Nebraska Farm Bureau targets state tax reform
As the Nebraska Legislature reviews the state's tax system. Nebraska Farm Bureau has released their road map to property tax reform in establishing a more equitable balance between property, income and sales tax. The three year plan aims to offer $405 million dollars in tax relief annually. The plan specifically seeks to lower the property tax portion from 45 to 40 percent of the statewide tax burden.
In a interview with KNEB/Rural Radio Network, Nebraska Farm Bureau President Steve Nelson says the first year of the plan addresses property tax.
In the first year there are two key pieces. "About 160 million dollars would come from an additional amount being added to the already existing property tax credit program and by reducing ag land evaluation shares from 75 percent to 65 percent," Nelson said.
The second year looks at cutting state and local spending and putting those funds toward property tax relief. "We propose to move the funding of community colleges off of the property tax rolls and move it to the general fund," Nelson said. "We also look at removing farm machinery, commercial machinery and construction machinery from the property tax rolls and a few other things that would bring us to the second third of the way".
The third year of the plan has the Legislature look at ways to broaden the state's sales tax base to include more goods and services. Nelson says this proposal would be the most significant sales tax relief Nebraskans have seen in years.
© 2014 Rural Radio Network. All rights reserved. Republishing, rebroadcasting, rewriting, redistributing prohibited. Copyright Information