Returning Money To Hoosier Taxpayers
by  State Reperersentive Tim O’Brien
Thanks to Hoosier workers’ resilience and the state’s responsible policies, Indiana finds itself in a strong fiscal position. The state’s budget reserves are estimated to hit $5 billion over the next biennium, which is $3 billion more than anticipated, creating the unique opportunity to further cut Indiana’s already low taxes.
With ample reserves and strong revenue projections, I joined my House Republican colleagues in supporting a responsible tax-cut package this session, which is now being considered by the Senate. We are taking in more revenue than we need to effectively operate state government, and it’s only right to put more money in the pockets of hardworking Hoosiers.
If passed, everyday Hoosiers will see the benefit of House Bill 1002, which I co-authored. The legislation would lower the individual income tax from 3.23% to 3% and eliminate the utility receipts tax, which Hoosiers pay on their utility bills like gas, electric and cable.
Indiana recently announced its fifth consecutive record-breaking year for economic development, with increasing average wages and 56% higher investments from the year before. House Bill 1002 can help build on our state’s momentum by encouraging capital investment through lowering Indiana’s business personal property taxes. Specifically, the bill eliminates the 30% depreciation floor for newly purchased business personal property starting in January and creates a state income tax credit to offset a portion of the personal property taxes paid on existing equipment.
With Indiana being one of the of most entrepreneur-focused states in the Midwest, it is important we keep our economy rolling.
Indiana has paid down over $1 billion in debt over the last year and now we have the opportunity to return money to Hoosier teachers, farmers and workers. As a state, we’ve proven that we can live within our means, pay down debt and invest in the future. It’s time to do what’s right by taxpayers and provide much-needed relief. After all, I believe taxpayers would rather choose how to spend their money than grow the size of government. Follow House Bill 1002 as it moves through the Senate visit iga.in.gov.
