New Income Tax Rate Being Discussed

According to County Auditor Bob Plantenga, the new tax would increase income taxes from 1.1% to 1.28% in Tippecanoe County.

Posted: Aug 26, 2019 6:15 PM
Updated: Aug 26, 2019 6:25 PM

LAFAYETTE, Ind. (WLFI) - Tippecanoe County residents may soon see their income taxes increase. The Tippecanoe County Council is discussing a new local income tax.

It would increase income taxes from 1.1% to 1.28%. The money would be used to fund public safety needs.

According to County Auditor Bob Plantenga, two thirds of the state's counties have such a tax.

Plantenga said county residents would still have among the lowest income taxes with the new tax.

“There's only 20 counties below us with lower income tax rates. And if we go up the point .18%, we're still like 67th. So we'll not be moving up that much,” said Plantenga.

Plantenga added that the plan would still need several phases of approval.

"If the County Council votes to increase the income tax, it's not a done deal, because then either Lafayette or West Lafayette have to agree to that income tax increase as well,” said Plantenga.

A public hearing for the tax increase will be held on September 5th. It will take place at the Tippecanoe County Office Building at 6 pm.

If passed, the new tax would go into effect starting January 1st, 2020.

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