State sales tax rate5.5%
* While the base rate applies statewide, it’s only a starting point for calculating sales tax in Nebraska. For an accurate tax rate for each jurisdiction, add other applicable local rates on top of the base rate.
Nebraska sales tax basics
The Nebraska (NE) state sales tax rate is currently 5.5%. Depending on local municipalities, the total tax rate can be as high as 7.5%, but food and prescription drugs are exempt.
Nebraska is listed in Kiplinger’s 2011 10 Tax-Unfriendly States for Retirees. Besides providing no tax breaks for Social Security benefits and military pensions, real estate is assessed at 100% market value. Food and prescription drugs are exempt from state sales tax.
All sellers making retail sales of taxable goods or services in Nebraska are required to register with the state and collect and remit sales tax. As Nebraska is a Streamlined Sales Tax state, out-of-state businesses without a sales tax obligation are encouraged to register for sales tax purposes.
Businesses that have employees, engage in retail sales, rent or lease tangible personal property, or provide taxable services are required to register with the Nebraska Department of Revenue. Registration is through Nebraska One-Stop Business Registration Information or submission of a Nebraska Tax Application. Registration may also occur “through an alternative method as authorized under the Streamlined Sales Tax Agreement.” Additional information is available at Starting a business in Nebraska.
Electronic filing is preferred, though paper filing is allowed. The Nebraska Department of Revenue website provides sales and use tax forms. There are several electronic payment options.
Zero returns (no sales tax owed) must also be filed by the due date.
Deadlines for filing sales tax returns in Nebraska
Nebraska state and local sales tax returns and payments are due by the 20th of each month following the reporting period. See the Nebraska Tax Calendar for additional dates.
Are you looking for tax rates within a certain county? We have a list of all the counties in Nebraska along with their sales tax rate.
Each city or town in Nebraska may charge additional sales tax. Find the local tax rate for each city.
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