RALEIGH (July 1, 2013) — Two dozen taxpayers in the top 5 percent have united to let Governor McCrory and lawmakers know that they don’t need a tax cut, and the state instead should adequately fund critical investments like public education, community colleges, universities, and economic and natural resources.
In a letter delivered to lawmakers on Monday, taxpayers representing the state’s top 5 percent based on their income and assets make it clear: “It is not fair to the majority of our residents to decrease our tax load at the expense of our public schools’ ability to educate our children, of local governments’ ability to provide services without raising taxes, and our most vulnerable citizens’ ability to obtain health care and other life-saving services.”
While lawmakers have continued to base tax plans on dramatic cuts to income taxes — primarily for those at the top — that they claim will create jobs in North Carolina, decades of research and experiences across states have found no link between income tax levels and economic growth. Slashing income tax rates for those at the top does, however, contribute to increased income inequality and endangers critical public investments.
"The research is clear. Cutting taxes for the wealthiest taxpayers is not a good strategy for economic growth," said Alexandra Sirota, Director of the Budget & Tax Center, a project of the North Carolina Justice Center. "The loss of revenue under these plans will likely have the opposite effect, hinder the state's ability to grow and grow equitably."
North Carolina’s top earners that have signed onto this letter reinforce the message that cutting taxes for those at the top is not a welcome change.
“We are doing just fine and would rather see the money you are trying to put back in our pockets, be invested in the critical infrastructure and services that make our state a wonderful place to live and work," the letter reads.
The full letter can be read at this link.
FOR MORE INFORMATION, CONTACT: Alexandra Sirota, firstname.lastname@example.org, 919-861-1468 (office); 919-423-1914 (cell); Jeff Shaw, email@example.com, 503.551.3615 (cell).