Amends GS 105-153.7 (individual income taxes) to increase the individual income tax rate imposed after 2025 from 3.99% to 4% of the taxpayer’s NC income. Changes when the rate reduction trigger to when during a fiscal year the recommended Savings Reserve Balance has been met, and if both the revenue adequacy trigger and the recession indicator trigger have been met, then the applicable tax rate for that tax year and subsequent tax years will be equal to the greater of: (1) the prior taxable year's rate decreased by 0.25% or (2) 2.49%. (Currently, trigger applies if total General Fund revenue (defined) in a fiscal year set out in listed schedule exceeds the trigger amount indicated for that fiscal year, then the applicable tax rate for the indicated and subsequent tax years will be equal to the greater of (i) the prior taxable year's rate decreased by 0.50% or (ii) 2.49%). Deletes schedule of trigger amounts for FY 2025-26 through FY 2033-33.

Requires the Office of State Budget and Management (OSBM) and the Fiscal Research Division (FRD) of the General Assembly to annually jointly calculate the conditions necessary to trigger a rate reduction. Requires OSBM and FRD to report the results of the calculations to the Department of Revenue and the specified NCGA committees by no later than October 1 of each year.

Adds new GS 143C-4-12, pertaining to revenue adequacy and recession indicator triggers. Sets out calculations for meeting the revenue adequacy trigger and the recession indicator trigger. Specifies that revenue adequacy is met if it is greater than the recession indicator trigger. 

Effective for tax years beginning on January 1, 2025.