INDIANAPOLIS (AP) — A big jump in Indiana’s state tax collections will result in a refund for taxpayers, although they’ll have to wait for that money.
State officials announced Wednesday that overall tax revenue grew 14% over the past year as collections bounced back stronger than expected from the COVID-19 pandemic recession. That pushed state government’s cash reserves to a record-high $3.9 billion as of June 30. That will trigger the state’s automatic taxpayer refund process for the first time since 2012.
Officials say about $545 million will be refunded to taxpayers as a credit on their state tax returns submitted next year. Officials won’t determine the new refund size until later this year when they know the number of 2020 tax Indiana filers.
