2006 Nebraska Revised Statutes - § 77-908 — Insurance companies; tax on gross premiums; rate; exceptions.

Section 77-908
Insurance companies; tax on gross premiums; rate; exceptions.
Section 77-908

Every insurance company organized under the stock, mutual, assessment, or reciprocal plan, except fraternal benefit societies, which is transacting business in this state shall, on or before March 1 of each year, pay a tax to the director of one percent of the gross amount of direct writing premiums received by it during the preceding calendar year for business done in this state, except that (1) for group sickness and accident insurance the rate of such tax shall be five-tenths of one percent, (2) for property and casualty insurance, excluding individual sickness and accident insurance, the rate of such tax shall be one percent, and (3) for capitation payments made in accordance with the Medical Assistance Act, the rate of tax shall be five percent. The taxable premiums shall include premiums paid on the lives of persons residing in this state and premiums paid for risks located in this state whether the insurance was written in this state or not, including that portion of a group premium paid which represents the premium for insurance on Nebraska residents or risks located in Nebraska included within the group when the number of lives in the group exceeds five hundred. The tax shall also apply to premiums received by domestic companies for insurance written on individuals residing outside this state or risks located outside this state if no comparable tax is paid by the direct writing domestic company to any other appropriate taxing authority. Companies whose scheme of operation contemplates the return of a portion of premiums to policyholders, without such policyholders being claimants under the terms of their policies, may deduct such return premiums or dividends from their gross premiums for the purpose of tax calculations. Any such insurance company shall receive a credit on the tax imposed as provided in the Community Development Assistance Act and section 77-27,222.

Cross References:

Community Development Assistance Act, see section 13-201.

Managed Care Plan Act, see section 68-1048.

Medical Assistance Act, see section 68-901.

Source:

Laws 1951, c. 256, § 2, p. 878

Laws 1984, LB 372, § 13

Laws 1986, LB 1114, § 10

Laws 1989, LB 92, § 275

Laws 1992, LB 1063, § 91

Laws 1992, Second Spec. Sess., LB 1, § 64

Laws 2001, LB 433, § 1

Laws 2002, Second Spec. Sess., LB 9, § 3

Laws 2006, LB 1248, § 83.

~ Revised Statutes Cumulative Supplement, 2006