State guide · Nebraska
Starting a Medical Practice in Nebraska
What physicians need to know about Nebraska's regulatory environment, entity requirements, and practice-specific rules.
Entity required
Professional Corporation or Professional LLC
LLC permitted
No
CPOM enforcement
Moderate
Top income tax
Verify — top bracket approximately 5.84% (2024, declining)
Min. franchise tax
Verify — Nebraska occupation tax applies to corporations
Med board registration
Not required
The information on this page is provided for general reference only and may not reflect recent regulatory or legislative changes. Entity formation requirements, tax rates, and CPOM rules vary by state and change frequently. Always verify requirements with your state's official agencies, a qualified healthcare attorney, or a CPA with medical practice experience before making business formation decisions. Nothing on this page constitutes legal or financial advice.
Entity Requirements
Nebraska physicians may form a Professional Corporation under Neb. Rev. Stat. §21-2201 et seq. or a Professional LLC under §21-101 et seq. All shareholders or members must be licensed Nebraska physicians.
Filing is with the Nebraska Secretary of State.
- •Form a Professional Corporation or Professional LLC
- •All shareholders/members must be licensed Nebraska physicians
- •File Articles of Incorporation or Certificate of Organization with the Secretary of State
- •File Biennial Report with the Secretary of State
Corporate Practice of Medicine
Nebraska recognizes a moderate Corporate Practice of Medicine doctrine. Fee-splitting is prohibited.
Tax Considerations
Nebraska has a graduated personal income tax with a top bracket of approximately 5.84% (declining via recent legislation).
- •Top personal income tax: Verify — approximately 5.84% (declining)
- •Occupation tax applies to corporations
- •5.5% statewide sales tax
Nebraska Department of Health and Human Services — Medicine Division
Nebraska does not require entity registration for general practices. Individual physicians are licensed by DHHS.
- •No general entity registration required
- •All practicing physicians must hold an active Nebraska medical license
Employment Law Considerations
Nebraska is generally employer-friendly. At-will employment, no state-mandated paid sick leave (Initiative 436 passed November 2024 — Verify effective date), and non-competes generally enforceable.
- •Initiative 436: paid sick leave (effective October 2025 — Verify)
- •Nebraska minimum wage adjusts (Initiative 433 raised to $15 by 2026)
- •Non-competes enforceable if reasonable
- •At-will employment
Official resources
Bookmark these official agency portals for Nebraska entity formation, tax registration, and medical board information.
Looking for Nebraska licensing and credentialing information?
State medical license requirements, controlled-substance registration, and Medicaid enrollment specifics for Nebraska.
View Nebraska licensing guide →Get the complete practice startup guide
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