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LEGISLATURE OF NEBRASKA
ONE HUNDRED NINTH LEGISLATURE
SECOND SESSION
LEGISLATIVE BILL 868
Introduced by DeKay, 40.
Read first time January 08, 2026
Committee: Revenue
A BILL FOR AN ACT relating to revenue and taxation; to amend sections1
77-2007.03 and 77-2010, Reissue Revised Statutes of Nebraska; to2
provide an inheritance tax exemption relating to victims of3
homicide; to change provisions relating to when certain inheritance4
taxes are due; to repeal the original sections; and to declare an5
emergency. 6
Be it enacted by the people of the State of Nebraska,7
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Section 1. Section 77-2007.03, Reissue Revised Statutes of Nebraska,1
is amended to read: 2
77-2007.03 (1) Property transferred to either (a) (1) the United3
States, or any of its departments, instrumentalities, or agencies, or (b)4
(2) this state, or any governmental subdivision, department, agency, or5
instrumentality thereof, any municipal corporation or body politic6
created by or under the laws of Nebraska, or any agency, institution,7
foundation, or fund administered or operated by any of the same shall be8
exempt from any inheritance tax imposed by sections 77-2001 to 77-2006,9
and any amendments thereto. 10
(2)(a) If a decedent was the victim of a homicide or is a potential11
victim of a homicide, then any interested party may file an application12
for the inheritance tax exemption described in subdivision (2)(b) of this13
section with the Department of Revenue on a form prescribed by the14
department. 15
(b) If the decedent is determined to be the victim of a homicide,16
then any interest in property passing from such decedent shall be exempt17
from any inheritance tax imposed by sections 77-2001 to 77-2006, and any18
amendments thereto. 19
(c) A decedent shall be conclusively presumed to be the victim of a20
homicide if the person causing the decedent's death is convicted under21
section 28-303, 28-304, 28-305, or 28-306. In the absence of such a22
conviction, the court having jurisdiction may determine by a23
preponderance of the evidence whether the decedent was the victim of a24
homicide. 25
(d) For purposes of this subsection, homicide has the same meaning26
as in section 28-302. 27
(e) This subsection applies to decedents dying on or after June 1,28
2026. 29
Sec. 2. Section 77-2010, Reissue Revised Statutes of Nebraska, is30
amended to read: 31
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77-2010 (1) Except as provided in subsection (2), All taxes imposed1
by sections 77-2001 to 77-2037, unless otherwise herein provided for,2
shall be due and payable twelve months after the date of the death of the3
decedent, and interest at the rate specified in section 45-104.01, as4
such rate may from time to time be adjusted by the Legislature, shall be5
charged and collected on any unpaid taxes due from the date the same6
became payable, and in all cases in which the personal representatives or7
trustees do not pay such tax within twelve months from the death of the8
decedent, they shall be required to give bond in the form and to the9
effect prescribed in section 77-2009 for the payment of the tax together10
with interest. In addition, for failure to file an appropriate proceeding11
for the determination of the tax within twelve months after the date of12
the death of the decedent there shall be added to the amount due a13
penalty of five percent per month or fraction thereof, up to a maximum14
penalty of twenty-five percent of the unpaid taxes due. The filing of a15
petition or an application for probate proceedings or the filing of an16
application under section 77-2018.07 and payment of the tentative tax17
payment within twelve months of the decedent's death shall be considered18
an appropriate proceeding for the determination to avoid a penalty and to19
stop the accrual of a penalty. In addition, the county court may abate20
this penalty if good cause is shown for failure to file.21
(2) If an application for an inheritance tax exemption under section22
77-2007.03 is filed with the Department of Revenue within twelve months23
after the date of the death of the decedent then any inheritance tax24
imposed by sections 77-2001 to 77-2006, and any amendments thereto, shall25
be due and payable twelve months after the determination that the26
decedent is not the victim of a homicide, and interest at the rate27
specified in section 45-104.01, as such rate may from time to time be28
adjusted by the Legislature, shall be charged and collected on any unpaid29
taxes due from the date the same became payable, and in all cases in30
which the personal representatives or trustees do not pay such tax within31
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twelve months after the determination that the decedent is not the victim1
of a homicide, they shall be required to give bond in the form and to the2
effect prescribed in section 77-2009 for the payment of the tax together3
with interest. In addition, for failure to file an appropriate proceeding4
for the determination of the tax within twelve months after the5
determination that the decedent is not the victim of a homicide there6
shall be added to the amount due a penalty of five percent per month or7
fraction thereof, up to a maximum penalty of twenty-five percent of the8
unpaid taxes due. The filing of a petition or an application for probate9
proceedings or the filing of an application under section 77-2018.07 and10
payment of the tentative tax payment within twelve months after the11
determination that the decedent is not the victim of a homicide shall be12
considered an appropriate proceeding for the determination to avoid a13
penalty and to stop the accrual of a penalty. In addition, the county14
court may abate this penalty if good cause is shown for failure to file.15
Sec. 3. Original sections 77-2007.03 and 77-2010, Reissue Revised16
Statutes of Nebraska, are repealed. 17
Sec. 4. Since an emergency exists, this act takes effect when18
passed and approved according to law. 19
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