Tax Policy

Direct notification of property tax hearings advances in Legislature

Direct notification of property tax hearings advances in Legislature

LB644, otherwise known as a Truth in Taxation bill, passed first round debate in the Nebraska Legislature, 36-1. Nine members were “present not voting.” The legislation moves Nebraska one step closer to providing more taxpayer engagement and transparency when local governments increase their property tax request. Under an approved amendment, LB644 will apply only to a county, city,...

By Sarah Curry

Sales tax revenue is contributing to Nebraska surplus

Sales tax revenue is contributing to Nebraska surplus

While our state and nation continue to recover from the COVID-19 pandemic’s impact on our economy, it is clear that Nebraska’s sales tax is a contributing factor to the state’s resiliency. Sales tax data released by the Department of Revenue gives us an itemized list of each city and county and their net taxable sales...

By Sarah Curry

Kansas passes property tax transparency law

Kansas passes property tax transparency law

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...

By Adam Weinberg

Revenue Committee proposes larger inheritance tax exemptions

Revenue Committee proposes larger inheritance tax exemptions

The Nebraska Legislature’s Revenue Committee has advanced an amended version of Sen. Robert Clements’ Legislative Bill 310, which seek to reduce Nebraska’s county inheritance tax. While scaling back the scope of the tax reductions, the amendment still more than doubles Nebraska’s inheritance tax exemptions, while reducing the highest rates. For class one beneficiaries (immediate family)...

By Sarah Curry

State leaders seek answers from Washington on tax modernization

State leaders seek answers from Washington on tax modernization

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...

By Sarah Curry

Nebraska extends 2020 tax filing deadline: 3 reasons you might need more time

Nebraska extends 2020 tax filing deadline: 3 reasons you might need more time

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...

By Adam Weinberg

Iowa Senate advances tax relief, Nebraska should take note

Iowa Senate advances tax relief, Nebraska should take note

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,...

By Sarah Curry

Nebraska Attorney General joins call for Treasury to prevent “unconstitutional” tax restrictions

Nebraska Attorney General joins call for Treasury to prevent “unconstitutional” tax restrictions

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...

By Sarah Curry

Federal plan may pull the strings on Nebraska’s tax system

Federal plan may pull the strings on Nebraska’s tax system

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...

By Sarah Curry

Strong February revenues are indicator for tax modernization

Strong February revenues are indicator for tax modernization

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...

By Sarah Curry

Nebraska Forecasting Board shows optimism with increased projected state revenues

Nebraska Forecasting Board shows optimism with increased projected state 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...

By Sarah Curry

Colorado’s Democratic governor proposes ending property taxes on business equipment

Colorado’s Democratic governor proposes ending property taxes on business equipment

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...

By Adam Weinberg

The Full Platter Podcast: Death and Taxes

The Full Platter Podcast: Death and Taxes

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...

Death and Taxes: Nebraska’s Inheritance Tax

Death and Taxes: Nebraska’s Inheritance Tax

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,...

By Sarah Curry