Bill > HB1213

This bill amends Indiana law to eliminate the sales tax on household utility use, effective July 1, 2026. Specifically, it clarifies that a power subsidiary or a public utility, such as those providing electricity, natural gas, water, or steam, will no longer be considered a retail merchant making a taxable retail transaction when selling these services for domestic consumption. This change aims to reduce the cost of essential utilities for households by removing the sales tax that would otherwise apply. The bill also includes provisions to define when a retail transaction is considered to have occurred after the effective date, generally based on delivery, but with an exception for agreements and payments made before July 1, 2026.

Budget and Finance

https://iga.in.gov/legislative/2026/bills/house/1213/details