x
Breaking News
More () »

Gov. Holcomb proposes returning $1 billion to Hoosier taxpayers in $225 payments

The proposal comes following higher than expected revenue performance this fiscal year.

INDIANAPOLIS — Gov. Eric Holcomb today announced a plan to return $1 billion of state reserves to Hoosier taxpayers, following higher than expected revenue performance this fiscal year.

Each taxpayer would get about $225. That's in addition to the $125 Hoosiers are currently getting from the state's automatic taxpayer refund. All told, each eligible Hoosier would receive about $350; a married couple filing jointly would receive about $700.

“Hoosiers have real needs right now during this period of high inflation, from the gas pump to buying groceries, and everyone should benefit from the state’s success,” Holcomb said.

The governor has already met with legislators to outline his plan.

“I’ve committed to work with them to call a special session before the end of June to take action to align this second round of returns with our current ATR,” Holcomb said. 

The governor's office said revenues for 11 months of the fiscal year are $1.075 billion over forecast. The revenue for just May was $209 million over forecast.

If approved, an additional deposit would be made to the bank accounts of eligible Hoosiers. For those who will receive paper checks beginning in August, one check for $350 for individual taxpayers, or $700 for those filing jointly, would be issued (that amount includes the original $125 automatic taxpayer refund and the proposed additional payment).

The one-time payments will go to direct deposit if a taxpayer:

  • filed an Indiana resident tax return for 2020 before Jan. 3, 2022; and
  • filed a 2021 Indiana resident tax return by April 18, 2022; and
  • listed direct deposit checking or savings account information for your 2021 Indiana income tax refund.

Taxpayers will receive a mailed check from the Auditor of State if they:

  • do not meet the requirements for direct deposit; or
  • filed for an extension of time to pay on their 2021 Indiana resident tax return; or
  • included directed deposit information for an account associated with refund advance loans or similar arrangements; or
  • could not otherwise have a direct deposit sent to their bank account.

Lauren Ganapini, Executive Director of the Indiana Democratic Party, issued the following statement in response to the governor's plan.

“It’s encouraging to see Governor Holcomb and Indiana Republicans finally realize that there are ways the state government can combat global inflation. That said, it shouldn’t have taken this long to get the Republicans to actually act and produce what looks like another bare-minimum band-aid for Indiana’s long-term problems.

Indiana Democrats had the foresight and called on the state to pause its gas tax back to help Hoosiers make ends meet. This win-win solution only adds to the Democrats’ plan to address rising costs across the state. But unfortunately, the Indiana GOP proves (again) they have no plans for our future - just election-year performance and partisanship.”

 

Paid Advertisement

Before You Leave, Check This Out