Overview
- The General Assembly cleared the amendment to cap income taxes at 3.5% after the state Senate approved it 30–18 and the House passed it 73–46, with the House vote happening on Wednesday.
- The amendment would cut the constitutional ceiling from 7% to 3.5% but would not meaningfully lower rates immediately because the enacted tax schedule already reduces the statutory rate to about 3.49% in 2027.
- Because constitutional amendments require supermajorities, Republican leaders needed support beyond their caucus and won backing from two recent independents, Reps. Carla Cunningham and Nasif Majeed, to reach the threshold in the House.
- Supporters say the measure cements years of GOP tax cuts and gives voters a say on tax limits, and opponents including education and budget groups warn the cap would sharply reduce fiscal flexibility under North Carolina’s balanced-budget rule and likely force cuts to schools and public safety.
- Lawmakers also advanced related Republican-backed ballot measures on property tax levy limits and Council of State vacancy rules while right-to-work and right-to-farm proposals remain under consideration for the November 2026 ballot.