay Groundwork for Federal, State Reform

This blog post is one in a series ...

Top Stories from NCPW

  • News
  • Commentary

Congress has just a few days left this month to enact legislation that would address the immigration [...]

12.2 million - the number of people nationally who signed up for health care coverage using HealthCa [...]

Frenches Creek Finishing lies in the watery lowlands of Bladen County, near Lion Swamp, Conkill and [...]

Historical commission member weighs in on monuments, free speech Valerie Johnson is the Mott Disting [...]

“All speech is free, but some speech is more free than others.” This seems to be the motto of the cu [...]

Trumpists prepare to raze another vital common good law It’s hard to keep up these days with the flo [...]

The post That’s how ‘Humbug’ is done appeared first on NC Policy Watch. [...]

The solid citizens of Johnston County, N.C. – in a fateful quirk of geography – for several years ha [...]

Featured | Special Projects

NC Budget 2017
The maze of the NC Budget is complex. Follow the stories to follow the money.
Read more


NC Redistricting 2017
New map, new districts, new lawmakers. Here’s what you need to know about gerrymandering in NC.
Read more