Nebraska Chamber Supports Tax Relief Plan, LB461
Nebraska Chamber of Commerce
Wednesday, April 19, 2017 - 7:30pm
LINCOLN – Nebraska Chamber of Commerce & Industry President Barry Kennedy has issued the following statement regarding the comprehensive tax relief plan (LB461) the Legislature is scheduled to consider this Friday, April 21:
“Senator Smith – working closely with Governor Ricketts – has gone above and beyond the call of duty to craft a comprehensive plan that would provide tax relief to all Nebraska taxpayers. They are to be commended for not shifting tax burden from one group of Nebraskans to another. The State Chamber supports LB461 as a meaningful step to long-term tax relief.”
“For decades, the State Chamber has called for income tax relief. This package begins to address the issue. Put simply, Nebraska’s income tax burden is uncompetitive – with a top personal income rate of nearly 7 percent on earnings just above $29,000, and a top corporate rate of nearly 8 percent on earnings over $100,000. Nebraska’s top individual income tax rate is currently 15th highest in the nation, while our top corporate tax rate is 16th highest.
“This excessive tax burden punishes productivity, career advancement and entrepreneurship. As long as Nebraska continues to impose some of the highest income tax rates in the country, we will face more difficulty in attracting business activity, encouraging business expansion, recruiting qualified workers and retaining residents.
“From 2003 to 2015, Nebraska’s income tax collections grew by 108 percent. Yet some in the Legislature want to increase state taxes to justify government spending growth at both the state and local levels.
“The Nebraska Chamber believes state taxes and property taxes – imposed by local schools and local governments – are both too high. The Revenue Committee package puts in motion a long-term plan to make both income taxes and ag land property taxes more competitive.
“We encourage all state lawmakers to vote to enact this comprehensive tax relief plan this year.”
The State Chamber is Nebraska’s largest statewide business association and has proudly served as the voice of the business community since 1912.