When it comes to building a business climate that appeals to organizations of all types as well as the talent that fuels their success, a welcoming mix of tax policies is a must-have for any state. Over the past decade, North Carolina’s leaders have shown a commitment to building one of the most balanced business tax climates in the nation by enacting thoughtful reforms, including reducing both the corporate and personal income tax rates to more competitive levels and simplifying the personal income tax from a graduated rate to a flat rate.
These well-thought-out reforms, supported by the NC Chamber, have streamlined the tax burdens facing businesses of all sizes and industries, making North Carolina a more attractive state for companies to invest and grow. The proof is in the metrics below, which show how we stack up with other states in key areas like business taxes as a share of total taxes and effective commercial and personal property tax rates.
As these metrics make clear, our sensible approach to tax policy has successfully established North Carolina’s business tax climate among the strongest in the nation. Continuing to refine this approach – for example, by capping, reducing, simplifying, and ultimately eliminating a regressive franchise tax that discourages certain tangible investments in our state – only promises to further strengthen our competitive position.