Hoosier State Today

Governor Mike Braun of Indiana has officially signed Senate Bill 1, a property tax relief reform package. The bill achieved passage in the Indiana Senate with a vote of 27-22 before reaching the governor's desk.

Vanessa Green Sinders, President and CEO of the Indiana Chamber of Commerce, stated, "This is landmark legislation for Hoosier employers and citizens – providing both near-term relief for homeowners, businesses, and farmers while initiating long-term structural changes to the state’s property tax system."

According to Sinders, the new legislation will benefit homeowners and foster a favorable environment for capital investment, thereby supporting the growth of key industries in Indiana. The Chamber has long advocated for modernization of the state's business personal property tax structure to maintain competitiveness, especially as neighboring states work on enhancing their business climates.

With the introduction of Senate Bill 1, the business community in Indiana will experience reduced compliance burdens, unlocking further investments throughout the state. Sinders added, "Small- and medium-sized business owners in every corner will directly benefit from increasing the de minimis threshold and exempting new equipment from the 30% depreciation floor."

The bill provides $1.3 billion in property tax relief for homeowners over three years. It also significantly raises the de minimis threshold for the business personal property tax from $80,000 to $2 million over two years and exempts newly acquired property from the 30% depreciation floor. Sinders expressed appreciation towards state leaders by saying, "We applaud the Governor, legislative leaders and lawmakers for helping to put Indiana in an even better position for long-term economic success."

The Indiana Chamber encourages interested parties to contact their public affairs team regarding policies and legislation for further details.