Raleigh, N.C. – North Carolina collected $440.2 million more in revenue than forecast at the end of the 2017-18 Fiscal Year as “a steadily growing economy produced yet another fiscal surplus,” according to a new report from the state’s nonpartisan Fiscal Research Division.
The state collected $176.1 million more in individual income tax than it forecast and $63.2 million more in franchise taxes than expected by June 30, 2018, the end of FY 2017-18.
Insurance gross premiums taxes increased 15%, or $74 million, over the previous year. Revenue from non-tax sources was nearly 10% over the state’s target.
“Tax relief for families and businesses, combined with smart state budgets that make education a top priority, are a winning combination for North Carolina’s economic growth,” said state House Speaker Tim Moore (R-Cleveland).
The state’s revenue forecast for FY 2018-19 was also revised upwards by $276.5 million, according to the report.
“Most of the increase in the revenue forecast was from the Individual Income tax, and more specifically from the increase in non-wage income such as business and investment income,” the report from the state’s nonpartisan Fiscal Research Division said.
Tax Relief and Reform
The North Carolina General Assembly’s Republican leaders enacted historic tax relief this decade to save state taxpayers billions of dollars, encourage economic growth and spur job creation.
Since 2011 the General Assembly has levied a lower sales tax rate, personal income tax rate and corporate tax rate on North Carolina families and businesses, while tripling the zero-tax bracket for low-income families.
Economic Accolades for North Carolina
Tech job openings in NC soar to 23,145 – up 20% from 2017
North Carolina Ports achieves unprecedented growth in 2018 fiscal year
North Carolina retains AAA bond rating
Venture capital on record pace in NC through first 6 months of 2018
N Carolina lawmakers expect $357M surplus, uptick next year
North Carolina adds 12,000 jobs in May
North Carolina wins 2018 Prosperity Cup
North Carolina wins 2017 Prosperity Cup
Washington Times Letter: North Carolina worker-friendly
North Carolina a model for nation
North Carolina is the bellwether for tax reform
North Carolina adds 85,000 jobs over year
Tax collections on track in North Carolina
North Carolina ‘Best State for Business’ in Forbes’ 2017 rankings
Education accomplishments take center stage in Shelby Star
Study: North Carolina is best state for starting a business
North Carolina among 16 states prepared for economic recession: Moody’s
North Carolina top 5 for wage growth, says U.S. Census Bureau
North Carolina schools set new record for graduation success
North Carolina one of 12 states with unanimous ‘AAA’ bond rating
North Carolina receives four top-tier economic rankings in July 2017
How tax cuts put more money in the pockets of middle class North Carolinians
February unemployment rates decrease in all 100 North Carolina counties
North Carolina excels in ‘Fiscal Survey of States’
North Carolina ranks #1 for IT employment growth in tech industry report
Cooper Administration: Republicans Protect 241,000 From Income Tax
1.5M Working North Carolinians Are Exempt from Income Tax by 2019, 30% of Returns
Tax Collections on Track in North Carolina After Relief for Families and Businesses