Nebraska Administrative Code › Topic - REVENUE, DEPARTMENT OF › Title 350 - Nebraska Department of Revenue, Property Assessment Division › Chapter 40 - Property Tax Exemption Regulations › Section 350-40-002 - GENERAL RULES APPLICABLE TO PROPERTY TAX EXEMPTIONS

Current through June 17, 2024
002.01 All property in the state of Nebraska
				is subject to property tax unless an exemption is mandated by the Nebraska
				Constitution or is permitted by the constitution and enabling legislation is
				adopted by the Legislature. Federal law may supersede the Nebraska Constitution
				with regard to taxation of property owned by the federal government or its
				agencies or instrumentalities.
002.02 Property tax exemptions are to be
				strictly construed and the burden of proof is on the party seeking an exemption
				to show that the property is eligible for exemption. Property tax exemptions
				may be allowed based on the inherent nature of the property, the ownership of
				the property, the use of the property, or a combination of these
				factors.
002.03 The following
				property is exempt from property taxes:
002.03A Property owned by the state and its
				governmental subdivisions that is used or being developed for use for a public
				purpose. See Chapter 15, Property Owned by the State and Governmental
				Subdivisions Regulations;
002.03B
				Property owned by and used exclusively for agricultural and horticultural
				societies;
002.03C Property owned
				by educational, religious, charitable, or cemetery organizations or any
				organization created for the exclusive benefit of any qualified organization,
				and used exclusively for educational, religious, charitable, or cemetery
				purposes. The property cannot be (1) owned or used for financial gain or profit
				to either the owner or user, (2) used for the sale of alcoholic liquors for
				more than 20 hours per week, or (3) owned or used by an organization which
				discriminates in membership or employment based on race, color, or national
				origin;
002.03D Household goods and
				personal effects not owned or used for financial gain or profit to either the
				owner or user;
002.03E The
				increased value of land by reason of shade and ornamental trees planted along
				the highway;
002.03F
				Non-depreciable tangible personal property;
002.03G Motor vehicles required to be
				registered for operation on the highways of this state;
002.03H Business and agricultural inventory
				which includes personal property owned for purposes of leasing or renting the
				property to others for financial gain only if the personal property (1) is
				leased or rented 30 days or less, in the ordinary course of business, (2) may
				be returned at the option of the lessee or renter at any time, and (3) is
				considered household goods or personal effects if owned by an
				individual;
002.03I Certain
				depreciable tangible personal property for a specified period of time when a
				taxpayer has signed an agreement pursuant to the Employment and Investment
				Growth Act or the Nebraska Advantage Act;
002.03J Livestock, which includes all animals
				or other living creatures used or raised for profit;
002.03K Depreciable tangible personal
				property used directly in the generation of electricity using wind as the fuel
				source, such as in certain wind energy generation facilities that are
				commissioned or in commercial operation; and
002.03L Personal property that is assembled,
				engineered, or processed as part of a data center, for the purpose of
				subsequent use at a physical location outside this state. Data center means
				computers, supporting equipment, and other organized assembly of hardware or
				software that are designed to centralize the storage, management, or
				dissemination of data and information.