North Carolina Governor Proposes Tax on Sweepstakes Winnings

North Carolina Governor Bev Perdue is proposing a tax on sweepstakes winnings that would go towards education.

Governor Perdue said in a statement, “I’m opposed to sweepstakes. I want to run them out of the state, but we have been unable to do that so far. As long as they are here, we should regulate them, tax the heck out of them and use the money to fund our schools.”

Purdue says that state should tax sweepstakes since Republicans in the state refuse to renew a three-quarter cent tax on sales which expired this year.

Traditional gaming machines have been banned in North Carolina, but sweepstakes that allow people who buy internet or phone time to win prizes through clicking on a computer screen are permitted. Sweepstakes parlors and cafés have popped up all over the state and are largely unregulated. Perdue has been vocal about her dislike of sweepstakes citing they cause the same problems as gambling.

Few things are more contentious than tax issues. People are very adverse to paying taxes, so much so that they often refuse to pay them or conveniently forget to file. The problem is that eventually federal and state agencies eventually catch up and the person who evades or avoids their taxes will find themselves in trouble that can best be handled by a North Carolina tax lawyer.

Failing to file or underpayment of taxes can become very costly as fines and penalties accumulate. In an effort to collect revenue, tax authorities have the power to garnish your wages, levy your bank account, or seize your property. But you can prevent this by retaining a tax attorney.

Regardless of your tax issue, whether it is an impending audit or IRS problems, a North Carolina tax attorney can work with state and federal agencies to reduce your tax liabilities and be by your side during an audit.