This bill amends section 77-2704.09 of the Reissue Revised Statutes of Nebraska to provide an exemption from sales and use taxes for over-the-counter drugs. The current law specifies that sales and use taxes do not apply to certain medical items, including insulin and mobility-enhancing equipment, but explicitly excludes over-the-counter drugs from this exemption. The new language adds over-the-counter drugs to the list of items exempt from sales and use taxes, thereby allowing these products to be sold without the imposition of such taxes.

The bill also includes a definition of "over-the-counter drug" and clarifies that the exemption will take effect on October 1, 2026. Additionally, the original section 77-2704.09 is set to be repealed, indicating a complete overhaul of the existing tax provisions related to these medical items. This legislative change aims to reduce the financial burden on consumers purchasing over-the-counter medications in Nebraska.

Statutes affected:
Introduced: 77-2704.09