Indiana Capitol Chronicle: Indiana Lawmakers To Weigh Joining Trump’s Tax Cuts

One worry with Indiana adopting all the federal changes is that it would further reduce the state’s tax base, said Neva Butkus, a senior analyst for the nonprofit Institute on Taxation and Economic Policy. That could make the state more dependent on its 7% sales tax — among the highest in the country — that now draws in nearly half of the state’s revenue. Butkus said the federal tax changes directed a disproportionate share of savings toward the wealthy.

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