§ 77-2715 — Income tax; rate; credits; refund

Nebraska § 77-2715

• Jurisdiction: Nebraska
• Ch. 77: Revenue and Taxation

Text

(1) A tax is hereby imposed for
each taxable year on the entire income of every resident individual and on
the income of every nonresident individual and partial-year resident individual
which is derived from sources within this state, except that any individual
who has additions to adjusted gross income pursuant to section 77-2716 of
less than five thousand dollars shall not have an individual income tax liability
after nonrefundable credits under the Nebraska Revenue Act of 1967 that exceeds
his or her individual income tax liability before credits under the Internal
Revenue Code of 1986.
(2)(a) For taxable years beginning or deemed to begin before January
1, 2014, the tax for each resident individual shall be a percentage
of such individual's federal adjusted gross income as modified in sections 77-2716 and 77-2716.01 , plus a percentage of the federal alternative minimum
tax and the federal tax on premature or lump-sum distributions from qualified
retirement plans. The additional taxes shall be recomputed by (i) substituting
Nebraska taxable income for federal taxable income, (ii) calculating
what the federal alternative minimum tax would be on Nebraska taxable income
and adjusting such calculations for any items which are reflected differently
in the determination of federal taxable income, and (iii) applying
Nebraska rates to the result. The federal credit for prior year minimum tax,
after the recomputations required by the act, shall be allowed as a reduction
in the income tax due.
(b) For taxable
years beginning or deemed to begin on or after January 1, 2014, the tax for
each resident individual shall be a percentage of such individual's federal
adjusted gross income as modified in sections 77-2716 and 77-2716.01 , plus
a percentage of the federal tax on premature or lump-sum distributions from
qualified retirement plans. The additional taxes shall be recomputed by substituting
Nebraska taxable income for federal taxable income and applying Nebraska rates
to the result.
(3) The tax for each nonresident
individual and partial-year resident individual shall be the portion of the
tax imposed on resident individuals which is attributable to the income derived
from sources within this state. The tax which is attributable to income derived
from sources within this state shall be determined by subtracting from the
liability to this state for a resident individual with the same total income
the credit for personal exemptions and multiplying the result by a fraction,
the numerator of which is the nonresident individual's or partial-year resident
individual's Nebraska adjusted gross income as determined by section 77-2733
or 77-2733.01 and the denominator of which is his or her total federal adjusted
gross income, after first adjusting each by the amounts provided in section 77-2716 . If this determination attributes more or less tax than is reasonably
attributable to income derived from sources within this state, the taxpayer
may petition for or the Tax Commissioner may require the employment of any
other method to attribute an amount of tax which is reasonable and equitable
in the circumstances.
(4) The tax for each estate and trust, other than trusts taxed
as corporations under the Internal Revenue Code of 1986, shall be as determined
under section 77-2717 .
(5) A refund shall be allowed to the extent that the income
tax paid by the individual, estate, or trust for the taxable year exceeds
the income tax payable, except that no refund shall be made in any amount
less than two dollars.

Legislative History

Source: Laws 1967, c. 487, § 15, p. 1576; Laws 1969, c. 684, § 2, p. 2652; Laws 1972, LB 1367, § 2; Laws 1973, LB 526, § 1; Laws 1974, LB 632, § 1; Laws 1975, LB 430, § 1; Laws 1977, LB 30, § 1; Laws 1977, LB 219, § 1; Laws 1980, LB 44, § 1; Laws 1981, LB 197, § 1; Laws 1982, LB 799, § 5; Laws 1983, LB 124, § 8; Laws 1983, LB 363, § 2; Laws 1984, LB 372, § 15; Laws 1985, LB 273, § 49; Laws 1986, LB 1027, § 207; Laws 1987, LB 773, § 5; Laws 1987, LB 523, § 19; Laws 1989, LB 458, § 1; Laws 1989, LB 459, § 2; Laws 1993, LB 240, § 2; Laws 1994, LB 977, § 10; Laws 2013, LB308, § 1. Cross References: Facilitating Business Rapid Response to State Declared Disasters Act, see section 48-3201. Annotations: A capital gain or loss by a fiscal year partnership prior to January 1, 1968, was not includable in determining the partners' income tax liability for 1968 except for capital gain portions received later under installment contract. Altsuler v. Peters, 190 Neb. 113, 206 N.W.2d 570 (1973). Food sales tax credit, although incorporated in income tax subdivision of Nebraska Revenue Act of 1967, is part of sales tax provisions. Anderson v. Tiemann, 182 Neb. 393, 155 N.W.2d 322 (1967). The Legislature may delegate authority to administrative agencies of the state. Anderson v. Tiemann, 182 Neb. 393, 155 N.W.2d 322 (1967).