House GOP kills all Democratic amendments on property tax overhaul, increases local government cuts
House Republicans rejected more than a dozen Democratic amendments to their property tax overhaul. The House GOP did, however, adopt changes to make further cuts to local government funding in an attempt to send more to property owners.
House Republicans championed $1.4 billion cuts to local income taxes, generating a now-$300 maximum homestead credit in 2026.
They also made substantial changes to business personal property taxes — which the amendment’s author says is designed to benefit small businesses.
House Speaker Todd Huston (R-Fishers) said the changes made by Republicans are “historic taxpayer savings.”
“Hoosiers have been loud, Hoosiers have been clear. Hoosiers want property tax relief. This is delivering it to them,” Huston said.
However, attempts by Democrats to change Senate Bill 1 were soundly defeated.
The Democratic amendments included increasing tax credits for veterans and seniors, expanding renter tax credits and protecting an appeals process for township funding.
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Rep. Jeff Thompson (R-Lizton), the property tax overhaul’s architect, advocated to defeat every amendment.
“It’s moving money in a circle. It goes in a circle because the key thing is: The amount you can collect from taxpayers has a limit,” Thompson said.
Rep. Greg Porter (D-Indianapolis) said he wants more from Republicans on tax reform.
“Yeah, you’re right, it does have to come from somewhere,” Porter said. “But you know, sometimes you’ve got to have the will to make things happen for our seniors and for our—for individuals who live within our state of Indiana.”
Republicans say two-thirds of Hoosier property owners will pay less in property taxes in 2026 than they will this year. Democrats raised concerns about how the additional cuts to local governments and schools will play out in an updated fiscal analysis.
Lauren is our digital editor. Contact her at [email protected] or follow her on Bluesky at @laurenechapman.bsky.social.
