Nebraska Sales
Tax Rate

State and local rates, taxable purchases, exemptions, use tax, economic nexus and marketplace rules.

Nebraska imposes a 5.5 percent state sales and use tax in 2026. Cities and certain counties can add local sales tax, so the total rate depends on where the taxable sale is sourced or delivered. Local rates commonly range from 0.5 percent through 2 percent under Nebraska law.

For online sellers, Nebraska economic nexus generally applies when a remote seller exceeds $100,000 in Nebraska retail sales or makes 200 or more Nebraska retail sales transactions in the current or prior calendar year. Marketplace facilitators use the same threshold framework.

Nebraska Sales Tax Rate in 2026

The Nebraska state sales and use tax rate is 5.5 percent. The combined rate can be higher when a city or county imposes a local sales and use tax at the destination.

Does Nebraska Have Local Sales Tax?

Yes. Nebraska cities can impose local sales and use tax plus certain counties can impose county tax. The total amount charged to a customer therefore depends on the delivery or sourcing location rather than one statewide combined rate.

Nebraska local rates can change by calendar quarter. In 2026, for example, Filley began a new 1 percent local rate on January 1, Elm Creek and Wilber increased to 1.5 percent on April 1 then Edgar increased to 1.5 percent on July 1. Businesses should use the current Nebraska rate table for the exact transaction date.

How Do You Calculate Combined Sales Tax in Nebraska?

To calculate Nebraska sales tax, add the 5.5 percent state rate to the local rate that applies at the point of delivery then multiply the taxable sales price by the combined rate.

Nebraska Sales Tax = Taxable Sales Price × (5.5% State Rate + Applicable Local Rate)

For example, a taxable $1,000 purchase delivered to a location with a 1.5 percent local rate has a 7.0 percent combined rate. The tax would be $70. A different delivery location can produce a different result even when the item and price are identical.

Which Location Determines the Nebraska Sales Tax Rate?

Nebraska generally uses the point of delivery to determine the applicable local sales tax rate. A taxable sale delivered inside a city that imposes local tax is subject to the state rate plus the city rate. County tax can apply in locations covered by a county tax rule.

This sourcing rule is important for e-commerce. The seller should calculate the rate based on the Nebraska delivery address rather than simply using the seller's business location.

What Is Taxable in Nebraska?

Nebraska sales tax applies broadly to retail sales of tangible personal property plus specified taxable services and other listed transactions. The state also taxes rentals, certain admissions, utilities, warranties, lodging, software, digital goods plus other categories identified in state law.

Not every product or service is taxable. Businesses should classify the transaction before applying a rate because Nebraska maintains detailed exemptions and industry-specific rules.

What Purchases Are Exempt From Nebraska Sales Tax?

Nebraska has many statutory sales tax exemptions. One important consumer exemption covers food and food ingredients for human consumption, although prepared food and food sold through vending machines can be taxable.

• Qualifying food and food ingredients for human consumption
• Certain purchases by exempt nonprofit or governmental organizations when statutory requirements are met
• Specific agricultural, manufacturing, energy or industry purchases listed in Nebraska law
• Certain occasional sales that satisfy Nebraska requirements
• Resale transactions supported by the required exemption documentation

Nebraska changed some exemptions in 2026 through new legislation. A business should confirm current law for the transaction date rather than relying on an older exemption list.

Nebraska Use Tax on Untaxed Purchases

Nebraska use tax applies when a taxable purchase is used, stored or consumed in Nebraska without the correct Nebraska sales tax being collected. The use tax rate is the same as the combined state and local sales tax rate at the applicable Nebraska location.

A common example is an online or mail-order purchase delivered to Nebraska when the seller does not collect Nebraska tax. The purchaser can still owe use tax even though no sales tax appeared at checkout.

Nebraska Economic Nexus for Remote Sellers

A remote seller without physical presence in Nebraska generally must register and collect Nebraska sales tax when it makes more than $100,000 in Nebraska retail sales or 200 or more separate Nebraska retail sales transactions in the prior or current calendar year.

The $100,000 test is based on Nebraska retail sales, including sales made through marketplace platforms. Nebraska counts transactions separately for the 200-transaction test. A remote seller that first crosses a threshold must follow the state timing rules for registration and collection.

Marketplace Facilitators and Nebraska Sales Tax

Marketplace facilitators that meet Nebraska's threshold generally must register, collect, report and remit Nebraska plus local sales tax on marketplace sales delivered or sourced to Nebraska addresses.

A marketplace seller should understand whether the platform is collecting on its behalf. Sales made through a marketplace can still count toward the seller's Nebraska threshold even when the marketplace facilitator handles collection.

Nebraska Sales Tax Permits and Returns

A business that is required to collect Nebraska sales tax must register with the Nebraska Department of Revenue for a sales tax permit. The business then reports taxable sales and tax collected on the state sales and use tax return using the filing frequency assigned by the department.

Records should support gross sales, exempt sales, taxable sales, sourcing and tax collected. Exemption certificates should be retained when an exemption depends on documentation.

Nebraska Sales Tax vs. Income Tax

Nebraska sales tax is a transaction tax collected from customers while Nebraska income tax is based on taxable income. A retailer can have both obligations, but they are calculated and reported separately.

For annual individual income tax rules, see the Nebraska income tax guide.

Sales Tax Should Not Be Deducted From Employee Wages

Sales tax collected from customers is not an ordinary payroll deduction. Employee paycheck taxes follow federal and Nebraska payroll withholding rules while sales tax is tied to taxable business transactions.

Businesses that also need lawful payroll records can use make pay stub tools after genuine wage calculations are complete. Sales tax amounts should stay in the business transaction records rather than the employee deduction section.

Methodology and 2026 Accuracy

This guide uses Nebraska Department of Revenue sales and use tax guidance current for 2026, including the 5.5 percent state rate, local-rate notices, remote seller thresholds, use tax rules plus current exemption materials. Local rates can change during the year, so the exact destination rate should be checked for the transaction date.