Lawmakers pass package of Hoosier business tax cuts
By TOM LoBIANCO Associated Press March 13, 2014 3:54PM
Updated: March 13, 2014 11:08PM
INDIANAPOLIS (AP) — Indiana lawmakers have approved a broad package of business tax cuts in the waning hours of the 2014 session.
The corporate income tax and state banking tax would be reduced to 4.9 percent and local governments would be left to decide whether to cut the business equipment tax. The Senate voted 36-12 Thursday to approve the cuts.
Bill author Sen. Brandt Hershman said the cuts are crucial to competing with other states seeking new businesses. But Democrats opposing the cuts said that lawmakers will have to come back next year and begin cutting critical services such as education and roads.
Gov. Mike Pence originally sought the elimination of the state’s tax on business equipment, but local leaders opposed the measure because the tax provides critical revenues.