In the Tar Heel State, voters have lowered North Carolina’s constitutional income tax cap, currently set at 10%, to 7%. Voters passed the Income Tax Cap Amendment with more than 57% of voters approving of the measure.
The state’s income tax rate stands at 5.499% and is scheduled to drop to 5.25% on January 1, 2019. Governor Roy Cooper and the North Carolina Democratic Party came out against the measure, even though the reduced income tax cap of 7% would still permit a more than 33% state income tax increase.