LINCOLN – Senator Tom Briese stated that he’s “reasonably confident” he has the votes to pass a bill allowing Nebraska to not implement some federal tax cuts aimed at helping distressed businesses impacted by COVID-19. Briese, a farmer, said that “decoupling,” or declining the federal tax changes, would free up nearly $250 million in revenue over three years that could be used for a higher tax priority for Nebraskans — property tax relief.

Decoupling is seen as a key negotiating chip in discussions underway about a “grand compromise” this legislative session to permit passage of a property tax relief/school aid reform bill — highly sought by farmers and ranchers — as well as a new state business incentive program — the top priority of the State Chamber of Commerce and other business groups.

Decoupling, however, was opposed Monday by every major business group in the state, including the groups that represent the state’s banking, accounting, auto dealers and small-business industries. They argued that the CARES Act tax cuts were aimed at the businesses that have struggled most in recent years, and are at the highest risk of closing unless they get an infusion of cash via the tax breaks.

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