To the Editor:
I recently listened to an episode of the All Indiana Politics podcast from WISH-TV. They interviewed current Lt. Governor and Gubernatorial candidate, Suzanne Crouch, on her goal of repealing the Indiana Income Tax. Unfortunately, WISH-TV does a disservice to Hoosiers by allowing Crouch to escape unscathed while she gave mealy-mouthed answers to real concerns.
When asked how she would replace lost income tax revenue, Crouch had the audacity to say that the “how” isn’t important to her — she simply wants to get money back into Hoosier’s pockets. An admirable goal for sure, but here’s the kicker: according to the Indiana State Budget Agency, Indiana’s already low 3% flat tax rate makes up a whopping 35% of state tax revenue! Crouch offers no answer in the interview or on her campaign website on how Indiana would recoup over one-third of its lost tax revenue. Indiana already spends approximately 45% of its budget on education, and approximately 25% on health and human services. To “Axe the Tax”, as Crouch wants, would leave Indiana less educated and less healthy. Never mind the fact that Indiana is already considered one of the least-educated and least-healthy states in the nation.
When asked about other states such as Texas or Florida, who have no income tax, Crouch again fails to answer. She says that she wants Indiana to be a leader among states. The only problem is that Indiana is not Texas or Florida. In 2023, Texas received almost $25 billion in oil and gas tax revenue, and Florida regularly received upwards of $100 billion in tourism revenue. I don’t know if you noticed, but Indiana is lacking in oil and tourist attractions. Other states with no income tax revenue also pay the price: South Dakota and Wyoming spend the least on education. New Hampshire and Texas have some of the highest property taxes in the nation. Washington state’s gasoline tax is a whopping 69% higher than Indiana’s.
Let’s look at what this “Axe the Tax” position really is about: reducing the tax burden for the rich. Indiana’s mean salary is roughly $55,000. At our current 3% tax rate you would expect to pay about $1,600 in income tax. In the grand scheme of things, not a huge savings when you consider the fact that other taxes will have to go up to replace that revenue. Meanwhile, someone who makes $1 million dollars per year would save a whopping $30,000. Repealing the state income tax would be a grave disservice to Indiana, and to suggest the motive is to put money in Hoosier’s pockets is laughable. Do not Axe the Tax.
Andre Pawlowski
New Palestine
