Education, NC Budget and Tax Center

Income tax rate cap amendment would cement N.C.’s missed opportunity in education

Imposing an arbitrary income tax rate cap in the North Carolina Constitution could fundamentally compromise our state’s ability to fund our schools, ensure the educational preparation of young children, and boost the educational attainment of our workforce.

Such a cementing of a missed opportunity in education could happen as the tax load shifts even further onto middle- and low-income taxpayers, while the state’s highest income taxpayers, the top 1 percent, continue to benefit from recent tax changes since 2013.

In the Budget & Tax Center’s report on the costs of a proposal to lower the maximum tax rate allowed on incomes, we find that by cutting off the potential for top brackets on high-income earners, North Carolina will not have $2.4 billion available to meet unmet needs.

These needs are real in classrooms across the state and for families with children in every community.

  • Per pupil spending remains below pre-Recession levels – 25 percent lower than South Carolina.
  • The teacher pay penalty in N.C. is second worst in the nation, behind only Arizona.
  • Students are learning in buildings with mold and leaking roofs.
  • Students are lacking access to the tools that support their learning — technology and textbooks — and their well-being — school nurses, counselors and food.

With $2.4 billion, North Carolina could address these needs and help every child reach their full potential.  Failing to do so puts at risk our constitutional commitment to public education.

Alexandra Sirota is the Director of the Budget & Tax Center, a project of the NC Justice Center. 

Check Also

North Carolina’s tax code isn’t helping the state’s growing inequality

The release last week of new data from ...

Top Stories from NCPW

  • News
  • Commentary

When North Carolina Democrats and Common Cause N.C. filed a suit in Wake County Superior Court last [...]

Breaking the Republicans’ veto-proof majority was the Democrats’ and voting rights activists’ short [...]

The Joint Subcommittee on the Atlantic Coast Pipeline voted Wednesday to launch an investigation int [...]

North Carolina is not the only state whose transgender state employees and dependents are without in [...]

If you’re looking for a hopeful sign about modern North Carolina, here’s a small one to buoy your sp [...]

Tony Maxwell, a retired African-American naval officer, was trying to get his Jacksonville, Florida [...]

The post The 2018 Midterms: Cutting off the nose to spite the face appeared first on NC Policy Watch [...]

Despite the manufactured panic of the migrant caravan, despite the midterm’s so-called “referendum o [...]