By JONATHAN PALMER, Research Associate
As North Carolina’s lawmakers debate how to deal with the $4.6 billion
state budget gap, it may be helpful to look at the choices made in states
with similar fiscal situations. Twenty-five states have raised taxes since the
beginning of 2009, and 13 more are considering tax proposals (Figure 1).
Some states have taken either progressive or reform-minded approaches
by adding top income tax brackets, closing corporate tax loopholes or
broadening the base of their sales taxes