It could, but if you don't soak it down too much it won't bother anything. I used in on my dash when I got a bad case of fish-eyes, it did take the paint off that I just applied but I wanted it to do that since it was all messed up. I always use it for the first cleaning, after sanding and getting ready for paint. I even used it on my dashpad just before painting, and it did take some of the dye off, but I had no problem with the new dye sticking.

Just make sure you let it dry before you paint, and do a quick wipe down with Mineral Spirits before painting.