Budget & Taxes (Tax Incentives)

in committee · Nebraska · Legislature Mar 30, 2026

LR 464: Interim study to explore the potential for a de minimis personal property tax exemption

This legislative resolution directs Nebraska's Revenue Committee to conduct an interim study on creating a small exemption for personal property taxes. The study will examine how other states handle similar exemptions, analyze revenue impacts across different taxpayer groups, and assess the administrative costs of processing low-value property returns. It aims to gather data on whether exempting small businesses from property taxes would reduce compliance burdens while understanding the potential revenue loss. The committee will report its findings and recommendations to the Legislature without making any immediate policy changes.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill proposes tax exemption study for small businesses, reducing compliance burdens and potentially lowering tax liability for smaller entities.75% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives

Track

in committee · Nebraska · Legislature Mar 30, 2026

LR 473: Interim study to examine opportunities for countywide local option sales taxes

This legislative resolution directs the Nebraska Revenue Committee to conduct an interim study on creating countywide local option sales taxes. The study will examine how counties could implement sales taxes across their entire area, even in regions where cities already have their own sales taxes, and explore options for specific districts like highway corridors. Researchers will also analyze potential tax rates and how the revenue could be allocated between public safety services and other county functions. This proposal aims to provide counties with a new revenue source beyond property taxes, similar to how municipalities currently operate. The resolution does not enact any tax changes but instead commissions the study to inform future legislative decisions.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill authorizes study of countywide sales taxes to generate revenue for public safety and other services, indicating support for expanding tax options to fund government programs.85% confidence ✓ TransportationSupports TransportationBill examines countywide sales taxes with specific mention of highway corridors and potential revenue allocation for public safety services, which could fund transportation infrastructure improvements.75% confidence

Sub-Topics Business Taxes Sales Tax Tax Incentives Roads & Highways

Track

died · Nebraska · Legislature Feb 12, 2026

LB 1156: Adopt the Disinvested Community Development Incentive Tax Credit Act

Nebraska's LB 1156 creates a tax credit program to encourage private investment in economically distressed communities. It allows taxpayers to claim a 50% nonrefundable income tax credit for cash contributions to qualifying organizations (like community development banks or innovation hubs) that fund projects in designated distressed areas. These funds support affordable commercial space, workforce training, site preparation, and small developer projects, with annual limits of $26.5 million for tax credits and $20 million for supplemental grants. The program targets small developers and underrepresented businesses in neighborhoods facing high unemployment and poverty, aiming to expand local economic opportunities without direct public funding.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates 50% tax credit for investments in distressed communities, using tax policy to incentivize private capital flow into underserved areas while directing $26.5M annually toward economic development projects.95% confidence ✓ HousingSupports HousingCreates tax credit for private investment in distressed areas, funding affordable commercial space and small developer projects to advance housing affordability.90% confidence ✓ Labor & EmploymentSupports Labor & EmploymentFunds workforce training programs in distressed communities, directly supporting employment standards and skills development per bill summary.85% confidence

Sub-Topics Income Tax Tax Credits Tax Incentives Affordable Housing Community Development Property Development Unemployment Workforce Development Tags Economic Development

Track

died · Nebraska · Legislature Apr 17, 2026

LB 1023: Eliminate the sales and use tax exemption for zoo and aquarium admissions

LB 1023 eliminates the sales and use tax exemption for admissions to nationally accredited zoos and aquariums operated by public agencies or nonprofit organizations primarily for educational, scientific, or tourism purposes. This change means these facilities will begin charging sales tax on admissions starting October 1, 2026. The bill directly affects zoos and aquariums currently exempt from this tax under Nebraska law. It modifies Section 77-2704.67 of the Nebraska Revised Statutes to remove the exemption provision, effective October 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesRemoves tax exemption for zoos/aquariums, increasing state revenue through new sales tax collection starting 2026, directly strengthening budget revenue streams.95% confidence

Sub-Topics Sales Tax Tax Incentives

Track

died · Nebraska · Legislature Apr 17, 2026

LB 756: Change a motor vehicle tax exemption and a property tax exemption relating to certain disabled veterans

LB 756 harmonizes tax exemption language for disabled veterans by updating two Nebraska statutes. It revises Section 60-3,185 (motor vehicle tax exemption) and Section 77-202.24 (mobile home property tax exemption) to consistently require that a veteran's disability or blindness must be "recognized by the U.S. Department of Veterans Affairs as service-connected" and that the veteran was discharged honorably. This change affects disabled veterans (and their surviving spouses who meet specific criteria) who own vehicles or mobile homes, ensuring both exemptions use identical eligibility language. The bill does not expand eligibility but aligns existing provisions for clarity and consistency.

