Incentives

North Carolina's corporate income tax should be repealed, not reformed. It violates all basic principles of sound economic policy and open government. It not only imposes a second and even a third layer taxation on many people’s incomes, but it is hidden, dishonest, and inconsistent with informed decision making in a free and democratic society.

Click here to view and here to listen to Dr. Roy Cordato discussing this Spotlight report. RALEIGH — North Carolina should scrap its “hidden, dishonest, deceptive” corporate income…

Buncombe County commissioners seek voter approval of a sales-tax hike, promising that the $7 million that would be raised would be given to AB Tech for a new building and renovations,. The funds would go into the county’s general fund, however and could be spent on any legal purpose.

RALEIGH — Buncombe County commissioners and the local community college president are trying to “hoodwink” voters into endorsing a sales-tax hike with an offer that’s too good to be true.

Commissioners of debt-ridden Cabarrus County want taxpayers to bail them out by approving a quarter-cent sales tax increase on May 17. If the voters do not approve the tax increase, commissioners threaten to hit them with a 2.2-cent property tax increase.

RALEIGH — After saddling county taxpayers with a mountain of debt, Cabarrus County commissioners want those same taxpayers to bail county government out of its problems. That’s how a new…

Click here to view and here to listen to Joseph Coletti discussing this Spotlight report. RALEIGH — Too many government officials pursue targeted tax break deals without gauging…

Business incentives are like lottery tickets, providing big rewards for governments if you don’t count the costs. Iredell County modeled the financial costs and benefits of an incentive offered in 2009 and showed a positive net present value for the incentives, but neglected to factor in the opportunity cost of forgoing the next best use for the funds and the likelihood the investment would have happened without an incentive.

RALEIGH — North Carolina’s money-losing tax credit for film production would hit taxpayers’ wallets even harder if it’s expanded this year. That’s the conclusion of a new John Locke Foundation…

A 25 percent income tax credit on film production expenses would cost the state $63.3 million more each year than the current 15 percent credit, which loses $11.2 million. Ernst & Young estimated the state lost $0.02 on each dollar of tax credits assuming all film-related economic activity result from the tax credit.