Provide an income tax credit related to premium payments for a qualified health plan

Nebraska's LB 931 creates a refundable state income tax credit for residents who purchase health insurance through the federal Marketplace. It directly affects low-to-moderate-income Nebraskans with federal adjusted gross income of $29,000 or less who qualify for the federal premium tax credit. The credit equals 100% of the federal credit for incomes up to $22,000, decreasing by 10% for each $1,000 over that threshold (e.g., 90% for $23,000). This credit is refundable, meaning eligible residents receive cash payments even if their state tax liability is zero.