Monday, July 13, 2009

Clodfelter: 'Charlotte's an outlier'

That's why Charlotte Democrat Dan Clodfelter, co-chair of the Senate finance committee says his plan to change the state's tax rules would cut city collections so dramatically.

Businesses here pay license taxes totaling more than twice the amount collected by the next-biggest city, Raleigh.

“A Wal-Mart in Charlotte may pay a $10,000 tax. Wal-Mart in another city may pay a $50 tax,” he said. “You guys are so far out of the range of everybody else.”

State legislators are considering abolishing the local license fee as part of a group of tax changes tied to a particularly difficult budget.
Opponents of the business tax say it is confusing and levied many different ways across the state. They complain that it leads to double-taxation in some cases.

For most cities, the legislature's proposed tax changes wouldn't be painful, Clodfelter said. He said for those cities, the lost revenues would be offset by substitute taxes under consideration, including the expansion of the sales tax base.
But Charlotte is different.

How different?

The Department of Revenue data for 2006-07 shows Charlotte businesses paid $17,663,113.
Others in the seven-figure range:
Raleigh: $5,962,920
Greensboro: $3,267,431
Durham: $2,585,946
Winston-Salem: $2,308,525
Wilmington: $1,656,746
Cary: $1,463,554
Hickory: $1,110,078
Concord: $1,047,246
Asheville: $1,040,814

- Julia Oliver/Doug Miller


cltindependent said...

Seems to me other cities are getting shortchanged. Walmart paying $50? They need to increase the tax there. Time for someone that is going to really represent Charlotte and not go all Raleigh on us. Not to mention this hypocrite voted in this tax when he was elected official here in Charlotte, city council or commission, can't remember.

Anonymous said...

NO DAN!!! You are an outlier! Your home is in CHARLOTTE!!
Your law office is in CHARLOTTE!!!
Your loyalty and gonads are in RALEIGH!!

Anonymous said...

What gonads??

Poor Charlotte. Raleigh hates us and our state senators are slaves to Basnight, he of the $25 million pier near his restaurant.

Anonymous said...

"Yes sir, Mr. Basnight you want me to shine your shoes." No Dan I want you to grow a pair and do something with what is left of your hair. You look like Bozo the clown.

Anonymous said...

RE: cltinde - "Seems to me other cities are getting shortchanged. Walmart paying $50? They need to increase the tax there."

You obviously do not own or operate a business. It's tough enough to survive in a competitive market w/o the city imposing onerous taxes on companies that try to conduct business here.

Keep in mind that these taxes are passed on to individuals, in one form or another, through higher costs to consumers, fewer jobs created, smaller raises for employees, etc.

Companies do not pay taxes - individuals do. Companies simply collect them. If the city and state make it too tough for businesses to operate here, they will leave. Is that what you want?

Anonymous said...

Has Clodfelter made it to the list of the MOST corrupt NC democrackkks yet, or just close?

Anonymous said...

I wonder how many businesses have lined Clodfelter's and other State legislators' pockets? You cut this tax from any city then the residence of these cities will pay the cost through property tax, sales tax or both. I guess they do not care about the average property owner in North Carolina. At least, we have a choice to buy at these businesses, we do NOT have a choice in paying the higher property taxes! Unless we decide to move from NC.

Anonymous said...

The Observer buried the lede in this story -- Clodfelter apparently refused to tell the mayor of the biggest city in North Carolina any details of the debate over taxes at the state house. Where is the Observer's outrage over that kind of secrecy? Why should several Democrats from Eastern NC, along with a could outliers like Clodfelter, have total, secret control over the N.C. budget? Clodfelter is a strong advocate of Charlotte and an extremely bright man. But this lack of transparency is wrong. Where is the outtage, Observer?

JAT said...

In 2005 the city quite publicly hiked the biz priv levy to its present .60 per $1000 of gross receipts, capped at $10K. Staff and just about every member of city council sold this as a tax on "big box" retailers who were not paying their "fair share."

Where was Sen. Clodfelter then and how in the world did the city become to dependent on the tax so quickly?

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