LINCOLN- On Thursday, the Nebraska Legislature, with little objection, gave final approval to a $6.4 billion tax relief package, which includes income tax cuts, hikes in state property tax credits, tax credits for child care, and a boost to school funding to offset property taxes. Sen. Lou Ann Linehan, who spearheaded the push to lower Nebraska's top income tax rates and ease the burden of local property taxes, helped secure at least 39 votes in the Unicameral, allowing for the passage of LB243, LB583, and LB754.

"This is a big win for Nebraska," Linehan told her colleagues, "A big win." However, critics of these proposals weren't silent. Sens. Jane Raybould and Danielle Conrad, as well as the OpenSky Policy Institute, have long argued that the state risks cutting taxes too deeply through these proposals, and that spending so much on tax credits and tax offsets puts future funding for state services at risk. Others argued that the proposals only benefit the richest of Nebraskans. "This is a tax cut for the wealthiest in Nebraska, and eventually, if we have enough money, then maybe we'll get some middle-class tax cuts," argued Sen. Wendy DeBoer, "I don't think that's fair."

OpenSky Policy Institute, on Thursday, shared its projections that indicate that most Nebraskans would eventually receive an income tax cut of around $300, while the state's top 1% would pay tens of thousands of dollars less. Linehan argued that critics of the proposals are missing the bigger picture, and are ignoring the expanded child tax credits, which will ensure that parents receive more money back. The largest of this year's tax proposals, LB727, which is a combination of nearly 30 bills relating to tax credits, has still yet to pass.

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