LINCOLN- A bill to reduce Nebraska’s inheritance tax rates and divert revenue generated through other taxes and fees to counties that use those funds failed to overcome a filibuster Tuesday night. Sen. Rob Clements of Elmwood, who has introduced several measures to do away with the state’s inheritance tax, fell two votes short of the 33 needed to send his bill (LB 468) to the third and final round of debate.
The bill remained trapped on Day 78 of the 90-day legislative session, despite the Legislature giving approval to an amendment Clements said addressed concerns raised by several lawmakers. Clements said Nebraska continues to be “on an island” compared to neighboring states that have done away with the inheritance tax, but said he was willing to look for compromises to ensure counties were not harmed. The amendment, which was attached near the end of the four-hour debate, made smaller reductions to the inheritance tax rate while also removing some alternative revenue sources in his original bill.
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