What is up with North Carolina's flat state tax?[W:14]

[rabbitcaebannog]

Re: What is up with North Carolina's flat state tax?

And that is the problem with a flat tax. When Forbes proposed his flat tax, the first sentence was the flat tax, no exemptions. The second sentence was a deduction for families.

No politician will ever approve a flat tax. It takes away the right to buy votes with the tax system.

NC does have one in place for the state and the no deductions hurt small business owners not large corporations that will make out on the flat tax proposal.

 

[jimbo]

Re: What is up with North Carolina's flat state tax?

I believe his beef was that NC teachers were getting excessive wages. In reality NC is known for paying their teachers poorly compared to other states. They don't have collective bargaining rights, hence the poor pay. I was being tongue and cheek when I said it's not unions fault for their low wages since union have no say about teacher wages in NC. With all that said, NC's teachers wages and unions is a moot point and completely off topic. Your other points are all opinions and have zilch to do with the OP.

I was responding to an off topic post. Yours. Difficult to respond on topic to off topic.

I have made my flat tax thoughts known Basically, I like flat tax. I just believe it will never happen, and I have seen no flat tax proposal that did not include exemptions, which makes the proposals not flat tax.

 

[rabbitcaebannog]

Re: What is up with North Carolina's flat state tax?

I was responding to an off topic post. Yours. Difficult to respond on topic to off topic.

I have made my flat tax thoughts known Basically, I like flat tax. I just believe it will never happen, and I have seen no flat tax proposal that did not include exemptions, which makes the proposals not flat tax.

I believe the moderator said to stay on topic but I see you decided to go down the rabbit hole.

 

[jimbo]

Re: What is up with North Carolina's flat state tax?

NC does have one in place for the state and the no deductions hurt small business owners not large corporations that will make out on the flat tax proposal.

North Carolina does not have a flat tax system. Even they call it a modified flat tax. Deductions everywhere, and no provision for stopping any further modifications. If they want to exempt small business, they can do so.


"Instead, the Tar Heel state's tax overhaul still allows for several tax breaks on top of the standard deduction. Among them: charitable contributions, a child tax credit and a joint deduction for mortgage interest and property taxes."

 

[jimbo]

Re: What is up with North Carolina's flat state tax?

I believe the moderator said to stay on topic but I see you decided to go down the rabbit hole.

Done. Lets close this line of thought, and concentrate on the flat tax in NC,

 

[rabbitcaebannog]

Re: What is up with North Carolina's flat state tax?

North Carolina does not have a flat tax system. Even they call it a modified flat tax. Deductions everywhere, and no provision for stopping any further modifications. If they want to exempt small business, they can do so.


"Instead, the Tar Heel state's tax overhaul still allows for several tax breaks on top of the standard deduction. Among them: charitable contributions, a child tax credit and a joint deduction for mortgage interest and property taxes."

No, it's not a complete flat tax system with no deductions. It allows a few which still hurts low income and middle income families so not really sure what your point is----it's better to crush them completely?

 

[jimbo]

Re: What is up with North Carolina's flat state tax?

No, it's not a complete flat tax system with no deductions. It allows a few which still hurts low income and middle income families so not really sure what your point is----it's better to crush them completely?

I didn't say it was flat tax system, you said it was a flat tax system (post 26). I argue that there will never be a flat tax system, even though I think it is a good idea.

 

[rabbitcaebannog]

Re: What is up with North Carolina's flat state tax?

I didn't say it was flat tax system, you said it was a flat tax system (post 26). I argue that there will never be a flat tax system, even though I think it is a good idea.

It is a flat tax system but not how you would like where there is "no deductions". My question still stands---if you take away what little deductions they have left it will crush both the low and middle income people. Is that suppose to be a good thing?

 

[AliHajiSheik]

I didn't say it was flat tax system, you said it was a flat tax system (post 26). I argue that there will never be a flat tax system, even though I think it is a good idea.

Pennsylvania is close. A flat tax rate and no standard deduction and very few deductions. I think it is still the lowest state income tax rate of all states that have one.

 

[American]

I mean the last thing the state needs is to bring in less revenue given the sad state of their education funding.

So this thread isn't really about the flat tax, but about the education system? So you provide no links, and lie about the subject of the thread?

 

[jimbo]

Re: What is up with North Carolina's flat state tax?

Just a link on info for those not familiar: North Carolina's Republican tax reform - Aug. 8, 2013

The basic strategy is by creating a better business climate they will encourage businesses to invest in North Carolina. If enough do so, it will create jobs. Increase the number of people working / the average amount earned by the workers and you can reduce tax rates while maintaining the same tax revenues. North Carolina will be an interesting case study to see if it works. I hope it does.

It will work as long as the state can prevent the unions from crossing the state line.

I have a small business in NC. What I find is a mix of good wanting to work people and quite a few with the welfare mentality. You need to go through quite a few to get the good ones.

Econmic development just brought us a subsidized worker. $2 an hour for 6 months, then he will start at $10, with nowhere to go but up. He is observant and interested in learning. I suspect our difficulty will be in affording him in a couple of years.

Programs like this work. For the state, the choice is permanent welfare or a few dollars up front. For us we get the opportunity to train without much downside. For the worker an opportunity to learn to be self sufficient. Everybody wins.

 

[rabbitcaebannog]

So this thread isn't really about the flat tax, but about the education system? So you provide no links, and lie about the subject of the thread?

That would only be true if there was no relation between revenue and state programs and education being one of the largest expenitures for state spending.

You want a source: A uniform tax rate treats individuals and corporations fairly, but it eliminates a backup revenue source, the extra dollars generated by taxing high-income earners at a higher rate for the government. The government relies heavily on revenue generated from income taxes. Pros & Cons of a Flat Tax | Chron.com

 

[American]

That would only be true if there was no relation between revenue and state programs and education being one of the largest expenitures for state spending.

You want a source: A uniform tax rate treats individuals and corporations fairly, but it eliminates a backup revenue source, the extra dollars generated by taxing high-income earners at a higher rate for the government. The government relies heavily on revenue generated from income taxes. Pros & Cons of a Flat Tax | Chron.com

Of course it does, which is why we have stupidly high govt budgets.

 

[rabbitcaebannog]

Of course it does, which is why we have stupidly high govt budgets.

It cost a state money to run health programs, education programs and public safety programs. That is the bottom line. To claim lowering income tax will suddenly take care of a state's infrastructure is counterproductive.