On February 23, 2026, North Carolina announced a groundbreaking taxation policy aimed at generating revenue to fund much-needed infrastructure projects across the state. The new policy, proposed by Governor Rebecca Johnson, was unanimously approved by the state legislature and is set to go into effect starting next fiscal year.Under the new taxation policy, North Carolina residents will see changes to both income and sales taxes. The income tax brackets will be adjusted to increase rates for high-income earners, while providing tax cuts for middle and lower-income households. The sales tax rate will also see a slight increase to generate additional revenue.Governor Johnson explained that the changes to the taxation policy were necessary to address the state's crumbling infrastructure, which has been neglected for far too long. She highlighted the importance of investing in roads, bridges, and public transportation to ensure the safety and well-being of all North Carolinians.The revenue generated from the new taxation policy is estimated to bring in an additional $500 million annually, which will be allocated towards a variety of infrastructure projects. These projects include repairing and upgrading highways, expanding public transportation options, and improving water and sewer systems.The announcement of the new taxation policy has received mixed reactions from residents and lawmakers. Supporters commend Governor Johnson for taking bold steps to address the state's infrastructure needs, while critics argue that the tax increases will place an unfair burden on high-income earners.In response to concerns about the impact on taxpayers, Governor Johnson assured that the changes were necessary to ensure a more equitable distribution of tax burdens and to address critical infrastructure issues that have been neglected for too long.Overall, the new taxation policy in North Carolina represents a significant step towards revitalizing the state's infrastructure and improving the quality of life for all residents. With a focus on sustainable funding for essential projects, North Carolina is poised to make lasting improvements that will benefit future generations.