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North Carolina voters approve tax limits on income and property as cost of living tops voters’ worries
As housing prices increase nationwide and Americans increasingly voice their frustration with affordability, voters in North Carolina have approved a constitutional amendment that lowers the state’s income tax cap from 7% to 3.5%.
The Associated Press called the race at 9:21 p.m. Tuesday, with 61% of votes in favor and 89% of votes counted, according to WBTV. The amendment bars the General Assembly from raising the income tax rate above 3.5% unless voters approve another constitutional change. North Carolina currently has a 3.99% flat income tax rate for all earners, and that rate is scheduled to fall in the coming years. The new ceiling replaces the 7% cap voters approved in 2018. The Republican-led General Assembly put the amendment on the ballot over objections from Democratic lawmakers.
Republican state Sen. Michael V. Lee, who sponsored the legislation, argued earlier this year that the cap protects taxpayers from future increases and locks in more than a decade of tax cuts. Democratic Gov. Josh Stein opposed the amendment, calling it “a con, a cynical shell game and a millionaire protection cap.” He argued it would shield the wealthy from future income tax increases while regular people bear the cost.
A separate constitutional amendment on property taxes, which was still being counted late Tuesday, also had the support of the North Carolina General Assembly’s Republican majority. It would not immediately reduce property taxes, but would require the legislature to pass a law that would limit the amount of property tax a local government can raise from one year to the next, with details like the specific limit and exceptions to be decided by the state legislature at a later date.
In the run-up to the midterm election Tuesday, proponents said the property tax amendment would help people stay in their homes and would ease the burden on homeowners. Opponents of the constitutional measure, meanwhile, said it would restrict local governments’ revenue growth, potentially forcing them to cut services and would have a bigger effect on large corporations than on individual homeowners.
State Rep. Brian Echevarria, a primary sponsor of the legislation that put the constitutional amendment on the ballot, wrote in an opinion piece last year that property tax increases based on property reevaluations amount to a “tax on unrealized gains” which he argued is unfair for homeowners, especially in fast-growing areas that have seen property tax rates increase significantly in recent years.
Meanwhile, opponents, including the North Carolina Housing Coalition claim that a limit on property taxes would translate to limited savings for homeowners while corporate property owners see millions in tax savings. According to an analysis by the coalition, if a 2% levy cap had been in place during their latest property revaluation cycle, the average homeowner would have saved $84 a year, while local government revenue would have plummeted by $950 million.
The income tax cap comes amid widespread concern among voters about the cost of living. Some 48% of registered voters said the cost of living was the top issue for deciding how they would vote, according to a Reuters/Ipsos poll.
The price of housing makes up a big part of that concern. The median existing single-family home price reached $422,700 in September, up 1.2% compared to a year earlier, according to the National Association of Realtors. Meanwhile, the average 30-year mortgage rate reached 7.24% in late October, up from 6.17% at the same time last year, increasing borrowing costs for homebuyers.
As Americans increasingly struggle to afford a home, those who already own one are also dealing with higher property taxes, which increased 3% compared to last year and now stand at about $4,427 annually, according to U.S. real estate and property data provider ATTOM.
National debate
The same affordability concerns that helped fuel Tuesday’s North Carolina vote also gave rise to other property tax-related measures in other states.
Voters on Tuesday weighed in on 15 measures across nine states dealing with property taxes, according to the National Conference of State Legislatures.
In Florida, voters approved an amendment that expands homestead exemptions for non-school property taxes to $250,000 by 2028. In Oklahoma, voters also considered tightening limits on how quickly property values can rise for tax purposes, including reducing the cap for qualifying homes from 3% to 1.75%.
The debate over property taxes has been contentious across several states for decades.
In 1980 Massachusetts passed Proposition 2½, which has generally limited annual increases in municipal property-tax levies to 2.5%, plus revenue from new development since it went into effect in 1982. The law allows municipalities to seek voter-approved overrides.
Critics have said the proposition prevents local governments from raising the revenue they need to fund services as costs increase. Still, a 2025 poll by the Fiscal Alliance Foundation, which advocates for lowering taxes, found that 66% of 800 likely voters in Massachusetts viewed the measure favorably.
