Skip to content

Recent Posts

  • Taxgirl Goes To The Movies: Star Wars
  • Looking For Tax Breaks?
  • Taxgirl Goes Back To The Movies In 2025
  • Here’s What You Need To Know About Submitting Tax Questions
  • Looking For More Great Tax Content?

Most Used Categories

  • individual (1,314)
  • politics (862)
  • IRS news/announcements (753)
  • tax policy (582)
  • ask the taxgirl (543)
  • prosecutions, felonies and misdemeanors (479)
  • just for fun (478)
  • state & local (403)
  • pop culture (399)
  • charitable organizations (389)
Skip to content

Taxgirl

Because paying taxes is painful… but reading about them shouldn’t be.

  • About Taxgirl
  • Info
    • My Disclaimer
    • A Word (or More) About Your Privacy
    • Subscribe
  • Ask The Taxgirl
  • Comments
  • Taxgirl Podcast
    • Podcast Season 1
    • Podcast Season 2
    • Podcast Season 3
  • Contact
  • Home
  • 2010
  • November
  • 4
  • NC Just Says No To Taxes… Again

NC Just Says No To Taxes… Again

Kelly Phillips ErbNovember 4, 2010

When I first moved to Pennsylvania from North Carolina, I thought I had hit the lottery. I distinctly remember standing in Express buying some clothes on sale and waiting for the total. When the sales girl finished ringing me up, the total showed. It was the same as the subtotal. I stood there for a moment, waiting for her to add in sales tax. She stared at me. I stared back at her. “There’s no tax?” I asked her, incredulously. “Not on clothes,” she said. I turned to my friend, Bren (yes, Kelly and Brenda, just like on 90210 – we thought we were very cool at the time) and remarked, “It’s like another sale!”

North Carolina slaps a sales tax on nearly everything. Prescription meds excepted, of course. But nearly everything else.

It was no surprise to hear, then, that taxpayers in the Tarheel State have finally had enough. After raising the tax rates to 8% in Alexander, Catawba, Cumberland, Haywood, Hertford, Lee, Martin, New Hanover, Onslow, Pitt, Randolph, Rowan, Sampson, Surry and Wilkes Counties (that’s an additional 2.25% over the state rate of 5.75%) in the past year or so, fourteen counties said no to an increase this year. The vote wasn’t even close in most of those counties with more than 70% of voters in half of the counties opposing the measure.

Of course, a “no” vote won’t necessarily keep the question off of the ballot time. By state law, counties can raise individual sales tax rates with voter approval which means that, in many counties, the question pops up on the ballot every year. The resounding “no” however might make county officials rethink their election strategies. Might. We’ll see.

Facebooktwitterlinkedinmail
author avatar
Kelly Phillips Erb
Kelly Phillips Erb is a tax attorney, tax writer, and podcaster.
See Full Bio
social network icon social network icon
North Carolina, sales-tax, tax hikes

Post navigation

Previous: Tax Issues and Elections
Next: Fix the Tax Code Friday: Excise Taxes

Related Posts

mansion

LA Times Mention In Mansion Tax Story

June 15, 2023 Kelly Phillips Erb

Navigating the Ever-Changing World of Sales Tax in 2022

January 4, 2022January 25, 2022 John Luckenbaugh
smart phone inside of a car

Lyft and Other Gig Drivers Will Remain Independent Contractors After California Vote

November 5, 2020January 10, 2021 Kelly Phillips Erb

One thought on “NC Just Says No To Taxes… Again”

  1. Wayne Phillips says:
    November 5, 2010 at 8:56 am

    Tax on food has long been a issue among the folks in NC since Gov. Terry Sanford (1961-165) convinced the NC General Assembly to create “Terry’s tax” on food as a progressive move at the time. The tax was 3%. It was promoted as a “temporary tax”, which still exists to this day. Define ‘temporary’.
    Efforts have been made ever since trying to repeal this repressive tax on a commodity that is essential, especially to those trying to live and feed a family on low wages as was the case in the ’60’s and ’70’s.
    Finally in mid-1990’s, the NC legislature had heard this issue from the public long enough. Efforts were made to repeal, but a compromise was made to reduce to 2%. Again a repressive tax for the state’s poor and middle class.
    This “temporary tax” made permanent, still has not kept NC sales tax on most daily items, from causing NC to have hugh deficits in the state budget.
    The 2009 North Carolina General Assembly enacted legislation that provided for a temporary additional 1% State sales and use tax effective September 1, 2009 and will expire on July 1, 2011, making sales tax on many purchases as much as 8 to 8.25%. Note this is set to expire July 1. 2011. With the state and county budgets all hurting with deficits and restricted
    services (library closings and reduced hrs was the first to go), I doubt this tax will vanish with the sunset July 1. 2011.
    NC leaders, lead by the past and present governors, have duped the NC legislatures and public into approving programs specifically for a designated purpose, then robbing the accounts to balance the state budget (a NC Constitution requirement). Two of the most abused are the state tax on gasoline (Good Roads tax) and the recent NC Educational Lottery. Both were “robbed” by Democratic Gov. Easley and Gov. Bev Perdue. Lawsuits have been filed in NC Supreme Court challenging their actions, but little has been done to reverse those executive branch decisions.
    One final note, NC Counties have the ‘priviledge’ to raise taxes on sales and property taxes, to meet the needs of their specific domains. But many such as New Hanover, Mecklenburg, Forsyth, Cumberland and a few others take these collected taxes from their citizens and give them to large companies to entice them to either remain in their counties, or move to their counties. Mecklenburg, Gaston and Cabarrus counties were actually bidding against each other for a high tech firm. AND NC sweetens the deal with a state grant, from, you guessed it, state taxes collected from the natives.
    NC is a premier state. Giving tax monies to corporations that would have moved here anyway for a number of reasons (non-union labor, moderate wage base, skilled and educated work force, great landscape and great folks) is wrong. In New Hanover County, Titan Cement wanted to locate on a site that was formerly Dixie Cement, and they bought the land and facilities, bought adjacent lands, then announced they wanted to move here and create 150 new jobs. They had made the decision to locate here already. But the county leaders decided that Titan Cement needed to know how much we appreciated their consideration of putting their plant here (they had already made the decision) and gave them $400,000 in county monies. This from a county that is cutting services at every point.
    All this is to point out, NC has regressive taxes, and poor leadership at county and state levels to use the monies collected for their stated purposes.
    So, as in Kelly’s article, NC folks are tired of tax and switch. More county commissioners will lose their jobs with folks who are opposed to more taxes, in whatever shape they are packaged. Except the folks in Mecklenburg County. They seem to like their taxes. Have at it Mecklenburg!

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

© 2005-2022, Kelly Phillips Erb | Theme: BlockWP by Candid Themes.
Skip to content
Open toolbar Accessibility Tools

Accessibility Tools

  • Increase TextIncrease Text
  • Decrease TextDecrease Text
  • GrayscaleGrayscale
  • High ContrastHigh Contrast
  • Negative ContrastNegative Contrast
  • Light BackgroundLight Background
  • Links UnderlineLinks Underline
  • Readable FontReadable Font
  • Reset Reset
  • SitemapSitemap
  • FeedbackFeedback