SB 408 – Various Tax Matters
Authored by Sen. Travis Holdman (R-Markle)

Removes references to an out-of-state merchant’s collection of the state use tax. (Under current law, an out-of-state merchant is required to collect the state gross retail tax [not the use tax] on retail transactions made in Indiana if certain threshold conditions are met.) Requires the state geographic information system (GIS) officer, in coordination with the Office of Technology and the Management Performance Hub, to establish a geographic information system with parcel level data for each county that may be used by the state Department of Revenue’s (DOR) tax system. Requires each county to periodically submit certain date to the GIS officer. Makes clarifying and technical changes to the definitions of bundled transaction, unitary transaction and gross retail income in the state sales tax statute, as well as adjusted gross receipts in the sports wagering statute. Removes outdated references to the gross income tax and adjusted gross income tax. Makes a technical correction in the gasoline use tax statute. Full details.

The latest: Passed by the full Senate.

Chamber position: Support in part

Indiana Chamber action/commentary: This would be a good time to take a closer look at this bill, as several amendments have been made to the introduced version. Each year the DOR bill proposes technical, down in the weeds changes that impact a wide array of tax matters. And, consequently, the Chamber is almost always involved in some of its provisions. This year is no exception. We have been engaged in the discussions on the statute of limitations provisions regarding partnership audit adjustments, as well as the “factoring” issues in this bill. These are just examples of things in the bill that need to be reviewed by tax experts. So, if you are such an expert or rely on them to keep track of technical tax issues, this is the bill to review or have reviewed. We encourage scrutiny at this time to make sure the new provisions do no harm. Often adjustments to the adjustments are necessary. Please let us know if you or your expert feel there are things that may need to be fixed before the bill moves through the House Ways and Means Committee.

Resource: Bill Waltz at (317) 264-6887 or email: bwaltz@indianachamber.com