INDIANAPOLIS (AP) — A top Indiana lawmaker is floating the idea of using an online sales tax to help replace revenue that would be lost if a proposal to eliminate the state's inheritance tax becomes law.
Kenley is chairman of the Senate Appropriations Committee. He says an online sales tax would be "a perfect replacement for the estate tax."
Indiana would lose about $165 million a year starting in 2020 if lawmakers eliminate the state's inheritance tax.
Kenley says an online sales tax would be almost a "one-for-one replacement" for the estate tax. Currently only online retailers with a physical location in Indiana must collect sales tax.
Information from: The Times, http://www.thetimesonline.com