Lawmakers in the Nebraska Legislature’s Revenue Committee heard testimony Wednesday on a proposal that would raise the state sales tax by 1 cent by Oct. 1.
It would bring in an estimated $341,140,000 in revenue for the first fiscal year, and $531,335,000 for the second.
State Sen. Lou Ann Linehan proposed the bill and says the increase in revenue from sales tax is necessary to help lower property taxes by 40 percent.
The Nebraska Farm Bureau favors the bill, saying it’s concerned about the revenue level from property taxes compared to those from other taxing streams.