Nebraska Nebraska and Local Business Use Tax Return

Nebraska and Local Business Use Tax Return
Form 2
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Nebraska and Local Business Use Tax Return
Please Do Not Write in This Space

FORM

2

  Tax Period

Nebraska ID Number

Name and Location Address

Name and Mailing Address

1	 Cost of taxable property or services purchased for use in Nebraska when Nebraska sales tax has not
		been paid (Include the cost of property withdrawn from inventory for use.).................................................. 	1	
2	 Nebraska use tax due (line 1 multiplied by .055)........................................................................................... 	
IMPORTANT NOTE: Purchasers or lessees of any aircraft, complete the Aircraft State Use Tax box...........................

00

2

Aircraft State Use Tax
Enter the amount of state use tax included on Line 2 that is from the purchase, lease,
or rental of aircraft when sales tax has not been collected. (694-694)..........................
Complete the following Local Use Tax Table (see instructions).

Local Use Tax Table
City or County
Click here for Current Codes and Rates

Local
Code

Local
Tax Rate

Column A
Amount Subject to
Local Use Tax

Column B
Local Use Tax
(Rate x Column A)

00
00
00
00
00
	3	 Total local use tax due (add amounts in Column B)...................................................................................... 	3
	4	 Total Nebraska and local use taxes due (line 2 plus line 3)........................................................................... 	
	5	 Credit for tax properly paid to other states and taxing jurisdictions on property included on line 1
(see instructions)........................................................................................................................................... 	

4

	6	 Net Nebraska and local use taxes due (line 4 minus line 5).......................................................................... 	
	7	 Previous balance with applicable interest at
% per year and payments received through		

6

Check this box if your payment is being made electronically.
8	 Balance due (line 6 plus or minus line 7). Pay in full with this return............................................................. 	

sign
here

5

7

8

I declare under penalties of law that I have examined this return, and to the best of my knowledge and belief, it is correct and complete.

Authorized Signature
Title
Email Address

Date
Daytime Phone Number

Signature of Preparer Other Than Taxpayer

Date

Daytime Phone Number
Email Address

This return is due on or before the 20th day of the month following the tax period indicated above.
Mail this return and payment to: Nebraska Department of Revenue, PO Box 98923, Lincoln, NE 68509-8923.

revenue.nebraska.gov, 800-742-7474 (NE and IA), 402-471-5729

Instructions
For additional information about use tax, see the Nebraska Use Tax Information Guide.
Who Must File. Every business purchasing taxable property or services over the Internet, by catalog, or within
or outside of Nebraska, without payment of Nebraska and local sales tax, must report use tax. If you do not have
any Nebraska and/or local use tax liability for the tax period indicated on this return, you are not required to file this return.
How to File. Use the following to determine which form to file.
•	 Businesses licensed to collect sales tax should file a Nebraska and Local Sales and Use Tax Return, Form 10, to report both 	
	 sales and use taxes. Obtain a license by filing a Nebraska Tax Application, Form 20.
•	 Businesses not filing Form 10 must file a Nebraska and Local Business Use Tax Return, Form 2, to report use tax on purchases
where the Nebraska and local sales taxes were not paid.
•	 Individuals report use tax on the Nebraska and Local Individual Use Tax Return, Form 3, or may report use tax when they file
their Nebraska Individual Income Tax Return, Form 1040N.
• 	Only in the situation where an individual has a use tax liability AND is claiming a credit for tax properly paid to another state
should the Form 2 be filed.
Transactions Subject to Use Tax. Use tax is due on all taxable purchases when Nebraska and any applicable local sales tax
is not paid. Use tax is due on your cost of property or taxable services. Some examples include:
•	 Purchase of property (for example, uniforms, magazines, computers, software) from a retailer. This includes the purchase,
lease, or rental of aircraft when sales tax has not been collected by the seller or lessor;
•	 Purchase of taxable services (for example, repair or installation labor on tangible personal property, pest control, building
cleaning, motor vehicle towing) from a retailer;
•	 Purchase of property from outside Nebraska, brought to Nebraska for use or storage;
•	 An Option 2 contractor that has building materials and fixtures brought into or delivered into Nebraska on which no Nebraska
or applicable local sales taxes were paid. When building materials and fixtures are delivered by a supplier to the job site, they
are taxed at the rate in effect at the job site.
•	 Property withdrawn from inventory for use or to be donated; and
•	 Taxable services purchased and then donated.
Retention of Records. Records to substantiate this return must be retained for at least three years following the date of filing or
due date of the return, whichever is later.
Penalty and Interest. A penalty may be assessed for failure to timely file a return, or for failing to timely pay all tax when due.
Interest on the unpaid tax will be assessed from the due date until payment is received.

Specific Instructions

Line 1. The amount subject to use tax is the total cost of all taxable property and services purchased (including charges for delivery,
freight, and shipping, paid to the retailer) on which Nebraska and local sales taxes were not paid or were not paid at the correct rate.
Line 2. Enter the total state use tax due.
Aircraft State Use Tax Box. Report the amount of Line 2 that is from the purchase, lease, or rental of aircraft in the Aircraft
State Use Tax box. Aircraft means any contrivance now known, hereafter invented, used, or designed for navigation of or flight in
the air. For example this includes airplanes, drones and hot air balloons.
Local Use Tax Table. Local use tax is due if the property purchased is delivered in a jurisdiction with local use tax, and you have
not paid the local sales tax. Click here for current city or county codes and rates.
Enter in Column A the total cost of property that was delivered within the boundaries of each local taxing jurisdiction where local
sales tax was not paid. Multiply each amount by the local jurisdiction’s tax rate and enter the result in Column B.
								Column A	 Column B
	
Examples:	
Local	
Local	
Amount Subject to	
Local Use Tax
	
City or County	
Code	
Tax Rate	
Local Use Tax	
(Rate x Column A)
	
Omaha	
1-365	.015	 600.00	
9.00
Sidney	
7-441	.020	 500.00	
10.00
Wausa	
123-514	.010	 300.00	
3.00
Dakota County	
134-922	
.005	
100.00	
0.50
Line 5. A credit for tax properly paid in another state will be allowed on property that is subject to Nebraska use tax. The credit
must be applied to each item’s Nebraska and local use tax due. The credit allowed for each item cannot exceed the total Nebraska
and local use tax due on that item.
Line 8. All filers are encouraged to make payments electronically. Do not send a check if you are mandated to pay electronically.
Those not mandated may attach a check or money order for the amount on line 8, made payable to the Nebraska Department
of Revenue.
Authorized Signature. This return must be signed by the owner, partner, corporate officer, member of a limited liability
company, or individual. If the taxpayer authorizes another person to sign this return, there must be a power of attorney on file with
the Nebraska Department of Revenue.
Email. By entering an email address, the taxpayer acknowledges that DOR may contact the taxpayer by email. The taxpayer
accepts any risk to confidentiality associated with this method of communication. DOR will send all confidential information by
secure email or the State of Nebraska’s file share system. If you do not wish to be contacted by email, write “Opt Out” on the line
labeled “email address.”
Any person who is paid for preparing a taxpayer’s return must also sign the return as preparer.
6-158-1974 Rev. 10-2023
Supersedes 6-158-1974 Rev.   10-2020