Indiana legislation · 2026 Regular Session
Indiana HB1345: A BILL FOR AN ACT to amend the Indiana Code concerning health.
Status: In committee, January 6, 2026
Various food matters.
What the bill says
A bill FOR AN ACT to amend the Indiana Code concerning taxation. SUMMARY: Income tax replacement. Eliminates the state adjusted gross income tax by reducing the rate to zero. Provides that the reduction in revenue resulting from the elimination of the state adjusted gross 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 in.
From the introduced text, May 16, 2026:
A BILL FOR AN ACT to amend the Indiana Code concerning taxation. SUMMARY: Income tax replacement. Eliminates the state adjusted gross income tax by reducing the rate to zero. Provides that the reduction in revenue resulting from the elimination of the state adjusted gross 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.
Sponsors
- Kendell Culp (R, HD-016) · primary sponsor
Latest actions
- : First reading: referred to Committee on Public Health
- : Authored by Representative Culp
Subjects: AGRICULTURE; Food and Food Processing, AGENCIES; Department of Health (IDOH), HEALTH; Local Boards and Programs, ADMINISTRATIVE LAW; Generally, COUNTY GOVERNMENT, LOCAL GOVERNMENT; Employees, LOCAL GOVERNMENT; Generally