Research Report
The Tax Study That Isn’t: NC taxes are not among friendliest to business
posted February 19, 2004 by Dr. Roy Cordato
Some state politicians are touting the results of an Ernst & Young study that purports to rank North Carolina’s business taxes as among the lowest in the nation. But this flawed study ignores basic principles of public-finance economics and most of the taxes that influence business decisions. More accurate studies that examine all relevant taxes and all types of businesses suggest that North Carolina’s tax rates are high in regional rankings, thus discouraging economic growth.