Larger than expected corporate income tax refunds deepen Indiana revenue woes

INDIANAPOLIS — The state's revenue hole grew another $29.5 million deeper in October, as Indiana unexpectedly paid out more money in corporate income tax refunds than it took in through corporate income tax collections.

October was the second month in Indiana's 2018 budget year, which began July 1, where net corporate income tax revenue was negative for the state, according to revenue data released Monday.

State Budget Director Jason Dudich said the issue is due in part to businesses timing when they pay Indiana's 6 percent corporate income tax, along with faster refund processing by the Department of Revenue.

Dudich also acknowledged that corporate income tax refunds overall are up $52.3 million, or 81.5 percent, compared to the same four-month period a year ago.

Read more: http://www.nwitimes.com/news/local/govt-and-politics/larger-than-expected-corporate-income-tax-refunds-deepen-indiana-revenue/article_aa8ad139-36ad-5382-a7f5-67252082ffed.html