Property Tax Relief

Indiana legislators say they are close to an agreement on the property tax relief package. The details of the agreement are still being worked out. Indiana legislators are down to the wire but could have a package to vote on by Friday. A property tax relief package many residents have been waiting for. "We have not seen the final product we not even seen the summary of the final product. So were waiting and hopefully well get that summary by the end of today." But what representative Dennis Avery does know is that the tentative package will include caps on property taxes. Taxes for residential property would go no higher than one and a half percent of the assessed value, rentals no higher than- 2 and a half percent, and for businesses its 3 and a half percent. In two years the caps for all properties would go down by a half percent. But theres a problem... "Most property in southwest Indiana are not at one percent . Only about 25 percent area at one percent." Leading a lot of homeowners paying more. And if you add the other increases . "The sales tax goes up by one percent from 6 to 7 and then also a provision for one point income tax." Then representative Avery says a package many thought would decrease their taxes. Could end up costing them more. The agreement also includes the elimination of most township assessors but not all. It doesnt make sense to keep some and not the others. Half the problems come from the larger townships. "Is that gonna make my job easier, no. But we try hard to work together and get along." But Vanderburgh County Assessor Jonathan Weaver and state legislators are still holding out hope. Believing that the final package once revealed will benefit all taxpayers. The legislature has until midnight Friday to pass the package. Governor Mitch Daniels says if that doesnt happen he would call for a special session.