Budget & Taxes (Property Tax)

in committee · North Carolina · Senate Apr 22, 2026

SB 798: Elderly Prop. Tax Appreciation Exclusion.

SB 798 creates a new property tax relief program for North Carolina residents who are at least 65 years old and have lived in their home for at least five years. The bill allows these qualifying owners to defer paying the portion of their property tax bill that results from increases in the home's appraised value, using the home's value from the first year of the program as a baseline. This deferral acts as a lien on the property, meaning the unpaid taxes accumulate and become due only if the owner sells the home, dies, or stops living there permanently. The legislation also clarifies that married couples can share the benefit even if only one spouse meets the age and residency requirements, while prohibiting lenders from stopping owners from using this tax relief. The changes are scheduled to take effect for tax years beginning on or after July 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides property tax relief for elderly residents, directly supporting the taxation topic by reducing tax burdens for a specific demographic.95% confidence ✓ HousingSupports HousingBill provides property tax relief for elderly homeowners, increasing affordability and protecting housing stability.90% confidence

Sub-Topics Property Tax Property Taxes Tags Seniors

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passed · North Carolina · House May 22, 2026

HB 1042: Affordable Housing Exemption Modifications.

HB 1042 updates North Carolina's property tax exemptions for nonprofit organizations that provide housing for low- or moderate-income individuals. The bill clarifies that land held by nonprofits for future affordable housing projects can remain tax-exempt for up to five years, with unpaid taxes deferred until the project is completed or the land is no longer used for this purpose. Additionally, the legislation establishes a new specific exemption for affordable rental housing, defining it as developments where more than half the units are rented to tenants earning at or below 80% of the area median income. These changes aim to provide clearer tax incentives for nonprofits developing and operating affordable rental properties.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill expands property tax exemptions for affordable housing nonprofits, reducing tax burdens on essential low-income housing programs.90% confidence ✓ HousingSupports HousingBill extends property tax exemptions for nonprofits providing affordable housing, facilitating development and funding for low-income housing projects.90% confidence

Sub-Topics Property Tax Tax Incentives Affordable Housing Housing Finance Property Taxes

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in committee · North Carolina · House May 4, 2026

HB 1181: Property Tax Modifications.

HB 1181 modifies North Carolina's property tax relief programs for seniors and disabled individuals by increasing the income limit for married couples and eliminating deferred tax liability under the homestead circuit breaker. The bill expands eligibility for the circuit breaker to include homeowners earning up to 70% of the area median income and introduces an alternative tax calculation for those who have owned their homes for at least 10 years. Additionally, the legislation appropriates funds to assist counties with property reappraisals and imposes an excise tax on the transfer of controlling interests in entities that hold real property interests.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill expands property tax relief for seniors and disabled individuals, increasing income limits and eliminating deferred tax liabilities to reduce the tax burden on vulnerable populations.95% confidence ✓ HousingSupports HousingBill expands property tax relief for seniors and disabled homeowners, increasing income limits and eliminating deferred tax liabilities to protect housing affordability.90% confidence

Sub-Topics Property Tax Sales Tax Property Taxes

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in committee · North Carolina · House Apr 30, 2026

HB 1122: Expand Disabled Veteran Property Tax Exclusion.

This bill expands the property tax exemption for disabled veterans and their surviving spouses in North Carolina by increasing the excluded home value from $45,000 to the entire appraised value of the primary residence. To offset the resulting loss in local tax revenue, the state will reimburse counties and cities for the taxes they no longer collect from these exempt properties. The legislation also allocates $100,000 to cover administrative costs and sets the changes to take effect for tax years beginning on or after July 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill expands tax exemptions for disabled veterans and provides state reimbursement to offset local revenue loss, directly supporting tax relief and fiscal management.95% confidence ✓ HousingSupports HousingBill expands property tax exemption for disabled veterans, directly reducing housing costs and supporting affordable housing access for a vulnerable group.90% confidence ✓ VeteransSupports VeteransBill expands property tax exemption for disabled veterans and their spouses, directly strengthening financial benefits.95% confidence

Sub-Topics Property Tax Revenue Tax Incentives Property Taxes Veteran Benefits Veteran Healthcare Veteran Housing

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signed · North Carolina · House May 21, 2026

HB 1089: Constitutional Amendment Property Tax Levy Limit.

This bill proposes a constitutional amendment that would require the North Carolina legislature to establish a statewide limit on how much local property tax levies can increase each year. The measure also mandates that any local government wanting to raise property taxes beyond this limit must first obtain approval from a majority of voters in that specific area. Because this change alters the state constitution, it will not take effect immediately but will instead be placed on the November 3, 2026, ballot for voters to decide whether to adopt. If approved by the public, the amendment would legally bind the General Assembly to create the specific tax increase caps mentioned in the text.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill imposes a statewide limit on property tax increases, restricting local governments' ability to raise revenue for budgets and services.95% confidence ✗ HousingOpposes HousingLimiting property tax increases restricts local funding for affordable housing development and services.85% confidence

Sub-Topics Property Tax Property Taxes

in committee · North Carolina · House Apr 30, 2026

HB 1092: Reform NC Property Tax.

