Study of business tax cut likely outcome
By TOM LoBIANCO Associated Press February 18, 2014 1:38PM
INDIANAPOLIS (AP) — Lawmakers considering a cut to Indiana’s tax on business equipment might leave the matter to a summer study committee, a move that would delay any action by at least a year.
Senate Appropriations Chairman Luke Kenley of Noblesville said during a hearing Tuesday that the issue might be too complicated for this year’s short legislative session.
Senate Republicans have proposed cutting the tax for small businesses and cutting the state’s corporate income tax. House Republicans have offered a plan that would let counties decide whether to eliminate the tax on new equipment.
The proposals respond to Gov. Mike Pence’s suggestion that the state phase out the equipment tax completely. Supporters say a phase-out is needed to improve the state’s competitiveness. Opponents have said it would hurt local governments.