Budget & Taxes (Property Tax)

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

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signed · Nebraska · Legislature Apr 17, 2026

LB 826: Change provisions relating to late applications for homestead exemptions

LB 826 amends Nebraska law to change deadlines and requirements for homestead exemption applications, directly affecting homeowners and veterans seeking property tax relief. It allows late applications for specific circumstances - such as medical conditions, spouse death, or delayed veteran status certification - with a new deadline of June 30 of the year property taxes become delinquent, requiring supporting documentation. The bill also modifies veteran exemption rules, requiring annual filings only every five years (in divisible years) and ensuring surviving spouses retain the exemption for the remaining five-year period after a veteran’s death. These changes aim to provide flexibility for eligible residents while standardizing filing processes.

Topics ✓ Budget & TaxesSupports Budget & TaxesEnables property tax relief for homeowners/veterans via expanded homestead exemption eligibility, reducing tax burden through modified application deadlines and requirements.95% confidence ✓ VeteransSupports VeteransAllows late veteran exemption applications for medical/spouse death, easing property tax relief access with flexible deadlines85% confidence

Sub-Topics Property Tax

died · Nebraska · Legislature Apr 17, 2026

LB 974: Provide for an excise tax on individual incomes and create the Tax Equity Cash Fund

LB 974 would impose a supplemental 9.5% excise tax on individual income above $1 million for single filers or $2 million for married couples filing jointly, calculated after subtracting existing income tax rates. It creates the "Tax Equity Cash Fund" to collect this new tax revenue, which the Department of Revenue would manage. Funds in the account may only be used for administrative costs related to the tax or transferred to three specific state funds (General Fund, Education Future Fund, or Property Tax Credit Cash Fund), not for new programs. This bill directly affects high-income Nebraskans earning above the thresholds, with no specified new spending beyond fund transfers.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes 9.5% excise tax on high-income earners ($1M+), allocates revenue to state funds (General Fund, Education Future Fund) for public services, closing tax loopholes for fiscal responsibility.95% confidence ✓ EducationSupports EducationBill directs tax revenue to Education Future Fund, providing dedicated funding for educational initiatives per bill's transfer provisions.90% confidence

Sub-Topics Income Tax Property Tax Revenue

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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

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died · Nebraska · Legislature Apr 17, 2026

LB 1131: Adopt the Domestic Violence and Human Trafficking Service Providers Tax Credit Act and eliminate personal property tax and sales and use tax exemptions relating to data centers

LB 1131 creates a new tax credit program to support domestic violence and human trafficking service providers, distributing $5.7 million annually starting in 2027. This includes $480,000 for tribal programs, $300,000 for a statewide coalition, and $5.22 million based on population or service area size. The bill also eliminates existing tax exemptions for data centers, removing their personal property tax and sales tax exemptions. These changes directly affect nonprofit service providers and data center operators in Nebraska, with credits being refundable and transferable to other taxpayers.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates $5.7M annual tax credit for domestic violence/human trafficking services and eliminates data center tax exemptions, strengthening state revenue allocation for essential programs.95% confidence ✓ HealthcareSupports HealthcareFunds mental health services for domestic violence/human trafficking victims via tax credits, directly supporting healthcare topic of mental health services.90% confidence

Sub-Topics Property Tax Sales Tax Tax Credits

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died · Nebraska · Legislature Apr 17, 2026

LB 1257: Eliminate certain sales tax exemptions, impose sales and use taxes on certain services, change school district levy limitations, eliminate the School District Property Tax Relief Act, change provisions of the School District Property Tax Limitation Act, and provide additional foundation aid under the Tax Equity and Educational Opportunities Support Act

LB 1257 changes Nebraska's tax structure by ending certain sales tax exemptions (like for agricultural machinery) and requiring sales and use taxes on previously exempt services. It also eliminates the School District Property Tax Relief Act, modifies limits on how much school districts can collect in property taxes, and provides additional state funding for schools through the Tax Equity and Educational Opportunities Support Act. These changes directly affect businesses selling services (now subject to tax) and school districts (losing tax relief but receiving new state aid). The bill aims to increase state revenue while adjusting school funding mechanisms.