Topics ✓ Budget & TaxesSupports Budget & TaxesMaintains tax exemptions for disabled veterans through clearer eligibility criteria, providing tax relief.95% confidence

Sub-Topics Property Tax Tax Incentives

Track

died · Nebraska · Legislature Apr 17, 2026

LB 1109: Eliminate certain sales and use tax exemptions and a renewable energy tax credit and change provisions relating to the Nebraska Advantage Research and Development Act and the ImagiNE Nebraska Act

LB 1109 eliminates specific sales and use tax exemptions (including those for energy-related items and certain nonprofit purchases) and removes a renewable energy tax credit. It modifies provisions under the Nebraska Advantage Research and Development Act regarding tax credits and updates the ImagiNE Nebraska Act. The bill repeals several existing tax sections (77-2701.54, 77-2704.57, etc.) and requires a revised tax expenditure report detailing revenue losses from exemptions. These changes directly affect businesses and organizations currently benefiting from the eliminated exemptions and credits.

Topics ✓ Budget & TaxesSupports Budget & TaxesEliminates tax exemptions/credits to increase state revenue, closes loopholes, and requires tax expenditure reporting per fiscal responsibility indicators.95% confidence ✗ EnergyOpposes EnergyRemoves renewable energy tax credit and eliminates energy-related tax exemptions, directly defunding renewable initiatives and weakening clean energy incentives.95% confidence

Sub-Topics Business Taxes Sales Tax Tax Incentives Renewable Energy

Track

died · Nebraska · Legislature Apr 17, 2026

LB 868: Provide an inheritance tax exemption relating to victims of homicide and change provisions relating to when certain inheritance taxes are due

Nebraska's LB 868 creates an inheritance tax exemption for property transferred from a person who was a homicide victim. This directly affects individuals inheriting assets from someone killed in a homicide, as they may qualify for the exemption by filing an application with the Department of Revenue. The bill changes the tax payment deadline: if an exemption application is filed within 12 months of the death, the tax becomes due 12 months after the exemption determination (not the death date). The exemption applies to deaths on or after June 1, 2026, and requires either a homicide conviction or a court determination that the decedent was a victim.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides inheritance tax exemption for homicide victims' heirs, reducing tax burden on specific group through altered tax policy.90% confidence

Sub-Topics Tax Incentives

Track

died · Nebraska · Legislature Apr 17, 2026

LB 848: Provide for exemption from sales tax for purchases of clothing, personal computers, and school supplies for a prescribed period

Nebraska's LB 848 creates a temporary sales tax exemption for specific items during a three-day window each August (beginning 12:01 a.m. Friday to midnight Sunday). It exempts clothing under $100, school supplies under $50 per purchase, computer software under $350, graphing calculators under $150, and personal computers/peripherals under $1,500. The exemption applies only to items purchased for personal use during this period, excluding items like jewelry, sporting equipment, or furniture. This policy directly affects Nebraska residents buying these items for personal or educational use during the designated annual sales tax holiday.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides temporary sales tax exemption on essential items (clothing, school supplies), reducing tax burden for lower/middle-income families during back-to-school season.95% confidence ✓ EducationSupports EducationExempts school supplies, computers, and clothing under $100 from sales tax, reducing costs for families and improving access to educational materials during back-to-school period.85% confidence ✓ TechnologySupports TechnologyExempts personal computers/peripherals under $1,500 from sales tax, lowering costs for access and promoting digital equity during back-to-school period.85% confidence

Sub-Topics Sales Tax Tax Incentives

Track

died · Nebraska · Legislature Apr 17, 2026

LB 872: Eliminate an income reduction for extraordinary dividends and certain capital gains for income tax purposes

This bill eliminates a tax reduction currently available for extraordinary dividends and certain capital gains when calculating Nebraska income tax. It directly affects Nebraska taxpayers who receive these specific types of investment income, ending the existing tax break. The change takes effect for taxable years beginning on or after January 1, 2026, under the federal tax code. The bill repeals two specific sections of Nebraska's tax code (77-2715.08 and 77-2715.09) that previously provided this reduction.

Topics ✓ Budget & TaxesSupports Budget & TaxesCloses tax loophole for investment income, increasing state revenue by eliminating tax breaks for extraordinary dividends/capital gains.95% confidence

Sub-Topics Business Taxes Income Tax Tax Incentives

Track

died · Nebraska · Legislature Apr 17, 2026

LB 1206: Exempt income received by certificated teachers, paraeducators, and paraprofessionals from state income taxation

LB 1206 would exempt the income of certificated teachers, paraeducators, and paraprofessionals from Nebraska's state income tax. The bill amends Nebraska's tax code to exclude this specific group's earnings from taxable income calculations. This change directly affects educators working in Nebraska public schools who hold these roles. The policy creates a targeted tax exemption without altering other tax provisions or requiring new administrative processes.

Topics ✓ Budget & TaxesSupports Budget & TaxesExempts educators' income from state tax, providing targeted tax relief for middle-income public school staff, aligning with support indicators for tax relief.95% confidence ✓ EducationSupports EducationExempts educators' income from state tax, providing direct financial benefit to teachers - a clear support measure for educator compensation and retention.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExempts educators' income from state tax, increasing net wages without altering base pay. Directly enhances compensation for teachers and support staff.95% confidence

Sub-Topics Income Tax Tax Incentives Teachers

Track