This bill proposes amendments to the Nebraska Revenue Act of 1967, specifically sections 77-2701 and 77-2701.04, to exempt certain sales from sales and use tax. The new provisions will exempt the sale of specific child care supplies, clothing, and school supplies priced at $100 or less per item during a designated sales tax holiday period, which runs from 12:01 a.m. on the last Friday of July to 11:59 p.m. on the following Sunday. The bill defines eligible child care supplies and school supplies, listing various items that fall under these categories, while also specifying exclusions such as items for business use, cell phones, and certain clothing accessories.

Additionally, the bill outlines the conditions under which the exemption applies, including rules for layaway sales, discounts, and the treatment of delivery charges. It establishes that retailers must report exempt sales to the Tax Commissioner and provides guidelines for handling returns and exchanges during and after the exemption period. The act is set to become operative on January 1, 2027, and it repeals the original sections 77-2701 and 77-2701.04 from the Revised Statutes Cumulative Supplement, 2024.

Statutes affected:
Introduced: 77-2701, 77-2701.04