Topics ✓ Budget & TaxesSupports Budget & TaxesEliminates tax exemptions (e.g., agricultural machinery) and imposes new taxes on services to generate revenue, while providing additional foundation aid for schools under Tax Equity Act.95% confidence ✓ EducationSupports EducationBill provides additional foundation aid via Tax Equity Act, increasing state funding for schools while modifying property tax limits to support district budgets.90% confidence

Sub-Topics Property Tax Revenue Sales Tax School Funding

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died · Nebraska · Legislature Apr 17, 2026

LR 292CA: Constitutional amendment to provide a new method of valuing real property for property tax purposes, provide a limit on property tax increases, provide certain exceptions, provide requirements for declared emergencies, provide for emergency bond levies, and eliminate conflicting constitutional provisions

This proposed constitutional amendment changes how Nebraska property taxes are calculated. It establishes two valuation methods for real property: "fair market value" (determined by assessors) and "taxable market value" (used for baseline tax liability), while capping annual tax increases at a set percentage for most properties. It includes key exceptions for agricultural and horticultural land, allowing separate tax treatment that doesn't require uniformity with other property types. The amendment also addresses emergency tax levies and eliminates conflicting existing constitutional provisions related to property taxation.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill caps annual property tax increases for most properties, promoting fiscal responsibility and providing tax relief by preventing rapid tax hikes. Exceptions for agriculture are standard and do not negate the overall tax relief.90% confidence

Sub-Topics Property Tax

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died · Nebraska · Legislature Apr 17, 2026

LB 1252: Provide for a retail delivery fee under the Nebraska Revenue Act of 1967

This bill would impose a 27-cent fee on every retail delivery of taxable tangible personal property (like online purchases delivered by vehicle) in Nebraska. Sellers would collect the fee from customers and remit it to the state Department of Revenue, which would credit the funds to the Property Tax Credit Cash Fund. The fee does not apply to exempt items, tax-exempt entities, new businesses (in their first year), or businesses with less than $500,000 in prior-year retail sales. It becomes effective January 1, 2027.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes 27-cent delivery fee to fund Property Tax Credit Cash Fund, providing tax relief through dedicated revenue allocation.90% confidence

Sub-Topics Fees & Licensing Property Tax Tax Credits

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died · Nebraska · Legislature Apr 17, 2026

LB 873: Provide for an excise tax on kratom products and change provisions of the Kratom Consumer Protection Act relating to adulterated products

Nebraska's LB 873 imposes a 10% excise tax on retail sales of kratom products starting July 1, 2027, requiring retailers to maintain electronic sales records and file monthly tax returns. It updates the definition of "adulterated" kratom products to include those containing specific alkaloids (like 7-hydroxymitragynine) without meeting legal definitions or mixed with dangerous non-kratom substances. Retailers and processors face escalating penalties: up to $1,000 for first violations, $5,000 for second, and up to $20,000 for third violations, with processors risking a 3-year sales ban for selling adulterated products. The tax revenue will fund the Property Tax Credit Cash Fund, and retailers may avoid penalties if they reasonably relied on a processor's representation that a product was compliant.

Topics ✓ Budget & TaxesSupports Budget & TaxesImposes 10% excise tax on kratom products, creating new state revenue stream under tax policy90% confidence

Sub-Topics Property Tax Revenue Sales Tax

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signed · Nebraska · Legislature Apr 17, 2026

LB 803: Adopt the First-Time Home Buyer Savings Account Act and change provisions relating to the Sports Arena Facility Financing Assistance Act, the Property Tax Growth Limitation Act, the Domestic Violence and Human Trafficking Service Providers Tax Credit Act, property tax valuation and levy procedures, homestead exemptions, and income taxes

This bill changes Nebraska's rules for listing taxable tangible personal property, such as business equipment or vehicles. It requires property owners to file annual forms with county assessors by May 1, using forms provided by the Tax Commissioner. The bill also clarifies that those seeking exemptions under the Nebraska Advantage Act or ImagiNE Nebraska Act must submit required documentation by the same deadline, or lose the exemption. Failure to file on time results in forfeiture of exemptions, even if taxable property is still listed under standard rules.

Topics ✓ Budget & TaxesSupports Budget & TaxesEnforces timely exemption documentation, closing potential tax avoidance loopholes and ensuring consistent tax revenue collection per fiscal management standards.90% confidence

Sub-Topics Property Tax Tax Credits