Group gives N.C. tax picture unflattering marks : News-Record.com : Greensboro & the Triad's most trusted source for local news and analysis

RALEIGH — Democrats have spent the past year pointing at North Carolina's high ranking in various national business climate and quality-of-life lists to counter the Republican agenda of lower taxes and less regulation.

Now, there's a list that gives the GOP ammunition to fire back.

The conservative Tax Foundation in Washington ranks North Carolina No. 44 overall for its business taxes. It dropped three points from last year.

The state's corporate tax rate fared better — 29th place — but lost big ground on individual income and sales tax rates.

The state chapter of the National Federation of Independent Businesses said in a news release that the General Assembly could do more this year to improve the tax picture here.

Gov. Bev Perdue, however, has taken the politically dangerous position of calling for restoring a three-quarter-cent sales tax to ward off further cuts in the state budget.

The Democratic-controlled General Assembly enacted a temporary 1-cent sales tax hike in 2009 that expired last year. Perdue unsuccessfully fought to retain three-fourths of that penny in the budget.

Mayors support tax increase

Speaking of the governor's tax-increase proposal, 53 North Carolina mayors have signed a letter supporting the idea.

Notably missing are the mayors of Raleigh and Charlotte. Predictably included are the mayors of Carrboro, Chapel Hill and Durham. But the mayors represent cities big and small from one end of the state to the other.

They pin their support on the education angle, saying the budget the Republican-controlled legislature passed last year harmed education because of the large number of teacher layoffs it prompted. More cuts are expected in the second half of the budget this year.

ambrclaire

January 30, 2012 - 7:00 am EST

This article in the Greensboro paper should mention whether our mayor signed to suppor the 3/4 penny tax? He should. I support 3/4 of a penny for education. If we can raise our gas by 3.9% we can certainly support this small tax to educate our children.

Interested

January 30, 2012 - 8:15 am EST

When will voters learn their lesson? There is a promise the $$$ raised from increased taxes will go to education today. Making such a promise gets voters on board. Tomorrow the additional funds are used to balance the budget. We just saw this happen with education funds raised by the lottery. Fool voters once, shame on politicians. Fool voters twice . . .

drewwes01

January 30, 2012 - 10:01 am EST

Won't the sales tax increase amount to almost a $1 billion tax increase on North Carolina taxpayers?

RonaldusMagnus

January 30, 2012 - 10:53 am EST

You liberals never cease to amaze me. "Just 1 more cent tax for education." How many times have we heard that? How about stop wasting tax dollars on projects like the Aquatic Center or the proposed Deep Roots Market giveaway for downtown. As shown in this article, NC is already one of the higest taxed states in the country thanks to years of Democrat control. Yet, education is no better if not worse than the lower tax states and the economy here is in the toilet just as other high tax states.

sparkeysig

January 30, 2012 - 10:14 am EST

Increased Taxes do not necessarily translate into increased educational performance. The proceeds (minus administrative costs) from all traffic fines and citations and the education lottery go to the schools, the schools also receive huge sums of money directly from; federal, state and local taxes, and grant funding from numerous private foundations and organizations. Despite of all this, there are folks who continually call for higher taxes or complain that the money spent on some other completely unrelated project should be spent on the schools.

The first thing school systems need are a serious review of their operations; eliminate programs that are not working, drastically flatten out bloated administrative structures, slash administrative costs and push the funding down to the classrooms where it is can be best applied. In short, the schools need a healthy dose of business sense and efficiency.

The second thing school systems need are parents who are directly engaged with both their children and their children’s schools to insure that their child is behaving and working hard in school and completing homework and study assignments during non-school hours.

The third thing school systems need is a replacement of the tenure system with a performance based system that recognizes the challenges that educators face; rewards good, hard working, teachers and administrators while weeding out poor performing personnel.

In short, most public schools and school systems can learn a great deal about producing high quality graduates from the charter, parochial and private schools and school systems.

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