Ricketts invites Nebraskans to claim new property tax credit

Syracuse Journal-Democrat

Governor Pete Ricketts hosted a Feb. 17 press briefing at the State Capitol to highlight a new property tax credit that eligible Nebraskans can claim when filing their state income taxes.  In August 2020, the Governor signed LB 1107 into law to create the refundable property tax credit.  The credit is based on the amount of a taxpayer’s property taxes paid to schools.  The credit will provide up to $125 million in property tax relief to Nebraskans in the 2020 tax year and will deliver $375 million of annual relief when fully phased in.

Nebraska Department of Revenue (NDOR) Tax Commissioner Tony Fulton and NDOR Property Tax Administrator Ruth Sorensen joined the Governor to explain how Nebraskans can claim the credit when preparing their 2020 state income taxes.

Gov. Ricketts also addressed the power disruptions that some Nebraskans have experienced during the extremely cold weather, and he announced an executive order to ease restrictions on motor carriers to help meet the state’s energy needs.

Gov. Ricketts: Property Tax Relief

Last August, the Legislature passed landmark property tax relief legislation (LB 1107).  The bill delivers property tax relief in two forms. 

One, it puts into law a minimum level of funding of $275 million annually for the existing Property Tax Credit Relief Fund.  This is the relief applied directly to property tax bills. 

Second, it creates a new refundable income tax credit based on a taxpayer’s property taxes paid to schools. 

Nebraskans can claim the property tax credit this year. 

The relief from this credit will be delivered to you when you file your state income tax return. 

The property tax credit is refundable.  Even if you don’t owe taxes to the State, you’ll still receive a check in the amount of the tax credit.

The Nebraska Department of Revenue has created a tool to look up the amount of school district property taxes you’ve paid. This is needed to calculate your refundable income tax credit.

Commissioner Fulton: Property Tax Credit

It’s the time of year to file income taxes.

We encourage Nebraskans to use our School District Property Tax Look-up Tool to determine precisely how much credit they’re entitled to based on the amount of school property taxes they’ve paid.

If you claim a different amount of credit than what you’re entitled to, then your refund may be delayed.  Please use the look-up tool to ensure that your refund comes in a timely manner.

Nebraskans can access the look-up tool at revenue.nebraska.gov.