North Carolina is a Proven Leader in Tax Reform

With Tax Day approaching Monday April 18th, here are some of the reasons why North Carolina tax reforms have improved over the last decade to be one of the best in the country.

Following the passage of the 2021-22 State Budget, North Carolina has improved its position as a leader in tax reform. 

North Carolina’s recently adopted reforms reduced the state’s flat income tax rate with a plan to phase out corporate income tax by 2030.

Effective January 1st of this year, North Carolina’s flat individual income tax rate was reduced from 5.25 to 4.99%, which is down from 7.75% under Democratic leadership.

Prior to this year’s reform, North Carolina has been one of the leaders in pro-growth state tax reform over the last 10 years. 

Before the 2013 reforms, North Carolina ranked among the worst states in the country for high tax rates and North Carolina had the highest individual and corporate income tax rates in the Southeast thanks to Republican leadership.