Gov. Jim Pillen signs tax reform package into law

LINCOLN, Neb. (WOWT) - Nebraska Gov. Jim Pillen put pen to paper Wednesday, signing a tax reform package that includes cuts to income, business and property taxes.

Pillen signed LB243 and LB754 into law, saying these are transformational bills, providing billions in tax relief for businesses, farmers, ranchers and all Nebraskans.

LB243 would establish an annual cap on how much school districts can increase property tax requests, while also increasing the amount of relief granted under the Property Tax Credit Act. Additionally, the state will now be more involved in funding for community colleges. It passed 44-0.

“Our community college system is incredibly important to make sure no kid falls behind, that we have an explosion of trade schools so that where the kids aren’t getting further skillset developments,” Pillen said at a signing ceremony Wednesday morning. “It’s key to growing our economy, it’s key to having a thriving middle-class community.”

LB754 brings the individual and corporate income tax rates to 3.99% by 2027, accelerates tax exemption for Social Security benefits, and gives tax credits related to childcare. It passed 39-2.

Both bills passed with an emergency clause, meaning they became law immediately with the governor’s signature.

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