LINCOLN- Governor Pete Ricketts is proposing a tax exemption on military retirement pay in an effort to keep retirees from leaving the state.
Ricketts announced Friday that he will propose a bill to exempt half of the benefits paid to all military retirees…
The measure would apply to an estimated 14,000 retirees in Nebraska and cost the state an estimated $15 million in lost revenue. Ricketts says the bill is intended to replace a “clunky” state law that only provides a tax benefit to a smaller subset of military retirees. Senator Tom Brewer, of Gordon, will introduce the bill.
Senator Carol Blood, of Bellevue, who represents a large number of Offutt Air Force Base retirees, says many are moving to nearby Council Bluffs, Iowa, where they pay less in taxes.