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
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.