Motor carrier taxes - Nebraska

Property/Ad valorem taxes

All depreciable tangible property which has a Nebraska net book value greater than zero is taxable, except licensed motor vehicles, live stock, and certain rental equipment.

Sales & use taxes

There is a sales tax in Nebraska on the gross receipts from retail sale, lease or rental of tangible personal property, except where specific exemptions apply. There is a use tax levied at the same rate on the storage, use or other consumption in the state of tangible personal property bought, leased, or rented from a retail source.

The purchase, lease, or rental of motor vehicles, trailers, semitrailers, watercraft, and aircraft (vehicles) used predominantly as common or contract carrier vehicles, as well as repair and replacement parts for these vehicles, are exempt from sales and use taxes. The sales tax exemption for vehicles used predominantly in a common or contract carrier capacity is vehicle-specific. Passenger cars, pickup trucks, vans, and other business vehicles that are not predominantly used in a common or contract carrier capacity do not qualify for the exemption.

Carriers must apply for a Nebraska Common or Contract Carrier Certificate of Exemption from the Department of Revenue to use this exemption. The certificate must be renewed every five years.