ASHEVILLE, N.C. (WLOS) — Two proposed changes to North Carolina’s tax laws are now headed to voters in November after lawmakers approved both constitutional amendments this week.

Western North Carolina political science professor Dr. Chris Cooper says both amendments involve taxes, but in different ways.

“Part of the fight here is essentially about how much people should be taxed, but some of it is also about local government power and how much power should local governments have to be able to levy the higher property taxes to fulfill their needs,” Cooper said.

The first amendment seeks to permanently cap the state’s income tax rate at 3.5%, which Republican state leaders say is necessary.

“Now we’re at a point where we’ve proven that we are able to cut and we are still able to generate revenue by the business policies that we’ve had,” Rep. Mark Pless said.

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Democratic leaders, however, argue that the change would limit the state’s ability to raise revenue.

“If we’re saying that constitutionally the legislature can never raise the personal income tax above 3.5 percent, then we are necessarily limiting our ability to generate revenue to meet the needs of our growing state,” Senator Julie Mayfield said.

The second proposal focuses on property taxes and would limit how much local governments can increase them.

Democrats say the cap could reduce funding for schools, disaster response and local government services.

“Property taxes are the primary funder for local governments and the services they provide, and if we start limiting their ability to increase that revenue, again, to match their increasing needs, then communities are going to suffer, and public services are going to suffer,” Mayfield said.

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Republicans counter that voters should have a direct say in how tax policy is set.

“Members on the other side of the aisle wanted to say that it was going to raise gas, it was going to raise groceries, it was going to cause rent to go up, and that’s just not feasible. Reducing the income tax is only going to reduce the amount they pay for government services,” Pless said.

Some political observers also say the amendments are part of a broader political strategy ahead of the election.

“These are tools to turn out more conservative voters in a midterm election where the Republicans are worried that their voters aren’t going to turn out. That is the motivation behind all of these,” Mayfield said.

Political experts say these likely won’t be the only amendments on the ballot, and more could be placed before voters in November.

RALEIGH, N.C. (WTVD) — The North Carolina House voted to put a constitutional amendment before voters in November that, if approved, would limit the state’s personal income tax rate.

The amendment would ask voters whether they support capping the income tax rate so it cannot be raised above 3.5%.

Republicans promoted Senate Bill 1080, citing strong revenues and a need for affordability.

“This amendment will ensure the people’s elected representatives take the taxpayer’s money and spend the taxpayer’s money in a way that taxpayers want – in a controlled, measured way,” said Rep. Dean Arp, a Republican from Union County.

The state’s current income tax rate is 3.99%, though it is scheduled to drop to 3.49% next year because of a revenue trigger. A proposed budget framework would keep that rate in place for three years before another quarter-point reduction.

Debate on Wednesday focused on the future ability to adjust rates, rather than those specific scheduled changes.

“Constitutions are supposed to protect the ability of a free people to govern themselves. But this amendment desperately tries to permanently lock in one faction’s view, regardless of what the future holds, regardless of what emergencies are people may face, when none of us work here anymore,” said Rep. Phil Rubin, a Democrat from Wake County.

In 2018, voters approved a constitutional amendment that capped the income tax rate at 7%. The new proposal would cut that cap in half.

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“Sure, it’s great to lower taxes. But you’re also going to stop services, you’re going to slow services down. You’re going to squeeze people dry,” said Rep. Marcia Morey, a Democrat from Durham.

Republicans pushed back on that argument, saying funding for state agencies has increased year over year.

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“Ladies and gentlemen, states aren’t here to make profits. They’re here to provide services. We don’t lose money when we reduce people’s taxes. We allow them to keep what they have justly earned,” said Rep. Keith Kidwell, a Republican from Beaufort County.

The State Senate voted to pass the measure on Tuesday.

Wednesday’s vote was along party lines, with unaffiliated Representatives Carla Cunningham and Nasif Majeed, both of Mecklenburg County, joining Republicans to reach the required three-fifths majority needed. Both representatives had been Democrats before leaving the party at the start of the short session.

“For years we’ve seen some municipal and county governments impose exorbitant tax rates on their residents with little to no regard for fiscal restraint,” Sen. Tim Moffitt, R-Henderson, said. “At the General Assembly, we work hard to keep our spending in check so you can keep more of your hard-earned paycheck. Your local government should do the same. These property tax measures establish some commonsense safeguards to protect the taxpayers.”