TRUTH IN TAXATION.

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View NCGA Bill Details2025-2026 Session
Senate Bill 992 (Public) Filed Thursday, April 30, 2026
AN ACT TO IMPLEMENT TRUTH IN TAXATION PROCEDURES WHEN A GOVERNING BODY OF A TAXING UNIT INTENDS TO ADOPT A TAX RATE EXCEEDING THE REVENUE-NEUTRAL TAX RATE IN ANY YEAR A GENERAL REAPPRAISAL IS CONDUCTED AND TO INCREASE THE FEE FOR REINSTATING AN EXPIRED REAL ESTATE APPRAISER TRAINEE REGISTRATION, LICENSE, OR CERTIFICATE.
Intro. by Ford, B. Newton, McInnis.
Status:

Bill History:

S 992

Bill Summaries:

  • Bill S 992 (2025-2026)
    Summary date: Jun 18 2026 - View Summary

    Senate committee substitute to the 1st edition makes the following changes.

    Section 1.

    Amends new GS 159-13.3 (adopting a tax rate exceeding the revenue neutral tax rate) as follows: (1) reduces the notice period before the public hearing to 14 days, and now requires the notice to be sent directly to each taxpayer with property in the jurisdiction by first-class mail to the taxpayer's last known address or electronically if the taxpayer has consented to receive notice by electronic means (was, governing body had to notify county clerk 30 days before the hearing and the clerk had to send out notices at least 10 days before the hearing); (2) adds provisions specifying that if a governing body adopts a property tax rate at or below the revenue-neutral tax rate in its budget ordinance, but then seeks to amend the budget ordinance to increase the property tax rate above the revenue-neutral tax rate due to the local government receiving revenues that are substantially less than the amount anticipated, the governing body must hold a separate public hearing prior to amending the budget to adopt the increased property tax rate; (3) requires majority approval, as described, for decisions to amend the budget as specified above; (4) clarifies that tax refunds under the statute are considered lawfully-issued refunds; and (5) specifies that the statute does not apply when a governing board must amend its budget to increase or reduce a property tax levy or in any manner alter a property taxpayer's liability by order of a court of competent jurisdiction, or by a State agency having the power to compel the levy of taxes by the governing board.

    Section 3 (new).

    Amends GS 105-380(a) to recognize that the governing board of a taxing unit can release the taxes as described when authorized to do so by new GS 159-13.3.

    Section 4 (new).

    Makes a conforming change to GS 159-15 (amendments to the budget ordinance) to account for new procedure in GS 159-13.3. Applies to amendments to budget ordinances adopted for fiscal years beginning on or after July 1, 2027.

    Makes conforming organizational changes to account for newly inserted sections.

    Business and Commerce, Occupational Licensing, Development, Land Use and Housing, Property and Housing, Government, Tax
    GS 93E, GS 105, GS 159
  • Bill S 992 (2025-2026)
    Summary date: May 1 2026 - View Summary

    Section 1.

    Adds new GS 159-13.3 prohibiting the governing body of a taxing authority from adopting a property tax rate greater than the revenue-neutral tax rate as determined under GS 159-11(e), unless the governing body has passed a resolution or ordinance allowing the tax rate to exceed the revenue-neutral tax rate. Applies during years where a general reappraisal of real property has been conducted.

    Requires the governing body to publish general and specific notice of intent to exceed the revenue-neutral tax rate, describes notice form and content, and requires a public hearing. Requires majority approval of governing body to pass an ordinance or resolution allowing the tax rate to exceed the revenue-neutral rate. Provides that such ordinance or resolution must be passed before the adoption of the budget ordinance.

    Requires a governing body that does not comply with the requirements of this statute to refund any property taxes collected exceeding the amount that would have been collected under the revenue-neutral tax rate.

    Adds new subdivision GS 159-13(b)(7a) binding a governing body to the requirements of GS 159-13.3 in adopting the budget ordinance for years where a general reappraisal of real property has been conducted.

    Effective when the act becomes law and applies to budget ordinances adopted for fiscal years after July 1, 2027.

    Section 2.

    Amends GS 93E-1-7(c) to increase the late filing fee for lapsed real estate appraiser trainee registrations, licenses and certificates to $12.00 per month (was, $10.00 per month). Effective July 1, 2026, and applies to registrations, licenses, and certificates reinstated on or after that date.

    Except as otherwise provided, this act is effective when it becomes law.

    Business and Commerce, Occupational Licensing, Development, Land Use and Housing, Property and Housing, Government, Tax
    GS 93E, GS 159
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