NE LB401

Tax Commissioner notices of deficiency determinations, deficiencies, and refund denials must now include a written statement detailing the facts, circumstances, and reasons used to reach the determination

Partnerships and S corporations may make an irrevocable election to pay Nebraska income tax at the entity level, with the election made on the applicable income tax return on or before the due date including extensions

For tax years 2018-2022, electing partnerships and S corporations must make retroactive elections between January 1, 2023 and December 31, 2025, with affected partners/shareholders having extended refund claim deadlines through January 31, 2026

Tax Commissioner has one year from the date an electing entity files to review and issue a proposed deficiency determination, which may be enforced within six years of the notice date

Amends sections 77-2708, 77-2709, 77-2727, 77-2734.01, 77-2776, 77-2786, and 77-2796 of Nebraska Revised Statutes relating to sales/use tax refunds, income tax on partnerships and S corporations, and deficiency determination procedures