Legislation Promises On-Time Tax Bills

Legislation Promises On-Time Tax Bills

The Indiana House of Representatives voted Tuesday to put an end to taxpayers frustration over receiving late property tax bills. House Bill (HB) 1059 would provide a solution to this problem by ensuring every Hoosier receives a property tax bill on time. The measure passed out of the House by a vote of 97-0. "This is a huge victory for taxpayers who are tired of waiting for their property tax bills to arrive," according to Columbus area Rep. Milo Smith.

Over the last several years, late property tax bills have been a common occurrence across the state. When tax bills are late, local governments are often forced to borrow money in order to pay their bills. Any interest accrued on the borrowed funds must be repaid with tax dollars that could have otherwise been used to provide services.

HB 1059 requires counties that are unable to mail their tax bills on time to instead mail a provisional tax bill that is to be paid in two equal installments on the normal Spring and Fall due dates. The provisional tax bill must be equal to the taxpayer?s actual property tax bill from the prior year. When the county finalizes the actual tax bills, the county must then mail a reconciling statement that settles the difference between what the taxpayer paid on the provisional bill and what the taxpayer actually owes.

Calling the bill "a step in right direction", Rep. Smith says the bill is far from a complete solution. He stressed that his goal is to insure that completed, up-to-date property tax bills are sent out on time.