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colorful waving flag of north carolina state on a american dollar money background. finance concept
Press Release

Statement from Alexandra Sirota, Executive Director of the NC Budget & Tax Center, on the Governor’s budget proposal

Statement from Alexandra Sirota, Executive Director of the NC Budget & Tax Center, on the Governor’s budget proposal

(Wednesday, March 15) — 2023 is a year when North Carolina can and must lay the foundation for a better future.

The Governor’s budget provides important guideposts to measure our progress forward together: the necessary collective commitment to affordable early childhood education, protection of our water and air, access to health care, support for job training, and a sound, basic education for every child.

With this budget, the Governor rightly acknowledges that our tax code must meet its primary purpose of providing the revenue to fund people’s priorities and public goods that keep us safe, healthy, and getting ahead.

Stopping the elimination of the corporate income tax, as the Governor’s budget would do, is a critical step that the legislature must take to protect our commitments into the future.

The Governor’s proposed targeting of the already scheduled personal income tax rate reduction to those with incomes under $200,000 also recognizes that the wealthy should pay what they owe through taxes.

And yet, the proposal won’t fix the heaviest tax load carried by North Carolinians with middle and low incomes who primarily contribute to the state’s revenue through sales tax and aren’t best reached by an income tax rate cut.

More broadly, accepting the already scheduled rate reductions on the personal income tax undermines the importance of future revenue to putting people and communities first.

North Carolina can raise the revenue necessary to make sure our budget supports every North Carolinian and every community. Our leaders must embrace a bold vision that makes our state a great one where everyone can lead a good life supported by a community that we all contribute to building

Beyond our preliminary take from our Executive Director above, the team at NC Budget & Tax Center is reading and analyzing this budget proposal with people in communities across North Carolina to understand its implications on areas including but not limited to revenue, democracy, education, and health with an eye to equity.

We look forward to publishing our findings in the coming days on our blog. In addition, we will be closely monitoring how this proposal moves through the budget process with the expectation that the final budget reflects a transparent and inclusive process and advances well-being in this great state.

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ABOUT NC BUDGET & TAX CENTER: The NC Budget & Tax Center is a non-partisan, nonprofit organization that documents fiscal and economic conditions in communities to support the work of people, organizations, and government to advance solutions to poverty and pursue racial equity.

For more information, contact Mel Umbarger, NC Budget & Tax Center Communications Manager, at [email protected]; or Alexandra Sirota, NC Budget & Tax Center Executive Director, at [email protected].