This bill proposes constitutional changes to North Carolina property tax laws, with a primary focus on allowing the state to use area median income as a standard for granting tax relief. It also modifies the existing homestead circuit breaker to adjust income eligibility limits and expands funding for property reappraisals. Because the core amendment requires voter approval, the bill currently sets up a referendum to be voted on by the public in November 2026. If approved, the change would enable the General Assembly to create property tax exemptions based on local income levels across the state. Additionally, the legislation updates rules for nonprofit housing exemptions and directs grant money to county commissioners to support more frequent property valuations.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill proposes constitutional changes to allow tax relief based on area median income and expands homestead circuit breaker funding, directly supporting fiscal relief and property tax management.90% confidence ✓ HousingSupports HousingBill expands property tax relief and homestead circuit breaker funding, directly aiding low-income homeowners and affordable housing stability.75% confidence

Sub-Topics Property Tax Property Taxes

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in committee · North Carolina · Senate Apr 30, 2026

SB 895: Nonprofit Hospitals Tax Exemption.

This bill modifies tax exemptions for nonprofit hospitals in North Carolina by linking property tax relief directly to the cost of charity care provided to low-income patients. Under the new rules, a hospital's property tax exemption is calculated based on the actual cost of services given to uninsured or underinsured individuals with family incomes at or below 300% of the federal poverty level. Additionally, the legislation expands sales tax refunds for nonprofit hospitals, allowing them to recover taxes on over-the-counter drugs and capping the total refund at the lesser of a fixed dollar amount or the hospital's verified charity care costs. These changes are designed to ensure that tax benefits are tied to specific charitable activities rather than general operations. The provisions will take effect for tax years beginning on or after July 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill links tax exemptions to charity care, promoting fiscal responsibility and protecting essential health services for low-income patients.85% confidence ✓ HealthcareSupports HealthcareBill links tax exemptions to charity care costs, incentivizing hospitals to provide services to low-income patients and strengthening access.85% confidence

Sub-Topics Property Tax Sales Tax Tax Incentives Hospitals

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in committee · North Carolina · House May 4, 2026

HB 1179: Senior Property Tax Relief Modernization Act.

HB 1179 modifies North Carolina's property tax relief programs to help seniors and disabled homeowners by allowing them to combine two existing benefits and removing a strict income cutoff that previously denied aid to those just above the limit. The bill introduces a gradual phaseout for the elderly homestead exclusion, reducing benefits by 3.33% for every 1% of income earned above 55% of the state median, while also permitting eligible owners to stack this relief with the circuit breaker program. Additionally, the legislation clarifies rules for seniors living in shared or inherited properties to ensure they can receive full relief if no other non-spouse owner resides there. To offset the increased costs for local governments, the bill requires the state to reimburse counties for revenue losses and provides funding to support more frequent property tax reappraisals.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides property tax relief for seniors and disabled homeowners, expanding benefits and removing income cutoffs.90% confidence ✓ HousingSupports HousingBill expands property tax relief for seniors and disabled homeowners, increasing affordability and protecting housing access for vulnerable groups.85% confidence

Sub-Topics Property Tax Property Taxes

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passed · North Carolina · Senate Jul 1, 2026

SB 992: Truth in Taxation.

This bill, titled "Truth in Taxation," requires local taxing authorities in North Carolina to follow a specific process before raising property tax rates above a revenue-neutral level during years when a general reappraisal of real property occurs. To implement this change, the governing body must publish public notices in newspapers and online, send direct mail to taxpayers detailing the proposed tax increase, and hold a dedicated public hearing where a majority vote is required to approve the higher rate. If a local government fails to comply with these procedures and collects excess taxes, the bill mandates that they refund the overage to affected property owners. Additionally, the legislation increases the late reinstatement fee for expired real estate appraiser trainee registrations, licenses, and certificates to $12 per month, up from $10.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill enforces fiscal responsibility by requiring public notice and majority approval for property tax increases, protecting taxpayers from arbitrary rate hikes.90% confidence

Sub-Topics Property Tax

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signed · North Carolina · Senate Jun 19, 2026

SB 889: Property Tax Reappraisal Moratorium.

This bill requires counties in North Carolina that completed a property reappraisal effective January 1, 2026, to temporarily pause using those new values for tax calculations. Instead, these counties must use the property values from their previous reappraisal for the 2026-2027 fiscal year and continue using the 2026 reappraisal values for all future years until a new general reappraisal is conducted. The legislation also clarifies the timeline for scheduling the next reappraisal and allows taxpayers to appeal property listings related to the 2026 reappraisal during the 2027 calendar year. Additionally, the bill updates qualifications and requirements for county assessors, mandating a $20 examination fee for certain candidates and requiring all assessors to complete 30 hours of continuing education every 24 months.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill pauses property tax reappraisal, preventing immediate tax increases and providing fiscal relief to taxpayers.85% confidence

Sub-Topics Property Tax