@NCCapitol

New year means bigger sales tax bite in NC

Posted December 26, 2013
Updated December 27, 2013

— While many North Carolinians might take home a little more of their paycheck next year, they will likely be spending more of it as well.

Lawmakers passed a major tax reform package in July that lowers state income tax rates while also eliminating some deductions and adding sales tax to some new items.

The changes mean that, starting Jan. 1, people will pay 6.75 percent sales tax on tickets to movies, concerts, college and professional sporting events and attractions such as Marbles Kids Museum in downtown Raleigh.

"My son loves it, so I'll pay it," Tiffany Barnes said Thursday of the added 35-cent tax on a $5 admission to Marbles.

Beth Carmichael and Martell Walker agreed that while the extra tax will add up, it won't stop them from going places like Marbles.

"A 35-cent hike, I think that people will notice that, but I will still bring (my family) because we only come one or two times a year," Carmichael said.

"Taxes are taxes, you know. If it's only going to be 35 cents, that's not bad," Walker said.

Elizabeth Negra, however, said adding sales tax to ticket prices is too much.

"I feel like they're already expensive enough, so why add taxes on it?" Negra said.

Other changes under the law add taxes to newspaper subscriptions – home delivery of The News & Observer in Raleigh will cost an extra $21 – and service and maintenance contracts for cars, computers and new appliances.

Lawmakers also ended the annual tax-free weekend for back-to-school shopping and eliminated tax rebates on energy-efficient appliances. Power bills will also be subject to sales tax, starting in July, but regulators are still working out how much of that increase will be passed on to consumers.

Sen. Bob Rucho, R-Mecklenburg, who authored some of the tax changes, said the system needed to be updated. The economy now revolves around services and entertainment, but state sales taxes have applied only to goods, which is about one-third of what people buy.

"That means everything else is not sharing in helping the cost of government and putting lower tax rates back in the pockets of the people," Rucho said.

120 Comments

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  • Klatu Dec 30, 5:44 p.m.

    "The changes mean that, starting Jan. 1, people will pay 6.75 percent sales tax on tickets to movies, concerts, college and professional sporting events and attractions such as Marbles Kids Museum in downtown Raleigh."

    OK by me. Last concert I went to was over 20 years ago. I usually don't go see movies because most of them are a waste of time, much less money. Do plan to see Lone Survivor though, we it comes out next month.

  • wraluser Dec 30, 12:26 p.m.

    Great, I hope the increased sales tax revenue goes to the NCDOT so they can finally collect the non-existent tolls from a road no one uses...and we paid for. The NC legislature is completely out of control...

  • TP4Real Dec 27, 7:57 p.m.

    Are you saying that you don't really know what he said, yet still claim that you know him well enough to call him great? Read some history - some of us had to live through it.

    Well, he was in a lot of movies, and he got quoted a whole bunch.

  • Atheistinafoxhole Dec 27, 7:49 p.m.

    "Actually it is entirely how a robust economy functions. The meltdowns were created by Government intrusion. the private market works if it is allowed to work.
    whatelseisnew"

    The "meltdown" of 2008 was the result of bank deregulation, which is LESS government intrusion. Removing the protections of Glass-Steagall allowed financial institutions to operate like casinos, but without the capital requirements (to cover losses) that even casinos have. If you have some evidence to support your argument, present (but we all know there is none). I expect you will try to use anecdotal "evidence" and corp speak rhetoric, but it will be just that, without substance.

  • Atheistinafoxhole Dec 27, 7:44 p.m.

    "If he really said that" - admin38

    Are you saying that you don't really know what he said, yet still claim that you know him well enough to call him great? Read some history - some of us had to live through it.

  • TP4Real Dec 27, 6:26 p.m.

    Lolololol....admin38's awesomeness is off the charts. Lolololol!!! But really guy...you're joking right?"

    shhhhhhh.....

  • whatelseisnew Dec 27, 5:58 p.m.

    It is long past due for the poor to start paying their fair share.

  • InterestedNurse Dec 27, 5:58 p.m.

    Lolololol....admin38's awesomeness is off the charts. Lolololol!!! But really guy...you're joking right?

  • whatelseisnew Dec 27, 5:57 p.m.

    "Ok....Now I can't tell if you're being serious anymore. That has to be the worst idea ever, forcing the poor to pay more taxes? Huh?"

    No in fact a huge part of our problem is too many handouts to people that pay little to nothing so they gladly embrace all the handout programs. Also, we have a system that punishes success and that is completely wrong. We should have FLAT tax rates and EVERYONE should be paying that rate and NO person should be receiving thousands more dollars are a refund than they paid in. This is SLAVERY where you steal from person A and hand something directly to person B. That is NOT in fact paying for Government, that is an act of theft.

    "trickle-down" economics has repeatedly been proven WRONG, and has led to the 3 worst economic meltdowns in US history!"

    Actually it is entirely how a robust economy functions. The meltdowns were created by Government intrusion. the private market works if it is allowed to work.

  • InterestedNurse Dec 27, 5:49 p.m.

    I hear that! The poor deserve exactly what they get. Nothing! Maybe this will get them to move out so we can have our state back. Well, except for a couple of poor folks I know personally. They're good folk. We need to get back to the real values this state was founded on. Property ownership.
    admin38

    You are seriously making me laugh out loud today. You're all like, "Yeah! Merica! Tax them movie tickets, I don't like movies...but not NASCAR becuase I like NASCAR. While your at it tax them poor folks...but wait not all of them becuase I like some poor folks". Lololololol.

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