Tax Reform a Good Compromise

The tax reform package is a good compromise and a good first step in overhauling the out-dated tax code in North Carolina.

It is very easy and popular to promise tax reform on the campaign trail; however, the old adage "the devil is in the details" certainly applies to this issue.

While some critics say the package doesn't go far enough and others say it goes too far in reducing revenues, the mere fact that major tax legislation is going to be enacted by this legislature is in itself a major victory for the Republicans.  In the past 25 years, there have been at least four and possibly more tax reform study commissions. Comprehensive recommendations have been made, but there has not been the political will or leadership to make it actually happen.

Whether one agrees or not with the tax reductions, credit for this compromise package goes to the Governor, Speaker of the House, and the President Pro Tem of the Senate for taking this significant step forward.

Despite cries from big government advocates, this package will NOT result in significant revenue losses to the budget.  Eventually revenues coming into the government will likely increase due to an improving economy and a fairer, more reasonable tax structure when compared to states we compete with for new jobs and retention of current jobs.

Is the package perfect?  No, but it is far better than the inaction of past legislatures on the issue of taxes.