Quantcast

NC House lawmakers balk at new version of tax plan - Greenville, NC | News | Weather | Sports - WNCT.com

NC House lawmakers balk at new version of tax plan

Posted: Updated:
RALEIGH, N.C. -

North Carolina House lawmakers refused Wednesday to debate the latest version of a tax reform plan that removed an amendment adding an estimated half billion dollars in deductions aimed at helping the housing industry.
    
The House Appropriations Committee voted 44-34 against adopting the bill, which was changed Tuesday to lift a $25,000 cap on deductions for charitable giving and mortgage interest.
    
The amendment from Rep. Julia Howard, R-Davie, also restored an exemption for property taxes. Rep. David Lewis, R-Harnett and the bill's lead sponsor, opposed the amendment, arguing it would add an estimated $525 million in costs that could require raising overall rates.
    
The House plan is one of three proposals aimed at lowering corporate and personal income taxes in exchange for a broader array of sales taxes.
    
The House plan replaces the state's multi-tiered income taxes with a flat 5.9-percent rate and reduces corporate taxes from 6.9 percent to 5.4 percent over five years. The plan also lowers sales taxes from 6.75 to 6.65 percent in most parts of state but adds services to physical personal property such as cars. By contrast, the Senate plan that is seen as a more far-reaching overhaul eventually adds more than 130 sales taxes, which are viewed by critics as disproportionately harmful to the poor.
    
There's wide agreement that the state's tax system is outdated, but lawmakers disagree about how to implement reform. Democrats argue the proposals, all of which come from Republicans in control of the General Assembly, benefit the rich at the expense of the poor. Republicans argue they'll help bring about a better business climate that helps everyone prosper.
    
The debate Tuesday drew criticism from lawmakers of both parties, who objected to holding only an hour of amendments in Finance Committee hearings. They argued the chamber should take more time before bringing the bill to the floor.
    
Speaker Thom Tillis, R-Mecklenburg, said lawmakers disagree about how to proceed with Howard's amendment.
    
"There's a difference in one of the amendments," he said. "The (proposed committee substitute) was trying to deal with one of the amendments that would throw the budget out of balance by a half a billion (dollars)."
    
Rep. Mike Hager, R-Rutherford, took exception to the handling of Howard's amendment, noting it passed Tuesday with wide support.
    
"We have a process to go by, and the process should be that that bill should come to the floor to be voted up or down," he said. "I believe in that process."
    
Tillis' spokesman and other lawmakers said they're not sure yet how the bill will proceed.

  • PoliticsMore>>

  • NC flags lowered on day of Fulghum service

    NC flags lowered on day of Fulghum service

    Wednesday, July 23 2014 5:11 AM EDT2014-07-23 09:11:02 GMT
    A first-term North Carolina legislator who died last weekend will be formally remembered within state government and at the church he attended for decades.
    A first-term North Carolina legislator who died last weekend will be formally remembered within state government and at the church he attended for decades.
  • NC counties see sales tax changes in Senate bill

    NC counties see sales tax changes in Senate bill

    Tuesday, July 22 2014 10:46 PM EDT2014-07-23 02:46:55 GMT
    File PhotoFile Photo
    Four large North Carolina counties would see their authority to raise sales taxes scaled back in Senate legislation that its Republican supporters say would level the playing field across the state in generating revenue.
    Four large North Carolina counties would see their authority to raise sales taxes scaled back in Senate legislation that its Republican supporters say would level the playing field across the state in generating revenue.
  • State: Ex-Tarboro town manager used funds inappropriately

    State: Ex-Tarboro town manager used funds inappropriately

    Tuesday, July 22 2014 7:10 PM EDT2014-07-22 23:10:06 GMT

    The state auditor’s report determined that the former town manager “made nearly $366,000 of purchases" that were inappropriate.

    The state auditor’s report determined that the former town manager “made nearly $366,000 of purchases" that were inappropriate.

  • Trending StoriesTrending StoriesMore>>

  • Teen mom charged after baby found buried at Louisburg home

    Teen mom charged after baby found buried at Louisburg home

    Tuesday, July 22 2014 11:44 PM EDT2014-07-23 03:44:25 GMT
    Ashley Reed, 16, of Louisburg is charged with concealing a death after her infant was found buried beside her house.
    Ashley Reed, 16, of Louisburg is charged with concealing a death after her infant was found buried beside her house.
  • Largest companies by revenue in each state

    Largest companies by revenue in each state

    Thursday, July 10 2014 8:01 PM EDT2014-07-11 00:01:10 GMT
    Broadview Networks recently decided to find out the biggest -- by revenue -- company in each state in the US.The company used the Fortune 500 list to start with, but needed data by state, so it turned to Hoover's.With data from that company, they were able to search through each state's list of companies and then find the largest -- by revenue.Just flip through the list above and see who is the biggest in each state, what town they are based and their revenue.
    Broadview Networks recently decided to find out the biggest -- by revenue -- company in each state in the US.The company used the Fortune 500 list to start with, but needed data by state, so it turned to Hoover's.With data from that company, they were able to search through each state's list of companies and then find the largest -- by revenue.Just flip through the list above and see who is the biggest in each state, what town they are based and their revenue.
  • Couple arrested for having sex on Cortez Beach in front of beachgoers

    Couple arrested for having sex on Cortez Beach in front of beachgoers

    Tuesday, July 22 2014 1:08 PM EDT2014-07-22 17:08:35 GMT
    Bradenton Beach police officers were dispatched to Cortez Beach after a few people called 911 and complained about a couple having sex publicly, right next to a little girl on the beach.
    Bradenton Beach police officers were dispatched to Cortez Beach after a few people called 911 and complained about a couple having sex publicly, right next to a little girl on the beach.
Powered by WorldNow

3221 South Evans Street
Greenville N.C. 27834

Telephone: 252.355.8500
Fax: 252.355.8568
Email: newsdesk@wnct.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.