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S1080 • 2025

Lower Taxes for All NC.

Lower Taxes for All NC.

Elections Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Lee, Sawrey, Barnes, Alexander, Berger, Brinson, Britt, Burgin, Corbin, Craven, Daniel, Ford, Galey, Hanig, Hise, Hollo, Jackson, Jarvis, Johnson, Jones, Measmer, Moffitt, B. Newton, Overcash, Rabon, Sanderson, Sawyer, Settle
Last action
2026-05-21
Official status
Ch. SL 2026-4
Effective date
2026-05-21

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Lower Taxes for All NC.

S1080-SMBA-80(e1)-v-5 (2026-05-18): Lower Taxes for All NC.

What This Bill Does

  • S1080-SMBA-80(e1)-v-5 (2026-05-18): Lower Taxes for All NC.
  • S1080-SMBA-82(e1)-v-2 (2026-05-18): Lower Taxes for All NC.
  • S1080-SMBA-83(e1)-v-2 (2026-05-19): Lower Taxes for All NC.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Amendments

These notes stay tied to the official amendment files and metadata from the legislature.

Filed

Plain English: 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.

  • 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.
  • Committee: Senate Finance.
  • If favorable, re -refer to Rules and Operations of the Senate Date: May 18, 2026 Introduced by: Sens.
  • Lee, Sawrey, Barnes Prepared by: Nicholas Giddings Staff Attorney Analysis of: First Edition Kara McCraw Director *S1080-SMBA-80(e1)-v-5* Legislative Analysis Division 919-733-2578 This bill analysis was prepared by the nonpartisan legislative staff for the use of legislators in their deliberations and does not constitute an official statement of legislative intent.
Filed

Plain English: 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.

  • 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.
  • Committee: Senate Rules and Operations of the Senate Date: May 19, 2026 Introduced by: Sens.
  • Lee, Sawrey, Barnes Prepared by: Nicholas Giddings Staff Attorney Analysis of: First Edition Kara McCraw Director *S1080-SMBA-82(e1)-v-2* Legislative Analysis Division 919-733-2578 This bill analysis was prepared by the nonpartisan legislative staff for the use of legislators in their deliberations and does not constitute an official statement of legislative intent.
  • OVERVIEW: Senate Bill 1080 would propose an amendment to the North Carolina Constitution to cap the tax rate on both personal and corporate incomes at 3.5% for taxable years beginning on or after January 1, 2027, and places that amendment on the ballot in the 2026 general election.
Filed

Plain English: 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.

  • 2025-2026 General Assembly SENATE BILL 1080: Lower Taxes for All NC.
  • Committee: House Rules, Calendar, and Operations of the House Date: May 19, 2026 Introduced by: Sens.
  • Lee, Sawrey, Barnes Prepared by: Nicholas Giddings Staff Attorney Analysis of: First Edition Kara McCraw Director *S1080-SMBA-83(e1)-v-2* Legislative Analysis Division 919-733-2578 This bill analysis was prepared by the nonpartisan legislative staff for the use of legislators in their deliberations and does not constitute an official statement of legislative intent.
  • OVERVIEW: Senate Bill 1080 would propose an amendment to the North Carolina Constitution to cap the tax rate on both personal and corporate incomes at 3.5% for taxable years beginning on or after January 1, 2027, and places that amendment on the ballot in the 2026 general election.

Bill History

  1. 2026-05-21 North Carolina General Assembly

    Ch. SL 2026-4

  2. 2026-05-21 North Carolina General Assembly

    Ratified

  3. 2026-05-20 House

    Ordered Enrolled

  4. 2026-05-20 House

    Passed 3rd Reading

  5. 2026-05-20 House

    Passed 2nd Reading

  6. 2026-05-19 House

    Placed On Cal For 05/20/2026

  7. 2026-05-19 House

    Cal Pursuant Rule 36(b)

  8. 2026-05-19 House

    Reptd Fav

  9. 2026-05-19 House

    Ref To Com On Rules, Calendar, and Operations of the House

  10. 2026-05-19 House

    Passed 1st Reading

  11. 2026-05-19 House

    Special Message Received From Senate

  12. 2026-05-19 Senate

    Special Message Sent To House

  13. 2026-05-19 Senate

    Passed 3rd Reading

  14. 2026-05-19 Senate

    Passed 2nd Reading

  15. 2026-05-19 Senate

    Amend Tabled A3

  16. 2026-05-19 Senate

    Amend Tabled A2

  17. 2026-05-19 Senate

    Amendment Ruled Out-of-Order A1

  18. 2026-05-19 Senate

    Placed on Today's Calendar

  19. 2026-05-19 Senate

    Reptd Fav

  20. 2026-05-18 Senate

    Re-ref Com On Rules and Operations of the Senate

  21. 2026-05-18 Senate

    Reptd Fav

  22. 2026-05-14 Senate

    Re-ref to Finance. If fav, re-ref to Rules and Operations of the Senate

  23. 2026-05-14 Senate

    Withdrawn From Com

  24. 2026-05-14 Senate

    Ref To Com On Rules and Operations of the Senate

  25. 2026-05-14 Senate

    Passed 1st Reading

  26. 2026-05-13 Senate

    Filed

Official Summary Text

S1080-SMBA-80(e1)-v-5
(2026-05-18): Lower Taxes for All NC.
S1080-SMBA-82(e1)-v-2
(2026-05-18): Lower Taxes for All NC.
S1080-SMBA-83(e1)-v-2
(2026-05-19): Lower Taxes for All NC.

Current Bill Text

Read the full stored bill text 
GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025

SESSION LAW 2026-4
SENATE BILL 1080

*S1080-v-3*
AN ACT TO AMEND THE NORTH CAROLINA CONST ITUTION TO PROVIDE T HAT
THE MAXIMUM TAX RATE ON INCOMES CANNOT E XCEED THREE AND
ONE-HALF PERCENT.

The General Assembly of North Carolina enacts:

SECTION 1. Section 2 of Article V of the North Carolina Constitution reads as
rewritten:
"Sec. 2. State and local taxation.
…
(6) Income tax. The rate of tax on incomes shall not in any case exceed seven three and
one-half percent, and there shall be allowed personal exemptions and deductions so that only net
incomes are taxed.
…."
SECTION 2. The amendment set out in Section 1 of this act shall be submitted to
the qualified voters of the State at the statewide general election to be held on November 3, 2026,
which election shall be conducted in accordance with the laws governing elections at that time.
The question to be used in the voting systems and ballots shall be:
"[ ] FOR [ ] AGAINST
Constitutional amendment to keep the State income tax rate from being raised higher
than three and one-half percent (3.5%)."
SECTION 3. The State Board of Elections shall certify the results of the referendum
conducted under Section 2 of this act. If a majority of votes cast on the question are in favor of
the amendment set out in Section 1 of this act, the Secretary of State shall enroll the amendment
among the permanent records of that office. If a majority of votes cast on the question are against
the amendment set out in Section 1 of this act, the amendment shall have no effect.
SECTION 4. If the certification from the State Board of Elections under Section 3
of this act reflects that a majority of votes cast on the question are in favor of the amendment set
out in Section 1 of this act, the amendment set out in Section 1 of th is act is effective upon
certification and shall apply to taxable years beginning on or after January 1, 2027.
SECTION 5. Except as otherwise provided, this act is effective when it becomes
law.
In the General Assembly read three times and ratified this the 21st day of May, 2026.

s/ Phil Berger
President Pro Tempore of the Senate

s/ Donna McDowell White
Presiding Officer of the House of Representatives