North Carolina proposes constitutional cap on total property tax revenue

Local governments in North Carolina would be restricted in how much additional property tax revenue they can generate even as property values rise. This is the result of a recommendation from the House Select Committee on Property Tax Reduction and Reform to amend the state constitution. The committee proposes a levy limit, which caps the total property tax revenue local governments can collect each year. Unlike limits on tax rates or property values, the levy limit focuses on the total revenue raised. The General Assembly would be required to adopt the limit, though the amendment itself does not set the exact cap. If approved by the General Assembly, the proposal would go before voters in a statewide referendum on the November 2026 general election ballot.