The Revenue Committee voted to advance for the largest tax increase in Nebraska’s history.
The committee is proposing a $170 million property tax increase by cutting existing property tax relief in half for farmers and homeowners, meaning the credit property taxes currently get on their property will be reduced.
If the full Legislature approves LB 289, working Nebraskans will be footing the bill for nearly $600 million in new government spending.
The Tax Increase:
- Cuts existing property tax relief by over 50%
- Increases the Sales Tax on all purchases
- Raises the cigarette tax
New taxes contained in LB 289 include:
- pet-related services
- moving services
- hair care and hair removal services
- nail care
- skin care
- wedding planning
- weight loss
- personal training
- clothing alteration
- interior design
- home services and repair (including plumbing, HVAC, and electrical)
- taxi, limo, and rideshare
- car repair (including brakes, scheduled maintenance, and body repair)
- lawn care
- swimming pool cleaning
- bottled water