LB932

Provide an income tax adjustment for tip income and income received from overtime compensation

Introduced·1/9/26
Introduced Text

Nebraska LB932 adjusts income tax by allowing deductions for tip income and overtime compensation.

Nebraska LB932 provides an income tax adjustment for tip income and income received from overtime compensation. It allows individuals to deduct qualified tips and overtime compensation from their federal adjusted gross income. The bill specifies limits on the deductions, such as a maximum of $12,500 per year for individual taxpayers and $25,000 for married filing jointly taxpayers for overtime compensation. The adjustments apply to taxable years beginning on or after January 1, 2026.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

See what it does, who it affects, and the critical issues in plain language. Free, 30 seconds.

Where it stands

Current
Revenue Committee
Next
Committee decision

Sponsors

N
1
0
Democratic CaucusRepublican Caucus

Calendar

Feb 20

1:30 PM

Revenue Hearing

History

Feb 12

Legislature

Notice of hearing for February 20, 2026

Jan 13

Legislature

Referred to Revenue Committee

Jan 12

Legislature

Kauth FA591 filed