Baird: House GOP advances $1B tax-cut

Thursday, January 27, 2022
State Rep. Beau Baird

Indiana House Republicans recently advanced a sweeping tax cut package that could put more than $1.3 billion back in Hoosiers’ pockets, according to State Rep. Beau Baird (R-Greencastle), who supported House Bill 1002.

The state’s budget reserves are expected to hit a record $5 billion at the end of fiscal year 2022. Baird, a member of the House Ways and Means Committee, said if House Bill 1002 becomes law it would be the largest tax cut in state history.

“Years of fiscal discipline continue to pay dividends for Hoosier taxpayers,” Baird said. “We prioritize paying down debt while investing in our future and maintaining responsible reserves. This puts us in a position to be able to cut taxes for those who ultimately make Indiana a great place to live, work and raise a family.”

Baird said the bill would deliver direct relief to working Hoosiers by phasing down Indiana’s individual income tax from 3.23 percent today to 3 percent by 2026.

If passed, Hoosiers would also pay less on their utility bills with the elimination of the 1.4 percent Utility Receipts Tax, which would take effect in July. Currently, individuals and businesses pay the Utility Receipts Tax on their monthly electric, natural gas, water, steam, sewage and telecommunications bills.

About 4.3 million Hoosier taxpayers are set to receive a $125 refund after they file their taxes in 2022 due to higher-than-expected state revenue numbers during the 2021 fiscal year. House Bill 1002 would help streamline this process and ensure about another 900,000 taxpayers also receive a refund.

Rep. Baird said the bill would also encourage new investments by lowering Indiana’s business personal property taxes while ensuring homeowners and schools aren’t negatively impacted by the reduction in revenue.

Specifically, the bill eliminates the 30 percent depreciation floor for newly purchased business personal property starting in January -- an issue opposed by many local governmental units, including the Greeencastle City Council -- and creates a state income tax credit to offset a portion of the personal property taxes paid on existing equipment. Under current law, businesses pay a tax based on a minimum of 30 percent of the original purchase price of their business personal property, regardless of the age or the true tax value of the equipment.

House Bill 1002 would also exempt more manufacturing and agricultural production inputs from the seven percent state sales tax to avoid sales tax pyramiding.

Baird said Indiana has paid down well over $1 billion in debt over the last year alone.

Visit iga.in.gov for more information on House Bill 1002, which now moves to the Indiana Senate for further consideration.

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  • What about Education sir ?

    -- Posted by Coach Bryan on Fri, Jan 28, 2022, at 9:14 AM
  • @Coach Bryan Baird and Indiana republicans want to privatize schools. That's why they're underfunded, then they complain about poor performance and how vouchers are the solution. They want to contract out every part of government so everything is a race to the bottom. Because "Public schools are socialism" blah, blah, blah. Not because government-funded private schools is a money-making opportunity for a bunch of them- it's about evil socialism!

    -- Posted by Raker on Fri, Jan 28, 2022, at 10:03 AM
  • He did vote for HB 1134, which removes local control over education. Not exactly a traditional Republican position there. Enter the critical race theory boogeyman. Which apparently is a new Republican position.

    -- Posted by Koios on Fri, Jan 28, 2022, at 9:49 PM
  • We know why schools have poor performance. We are just unwilling as a society to acknowledge and provide real solutions.

    -- Posted by beg on Sat, Jan 29, 2022, at 8:38 AM
  • Everyone knows the main reason for overall poor school performance, it's that the school doesn't have the money it needs. Students should be going to school in a well-maintained, well-furnished, and well-staffed building that has plenty of before and after school programs and resources to support them all the way through college. We should be overfunding schools thay we do the military. Of course, that would require more taxes, and republicans would rather have everything in America falling apart and barely working than to pay for it.

    -- Posted by Raker on Sat, Jan 29, 2022, at 11:53 AM
  • We can agree to disagree. The major items are not money items and money has been thrown around many times and fixes still don't occur.

    Money is needed. Often misused but needed. Your partisan comment cracks me up as it is so inaccurate- both parties spend ton of money. Another quote I have heard while in DC- definition of government over spending is spending I disagree with. Both have no issues spending.

    I understand why you have to narrow the reason to something you can blame on a political party you have disagreements with rather than an honest look at the roots of performance. There are many schools that are not having money issues yet they are having success issues. When looked at closely, those success issues look very similar to issues in poor funded schools.

    -- Posted by beg on Sat, Jan 29, 2022, at 12:12 PM
  • Beg please give me one example of the schools you describe, and where money was thrown around without any improvement, I can't find anything.

    Also, I'd like to know more about these 'major items that aren't money items' can you be more specific?

    -- Posted by Raker on Sat, Jan 29, 2022, at 1:20 PM
  • **crickets**

    -- Posted by BJCP96 on Sat, Jan 29, 2022, at 4:08 PM
  • They are major! They aren't money items and they are major. That's basically it. Sums it up. Oh, also taking away the hot girl M&Ms is Socialism.

    -- Posted by BJCP96 on Sat, Jan 29, 2022, at 5:29 PM
  • BJ,

    Love the cricket comment! Fair game.

    I chose not to reply because a previous post(s) made it very clear that solid discourse would not be valued (or believed) and personal (not political) attacks were going to be the method used when disagreement occurred. I also don't think this method is desired by the BG based on the statement above the posting box- "Please be respectful of others and try to stay on topic.

    I have no problem with disagreement or even strong counter positions politically but when we get into "dishonest" and "drinking induced" comments, probably doesn't lead to legit conversation. I have tried to ignore these in the past but have decided it is fruitless to do so.

    I look forward to conversing with those who want to have legit conversations. I will try to stay away from engaging with those who prefer personal attacks over intellectual disagreement.

    -- Posted by beg on Mon, Jan 31, 2022, at 11:29 AM
  • @beg I accept your refusal to answer the reasonable questions I asked as more evidence that you're lying. But you'll write several paragraghs to tell me you won't answer because you're upset. OK. Meanwhile, you'll continue leaving passive aggressive troll comments on every article. Classic con-artist's playbook 101.

    -- Posted by Raker on Mon, Jan 31, 2022, at 12:26 PM
  • Your questions were reasonable. Actually thought they were very good and would be good conversation. Don't deny that. The rest of your post proves my point that you have to attack on a personal level rather than have intellectual and political disagreement.

    Upset, no. It is ok. I understand it. You are entitled to your perspective. When someone has a different opinion, often I see personal attacks made like your first and last sentence of the post above. There is no point in entering into those type of conversations and you leave the impression you are closed to considering other perspectives.

    I may be wrong but my perspective.

    Enjoy your Monday and stay safe.

    -- Posted by beg on Mon, Jan 31, 2022, at 2:51 PM
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