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 allocation percentages. 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 bill establishes that the new tax rates and distribution will take effect on July 1, 2025.

Additionally, the bill repeals the original sections of the law that governed the previous tax structure and revenue distribution, including the Nebraska Tourism Commission Promotional Cash Fund's reliance on revenue from cash device taxes. The new provisions aim to harmonize the tax framework and ensure that funds are allocated to various state funds more effectively. The act is set to become operative on October 1, 2025.

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