Todd Huston

Senate, House Sparring Over 'Double Direct' Tax

Mar 18, 2015
Dave Dugdale / https://www.flickr.com/photos/davedugdale/

Legislators are taking another stab at streamlining the so-called "double direct" tax exemption for business.

Farms and manufacturers don‘t owe sales tax on equipment if it‘s directly used in production. The difficulty in interpreting that test prompted Governor Pence to make it a key element of his tax simplification bill.

But the House deleted the simplifications after analysts reported they would cost the state a quarter-billion dollars a year.

PT Money

A measure aimed at simplifying the state’s tax code is on its way to the House floor.

But the version committee members passed doesn’t include as many changes as Gov. Mike Pence was pushing for.

Pence’s proposed tax bill, sponsored by Rep. Todd Huston, R-Fishers, aims to simplify the tax code by, in part, eliminating more than two dozen tax credits. It also included a change to a sales tax exemption for Hoosier businesses.

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