The Budget & Tax Center’s tax reform plan, released this morning, charts the course to a
sustainable revenue system
RALEIGH (April 18, 2011) – A new report from the NC Budget & Tax Center charts a comprehensive course to a modern revenue system – one that would help North Carolina preserve vital public investments in the state’s future.
North Carolina’s current fiscal challenges stem not from excessive growth in state spending, but from the inability of state revenues to keep up with the needs of the people of North Carolina, say experts. The BTC revenue plan aims to offer paths to long-term prosperity through a modern revenue system.
“State leaders must create a budget that meets the population’s needs and allows them to make the investments that will prepare North Carolina for future prosperity,” said Alexandra Forter Sirota, director of the NC Budget & Tax Center. “Responding to the current fiscal crisis through a short-sighted, cuts-only approach will harm the state’s economic recovery. To support the public structures that create prosperity, North Carolina needs meaningful revenue reform.”
Comprehensive revenue modernization along the lines of what is proposed in this report would have eliminated a substantial portion of this year’s revenue shortfall while ensuring that North Carolina could continue to invest in the public structures that will help pave the way to economic recovery and prosperity.
North Carolina’s revenue system has not been substantially updated since the 1930s. During that time, the state’s economy has changed fundamentally.
“It will take leadership to create a modern tax system,” said Sirota. “But for the sake of the families and businesses that are the state's future, a modern tax system is essential if North Carolina is to remain a state that offers opportunity.”
FOR MORE INFORMATION, CONTACT: Edwin McLenaghan, Policy Analyst, 919.856.3192,firstname.lastname@example.org; Alexandra Forter Sirota, BTC director, 919.861.1468, email@example.com; Jeff Shaw, director of communications, 503.551.3615, firstname.lastname@example.org.