NC House Republicans go back to original tax plan - WSLS 10 NBC in Roanoke/Lynchburg Va

NC House Republicans go back to original tax plan

Posted: Updated:
RALEIGH, N.C. -

North Carolina House Republicans have settled a dispute in the party's tax reform plan that brought debate to a halt Wednesday, according to a spokesman for Speaker Thom Tillis.
    
Lawmakers from both parties refused Wednesday during an Appropriations Committee meeting to adopt the latest version of the plan because it didn't contain an amendment passed by another committee that lifted a $25,000 cap on deductions for mortgage interest and charitable giving.
    
The amendment from Rep. Julia Howard, R-Davie, also restored an exemption for property taxes. Rep. David Lewis, R-Harnett and the bill's lead sponsor, opposed the amendment at a Tuesday hearing, arguing it would add an estimated $525 million in costs that could require raising overall rates.
    
Howard, a real-estate agent, objected to hearing the bill because it left out her amendment, which was adopted with wide support by the Finance Committee. She argued the change was necessary to help a fragile housing recovery and homeowners.
    
"This is not the bill that came out of Finance (Committee)," she said.
    
Appropriations Committee Chairman Nelson Dollar, R-Wake, initially refused to acknowledge Howard's objections. He then declared a voice vote against Howard's objection, which prompted outrage from lawmakers. They called for an individual tally and won 44-34.
    
Tillis said after the vote that divisions existed within the party over Howard's amendment, which he said would "throw the budget out of balance by a half a billion (dollars)."
    
Rep. Mike Hager, R-Rutherford, took exception to the handling of Howard's amendment.
    
"We have a process to go by, and the process should be that that bill should come to the floor to be voted up or down," he said. "I believe in that process."
    
Republicans met privately Wednesday evening after the House's floor session to discuss the breakdown in the Appropriations Committee. The GOP controls both chambers of the General Assembly by wide margins.
    
Tillis spokesman Jordan Shaw said Republicans agreed to go back to the bill as it existed before Howard's amendment.
    
"It was a caucus decision," he said. "We decided to move toward the common goal of providing tax relief for all North Carolinians."
    
Shaw said the party isn't yet sure when the bill will resurface.
    
The House plan is one of three proposals aimed at lowering corporate and personal income taxes in exchange for a broader array of sales taxes.
    
The House plan replaces the state's multi-tiered income taxes with a flat 5.9-percent rate and reduces corporate taxes from 6.9 percent to 5.4 percent over five years. The plan also lowers sales taxes from 6.75 to 6.65 percent in most parts of state but adds services to physical personal property such as cars. By contrast, the Senate plan that is seen as a more far-reaching overhaul eventually adds more than 130 sales taxes, which are viewed by critics as disproportionately harmful to the poor.
    
There's wide agreement that the state's tax system is outdated, but lawmakers disagree about how to implement reform. Democrats argue the proposals, all of which come from Republicans in control of the General Assembly, benefit the rich at the expense of the poor. Republicans argue they'll help bring about a better business climate that helps everyone prosper.
    
The debate Tuesday drew criticism from lawmakers of both parties, who objected to holding only an hour of amendments in Finance Committee hearings. They argued the chamber should take more time before bringing the bill to the floor.

  • Floydfest attracts people from all walks of life

    Floydfest attracts people from all walks of life

    Wednesday, July 23 2014 11:26 PM EDT2014-07-24 03:26:58 GMT
    FloydFest 13 kicked off on Wednesday. Thousands of people from different walks of life will attend various events. Some come to the music festival to escape the monotony of everyday living."
    FloydFest 13 kicked off on Wednesday. Thousands of people from different walks of life will attend various events. Some come to the music festival to escape the monotony of everyday living."

  • Firefighters: "We aren't capable of handling another train explosion"

    Firefighters: "We aren't capable of handling another train explosion"

    Thursday, July 24 2014 5:30 PM EDT2014-07-24 21:30:09 GMT
    Virginia fire fighters say they aren't equiped to handle these type of train explosions.Virginia fire fighters say they aren't equiped to handle these type of train explosions.
    U.S. senators Mark Warner and Tim Kaine announced they support measures by the U.S. Department of Transportation Wednesday to improve the safety of crude oil rail shipments.
    U.S. senators Mark Warner and Tim Kaine announced they support measures by the U.S. Department of Transportation Wednesday to improve the safety of crude oil rail shipments.
  • House, Senate chairs offer competing bills on VA

    House, Senate chairs offer competing bills on VA

    Thursday, July 24 2014 5:03 PM EDT2014-07-24 21:03:55 GMT
    With Congress scheduled to recess in a week, the Senate Veterans Affairs Committee's chairman is offering to scale back a Senate-passed bill to improve health care services for veterans.
    With Congress scheduled to recess in a week, the chairmen of the House and Senate Veterans Affairs committees offered competing proposals Thursday to fix a veterans' health care program scandalized by long patient wait...
  • Trending StoriesTrending StoriesMore>>

  • 77-year-old questioned, defended as true Marine after NFL player takes his photo

    77-year-old questioned, defended as true Marine after NFL player takes his photo

    Tuesday, July 22 2014 1:58 PM EDT2014-07-22 17:58:35 GMT
    (WMC) - It was a story that made its rounds on social media. On a recent flight DeAngelo Williams, Mid-Southerner and running back for the Carolina Panthers, gave his first-class plane seat to a 77-year-old
    Family members are upset and hurt that their relative, James Wesley Bolden, is being called a liar and "a fake."
  • Largest companies by revenue in each state

    Largest companies by revenue in each state

    Thursday, July 10 2014 8:01 PM EDT2014-07-11 00:01:10 GMT
    Broadview Networks recently decided to find out the biggest -- by revenue -- company in each state in the US.The company used the Fortune 500 list to start with, but needed data by state, so it turned to Hoover's.With data from that company, they were able to search through each state's list of companies and then find the largest -- by revenue.Just flip through the list above and see who is the biggest in each state, what town they are based and their revenue.
    Broadview Networks recently decided to find out the biggest -- by revenue -- company in each state in the US.The company used the Fortune 500 list to start with, but needed data by state, so it turned to Hoover's.With data from that company, they were able to search through each state's list of companies and then find the largest -- by revenue.Just flip through the list above and see who is the biggest in each state, what town they are based and their revenue.
  • 2 charged with murder in beating death of UNC professor

    2 charged with murder in beating death of UNC professor

    Thursday, July 24 2014 5:01 PM EDT2014-07-24 21:01:42 GMT
    A UNC research professor was robbed and beaten to death Wednesday afternoon on University Drive in Chapel Hill, police said.
    A UNC research professor was robbed and beaten to death Wednesday afternoon on University Drive in Chapel Hill, police said.
Powered by WorldNow

WSLS 10, P.O. Box 10
Roanoke, VA 24022-0010

Telephone: 540.981.9110
Fax: 540.343.3157
Email: news@wsls.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.