Skip to comments.Competing Tax Plans Seek To Stimulate Investment and Growth (NC to dump income tax?)
Posted on 01/25/2013 5:36:36 PM PST by Libloather
RALEIGH Efforts are under way to make North Carolina the first state since Alaska in 1980 to eliminate taxes on total personal income. Competing proposals also would launch a pro-growth tax reform renaissance that would scrap corporate income taxes that discourage capital investment and savings.
The John Locke Foundation introduced a plan Wednesday including those elements, along with a repeal of estate taxes and the retail sales tax at the state level. Researchers at the Tax Foundation, a nonpartisan Washington, D.C-based tax research group, are among those lauding the JLF plan.
The whole point is economic growth. Its not just to reform the tax code for the heck of it. Its to get rid of a major drag on the economy, said Roy Cordato, vice president for research and resident scholar at JLF. An independent review of the plan concludes it has the potential to create 80,500 new jobs and increase the states economy by $11.76 billion in the first year.
Our main plan gets rid of the [state] sales tax also. We replace all of the states major tax sources of revenue. We think we get rid of the ones that are most damaging to the economy and replace them all with this Unlimited Savings Account plan, which is our term for it, the USA tax, Cordato said.
Its a consumption tax or consumed income tax and would be levied at a flat 8.5 percent of money withdrawn from the account for taxable purchases, Cordato said.
(Excerpt) Read more at carolinajournal.com ...
I was pretty shocked to find NC had a 6% state income tax...
First amendment one and now this? :D I love my state!
I'd also like to see a 2nd Amendment Freedom Act, and a snub for CommieCare.