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Bill > HB1427


IN HB1427

IN HB1427
Income tax replacement.


summary

Introduced
01/16/2024
In Committee
01/16/2024
Crossed Over
Passed
Dead
03/15/2024

Introduced Session

2024 Regular Session

Bill Summary

Income tax replacement. Eliminates the state adjusted gross income tax by reducing the rate to 0%. Provides that the reduction in revenue resulting from the elimination of the state income tax must be offset by adjustments to the state gross retail tax. Provides that in calculating the local income tax (LIT), which is imposed based on a local taxpayer's state adjusted gross income, the calculation of a taxpayer's state adjusted gross income for LIT purposes shall be calculated under the adjusted gross income tax provisions as if those provisions, and the most recent adjusted gross income tax rate before its elimination, were still in effect.

AI Summary

This bill eliminates the state adjusted gross income tax by reducing the rate to 0% and requires the resulting reduction in revenue to be offset by adjustments to the state gross retail tax. It also provides that for the purposes of calculating the local income tax (LIT), which is based on a local taxpayer's state adjusted gross income, the calculation of the taxpayer's state adjusted gross income shall be done as if the most recent adjusted gross income tax rate before its elimination were still in effect.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

First reading: referred to Committee on Ways and Means (on 01/16/2024)

bill text


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