NC SENATE'S BUDGET IS A TAX-CUT EXTRAVAGANZA: There would also be bonuses of $1,500 for law enforcement, correctional officers and staff and employees of 24-hour residential and treatment facilities. Additional bonuses across the board, using state funds, would go to teachers, who would get $300, and principals, who would get $1,800, respectively. The budget’s tax cuts include cutting the personal income tax rate to 3.99% by 2026. The current tax rate is 5.25%, and the budget would reduce it to 4.99% in 2022. The budget also includes parts of the same tax-cuts plan the Senate already passed, including phasing out the corporate income tax entirely. There is no cost of living adjustment for retired state employees in the Senate budget.