Bill > LB107

This bill introduces two key tax-related changes for Nebraska residents: First, it establishes a new refundable income tax credit for renters starting in tax year 2025, which allows individuals who rent their primary residence to claim a tax credit equal to either 4% of their total annual rent paid or $200, with a maximum credit of $1,000. Second, the bill modifies the Property Tax Credit Act by adjusting the minimum amount of property tax relief for future tax years, specifically reducing the amount from a planned $430 million in tax year 2025 to $200 million, and removing the previous provisions for automatic increases based on assessed property value changes. The renter's credit aims to provide financial relief to tenants, while the property tax credit modification appears to be a budgetary adjustment to reduce future property tax relief allocations. Both changes would apply to tax years beginning on or after January 1, 2025, and are designed to impact individual taxpayers' potential tax savings.

Budget and Finance

https://nebraskalegislature.gov/bills/view_bill.php?DocumentID=59257