Local legislators praise House passage of military income tax exemption

Bartholomew County’s state representatives are touting a bill that will exempt active-duty military members from Indiana state income taxes.

State Rep. Ryan Lauer, a Columbus Republican, is a co-author of the bill and a member of the House Veterans Affairs and Public Safety Committee. The new bill would start with a 25% exemption on military pay in 2024 and increase it annually ending with a full exemption by 2027.

Lauer says the exemption is “a great way to say thank you and serves as a motivator for them to call Indiana home.”

State Rep. Jim Lucas, a Seymour Republican who represents part of southern Bartholomew County, is vice-chair of the House Veterans Affairs and Public Safety Committee, and co-author of the bill. He said that veterans, with necessary leadership and technical skills, could help fill the state’s 85,000 open job positions.

Shelbyville Republican State Rep. Jennifer Meltzer, who represents northeastern Bartholomew County, said neighboring states including Michigan and Kentucky offer a complete military income tax exemption for residents. She said that the state’s strong financial standing puts it in the position to cut taxes for those who serve our country.

House Bill 1034 now moves to the Indiana Senate for consideration.

Indiana Statehouse photo courtesy of iga.in.gov