Lawmakers in Kansas have adopted a new law (SB13) that would directly notify property taxpayers about hearings on local tax increases resulting from higher property valuations. The policy, also known as Truth in Taxation, shares similarities with Nebraska state Sen. Ben Hansen’s 2021 priority bill, LB644. The Kansas Legislature passed this legislation last year, but...
Just days after the American Rescue Plan Act (ARPA) passed both houses of Congress and was singed into law by President Biden, many started questioning various provisions in the legislation. The one that has given the most pause is the provision that says states cannot cut taxes if they take relief money. A group of...
This week, the IRS announced that Tax Day is being pushed back to May 17 to give Americans more time to prepare and pay their federal taxes, and in a news conference, Gov. Pete Ricketts announced that the Nebraska Department of Revenue will follow suit. The extension for filing and payment is for everyone except...
It’s no secret Iowa has high taxes and an outdated tax code. Their state legislature recognized that when it enacted a tax reform package in 2018 that phased in changes to modernize their tax system. Iowa did a lot of what Nebraska lawmakers aim to do: Reduce top tax rates, expand the sales tax base,...
A letter signed by 21 state Attorneys General, including Nebraska, was sent to Treasury Secretary Janet Yellen explaining their concern over the unconstitutionality of restrictions regarding the indirect use of COVID-19 relief funds. In section 9901 of the American Rescue Plan Act (ARPA), there is a provision that forbids states from using the COVID-19 funds...
President Biden signed the American Rescue Plan Act of 2021 (ARPA) into law shortly after its passage in Congress on March 11. While the plan is overwhelmingly popular with the American people, there is a small provision in the legislation causing some uncertainty and concern for Nebraska. Under ARPA, states are eligible to receive a...
Nebraska’s state tax revenues have posted strong positions just one year after the historic nationwide shutdown for the COVID-19 pandemic. According to the most recent Nebraska Department of Revenue news release, gross revenues for the month of February were $617 million or 24.2% above the certified forecast. However, the bigger surprise is that net revenues...
The Nebraska Revenue Forecasting Board met today to discuss the status of the state’s revenue picture. This year the state of Nebraska will be drafting its two-year, or biennial, budget and will need an accurate forecast of state revenues. Overall, the mood of the meeting was very optimistic. On a national scene, Nebraska is recovering...
Colorado’s Democratic Gov. Jared Polis presented his State of the State address this week. In the speech, Polis proposed to make his state the latest to scrap personal property taxes on business equipment. A proposal moving in the same general direction is being considered this session in Montana, where the exemption would be doubled to...
Nebraska is one of only six states that levies an inheritance tax, but senators in both parties are working on ways to reduce the burden on families and businesses. Jim Vokal and Sarah Curry discuss a new report on one of Nebraska’s least understood taxes. Resources mentioned in this episode: Death and Taxes: Nebraska’s Inheritance...
Executive Summary Nebraska has been seeking ways to modernize its tax code for several years, and unfortunately, the inheritance tax has often been left out of the analysis. The inheritance tax is a worthy subject for tax modernization and reform because only six states continue to have this tax: Iowa, Kentucky, Maryland, Nebraska, New Jersey,...
Do you remember Bless This Mess? The ABC sitcom took place in the fictional town of Bucksnort, Nebraska, and was canceled after two seasons. I started watching, thinking someday it might inspire an article. Here goes. While the show found its detractors, I stuck around for its Parks and Rec-like zaniness. It follows urban millennials...
Nebraska’s January state tax revenue report was released this morning and it shows a very strong picture for the Cornhusker State, despite some in Washington continuing to claim that states need more federal aid. January net receipts were $453 million. That is 19.1% above the forecast. Net Sales and Use: 14.5% above forecast Net Individual...
Revenue Committee Chair Sen. Lou Ann Linehan is beginning to set an agenda for tax modernization in the 2021 Legislature. In a news release from her legislative office, the Elkhorn-area senator pointed to a recent Tax Foundation report that provides backing for a number of policy ideas her colleagues have introduced, including requiring voter approval...