Eric Henry, president of T.S. Designs and Green Business Network member, was featured in The Washington Post for his business experience with past North Carolina tax cuts and the implications of the looming tax bill in Congress. T.S. Designs produces responsible textiles from local suppliers to strengthen the regional economy. Their entire supply chain is transparent, and each shirt purchased can be tracked.
The tax bill, which Republicans hope can be signed before Christmas, takes many of the same tactics used in North Carolina’s tax overhaul four years ago. Conservatives claim it will benefit business owners; however, Eric Henry says otherwise.
“I don’t know the people who this benefits,” he states in reference to the North Carolina tax cuts in the article. Although these cuts were supposed to help businesses owners, Henry says that it hasn’t been enough to give his 20 workers a significant raise. Additionally, it’s also hard to distinguish which benefits were caused by the tax cuts, since North Carolina’s economic growth has been consistent with the rest of the country. But clearly, federally-sponsored goods such as roads and public schools have suffered greatly.
As a business owner and a fiscal conservative, Henry is in favor of policies that help businesses, but the state tax cuts fall short of expectations. And businesses don’t wait around for a tax cut to make their processes more efficient when there are other factors, such as consumer demand and market competition, that they must meet to keep operations running.
North Carolina is just one example of how tax cuts fail to raise the standard of living and quality of life for many people. For now, the House and the Senate drafts of the tax bill must still be reconciled. With the rush to come to a consensus before the end of the year, House and Senate Republicans are working on the legislation behind closed doors.