LINCOLN, Neb. (AP) — A new report says Nebraska could gain a competitive edge over nearby states by reducing its personal and corporate income tax rates while expanding its sales tax and eliminating some business tax credits.
The report released Wednesday at a tax policy summit in Lincoln sets the stage for a debate in next year's legislative session. Gov. Pete Ricketts has said he will present a tax reform package to lawmakers when they convene in January.
The report was produced by the Washington-based Tax Foundation at the request of the Platte Institute, a Nebraska think tank that advocates for free markets and limited government. Its author argues that expanding the sales tax and reducing business tax credits would cover the cost of income tax cuts without creating a financial crisis.
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