Last Tuesday, Governor Mike Pence signed into law a package of tax cuts for business that would give Indiana one of the nation’s lowest corporate tax rates, and State Director Barbara Quandt was front and center. Invited to attend the bill signing as Governor Pence’s personal guest, Barbara was standing directly behind the Governor as he signed this important bill on behalf of small business.
session that ended mid-March, NFIB Indiana was successful in securing a local
option for exempting new personal property and a local option to exempt the
first $20,000 of existing personal property. If adopted by a county, the
$20,000 exemption would eliminate the tax for 50% of all Business Personal
Property Tax filers with almost no impact to local governments. Many of
these small business returns are “nuisance” filings which cost more to comply
with and process than they generate in tax revenue. This bill also provides for a Blue Ribbon
Commission to study the eventual elimination of the tax. And finally,
this was all wrapped in a bow with a significant reduction in the Corporate
The issue of
Business Personal Property Tax reform drew a lot of opposition from local
government officials who were concerned that the tax would be eliminated. None of the proposals, however, would have
eliminated the tax. The final bill
combined the House Bill 1001 (local option for exempting new personal property)
and the Senate Bill 1 (small business exemption, corporate tax reduction and
study commission). Governor Pence, the Speaker and the President Pro-Tem
can all claim victory. Locals are still
crying foul, but the study commission will provide for a full airing of the
issue and a thorough review of tax reform options.
Indiana’s Business Personal Property Tax is the number one state issue for NFIB
members. NFIB Indiana State Director and
members testified several times in support of reform.