Republicans in the state legislature have steadily cut taxes since they took over seven years ago, winning the praise of lean-government advocates across the country. They credit their tax policies with improving the business climate, restoring a budget surplus and improving the economy.
And they’re not finished. But worried that they could lose their veto-proof majority in the legislature, they have proposed a constitutional amendment to put a lower ceiling on income taxes. The amendment is on the Nov. 6 ballot.
That is going too far, according to groups that are already feeling shortchanged, such as public school teachers. City and county leaders, clergy and others are campaigning forcefully against the amendment in a series of rallies. They say limiting income taxes could shift the tax burden to the counties and force a hike in fees as well as property and sales taxes, predominantly benefiting the wealthy.
Meanwhile, the North Carolina chapter of Americans for Prosperity, which has long pushed for a tax cap, is gearing up to promote the amendment. On Wednesday, it will launch what is says is a six-figure online and direct mail ad campaign.
If approved by a majority of voters, the amendment would lower the current 10 percent cap on personal and corporate income taxes to 7 percent.