Uncertain savings
At the same time, the push for tax relief in several states also raises questions about how cities and counties will finance the government services that citizens rely on.
Property taxes in North Carolina account for more than half of county general fund revenue, according to the North Carolina Association of County Commissioners. This fund helps pay for government services like healthcare, education, and transportation services.
Individual homeowners could still see their tax bills increase following property reassessments, even with limits put in place by the General Assembly at a later date.
Yet
Billionaire Vivek Ramaswamy’s millions and Greg Abbott’s $106 million war chest couldn’t stop Democrats from flipping Texas and Ohio
Republicans backed by nine-figure sums lost governor’s races Tuesday night. In Texas, Gov. Greg Abbott conceded to Democrat Gina Hinojosa despite entering the year with $105.7 million on hand. In Ohio, Democrat Amy Acton defeated Vivek Ramaswamy, a billionaire who put tens of millions of his own dollars into the race. And in Iowa, Democrat Rob Sand won the governorship, the first Democrat to do so since 2006.
Texas
Abbott conceded at 10 p.m., ending his bid for a record fourth term. Hinojosa, a Democratic state representative, will be the first Latina governor of Texas and the first Democrat elected governor there since 1990. With votes still being counted, she led Abbott 57% to 42%.
Abbott entered 2026 with $105.7 million on hand. His top donors in the second half of 2025 included Midland oil executive Javaid Anwar, who gave more than $1.6 million, and casino magnate Miriam Adelson, who gave $1 million. Both candidates ran on lowering costs. Abbott favored tax and regulation cuts, while Hinojosa proposed one-time $1,500 checks and stronger consumer protections.
Her win came the same night Democrat James Talarico won the state’s Senate race over Ken Paxton, whom Elon Musk spent more than $200 million trying to elect.
Ohio
Acton, the state’s former health director, defeated Ramaswamy, NBC News and Decision Desk HQ projected. The 60-year-old is the first woman elected governor of Ohio and, according to the AP, the first Democrat to win the seat in 20 years. She won despite more than $100 million spent against her, including an estimated $36 million of Ramaswamy’s own money.
The race turned in its final weeks on a Ramaswamy attack ad featuring Acton’s estranged mother, Donna Arthur, calling her daughter a liar about her childhood. Court documents show Acton’s stepfather was arrested for raping her as a child, and that Arthur lost custody before the couple fled the state to avoid trial, the Ohio Capital Journal reported. Acton has said she hasn’t seen her mother in nearly 50 years.
The ad drew criticism from both parties. Republican Gov. Mike DeWine, who is term-limited, called on Ramaswamy to take it down, though he kept his endorsement of the Republican. Trump and Vice President JD Vance defended the ad, and Trump said he was jealous he’d never had the chance to run a similar attack against a rival, the AP reported. Acton called it “absolutely despicable” and saw a late surge in fundraising after it started airing.
Iowa and Georgia
Democrat Rob Sand, the state auditor, defeated Republican businessman Zach Lahn, the AP projected. He is the first Democrat elected Iowa governor since Chet Culver in 2006. Sand, 44, ran on affordability, expanding health care access and ending Medicaid privatization, and often talked about how his Christian faith guides him. He aimed his campaign at disaffected Republicans and independents. He’ll govern with Republican majorities in both chambers of the state legislature.
Democrat Keisha Lance Bottoms, the former Atlanta mayor, defeated Republican billionaire Rick Jackson to succeed term-limited Gov. Brian Kemp, NBC News projected. She is the first Black woman elected governor in U.S. history and the first Democrat elected governor of Georgia since 1998. Like Democrats elsewhere, she ran on affordability and economic issues.
This story was originally featured on Fortune.com
Soniox STT v6 Adds Agent Text Input and Echo Filtering for Voice Agents
Soniox has released Soniox STT v6, the latest generation of its speech-to-text API. Soniox STT v6 is a speech-to-text model that reads what a voice agent says while hearing the caller. It uses that text to recognize short replies and to drop the agent’s own voice. The release ships as stt-rt-v6 for streaming and stt-async-v6 for files, across 60+ languages.
TL;DR
- Size: Soniox STT v6 is a proprietary hosted model, no parameter count published.
