NEFB applauds state budget, disappointed more property tax relief isn’t coming
The Nebraska Farm Bureau says the newly signed two-year state budget delivers $350 million in much-needed property tax relief for farmers and ranchers.
Last year’s LB 1107 created a new refundable tax credit based on property taxes paid to schools, which residents were able to claim for the first time this tax season.
Bruce Reickers, vice president of governmental relations, says they lobbied for more since producers pay the biggest share of property taxes but understand a balance is needed. “We subscribe to the three-legged stool principal that there should be one-third of state’s priorities should be funded from sales tax, a third from income tax and a third from property tax.”
He tells Brownfield the refundable tax credit provides “significant” relief largely due to higher-than-anticipated revenue projections. “Even with the relief we’ve been able to secure in the last few years and get it on the books, we’re probably still heavy to the tune of about $600 million to level out the three legs of that stool,” Reickers said.
Reickers says they were disappointed lawmakers didn’t advance LB 454, which would’ve provided more property tax relief by adjusting staid aid for schools.