Raleigh – Wonder where D.C. Republicans got their inspiration for a tax plan that will hike middle class taxes, overwhelmingly benefit the rich, keep special interest loopholes, and hurt the working poor? Look no further than the NC GOP.
In 2013, the NC GOP cut taxes on corporations and gave tax breaks for golf course owners and people with private jets, while also raising taxes on the working class and people with medical expenses. In 2017, national Republicans are following the same playbook.
Meanwhile, Americans see right through it:
- People disapprove of the Republican tax plan by more than a 2-to-1 margin (52% – 25%).
- 61% of American voters say the wealthy would mainly benefit from the Republican tax plan.
“North Carolina Republicans hiked taxes on our middle class to cut taxes on private jet owners – and now national Republicans are doing the same,” NCDP Executive Director Kimberly Reynolds said. “Just like during the debate over health care, North Carolina Republicans show yet again they’re just like President Trump and DC Republicans – willing to do anything to rig the system for their wealthy friends at the expense of working families.”
Here’s how the tax scams stack up:
Tax Cuts for Private Jet Owners
National GOP: HEADLINE: Republican Tax Bill Gives Private Jet Owners a Tax Break
“If you’re one of the lucky Americans who owns a private jet, don’t fret. Republicans have your back—in the form of tax breaks.” [Newsweek, 11/16/17]
NC GOP: “But still on the books is a $1,500 cap on the sales tax for a yacht or a jet, a provision that costs the state $10 million a year in lost revenue.” [McClatchy, 7/19/13]
Tax Hikes for People with Medical Expenses
National GOP: HEADLINE: “Republican tax plan to get rid of medical expense deduction, used by older, disabled and sick Americans”
“But if the tax bill passes, the medical expense deduction will come to an end after this year…” [MarketWatch, 11/16/17]
NC GOP: HEADLINE: “Tax reform law hits some seniors’ wallets”
“According to the General Assembly’s Fiscal Research Division, ‘taxpayers with significant medical expenses will see an increase in their North Carolina tax liability.’…” [Star-News, 5/20/14]
Tax Cuts for Golf Courses and Country Clubs
National GOP: “With Senate Republicans expected to unveil the outline for a sweeping tax rewrite on Thursday, a lucrative break for golf-course owners — including the president — remains firmly in place in the House version of the measure.” [Bloomberg, 11/9/17]
NC GOP: “Country clubs and other recreational nonprofits keep their exemption from the corporate income tax, a tax break worth a combined $600,000 a year.” [McClatchy, 7/19/13]
Tax Hikes for Working Poor
National GOP: HEADLINE: “Senate GOP tax bill hurts the poor more than originally thought, CBO finds”
“The Senate Republican tax plan gives substantial tax cuts and benefits to Americans earning more than $100,000 a year, while the nation’s poorest would be worse off, according to a report released Sunday by the nonpartisan Congressional Budget Office.” [Washington Post, 11/26/17]
NC GOP: “The tax reform package also eliminates several exemptions and deductions that benefited working class taxpayers…” [Associated Press, 12/30/13]
Tax Cuts for the Wealthy
National GOP: “Taxpayers in the top 1 percent would receive nearly 50 percent of the total benefit; their after-tax income would increase 2.6 percent on average.” [Tax Policy Center; 11/13/17]
NC GOP: “The tax revenue… is instead being given back disproportionately to the wealthy and large corporations in the form of tax cuts.” [News & Observer, Editorial, 1/16/16]
Tax Hikes for Middle Class
National GOP: “In an effort to sell their tax plan, Republicans in both House and Senate have touted the benefits for the middle class. But a close review of the plans reveals that such claims are misleading.” [NPR, 11/21/17]
NC GOP: “[2013 tax cut] means the wealthy and big corporations are paying less and middle- and low-income earners are paying more.” [News & Observer, Editorial, 1/16/16]
Tax Cuts for Corporations
National GOP: “Corporations, broadly, are the focus of most of the tax cuts. According to the Joint Committee on Taxation’s analysis of the bill, cutting the corporate tax rate from 35 percent to 20 percent starting in 2019 costs nearly $1.3 trillion over 10 years. Corporations also in many cases gain new, more favorable treatment of income earned abroad, which is either not taxed or taxed at an even lower rate than 20 percent.” [Vox, 11/27/17]
NC GOP: “All of which points back to the concern this editorial board and other critics have long held about the GOP’s tax reform vision: it shifts the tax burden from wealthy companies and individuals to smaller businesses and rank-and-file taxpayers such as the senior citizens who lost medical expense deductions.” [Charlotte Observer, editorial, 5/6/15]