Bill > LB998

This bill amends section 77-2716 of the Revised Statutes Supplement, 2025, to change provisions related to the state income tax deduction for members of the Nebraska National Guard. Specifically, it modifies the existing language concerning income exclusions for National Guard members. For taxable years beginning on or after January 1, 2025, and before January 1, 2027, individuals who are members of the Nebraska National Guard can exclude 100% of income received from serving in certain 32 U.S.C. duty statuses (like drills, annual training, and active guard reserve duty), employment as a 32 U.S.C. federal dual-status technician with the Nebraska National Guard, or serving in a state active duty status, to the extent that income is included in their federal adjusted gross income. The bill further updates these provisions for taxable years beginning on or after January 1, 2027, expanding the exclusion to include income from 10 U.S.C. or 32 U.S.C. military duty statuses while a member of the Nebraska National Guard, while retaining the exclusions for federal dual-status technicians and state active duty. The original section 77-2716 is repealed.

Budget and Finance

https://nebraskalegislature.gov/bills/view_bill.php?DocumentID=63419