Electronic Funds Transfer (EFT)
and E-File Mandates

Electronic Funds Transfer of Tax Payments

The Tax Commissioner requires the use of EFT for all payments of taxes or fees for tax programs, such as income or sales and use tax, if the taxpayer had made tax or fee payments above the designated threshold for that same tax program in a prior tax year.

The EFT threshold will be reduced as follows:

For prior thresholds, click here.

A $100 penalty for non-compliance will be imposed if required payments are not made by EFT. The penalty does NOT apply to individual income tax payments.

E-File of Tax Returns

Sales Tax Returns (Forms 10)

The Tax Commissioner requires taxpayers subject to the EFT mandate for sales tax payments to also e-file their Sales Tax Returns, Forms 10. For example, if a taxpayer is subject to EFT for sales tax payments for 2012, the taxpayer must also e-file all sales tax returns in 2012.

The sales tax return e-file mandate schedule is the same as the EFT threshold schedule:

Combined Sales Tax Returns

The Tax Commissioner requires all combined filers to e-file their combined Sales Tax Returns, Forms 10. Any Application to File a Monthly Combined Sales and Use Tax Return, Form 11, will NOT be approved unless the applicant agrees to e-file.

Wage and Tax Statements

Any employer or payor that issues more than 50 wage and tax statements (Forms W-2, W-2G, 1099-R, and 1099-MISC) must file those statements electronically.

Any employer that is unable to meet this requirement must apply for a hardship waiver. A request for waiver can be in the form of an e-mail or letter to the Tax Commissioner. A waiver will not be granted except in extraordinary circumstances.

Filing Deadline for Wage and Tax Statements

Any employer or payor that issues wage and tax statements (Forms W-2, W-2G, 1099-R, and 1099-MISC) must file those statements by February 1.

Individual Income Tax Returns

Any person or business paid to prepare and file more than 25 Nebraska individual income tax returns in the prior year must electronically file (e-file) all individual income tax returns they are paid to prepare in the current year. Penalties may apply to tax professionals that do not file returns electronically as required. Additional tax programs may also be integrated into the e-file mandate at the Tax Commissioner’s discretion. If you have any questions, please contact the Department. A copy of the statute is also available at Neb. Rev. Stat. § 77-1784.