- Runs on: Soniox cloud API only (WebSocket streaming and async REST). No self-hosted or on-device option disclosed.
- Performance: Soniox calls it “significantly” more accurate than v5, but publishes no v6 numbers yet.
- Best: Price. $0.12/hour streaming and $0.10/hour async, with diarization and language ID bundled.
- Worst: Zero independent v6 results. Its v5 predecessor scored 1.34% semantic WER on Pipecat, behind v4’s 1.25%.
What problem does Soniox STT v6 solve?
In a cascaded voice agent, STT usually hears only the caller. It never sees the question being answered.
Short answers suffer most. In Soniox’s docs, “River Roast” becomes “River Road” and “a tow” becomes “a tour.”
The second problem is echo. Agent audio leaks back through speakerphones and laptops, gets transcribed as user speech, and the agent interrupts itself.
How does agent text input work?
You enable it with one flag in the start request: "enable_agent_text_input": true. It is only available on stt-rt-v6, not the async model.
While the agent speaks, you stream its words on the same WebSocket as the caller’s audio. Each message is a small JSON frame: {"type": "agent_text", "text": "...", "end_of_segment": true}.
Timing matters. Messages carry no timestamps, so the model places text where it arrives in the audio stream. Soniox recommends sending each piece 500 ms to 1 second before playback, paced by TTS timestamps.
On barge-in, you flush what was already played, send end_of_segment: true, and drop the unplayed rest. The agent’s text never appears in the returned transcript.
How does agent voice echo cancellation work?
With agent text input on, v6 knows what the agent is saying. It uses that to separate leftover agent audio from caller speech and filter it out.
It keeps listening during playback, so callers can still interrupt. It does not replace acoustic echo cancellation. It handles what your existing AEC leaves behind, so keep AEC on.
What else changed in v6?
- Better voice typing: numbers, currencies, units, dates, IDs, names and specialized terms.
- Spoken commands like “period” or “new line” are written as words, so your app applies them.
- Improved meeting transcription and speaker diarization, live or recorded.
- Stronger accents, code-switching and language switching within a sentence.
There is one formatting change to test before upgrading. v6 writes “15 dollars and 20 cents” as spoken, not “$15.20”. Hyphens in codes appear only when spoken.
&&How does Soniox compare on benchmarks?
Soniox has not published v6 accuracy or latency numbers. Its benchmarks page still reports v5 on the open-source Pipecat STT benchmark. It uses 1,000 real-world samples and measures semantic WER plus time to final segment (TTFS).
On it, stt-rt-v5 scores 1.34% semantic WER, 83.3% perfect transcripts and 260 ms median TTFS. Its P95 latency is 305 ms. Azure posts the lowest WER mean at 1.21%, but at 1,016 ms median latency.
| Feature | Soniox stt-rt-v6 | AssemblyAI Universal-3.5 Pro Realtime | Deepgram Nova-3 | ElevenLabs Scribe v2 Realtime |
|---|---|---|---|---|
| Model size | Not disclosed | Not disclosed | Not disclosed | Not disclosed |
| Streaming languages | 60+ | 18 | 60+ (Nova models) | 90+ |
| Streaming price / hour | $0.12 | $0.45 | $0.46 mono, $0.55 multi | $0.39 |
| Agent-side text context | Yes, timed agent_text | Yes, agent_context | Not disclosed | Not disclosed |
| Model-level agent echo filtering | Yes | Not disclosed | Not disclosed | Not disclosed |
| Diarization cost | Included | Not disclosed | +$0.0020/min | Not disclosed |
| Pipecat semantic WER mean | 1.34% (v5; v6 untested) | 1.44% | 1.71% (nova-3-general) | 3.16% |
| Pipecat perfect transcripts | 83.3% (v5) | 84.7% | 76.5% | 81.3% |
| Pipecat TTFS median | 260 ms (v5) | 282 ms | 247 ms | 281 ms |
Pipecat figures from the Pipecat STT benchmark README. Soniox numbers are for v5, since v6 has not been benchmarked yet.
Is Soniox really the first?
Soniox calls v6 the first model that knows what your voice agent is saying. That claim needs a qualifier.
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