Statement from Alexandra Sirota, NC Budget and Tax Center on Taxing Video Sweepstake Parlors
The Governor’s announcement today that she would raise taxes on video sweepstake parlors to fund education is fiscally irresponsible and would ask far more from low-income individuals and communities to fund the education, health, and safety that our state’s communities and businesses need to thrive. North Carolina needs a comprehensive solution to the state’s budget challenges and that means modernizing the state’s revenue system to raise adequate revenue for all the state’s needs. It is troubling that, once again, the Governor has proposed a revenue option that will take a particularly heavy toll on low- and moderate-income communities – communities that are more likely to be marketed to by gaming companies.
North Carolina’s classrooms and communities need a long-term sustainable approach that fixes the problems with our revenue system, ensuring that students have access to both a quality educational experience and a safe neighborhood in which to grow up. Instead of more revenue from gambling, North Carolina needs serious revenue reform that broadens the base of the sales tax, ensures that the personal income tax remains based on ability to pay, and strengthens the corporate income tax so that profitable corporations pay their fair share towards building a stronger North Carolina.