Bill > HB1132

This bill establishes a new food and beverage tax for Rush County, allowing the county's fiscal body to adopt an ordinance imposing an excise tax up to 1% on prepared food and beverage transactions within the county. The tax would apply to foods served, heated, or prepared by retail merchants for consumption, such as restaurant meals, takeout food, and prepared items, but would not apply to transactions already exempt from state gross retail tax. The tax must be imposed in 0.25% increments and would be collected and administered similarly to the state gross retail tax. Revenues from the tax must be deposited into a dedicated food and beverage tax receipts fund and can only be used for tourism and economic development purposes or to pledge for related bonds and obligations. The tax would be effective from the date specified in the ordinance and would automatically terminate on July 1, 2047. Before adopting the ordinance, the county fiscal body must hold at least one public hearing specifically discussing the proposed tax, and upon adoption, must immediately send a certified copy of the ordinance to the state department of revenue.

Budget and Finance

https://iga.in.gov/legislative/2026/bills/house/1132/details