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State Audit Shows No Clear Measurements Of Tax-Incentive Programs

Posted: 12 February, 2013

LINCOLN (AP) - A legislative audit has found that Nebraska has no clear way to measure whether several major tax-incentive programs have succeeded. The Legislature's Performance Audit Committee said in a report Monday that the goals expressed in state law are too vague to evaluate whether the incentives are working as intended. Lawmakers approved them with the expectation that they would stimulate business activity and expand Nebraska's tax base. The report says the largest incentive program, the Nebraska Advantage Act, allowed businesses to collect nearly $101 million in tax refunds and credits between 2008 and 2011. But the committee found no way to judge whether the incentives were effective in attracting businesses, or whether the costs were appropriate. The committee chairman, Sen. John Harms, says he wants an in-depth review of the programs.


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