Impact of President Obama's tax plan on North Carolina and how the planned tax hike or tax increase will impact North Carolina's economy.

1. THE EFFECTS OF THE OBAMA TAX PLAN
North Carolina
President Obama’s tax plan would allow portions TOTAL EMPLOYMENT
of the 2001 and 2003 tax cuts to expire, resulting in Annual Change in Jobs
steep tax hikes beginning in January 2011 for small
2011 2015 2020
businesses and those earning $250,000 or more. 0
The tax hikes would significantly affect the economy
–3,000
in North Carolina, most notably in the number of
jobs and change in personal income. –6,000
Among the results, from 2011 to 2020, the state –9,000
of North Carolina would: –12,000
• Lose, on average, 20,564 jobs annually.
• Lose, per household, $7,532 in total disposable –15,000
personal income.
–18,000
• See total individual income taxes increase by
$11,655 million. –21,000
–24,000
Source: Heritage Foundation calculations based on the IHS Global
Insight U.S. macroeconomic model, and data from the U.S. Census –27,000
Bureau and U.S. Department of Labor, Bureau of Labor Statistics.
–25,976
REAL DISPOSABLE INCOME TOTAL INDIVIDUAL INCOME TAXES
Annual Change per Household Annual Change in Millions of Dollars
$1,445.9
2011 2015 2020
$0 $1,600
–$100
$1,400
–$200
$1,200
–$300
$1,000
–$400
–$500 $800
–$600
$600
–$700
$400
–$800
$200
–$900
–$1,000 $0
2011 2015 2020
–$953.36
Chart NC • Obama Tax Plan by State heritage.org

2. THE EFFECTS OF THE OBAMA TAX PLAN
Change in Employment in North Carolina
Average Annual Change in Total
Employment, 2011 to 2020, by
Congressional District
Jobs Lost: 800–1,399
Jobs Lost: 1,400–1,599 3
Jobs Lost: 1,600–1,799
Jobs Lost: 1,800–2,320 13 1
6 3
5 4
12 6 2
10
8 3
11 9
7
State: 20,564 jobs lost annually on average
Source: Heritage Foundation calculations based on the IHS Global Insight U.S. macroeconomic model, and data from the U.S. Census Bureau and U.S.
Department of Labor, Bureau of Labor Statistics.
Map NC • Obama Tax Plan by State heritage.org