![]() ![]() ![]() No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.Ĭopyright © 1996 – 2023, Ernst & Young LLPĪll rights reserved. ![]() The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. Bill Nolan ( information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader.Unlike recently passed corporate and individual income tax rate reductions in other states (e.g., Iowa and Indiana), these rate reductions do not depend on state tax revenue targets being met.įor additional information concerning this Alert, please contact: LB 873 implements rate cuts for these years as well as ones in 20. In 2021, Nebraska enacted corporate income tax rate cuts with the stated intent to further reduce the top corporate income tax rate in tax years 20 (see Tax Alert 2021-1063). 6.44% for tax years beginning on or after Januand before January 1, 2025Ģ022 NE LB 873 also phases in, by 2025, an exemption for Social Security income from Nebraska's individual income tax, to the extent that income is included in federal adjusted gross income.6.64% for tax years beginning on or after Januand before January 1, 2024.The top individual rate, which is currently 6.84% and applies to taxable income of $29,000 or more for individuals filing separately (or $58,000 or more if married filing jointly), is reduced as follows: 5.84% for tax years beginning on or after January 1, 2027Ģ022 NE LB 873 adopts a similar phased-in reduction for Nebraska's individual income tax rates.6.00% for tax years beginning on or after Januand before January 1, 2027.6.24% for tax years beginning on or after Januand before January 1, 2026.Your average tax rate is 21.4 and your marginal tax rate is 36.2. 6.50% for tax years beginning on or after Januand before January 1, 2025 That means that your net pay will be 43,231 per year, or 3,603 per month.7.25% for tax years beginning on or after Januand before January 1, 2024.2022 NE LB 873 reduces the top rate as follows: The current top Nebraska corporate income tax rate, which applies to income over $100,000, is 7.5%. On April 13, 2022, Governor Pete Ricketts signed into law 2022 NE LB 873, which gradually reduces the state's individual and corporate income tax rates and accelerates the phaseout of taxing Social Security income under the state's personal income tax. Nebraska enacts individual and corporate income tax rate cuts ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |