A pro-business group is releasing a study Monday that outlines four options for overhauling taxes in North Carolina -- the latest proposal in the mix ahead of the legislative session.
The Tax Foundation study was commissioned by the Carolina Business Coalition -- a limited government, low-taxation interest group whose board includes former Republican Gov. Jim Martin. Its options put everything on the table -- but favor businesses more than other plans. (None include the business license tax Senate Republicans have suggested nor a repeal of all tax exemptions currently in law.)
Here are the options identified in the study, obtained by Dome. (Click link for full study.)
Option A: 6 percent income tax, 3.5 percent sales tax, repeal corporate and franchise taxes
Option B: 5 percent income tax, 5 percent sales tax, 5 percent corporate income tax and repeal the franchise tax
Option C: 8.75 percent sales tax, no income tax, repeal corporate and franchise taxes
Option D: no state sales tax, 10 percent income tax, repeal corporate and franchise taxes
North Carolina Study.pdf