Continuing with our series of posts about our new state tax revenue section, I highlight the case of sales tax revenue for North Carolina. Unlike many other states, sales tax revenue has increased significantly despite the economic downturn, as shown in the graph below.

In fact, sales tax revenue hit a high of $1.5 Billion in Q2 2010. It should be noted that the NC sales tax rate was increased temporarily by an additional 1% as of September 2009. The increase will expire on July 1, 2011.