McCrory officials touted low taxes while complaining about high taxes

Emery Delasio with the Associated Press has a fascinating story about the behind the scenes negotiations as state economic development officials were trying to convince executives with Sturm Ruger & Co. to locate a new factory in North Carolina.

The company finally agreed to build a new facility in Rockingham County after receiving a incentive deal that could top $15 million.

The entire piece is worth your time, but here’s a paragraph that is especially interesting.

Emphasizing North Carolina’s allure, a state business recruiter wrote Ruger’s consultant that the state had “the 3rd lowest ‘effective tax rate’ in the nation based on multiple studies.” Gov. Pat McCrory and Republican legislative leaders were simultaneously arguing a tax cut was necessary to spur business. The cut in personal and corporate income taxes are projected by the General Assembly to be worth $524 million over the next two years.

Got that? An official with the Commerce Department was pointing out that the state’s real tax rate for corporations was the third lowest in the country while Governor McCrory and GOP lawmakers were saying every day that corporate taxes were too high and hurting economic development efforts.

The final tax agreement passed this summer and signed by McCrory cut the corporate tax rate and gave millionaires a big break too, while raising taxes on most low-income and middle class families.

5 Comments

  1. david esmay

    October 7, 2013 at 1:56 pm

    The same cognitive dissonance can be seen in McCrony’s blatantly misleading commercials they’re running, misinformation and the obfuscation of facts must be part of the GOP’s “re-branding” scheme.

  2. ConcernedNCMom

    October 7, 2013 at 4:02 pm

    Here is what he meant with the “taxes are too high statement”:Taxes are too high for the rich folk that he is pandering to.

  3. Alan

    October 7, 2013 at 6:22 pm

    But….. according to GOP Rules/LSD/Doogie et al, companies are moving offshore because of “the highest corporate tax rate in the developed world”. Yet another example of GOP smoke and mirrors at work, not to mention taxpayer subsidies (sometimes referred to as corporate welfare…)

  4. LayintheSmakDown

    October 8, 2013 at 5:59 pm

    Alex/Chris/Sarah/Glenn/Barack/Nancy/Bill
    ,
    They are….as can be seen by the “spotlights” on this web site. Now that is only one of the reasons, but is the main driver in my experience. Otherwise, why would they attempt to protect income from our high national tax rates? You spend the time mocking it, but insist on remaining ignorant.

    As far as the Ruger article, I read it and my read showed they were referencing the historic reform that took place this year as the reference point for the tax rate. This post is just one more cherry pick of statistics designed to follow the Blueprint memo of “evicerate” no matter the true intent of the party being attacked.

  5. GOP Rules

    October 10, 2013 at 11:09 am