OMAHA, Neb. (AP) – Nebraska has taken a giant step towards phasing out taxes on Social Security income, but lawmakers say they could cut benefits for higher earners.
The legislator approved a bill with 47: 0 to abolish the tax over a period of 10 years.
Two additional votes are required before the proposal goes to Governor Pete Ricketts.
Nebraska has approximately 320,000 residents who depend on some form of social security, either as a retirement, disability, or survivor benefit. Nationally, the benefit goes to more than 64 million Americans.
Omaha Senator Brett Lindstrom, who sponsored the measure, says Nebraska is one of 13 states that will tax the benefit.