News From Terre Haute, Indiana

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January 14, 2014

House panel considers personal property tax cut

INDIANAPOLIS (AP) — Members of the House Ways and Means Committee are pondering a locally controlled cut in the business personal property tax.

The House’s budget and tax panel planned to meet today to consider a House Republican plan that would allow counties to decide whether to eliminate the state’s tax on business equipment. Senate Republicans have crafted a different measure that would eliminate the tax for most small businesses and cut the state’s corporate income tax.

Republican Gov. Mike Pence has called for a complete phase-out of the personal property tax as part of his 2014 legislative agenda. But local leaders quickly chafed at the idea, which had the potential to siphon $1 billion from their coffers.

The governor has been guarded in his comments about both the Senate and House proposals.

 

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