The senator from Indiana said fellow Republicans “can’t assume unreasonable rates of economic growth or we’re being fiscally irresponsible.”
The plan repeals the estate tax and alternative minimum tax, lowers the corporate tax rate, and reduces the number of tax brackets while lowering the highest tax rate. One of the largest boons for the middle class would be that it doubles the standard deduction.
The Indiana Manufacturers Association is also hoping the state will allow local governments to offer relocation tax incentives to build upon any that the state offers.
President Trump wants corporate taxes to drop from a top rate of 35 percent to a top rate of 15 percent. But it’s not clear if it will end up being that low in the plan, or what kind of break a typical taxpayer would see.
The City-County Council committee vote came after Mayor Joe Hogsett’s top adviser urged members to say yes—the first time the mayor’s office had expressed an opinion publicly about whether the tax increase should pass.
The question will be whether Marion County voters are willing to approve a 0.25 percent income-tax hike to pay for expanded mass transit.
Indiana lawmakers are debating ways to give money back to local governments—money that already belongs to cities, towns and counties but the state has been holding in reserves.
A future 5 percent cut in Indiana's individual income tax rates is being added to a legislative proposal that would boost gasoline and cigarette taxes to increase road funding.
Attracting higher-wage residents is key to future growth as city revenues have stagnated and local governments have become increasingly reliant on income taxes. Republican Chuck Brewer and Democrat Joe Hogsett are proposing ways to bolster Indy neighborhoods.
The case has widespread implications for pro athletes and cities with sports franchises that tax visiting players’ incomes. It’s rooted in part in a challenge brought by former Indianapolis Colt Jeff Saturday.
Sales tax is Indiana’s largest source of revenue. But it is tied to consumer spending, and Americans have become increasingly reluctant to spend as median incomes have remained virtually stagnant over the past 30 years.
The state Department of Revenue says a special investigations unit discovered more than 39,000 returns relying on identity theft to falsely claim $39 million.
Politicians in Indiana and other states hope tax cuts for businesses will boost their economies, but those and other moves could be contributing to the income gap limiting growth in U.S. consumer spending.
The proposed switch in accounting methods could create cash-flow nightmares for medical-service providers, accounting, engineering, consulting and other professional-services companies with revenue over $10 million.
The Indiana House Ways and Means Committee is expected to vote Monday on a mass-transit bill and is considering an amendment that would require 10 percent of revenue to come from non-traditional sources.
Mayor Greg Ballard’s chief deputy has spent the past six months telling community and business leaders that the city simply cannot cut its way out of its revenue problems; it also needs to attract more people to live within city boundaries so they will pay their income tax to Indianapolis.