Doing well in the face of Bidenomics
NC State Senator Warren T. Daniel – Burke, McDowell, Buncombe counties.
Senate Rules Vice-chairman,
Senate Judiciary Committee Chairman,
Senate Redistricting and Elections Committee Chairman.
2024-Xxx-yy
I thought it would be good to highlight some of the economic success that our state continues to enjoy. It was refreshing this week to see that CNBC ranks North Carolina #1 in its 2023 business rankings.[1] I am pleased to see CNBC recognize the sound fiscal policies that we have enacted in NC over the past 12 years that have resulted in our state’s thriving economy.
Site Selection has North Carolina ranked #9 in its business tax climate rankings, and also lists us as the fastest rising state in the rankings since 2014 when we were ranked 31st.[2]
Before the Republican led General Assembly tackled tax reform in 2013, North Carolina had the highest personal income tax rate in the Southeast. Now, outside of the states that have no personal income tax, we have the lowest personal income tax rate in the region, 4.75% in 2023. That rate will drop to 4.25% for FY2024, and 3.99% in FY2025. Our state corporate income tax rate, which was also the highest in the Southeast before 2013, is now the lowest rate in the nation at 2.5%, and it will be eliminated in tax year 2029.
In addition, thanks to our business-friendly tax climate, as well as other pro-growth policies that we have enacted over the past decade, Forbes also recently ranked North Carolina as the 9th best state for business growth[3], keeping NC near the top of that list for the last 7 years.
Over the past few years, North Carolina has become one of the fastest growing states in the nation. In my legal practice, I have seen many homebuyers moving here from high-tax states, seeking to find a more affordable place to live. When the newly passed tax reductions take effect, I have no doubt that North Carolina will become an even more attractive place for people to live, work, and raise their families.
Links:
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[1] https://www.cnbc.com/2023/07/11/americas-top-states-for-business-2023-the-full-rankings.html
[2] https://info.siteselectiongroup.com/blog/a-review-of-the-2024-state-business-tax-climate-index