I Love Paying Taxes Said No One Ever
“I love paying taxes,” said no one ever. It’s no secret. We all hate taxes. This is the one thing we can all agree on. My career is dependent upon them, and I will admit, I hate them too. With that said, I do not foresee taxes going away, so instead of focusing on how much we hate taxes, let’s focus on the good news. What IS the good news you ask?
Did you know that NC had the most noted improvement compared to other states and taxes per the Tax Foundation website. We moved from 44 to 16! This is the single largest jump in the history of the index. How did we make this dramatic change?
Our income tax dropped from a multi-bracket system with the top bracket being 7.75 to flat rate of 5.8% in 2014 and 5.75% for 2015. To put this in perspective, California’s top income tax rate is 13.3%! All of a sudden, 5.75% doesn’t look that bad.
Our per capita property tax is $917. Compare this to New Jersey’s $2,896 per capita property tax. Again, not bad at all.
North Carolina state sales tax is 4.75% (not including county). California’s is 7.5%.
North Carolina Corporate tax is 5%. Some states are as high as 12% (Iowa).
I will agree that North Carolina has not always been ideal, but we are making strides to at the very least be competitive with other states as far as tax.
Here are some more fun facts. Below is a list of the top 10 worst states for taxes. The tax foundation compares states based on taxes such as income tax, sales tax, per capita property tax, corporate tax, etc.
1. New Jersey
2. New York
6. Rhode Island