This bill amends the Mechanical Amusement Device Tax Act by changing the tax rate imposed on cash devices from five percent to fifteen percent of their net operating revenue. It also modifies how the collected taxes are distributed, with significant changes to the allocations. Specifically, the bill stipulates that five percent of the tax revenue will go to the Charitable Gaming Operations Fund, twenty percent to the General Fund, and forty-seven and one-half percent to the Education Future Fund, among other adjustments. The previous allocation to the Nebraska Tourism Commission Promotional Cash Fund is eliminated, and the distribution to the county treasurer is adjusted to seven and one-half percent.

Additionally, the bill creates the Nebraska Tourism Commission Promotional Cash Fund, which will now consist of revenue from vendors and retailers, as well as revenue from advertising sales. The act is set to become operative on October 1, 2025, and it repeals the original sections of the law that are being amended. Overall, the bill aims to increase tax revenue from cash devices while redistributing those funds to various state funds and programs.

Statutes affected:
Introduced: 77-3012, 81-3729