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Posted Friday, June 6, 2014
Raleigh, NC - Progressive protestors, including “Moral Monday” demonstrators, have for roughly the past year voiced their opposition to a supposed state “tax increase” passed last year. Specifically, they gripe that the landmark 2013 North Carolina tax reform – which lowered income tax rates on all income levels – actually results in a tax increase on 80 percent of North Carolinians. Lower-and middle- income households will be especially hard hit, they claim.
The “80 percent will pay higher taxes”, however, has been soundly debunked. Washington Post fact-checkers have called the claim “absurd,” factcheck.org bluntly said the claim “is wrong,” while WRAL-TV in Raleigh declared the statement is “unsupported by facts,” and “is simply not right.”
Indeed, even the head of the organization that produced the report used as the basis for the 80 percent claim has publicly acknowledged, “It’s just a very inaccurate use of the 80 percent number.”
So progressives are quick to voice outrage over make-believe tax increases, but how do they feel about actual tax hikes?
Between 1991 and 2009, the state sales tax nearly doubled from 3 percent to a high of 5.75 percent. Adding on local sales taxes, most North Carolina families were paying a 7.75 percent sales tax on purchases.
Progressives label the sales tax as “regressive” and harmful to low-income households disproportionately. So why no protests in 1991, 2001, 2003, 2005, 2007 or 2009, all years in which the sales tax was increased? And recall it was Democratic Gov. Bev Perdue who wanted to extend the 2009 temporary sales tax increase in 2011, a “regressive” tax that would have cost North Carolinians $820 million a year. Yet chanting protesters were notably absent from the legislature’s hallways that year.
The fact of the matter is that progressives have no problem with tax increases – even so-called regressive tax hikes – as evinced by their silence on a long list of tax-raising legislation over the last few decades.
Following is a partial list of significant tax increases enacted from 1985 to 2010:
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