Budget & Taxes

died · Nebraska · Legislature Apr 17, 2026

LB 171: Change provisions relating to individual and corporate income tax rates

LB 171 adjusts Nebraska's individual and corporate income tax rates for 2025 and future years. It reduces the top individual income tax rate from 6.84% to 5.20% for taxable years beginning January 1, 2025, with further gradual reductions to 4.55% in 2026 and 3.99% after 2027. The bill also modifies corporate tax rates and establishes a new inflation adjustment mechanism using the Consumer Price Index for income tax brackets. This directly affects Nebraska residents and businesses filing state income taxes, altering their tax liability based on income levels. The changes apply to tax years starting in 2025, with specific rate schedules updated annually.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces top individual tax rate from 6.84% to 5.20% for 2025, providing tax relief per budget/tax indicators.95% confidence

Sub-Topics Business Taxes Income Tax

Track

died · Nebraska · Legislature Apr 17, 2026

LB 151: Adopt the First-Time Homebuyers Savings Account Act and provide income tax adjustments

This bill amends Nebraska's tax code to adopt the First-Time Homebuyers Savings Account Act, though the provided text primarily details tax adjustments for educational savings programs (specifically referencing the Nebraska educational savings plan trust and "Achieving a Better Life Experience" accounts). It would allow taxpayers to subtract contributions made to these educational savings accounts from their federal adjusted gross income for state tax purposes. The bill directly affects Nebraska residents who contribute to these specific savings programs. The provisions are procedural tax adjustments, not new funding or direct homebuyer assistance. (Note: The bill title references homebuyers, but the text provided focuses on educational savings; no homebuyer-specific provisions appear in the truncated text.)

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides tax relief by allowing deductions for educational savings account contributions, reducing state tax burden for qualifying taxpayers.95% confidence

Sub-Topics Income Tax

Track

died · Nebraska · Legislature Apr 17, 2026

LB 107: Provide an income tax credit for renters and change provisions relating to a property tax credit

LB 107 creates a new refundable income tax credit for Nebraska renters with lower incomes. It directly affects renters earning $29,000 or less annually, providing a credit equal to 100% of a federal tax credit for those earning under $22,000, with the percentage decreasing by 10% for each $1,000 over $22,000. The credit is refundable, meaning eligible renters would receive the full credit amount even if it exceeds their state tax liability. The bill also modifies existing property tax credit provisions, though specific changes to those are not detailed in the provided text.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates refundable income tax credit for low-income renters ($29k+), reducing their tax burden per specific income thresholds.95% confidence ✓ HousingSupports HousingProvides refundable income tax credit to low-income renters ($29k cap), directly increasing housing affordability and funding tenant assistance.95% confidence

Sub-Topics Income Tax Tax Credits Property Taxes Tenant Rights

Track

died · Nebraska · Legislature Apr 17, 2026

LB 30: Provide for an income tax adjustment for income received from overtime compensation

Nebraska bill LB 30 would exclude income earned from overtime compensation from state taxable income. This change directly affects Nebraska residents who receive overtime pay, as it removes this specific income source from their taxable base. The bill amends Section 77-2716 of the state tax code to create a subtraction for overtime earnings, meaning workers would pay state income tax only on regular wages, not extra overtime pay. This is a concrete policy change to reduce the tax burden on overtime income, without altering other tax provisions.

Topics ✓ Budget & TaxesSupports Budget & TaxesExcludes overtime pay from taxable income, reducing tax burden for workers - direct tax relief aligning with support indicators.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExcludes overtime pay from taxable income, increasing workers' disposable income without reducing benefits or protections.90% confidence

Sub-Topics Business Taxes Income Tax Labor Standards

Track

died · Nebraska · Legislature Apr 17, 2026

LB 510: Change provisions relating to the sales tax rate, the Good Life Transformational Projects Act, and the Good Life District Economic Development Act

LB 510 adjusts Nebraska's sales tax structure by establishing a reduced 2.75% rate for transactions within designated "Good Life Districts" (areas approved under the Good Life Transformational Projects Act), while maintaining a standard 5.5% rate elsewhere. To qualify for the lower rate, cities or villages must first impose at least 2.75% in local sales or occupation tax on those districts. The bill also updates eligibility rules for projects in these districts, requiring minimum development costs ($100 million to $1 billion depending on city size) and job creation targets (50 to 1,000 new jobs), with additional visitor or out-of-state sales requirements for larger counties. These changes apply to projects meeting specific criteria under Sections 77-4405 and 77-4406 of Nebraska law, impacting developers, local governments, and businesses operating in designated economic zones.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill establishes reduced 2.75% sales tax rate in designated economic development districts, providing targeted tax relief to stimulate local growth and development.90% confidence

