Omaha Shopping 4. Omaha History 5. The State of Nebraska utilizes a corporate income tax. Local governments do not assess an income tax. Corporations whose business within Nebraska consists exclusively of foreign or interstate commerce are subject to a direct income tax.
Corporations having any intra-state business are subject to a franchise tax measured by net income.
If the income derived from sources within Nebraska is not separate and distinct from income derived from sources outside the state, the corporation shall apportion and allocate its income. Under the sales-only formula, a corporation's taxable income is equal to the ratio of Nebraska sales to total U.S. sales times adjusted federal taxable income.