Critics of Nebraska Gov. Dave Heineman’s tax plan said last week the proposal would lead to a $660 million shortfall in the upcoming two-year budget cycle.
The Legislature is debating the governor’s tax overhaul, Legislative Bill 970. The measure would eliminate the inheritance tax, which funds county governments, and trim individual and corporate income taxes by about $450 million over four years.
A coalition of groups held a press conference last week arguing that it would cause a budget shortfall and force local governments to increase property taxes.
“LB 970 provides big tax breaks to corporations and millionaires while it tosses a few peanuts to the majority of hard-working Nebraska taxpayers,” Nancy Fulton, president of the Nebraska State Education Association, said in local reports.