State Senator Wants to Nix Inheritance Tax

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A lot of state senators agree that taxes will be one of the focuses of this session of the legislature. North Platte Senator Tom Hansen says he wants to do away with the Inheritance Tax.

He calls it a slush fund and says some counties are not using the money the right way, like for roads.

State law says the tax rate varies depending on how much money or property you have and who you're leaving it to. Senator Hansen says the tax isn't a huge burden to pay but an inconvenience.

"It's just the idea - another last death tax. You die, you get taxed. If you live in a county and pay taxes, seems to me the county would have to pay burial expenses because you've been a good citizen but nope, you got to pay one more tax," said Hansen.

All 93 Nebraska counties use that tax for various projects. Hansen said he's trying to think of a way to reimburse those counties if the tax was repealed.

He says four years ago the legislature took away county aid because the state was low on cash. Hansen says a solution could be to bring that funding back.

Senator Hansen said the state has a lot of money in the cash reserve and some of it should go back to the people.

Senator Hansen says he hopes a good debate can come from this bill.