HB1284

Indiana HB1284 amends local income tax rates and distribution rules.

Indiana HB1284 modifies local income tax rates and distribution rules. It allows counties to impose up to a 0.7% rate for general purpose revenue, down from 1.2%. It reduces the rate for fire protection and emergency medical services from 0.4% to 0.2%. It also allows cities and towns to impose a local income tax rate up to 1.9%, effective after December 31, 2027. The bill changes the population threshold for cities and towns to impose a municipal local income tax rate.