LINCOLN — Nebraska taxpayers are likely to see a small bump in property tax relief on their tax statements for next year, but much less relief than Gov. Jim Pillen requested.
Legislative Bill 34, which passed 40-3 on the final day of the Legislature’s special session Tuesday, provides $185 million in new tax relief, or about 3.5% over the $5.3 billion in local property taxes collected in 2023. Some Nebraskans might see their first relief as LB 34 repurposes the existing income tax credit for property tax paid to appear on property tax statements, rather than requiring property owners to request a refund later.
Lawmakers have described that package as the “absolute minimum” and a “skinnied-down” proposal from one that sought to reduce K-12 school tax rates through increased sales taxes.