Sales tax on health-care services? Say it with us: Not in Nebraska!
Nebraska Governor Jim Pillen has proposed sweeping tax reforms for the state, and massage therapy is at risk of being unfairly taxed because of it. Since 1979, massage therapy has been categorized as a medical service, meaning it was exempt from sales tax. Governor Pillen has proposed eliminating a long list of existing sales tax exemptions to pay for wide-ranging tax cuts, and massage therapy is on that list.
It is our hope that this was an oversight, as no other medical services were included and there has been no attempt thus far to remove massage therapy’s classification as a medical service. Massage establishments and solo practitioners will be required to start remitting sales tax for the first time since 1979 if this tax reform scheme is passed as written.
We need your help to alert Governor Pillen and Nebraska lawmakers so this oversight can be fixed before Legislative Bill 1 becomes law. Use your voice to make a difference for the massage therapy community! Reach out to the governor and your state senators to let them know that massage therapy is a medical service in the state of Nebraska and must be removed from Governor Pillen’s proposed list of tax exemption eliminations.
Here is sample language you can build off in your letters to the governor and state senators:
Nebraska massage therapists need your help to amend Governor Pillen’s proposed tax reform bill and protect our profession. Massage therapy has been recognized in Nebraska as a medical service since 1979. As such, massage therapy services have been exempt from sales tax. Governor Pillen’s proposal, if passed into law, would single out massage therapy as the only medical service to be subject to sales tax.
My peers and I respectfully request that you and your colleagues work with Governor Pillen to correct this oversight and remove massage therapy from the list of services to be taxed in Legislative Bill 1. Please do not allow this important medical service to be unfairly taxed!
ABMP has submitted a similar request to all Nebraska senators and Governor Pillen, and we will continue to work with your state government to fix this language before it becomes law. Thank you for your advocacy!