LINCOLN -- Nebraska Gov. Dave Heineman is calling for new property and income tax cuts when the Legislature convenes next year. Heineman used charts Wednesday during a news conference to identify the five areas that Nebraska falls behind other states in the taxation of social security income, inheritance tax, taxation of retirees, property tax and income tax. The Tax Foundation says Nebraska has one of the 16 highest top state income tax rates and Nebraska is one of the 13 highest property tax states. Kiplinger recently named Nebraska as one of “The 10 Least Tax-Friendly States for Retirees.” The governor argued Wednesday that property tax reductions would benefit rural Nebraskans, who have complained for years about the rates on farms and ranchland. Heineman says lowering income taxes would help urban wage earners. His comments came in the midst of a legislative review of Nebraska's tax system, which has included public hearings in Scottsbluff, North Platte and Norfolk. Additional hearings are scheduled in Lincoln and Omaha. State government has no direct control over property taxes, which are set at the local level. But Heineman says the state could use Nebraska's property tax credit fund to reduce what property owners have to pay.
Gov. Dave Heineman-(R)-Neb.