Democrats ‘Promise’ to Tax/Spend NC Citizens into Oblivion

RALEIGH – When it comes to government spending the Democrats’ policy is clear – more, more, more. Spending obscene amounts of other people’s money is the only way to finance the Big Government necessary to take care of people from the cradle to the grave. That truth is unavoidable when tallying up the costs for the N.C. Democratic Party’s campaign platform, labeled ‘Our Carolina Promise.’

Luckily the Civitas Institute has crunched the numbers on the Left’s wish list to let voters know exactly what they’d be signing up for under Democratic majorities in the legislature.

“To win votes this election year, North Carolina Democrats are making grandiose promises that, if implemented, would cost state taxpayers at least a staggering $4.8 billion in new spending.

How big is the proposed spending increase? North Carolina’s current General Fund budget is $23.9 billion. Fulfilling Democratic “promises” would result in a 20 percent spike in state spending, which would easily be the largest year-over-year spending increase in modern state history. To pay for this spending spree, an average family of four would add about $1,900 to their already sizeable state tax burden.

Making matters worse, this wouldn’t be a one-time expenditure. The Democrats’ plan would ratchet up the baseline for recurring spending obligations by 20 percent, with future spending growth adding on to the new, much higher, baseline.

Such dramatic spending hikes would require historic tax increases that would cause draconian cuts to the household budgets of soaked taxpayers.”

An extra two thousand dollars in tax liability would wipe out the benefit of federal tax cuts and quickly saddle the people of North Carolina with a major drag on economic growth. All to set up massive redistribution programs that would have government hands in taxpayers’ pockets at every turn.

The biggest ticket item is increases in education spending – because Democrats think dollars equate to degrees- clocking in at $3.7 billion an extra costs every year. That combines with expansion of welfare programs such as Medicaid (that don’t work and bleed money) and restoration of the (un)earned income tax credit.

“According to this Office of State Controller report, total state personal income tax collections last year totaled $12.5 billion. Generating $4.8 billion in additional revenue would require a whopping 38 percent increase in personal income taxes.

If North Carolina decides not to raise income taxes it can raise revenue by increasing the sales tax rate. Statewide sales tax collections totaled $7.34 billion last year. To raise the $4.8 billion required to finance the Democrats’ promises would necessitate a stunning 65 percent increase in sales tax collections – requiring a rate increase from 4.75% to 7.84%.”

These feel good programs don’t actually feel so good if you’re the one paying for them. Innumerable experiences of governments over the years have demonstrated that such Big Government approaches never work as intended, aside from the Left’s intention of expanding government power and control over our lives.

See the rest of the analysis of the Democrat’s wishful spending spree here.

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