Loading chat...
IN HB1135
Bill
Status
1/8/2015
Primary Sponsor
Cherrish Pryor
Click for details
AI Summary
HB 1135 Summary
-
Establishes reduced tax rates for nonresident county taxpayers who work or operate businesses in counties other than their residence; rates are set at one-half the sum of all applicable county income tax rates imposed on residents in the employment county.
-
Provides a tax credit against the taxpayer's county of residence equal to the amount of taxes paid to the county where the taxpayer maintains their principal place of business or employment.
-
Applies to county adjusted gross income taxes, county option income taxes, and county economic development income taxes across all three tax chapters (IC 6-3.5-1.1, IC 6-3.5-6, and IC 6-3.5-7).
-
Requires taxpayers to claim the credit on annual state tax returns and provide documentation to the Department of State Revenue for calculation purposes.
-
Effective January 1, 2016, with provisions expiring January 1, 2018.
Legislative Description
Local option income taxes. Provides that an individual who has a principal place of employment or business in a county other than the individual's county of residence shall pay a county adjusted gross income tax, county option income tax, or county economic development income tax imposed by the county where the individual maintains the principal place of employment or business at a rate that is one-half of the sum of the tax rates imposed on residents of the county under those taxes. Provides a credit against any tax liability imposed by the individual's county of residence equal to the amount
Last Action
First Reading: referred to Committee on Ways and Means
1/8/2015