Property tax relief could be on the way

LAFAYETTE, Ind. (WLFI) - Indiana Senator Evan Bayh made a stop in Lafayette to stress the need for permanent property tax relief.

In front of a middle-class family's home, Senator Bayh discussed federal legislation he proposed to help 582,000 homeowners.

The bill would extend property tax relief for Hoosiers who do not itemize their federal tax deductions.

Bayh said he authored and passed the same legislation last year and that is set to expire later this year.

Lafayette residents Matt and Kristy Gaskin said the tax relief is needed during these tough economic times.

"Even though we love our house, I don't have to tell you it's expensive as well. The mortgage, utility bills, repairs, maintenance, things like that. And of course property taxes all cost us a lot of money," said Gaskin.

"Later this summer, the property tax assessments will go out. A couple of years ago we all got sticker shocked when the property tax bills we all received went up substantially. That's when I started thinking about what we could do to help deal with the situation. This is mostly a state and a local issue, but I thought if the federal government could help we should," said Bayh.

Senator Bayh said there is a lot of support for the bill, including from President Barack Obama.

The legislation also aims to lift property tax caps on homeowner deductions.

Bayh said this would allow families to deduct the full amount of their local and state property tax bill from what they pay the federal government.