The Revenue Committee heard testimony March 3 on measures that would replace most state taxes with a consumption tax on new goods and services.
LB79, introduced by Sen. Steve Erdman of Bayard, would create the Nebraska EPIC (Elimination of Property, Income and Corporate Taxes) Option Consumption Tax Act.
The bill would repeal state income tax, inheritance tax, state and local sales and use taxes and real and personal property taxes and impose a consumption tax on taxable property and services of 7.5 percent beginning Jan. 1, 2026. Counties, cities and villages could impose their own consumption tax within their boundaries.