tax loophole

The need for fundamental tax reform in North Carolina has never been more obvious. Unfortunately, Gov. Mike Easley's "tax loophole" commission is incapable of fashioning a sound reform plan. It lacks guiding principles, is using a faulty definition of "loophole," and is more interested in raising tax revenue than reducing tax biases. Policymakers should pursue simplicity, neutrality, and equity through a consumed-income tax and other ways to flatten and reduce tax rates.