New at the Civitas Institute website is this study authored by by Dr. Arthur B. Laffer, a former advisor to President Ronald Reagan, and Stephen Moore, senior economics writer for the Wall Street Journal. The article examines the impact of income taxes on state economic growth, and also debunks recent research by the Institute for Taxation and Economic Policy (ITEP), a group that advocates for state level income taxes.
This study has major implications for North Carolina lawmakers considering tax reform in 2013. Laffer and Moore clearly demonstrate that theory and evidence both support the elimination of the state income tax to be the boldest, most pro-growth element of tax reform. Taxpayers and Legislators interested in North Carolina’s economic recovery should pay close attention to the findings of this study.
To read the full report – click here.