Tell Unicam to Sustain Gov. Heineman's Veto of Sales Tax Increase
Tax Alert: The Legislature moves to allow a higher sales tax rate.
Gov. Heineman veoted LB 357, legislation that would allow municipalities to increase the local sales tax by a half-cent.
We need your help to contact your State Senator and tell them to support the Governor’s veto.
This bill would let Nebraska cities and towns increase the sales tax by 1/2 cent, and require a public vote in order to go into effect.
This sales tax increase would affect Nebraskans who already shoulder an incredibly high local tax burden.
The $100 difference?
The average family spends $48,100 annually. After subtracting expenses not applicable to the state sales tax: mortgage payments, health insurance, groceries, etc. the average family spends $19,400 annually on purchases that are applicable to the state sales tax.
The tax at 7.5%: – $1455
The difference is $97
Taking an extra $100 out of taxpayers’ pockets when many are unemployed, underemployed, paying higher property taxes, energy prices and watching their 401k’s evaporate is irresponsible and shows callousness from Nebraska’s political elite to the plight of the average taxpayer.
Currently there are 86 cities in Nebraska that administer the highest local option sales tax of 1.5%, bringing the total sales tax bill to 7% (including the state’s 5.5% rate).
Sen. Ashford’s proposal would allow municipalities to hike that total tax bill to 7.5%.
Nebraskans pay the 15th highest rate of taxes to fund local and state government, according to the non-partisan Tax Foundation. Adding an extra $100 onto that bill will only make it more difficult for families and small business to succeed during difficult economic times.
The Nebraska Legislature is wrong to move forward with any form of tax increase.