Budget & Taxes

Specifies that a board of trustees of a regional water, sewage, or solid waste district (board) must notify the district authority in writing before taking certain actions. Provides that a trustee appointed to a board serves at the pleasure of the appointing authority. Prohibits a regional water, sewage, or solid waste district (district) created after June 30, 2026, from incurring any indebtedness without first obtaining the approval of the county fiscal body. Specifies that if a district created after June 30, 2026, contains territory in more than one county, the district must first obtain the approval of each county fiscal body in which the district contains territory before incurring any indebtedness. Establishes a timeline for the county fiscal body to approve or deny a district's request to incur indebtedness.

Provides that if the implementation and compliance costs of a proposed rule, provisional rule, or interim rule exceed $100,000 (instead of $1,000,000) over a two year period: (1) the rule cannot be published in the Indiana Register until the budget committee has reviewed the rule; (2) the budget agency and the office of management and budget may not approve any part of the proposed rule prior to review by the budget committee; and (3) in the case of a provisional rule or an interim rule, the governor may not approve a rule prior to the budget committee's review of the rule. Provides that an agency may adopt a rule only if the agency has demonstrated to the satisfaction of the governor that certain circumstances exist. Specifies that provisional and interim rulemaking may be used only under specified circumstances if the combined implementation and compliance costs would not exceed $500,000 for businesses, units, and individuals if effective over a two year period.

Amends the economic development for a growing economy (EDGE) tax credit to: (1) authorize the Indiana economic development corporation (IEDC) to increase the value of an EDGE credit to a company for new job creation based on the amount of expenses of the company to relocate an individual to Indiana to fill the position; and (2) explicitly permit the IEDC to provide EDGE credits to a company that is retaining an employee through a minimum of a 25% increase in hourly wages paid to the individual. Clarifies provisions that apply to IEDC certification of a fund as a qualified Indiana investment fund.

Authorizes the city of New Haven to impose an innkeeper's tax at a flat rate that does not exceed $5 per night. Amends provisions regarding distribution and uses of the Hamilton County innkeeper's tax. Makes corresponding changes to statutes concerning innkeeper's tax administration.

Provides an income tax deduction for theft losses that result from certain financial transactions induced by third parties and that cause the individual to incur federal gross income as a result of the theft. Requires the department of state revenue to first certify the theft loss deduction before a taxpayer may claim the deduction in a taxable year.

Allows the Delaware County executive to adopt an ordinance to consolidate the functions of a board, bureau, commission, authority, or any other similar entity (former entity) authorized to administer funds received from the Delaware County: (1) innkeeper's tax; or (2) food and beverage tax; into a single, consolidated entity as designated in the consolidating ordinance. Specifies that if a consolidating ordinance is adopted, each former entity is abolished on the date the ordinance is adopted, the term of a member serving on each former entity ends on the date the ordinance is adopted, and a subsequent ordinance may not be adopted to restore a former entity and transfer the powers, duties, and responsibilities of innkeeper's tax and food and beverage tax administration back to the former entity. Sets forth transitional provisions that must be included in the ordinance.