Indiana small business thanks governor for focusing on small business, announces key priorities
NFIB State Director Natalie Robinson released the following statement in response Gov. Eric Holcomb’s State of the State Address.
“Small business owners across the state are encouraged by the governor’s agenda for the 2022 legislative session,” said Natalie Robinson, NFIB State Director in Indiana. “Gov. Holcomb is calling for business tax cuts and affordable and transparent healthcare, which are two of the biggest issues facing our entrepreneurs and job creators across the state.”
“NFIB members have spoken and are ready for the governor and legislature to act on tax cuts this year. While Indiana has largely been protected from the burdensome mandates that other states have suffered since COVID-19 hit, we need to do more here in Indiana to help small business help off-set rising inflation. Our hard-working entrepreneurs are confident that the governor will work to make sure that small business owners can continue to recover from the devastating pandemic.”
There is no doubt 2021 was filled with angst and uncertainty for small business in Indiana and around the country. Small business is still recovering from the unprecedented health and economic crisis of 2020, not to mention battling ongoing federal government mandates and proposed tax increases. Sky-rocketing costs of goods and services, supply chain disruptions and record Inflation are proving to be consequences that aren’t going away anytime soon.
These challenges have created an unprecedented workforce shortage and a continued financial burden for small business around the country and in Indiana.
Below are NFIB’s key prioirities this legislative session:
• Business Equipment Tax Cuts
– Many states don’t have this tax at all – especially those in the Midwest.
– The tax value on business equipment decreases over time, but under current Indiana law, the taxes business pay on their machinery and equipment can never fall below 30% of the cost.
– Small business owners shouldn’t have to pay 30% of the original value on old and depreciated equipment that’s worth less that than amount. Eliminating this requirement for new equipment is a step in the right direction but it doesn’t help all of the small business owners that still have to pay on equipment they’ve owned for years. That’s why the more types of equipment that are deemed by statute to be exempt, the better.
• Individual Income Tax Rate Reduction
– Business owners are struggling to find ways to raise compensation and compete with big corporations, especially when the labor shortage is at an all-time-high.
– Approximately 75% of small business members in Indiana are structured as pass-through entities so lowering individual income taxes will substantially benefit our members.
– NFIB supports the proposal which would reduce Indiana’s current individual income tax rate of 3.23% over the next four years to 3.0%.
• Transparency and Affordable Healthcare
– Indiana’s hospital facility fees are the fifth highest in the country.
– Indiana ranks sixth in the nation for hospital price disparities—ahead of New York, California, Massachusetts and other larger states with higher costs of living.
– Small businesses deserve health insurance that is affordable, flexible, and predictable – not rates that top national charts and exceed that of Indiana’s cost of living.
For more than 75 years, NFIB has been advocating on behalf of America’s small and independent business owners, both in Washington, D.C., and in all 50 state capitals. NFIB is nonprofit, nonpartisan, and member-driven. Since our founding in 1943, NFIB has been exclusively dedicated to small and independent businesses, and remains so today. For more information, please visit nfib.com.