Christmas is four months and a day away, but if you are already putting together a shopping list, feel free to make it a wee bit longer.
That’s if Republicans in the General Assembly get their way, and they mostly do, despite still being stuck on the budget.
The Republicans have crafted legislation that would call for a tax refund that would be sent to taxpayers in either late November of perhaps early December, but certainly in time to scatter a few more presents under the Christmas tree. Legislation is already moving through the Senate, and we don’t see much resistance, although we suppose it’s possible Gov. Roy Cooper will again bring out his veto pen, which he has shown no reluctance to do.
But denying more than 5 million taxpayers a Christmas bonus might not be the best move politically.
Republicans, benefiting from an economy that some argue ranks North Carolina’s No. 1 in the country, say that the surplus, which is approaching $1 billion, should be returned to those who do the work to earn the money with which to pay taxes. They claim that this state’s economy isn’t a bus that they boarded, but one they have steered through tax cuts and dispensing with burdensome regulations that stifle the free market.
Democrats, however, counter that we continue to enjoy what remains of the Obama economy — and that bus, now recklessly steered by President Trump, is headed for a cliff.
Regardless, it’s a nice place to be right now.
The plan is for single filers to receive a $125 check, and couples who file jointly to receive $250. The refund is regressive, paying no attention to how large the person’s tax bill was.
“Tax revenues don’t belong to the government, they belong to the people who earned it,” said Phil Berger, the leader of the Senate. “… We collected more money than was needed, so we’re giving it back.”
Now, $125 isn’t a lot of money, and $250 is just twice that, so no one can rush out and buy a new home or car. But a high percentage of North Carolina residents essentially live paycheck to paycheck, so those dollars will likely be appreciated and quickly spent.
Critics, of course, will say that the tax refund is a gimmick, designed to get votes. Except for the District 9 race, which affects only a slice of North Carolina, the only elections on the horizon are municipal. We doubt that $125 in November will buy many votes in the May primary or the general election of 2020.
Rather, we see this rebate as another bold line differentiating how Republicans and Democrats govern.
Democrats, you can be sure, believe that the state should be putting that money to work to help this state’s residents, especially those who live on the margin. They say what Republicans call the state’s “spending problem” is actually a problem of spending too little.
Republicans counter that revenues have easily surpassed what it costs to run North Carolina’s government, and it’s only fair to return those extra dollars to the people who earned them.
We believe most residents of North Carolina, which is a purple state, would split pretty evenly on how they feel about the tax rebate. This state’s residents won’t, however, split on what to do with the rebate. They will welcome it, cash the check, and spend it quickly.
Merry Christmas.
— The Robesonian. Lumberton