$185 Million Boost: Nebraska Property Tax Relief Plan Gets Final Debate – Capping Tax Increases at Inflation Rate

Posted by Anderson August 21, 2024
$185 Million Boost: Nebraska’s Property Tax Relief Plan Gets Final Debate – Capping Tax Increases at Inflation Rate

For the purpose of providing property tax relief, Legislative Bill 34 of Nebraska, which is currently in the process of advancing to its final debate, aims to provide relief in the amount of $185 million in new funds, a revamped amount of $565 million in existing relief, and caps on tax increases. Additionally, the bill seeks to stay away from new sales taxes and to give local governments some leeway through override options.

 

Nebraska Advances Property Tax Relief Plan with $185 Million Boost and Strict Tax Cap Limits

According to the Nebraska Examiner, Nebraska lawmakers are pushing forward with a property tax relief plan called Legislative Bill 34, after making a few small changes. The bill, which passed with a 39-8 vote to move on to its final debate, aims to add $185 million in new tax relief and update an existing $565 million in relief.

 

This plan is designed to help middle- and low-income property owners by improving the current property tax credit system and increasing state investment by 3% based on last year’s property tax burden.

 

As part of the bill, local governments can only raise property taxes by the amount that inflation goes up plus a certain amount. Governor Jim Pillen has said he will block any changes that make the bill less strong.
This is because some lawmakers wanted higher caps to give local governments more freedom. There are technical fixes in the final bill that let local governments ask for exemptions from the tax caps during certain election times.
$185 Million Boost: Nebraska’s Property Tax Relief Plan Gets Final Debate – Capping Tax Increases at Inflation Rate
Source (Google.com)

Lawmakers Opt. Against New Sales Taxes, Focus on Technical Adjustments for Property Tax Relief Plan

There were talks about putting in new sales taxes, but leaders chose not to do that. Instead, they worked on making small technical changes and letting people go over the tax cap.

 

As the last debate gets closer, the main goal is to make sure that the bill really helps people and addresses local governments’ worries. How the property tax relief plan looks will depend on the last vote.

 

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