To the Editor:
This week, House Republicans renewed our call for immediate relief for Hoosier property taxpayers, proposing a $200 million relief plan we hope will serve as a blueprint for agreement and action in a special session of the General Assembly.
I delivered a letter to the Governor and other legislative leaders detailing a plan to address the current tax crisis immediately. Our hope is that our 5-point plan will serve as a starting point for discussion and the basis for immediate relief for residential property taxpayers. If consensus can be reached, House Republicans are asking the Governor to call a special session of the General Assembly to adopt the relief plan immediately.
As we have consistently stated since April of this year, residential property taxpayers need more state tax relief and a consistent and predictable tax system. Many taxpayers throughout the state are hard hit and they want and deserve solutions now. Many have said there is no need for a special session unless there is a plan agreed upon in advance. We believe this plan is worthy of strong consideration and adoption.
The five point plan to grant immediate relief to the hardest hit residential taxpayers will: (1) convert the rebate check (which some have predicted will now be issued as late as February of 2008) to a credit on the fall 2007 installment of taxes; (2) extend the deadline for filing of the homestead credit for 2007 to September 15 of this year; (3) grant local counties the flexibility to apply the credit to those individuals and communities hardest hit by recent tax increases; (4) freeze child welfare levies in 2007, with the state picking up all levy increases for 2007 and following years; and (5) appropriate an additional $100 million of state funds toward immediate residential property tax relief. Items 1, 4, and 5 would be distributed as a credit on fall 2007 tax bills.
We unsuccessfully called for each of these measures during the 2007 session. They are now ripe for discussion and action. Of course, permanent reform of our tax system, and from my perspective, the repeal of residential property taxes, must be on the agenda for the next legislative session. House Republicans pledge to work towards a tax system protective of taxpayers and reflective of our 21st century economy. Until then it is imperative that we act now to protect those most threatened by exorbitant property tax increases.
House Republicans have asked the Governor to immediately convene a meeting of the four legislative leaders to see if we can agree upon this course of action, or one similar to it. If reasonable minds can agree, we recommend that a special session is called immediately. Property taxpayers cannot wait until next year for relief.
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