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It ought be pretty clear by now that the folks protesting the regressive policies of the current General Assembly are North Carolinians, not outsiders as Gov. Pat McCrory and some legislative leaders have suggested.

If you want to understand who the real outsiders influencing our lawmakers are, check out the column in this morning’s News & Observer by Alexandra Sirota of the N.C. Budget & Tax Center. Read the whole thing—here is a sample.

Whether it’s shoddily researched reports by supply-side economics guru Arthur Laffer or inflammatory rhetoric during visits from Grover Norquist – he of the infamous “no tax” pledge that hamstrings legislators – the influence of outsiders in North Carolina is pervasive. These people and organizations are trying to make the state the latest test case for extreme measures in the guise of “reform.”

 

NC Budget and Tax Center

The League of Women Voters North Carolina released a statement today opposing all tax plans under consideration in the North Carolina General Assembly:

FOR IMMEDIATE RELEASE
June 3, 2013
www.LWVNC.org

The League of Women Voters of North Carolina, meeting in Charlotte for its 34th biennial convention, announced its opposition to tax plans now being considered in the General Assembly which promote unfair and regressive tax policies, including House Bill 998.  This opposition is in line with long-standing positions of the non-partisan organization.

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NC Budget and Tax Center

The Senate budget proposal currently being discussed in the Senate chamber will be passed without a review of the Senate tax plan. What we do know of that plan, however, is that it will subject food and prescription drugs to an increased sales tax, thereby further shifting the responsibility for funding government onto middle- and low-income families. As the graphic below from Together NC illustrates (click on it to see a larger version), middle- and low-income families pay a much higher percentage of their income on food and medicine than do wealthy individuals, meaning a much harder hit on their pocket books.

FoodMedicine2 (3)

NC Budget and Tax Center

The North Carolina Senate’s tax reform plan released today is long on promises and short on details. It is unclear how fair the purported “Tax Fairness Plan” will prove to be. Several red flags are raised by this plan, which should raise the alarm for all those concerned with a budget and tax system that supports economic opportunity and the foundation of economic growth.

One red flag is the surprising lack of details about how tax cuts will be offset by expanding the sales tax base enough to keep our vital services and infrastructure in place.

Another red flag is that this plan does not purport nor attempt to raise the same level of revenue as the state is currently taking in. The plan as outlined by Senator Berger will result in at least one billion dollars in revenue loss—revenue that could be dedicated to important and necessary services and infrastructure in the state. For example, one billion dollars is equal to the entire community college system budget in North Carolina. Read More

Uncategorized

One of the few points of consensus that the right and left can come to on North Carolina’s tax system is that it’s badly in need of fixing.

The particulars how to do that, and how much taxes different groups should pay, widely differs from that point on, and were the topic of a luncheon debate this afternoon on N.C. State University’s campus and hosted by the N.C. Institute of Emerging Issues, the conservative Civitas Institute and the N.C. Justice Center’s Budget and Tax Center.

Wonky terms like regressive, progressive taxes and supply-side tax policy were tossed around, in the context of a larger conversation about what slashing taxes can do to a community.

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