Lawmakers Outline Details Of Tax Reform Plan
Lawmakers in the state Senate have unveiled more details of their proposal to overhaul the state's tax code, though they haven't filed a bill yet. They propose lowering income tax rates significantly over the next three years. They also seek to lower the combined local and state sales tax to 6.5 percent.
Senate President Phil Berger says his chamber's plan would be good for the state.
"It's tax reform that will help spur economic growth and provide for the people of North Carolina the largest tax cut in North Carolina history," he says. "We expect that implementation of this concept will end up with a $1 billion tax reduction for the people of North Carolina."
The Senate's proposal would also expand sales taxes on some items to include services. Taxes on groceries would rise, and prescription drugs would also be taxed. Lawmakers in the House have not released any plans for overhauling the tax.