Companies expanding in Nebraska now have more “advantages” to choose from

LB895, passed by the Legislature and signed by Gov. Dave Heineman earlier this year, adds another tier to the successful Nebraska Advantage package of incentives for businesses that relocate to or expand in the state. Businesses will qualify for the Super Advantage if they invest $10 million while creating 75 jobs paying either 200% of a county’s average wage or 150% of the state’s average wage, whichever is greater. Businesses also will qualify if they invest $100 million capital investment while creating 50 jobs at the thresholds stated above.

These wages range from $50,700 (160% of State’s average annual wage) to $91,972 (200% of Stanton County’s average annual wage). In return for a company’s investment and job creation, they would receive a 15% investment credit, 10% wage credit, tangible personal property exemption for 10 years, and a sales tax refund on all capital purchases. In addition, the company may use the credits to offset their real property taxes at the site of the project, as well as apply them to sales and income taxes, and employee withholding. The entitlement period is 10 years for these benefits as opposed to the next highest entitlement period of seven years.