Topical WakeLP Meetup: NC Income Tax

North Carolina has been collecting income tax since 1921. For the first 90 years, the income tax was progressive, with between (originally) two and (by 2001) four different rates depending on income. Since 2014, the tax has been a flat rate (the same for everyone subject to taxation).

The income tax initially provided less than 20% of state revenue annually, but by the 1970s it amounted to 30% and by the 1980s, 40%, which is still true today.

Generally speaking, libertarians are not big fans of taxes. But as with everyone else, most distinguish between different varieties of taxes as being more or less undesirable.
An income tax is more visible than a sales tax, so folks are more aware of paying it, which is usually considered to be a good thing.

There’s a wide variety of opinion on the relative desirability of a progressive income tax versus a flat tax. In 2013, the highest income tax rate was 8.75% but the NCGA eliminated progressivity—multiple rates with higher ones for individuals with higher incomes—in 2014 and has been steadily reducing the (flat) rate since then. The rate was 4.25% for 2025 income and is scheduled to be reduced to 3.99% for 2026 income.

Nine states—including Tennessee, Florida, and Texas—have no income tax. Revenue is comprised principally of sales taxes and property taxes; some (e.g., Alaska) also realize significant resource-related revenue. Many Current legislators would like to make NC the tenth state with no income tax. Do you think that’s a good idea? Or would you rather go back to a progressive income tax? Or do you have a different idea? Or, maybe you just want to listen and learn.

Please join us for an evening of stimulating discussion of current political events from a libertarian perspective, focused tonite on this particular issue (which seems particularly pertinent on Tax Day). The discussion will be lead by Jonathan David Miller, who is the Libertarian candidate for NC Senate District 16, here in Wake County.

Libertarians aspire to protect all of your rights, all of the time. Have questions about how we might go about that? Come chat with us at Tobacco Road Brewing. We are about #PeopleNotPolitics, so ALL are welcome, plus there’s top notch food & beer!

PARKING:
Tobacco Road provides three hours of gratis parking in the Powerhouse Square Parking Deck behind the restaurant. Park and DO NOT PAY at the garage, but come in to the restaurant and scan the QR code printed on the menu and follow the directions. (You will need to enter your license plate number and you MUST do this within 15 minutes of parking to avoid being charged.)