LINCOLN - State Sen. Robert Hallstrom of Syracuse is preparing to lead efforts to repeal or restrict Nebraska’s inheritance tax following the departure of term-limited Sen. Rob Clements. The conservative Platte Institute is working with Hallstrom on legislation for an upcoming session. Hallstrom previously introduced a 2025 constitutional amendment that would have put inheritance tax repeal before voters, but the measure did not receive floor debate.

Nebraska is one of five states with an inheritance tax and, according to Hallstrom, the only state where the tax is collected by counties rather than the state. Current rates range from 1% for children, parents and siblings on inheritances above $100,000 to 15% for nonrelatives on amounts above $25,000. Hallstrom argues the system unfairly imposes higher rates on more distant relatives and amounts to double taxation because inherited assets have generally already been subject to taxes. He described the inheritance tax as a “vestige of the past” that Nebraska should move away from.

For the full article, click HERE