Sub-Topics Sales Tax

Track

died · Nebraska · Legislature Apr 17, 2026

LB 157: Adopt the Child Tax Credit Act

Nebraska's LB 157 creates a state-level Child Tax Credit, providing eligible parents with a $1,000 refundable credit per qualifying child under age 6. To qualify, parents must claim the child on their federal tax return, have the child's SSN/ITIN, and meet income limits (e.g., married couples filing jointly lose the full credit above $110,000 federal AGI). The credit is exempt from creditor claims, meaning refunds cannot be seized to pay debts. This policy directly affects Nebraska families with young children who qualify under the federal definition, effective for 2026 tax years.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides refundable tax credit ($1,000/child) for low/middle-income families, reducing tax burden and supporting fiscal relief per income limits.95% confidence

Sub-Topics Tax Credits

Track

died · Nebraska · Legislature Apr 17, 2026

LB 484: Redefine agricultural land and horticultural land for property tax assessment

LB 484 redefines "agricultural land" and "horticultural land" for property tax purposes in Nebraska, ensuring these lands are taxed differently than other property. The bill adds specific definitions: land used for commercial crop/livestock production (excluding solar/wind farms) qualifies, while land in conservation programs or enrolled in federal production-reduction programs still counts if primarily used for farming. This directly affects farmers and landowners with qualifying agricultural property, as it clarifies how their land's assessed value is calculated relative to other property classes. The key mechanism is excluding non-farming commercial uses (like energy projects) from the agricultural classification to maintain lower tax rates for active farms.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedefines property tax assessment for agricultural land, providing targeted tax relief by classifying qualifying farms under lower tax rates.95% confidence

Sub-Topics Property Tax

Track

died · Nebraska · Legislature Apr 17, 2026

LB 330: Change provisions relating to the sales tax rate and create the Alcohol Addiction Prevention and Treatment Fund

LB 330 adjusts Nebraska's sales tax rate to 5% starting October 1, 2025 (down from 5.5%), with reduced rates for certain transactions in designated "good life districts." It creates the Alcohol Addiction Prevention and Treatment Fund, directing 50% of sales tax revenue from alcohol sales (at a 15.5% rate) to this new fund, while the other 50% goes to the Education Future Fund. The bill modifies how sales tax revenue is distributed across state funds, effective October 1, 2025, and repeals previous tax rate provisions. It directly affects all consumers purchasing taxable goods and alters state budget allocations for alcohol-related revenue.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces sales tax rate and allocates 50% of alcohol tax revenue to new public health fund, advancing fiscal policy for essential services.95% confidence ✓ HealthcareSupports HealthcareBill creates Alcohol Addiction Prevention and Treatment Fund, allocating 50% of alcohol sales tax revenue to directly fund addiction treatment services under public health programs.90% confidence

Sub-Topics Business Taxes Procurement Sales Tax Substance Abuse

Track

died · Nebraska · Legislature Apr 17, 2026

LB 439: Adopt the Property Tax Circuit Breaker Act

LB 439 creates a refundable tax credit for Nebraska residents whose property taxes or rent on their primary residence exceeds 5% of their federal adjusted gross income. It directly affects homeowners and renters who live in their primary residence at least six months annually, with higher caps for seniors (up to $5,000 versus $4,000 for others). The credit equals 50% of the amount over the 5% threshold, calculated using the county’s average home value for property tax limits. Residents must apply to the Department of Revenue with proof of residence, taxes paid, and income to claim the credit on their annual tax return.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax/rent relief via refundable credit for residents exceeding 5% of AGI in housing costs, targeting middle/lower income households.95% confidence ✓ HousingSupports HousingBill provides refundable tax credit for housing costs exceeding 5% of AGI, directly increasing affordability for primary residence residents (homeowners/renters)90% confidence

Sub-Topics Property Taxes Renters

Track

died · Nebraska · Legislature Apr 17, 2026

LB 643: Prohibit income tax deductions relating to interest or taxes paid on or maintenance of certain properties and provide exemptions to prohibited deductions

LB 643 prohibits Nebraska income tax deductions for interest, property taxes, or maintenance on single-family rental properties owned by individuals or entities holding more than 30 such properties as of January 1, 2026. It directly affects large-scale residential property investors, excluding primary residences, qualified nonprofit organizations (including community land trusts and affordable housing groups), and owners who sold at least 10% of their properties to residents or 5% to first-time homebuyers. Owners can appeal if they offered properties for sale at fair market value for 90 days without offers and were unable to sell. The bill takes effect for taxable years beginning January 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesCloses tax loophole for large rental property investors, increasing state tax revenue by prohibiting deductions on rental properties owned by entities with >30 units.95% confidence ✗ HousingOpposes HousingBill prohibits tax deductions for large-scale rental investors, potentially reducing housing supply and increasing costs, opposing affordable housing goals.85% confidence

Sub-Topics Income Tax Affordable Housing Property Taxes

Track