Summary:
Pence supported the Bush tax cuts:
Pence supported reducing the capital gains tax:
Pence opposed the estate tax:
Pence voted against measures that taxed the wealthy:
Pence supported a flat tax:
While Governor of Indiana, Pence supported tax policies the benefited the wealthy and businesses:
2001: Pence Voted For The 2001 Bush Tax Cuts, Which Cut Taxes By $1.35 Trillion Over 11 Years. In May 2001, Pence voted for a conference report to H.R. 1836 that, according to Congressional Quarterly, “would reduce taxes by $1.35 trillion through fiscal 2011 through income tax rate cuts, relief of the ‘marriage penalty,’ a phase out of the federal estate tax, doubling the child tax credit, and providing incentives for retirement savings. A new 10 percent tax rate would be created retroactive to Jan. 1, and taxpayers would get rebate checks this summer of $300 for singles and $600 for couples. The bill would double the $500-per-child tax credit by 2010 and make it refundable; raise the estate tax exemption to $1 million in 2002 and repeal the tax in 2010; increase the standard deduction for married couples to double that of singles, beginning in 2005; and increase annual limits on contributions for Individual Retirement Accounts to $5,000.” The House agreed to the conference report on the bill by a vote of 240 to 154. After the Senate also agreed to the conference report, the bill was sent to the president, who signed it into law. [House Vote 149, 5/26/01; Congressional Quarterly, 5/26/01; Congressional Actions, H.R. 1836]
2003: Pence Voted To Provide $350 Billion In Tax Breaks Over 11 Years, Including Reducing The Capital Gains Tax Rate By 5 Percentage Points And Taxing Dividends As Capital Gains Rather Than As Ordinary Income. In May 2003, Pence voted for adopting a conference report that, according to Congressional Quarterly, “provide[d] $350 billion in tax breaks over 11 years. It [] provide[d] $20 billion in state aid that consist[ed] of $10 billion for Medicaid and $10 billion to be used at states’ discretion. The agreement include[ed] a new top tax rate of 15 percent on capital gains and dividends through 2007 (5 percent for lower-income taxpayers in 2007 and no tax in 2008). Income tax cuts enacted in 2001 and scheduled to take effect in 2006 [were] accelerated. The child tax credit [] increase[d] to $1,000 through 2004. The standard deduction for married couples [was] double that for a single filer through 2004. Tax breaks for businesses [] include[d] increasing the deduction that small businesses could take on investments to $100,000 through 2005.” The House adopted the conference report on the bill – titled the Jobs and Growth Tax Relief Reconciliation Act of 2003 – by a vote of 231 to 200. Afterwards, the Senate also agreed to the conference report and the president signed the bill into law. [House Vote 225, 5/23/03; Congressional Quarterly, 5/23/03; Congressional Actions, H.R. 2]
Bill Reduced Income Tax Rates For All Tax Brackets. According to Bloomberg, “Bush’s 2001 law reduced marginal income-tax rates across the board. The top rate was scaled back from 39.6 percent to 35 percent. The 36 percent, 31 percent and 28 percent brackets fell by three percentage points. The 15 percent bracket on the lowest incomes was split into two to include a 10 percent bracket at the lower-income end.” [Bloomberg, 9/28/12]
Bill’s Tax Changes Disproportionately Benefited Top 1 Percent Of Income Earners. According to William Gale and Samara Potter of the Brookings Institution, “[T]his section examines the distribution of tax cuts across households in the current generation. We find that, by a variety of reasonable measures, the tax cut is disproportionately tilted toward high-income households. […] Table 5 shows that EGTRRA raises after-tax income by 6.3 percent for households in the top 1 percent of the income distribution, compared to 2.8 percent or less for other groups and less than 1 percent for the bottom quintile. Hence, EGTRRA will make the distribution of after-tax income less equal. Both the income and estate tax contribute significantly to benefits for the top 1 percent. Estate tax repeal raises after-tax income by 2.3 percent, while the income tax cuts raise after-tax income by 4 percent, more than the total tax cut for any other group.” [Gale and Potter, “An Economic Evaluation of the Economic Growth and Tax Relief Reconciliation Act Of 2001,” 3/02]
The Tax Policy Center Found That The Combined 2001 And 2003 Tax Cuts Were Regressive And Would Raise After-Tax Income By A Greater Percentage For High-Income Households Than For All Other Households. According to the Tax Policy Center, “The percentage change in after-tax income, TPC’s preferred measure for comparing the benefits of tax cuts across income groups, rises under this scenario as income rises, from an increase of 0.3 percent in after-tax income in the bottom quintile (see table) to a rise of 4.3 percent in the top quintile. It rises even further within the top quintile, with a 6.4 percent increase for the top 1 percent and a 7.5 percent increase for the top 0.1 percent (not shown). Thus the tax cuts would be regressive, raising after-tax income by a greater percentage for high-income households than for all others.” [Tax Policy Center, 1/23/08]
Pence Wanted To Make Bush Tax Cuts Permanent. While appearing on CNBC, Pence said, “We absolutely have to make the president’s tax cuts permanent, they have created the expanding economy that Americans are enjoying today.” [CNBC, 3/8/06]
2010: Pence Called On Congress To “Permanently Extend The 2001 And 2003 Tax Rates To Ensure No American Faces A Tax Hike.” While appearing at Detroit Economic Club, Mike Pence said, “To end the uncertainty that is stifling investment, innovation and growth, we must preserve current tax rates and promote permanent tax reform. For starters, of course, Congress must permanently extend the 2001 and 2003 tax rates to ensure no American faces a tax hike on January 1st, and I have introduced a bill with Sen. Jim DeMint to do just that. Most Americans know that higher taxes won’t get anybody hired. Raising taxes on job creators won’t create jobs.” [Detroit Economic Club, 11/29/10]
2011: Pence Introduced Legislation That Would Have Permanently Extended The Bush Tax Cuts And Repealed The Estate Tax. According to CRS via Congressional Quarterly, Pence sponsored H.R. 696, which “Eliminates: (1) the terminating date of the Economic Growth and Tax Relief Reconciliation Act of 2001, thus making the tax relief provisions of such Act permanent; and (2) the terminating date of the Jobs and Growth Tax Relief Reconciliation Act of 2003 applicable to reductions in the tax rate for dividend and capital gain income. Amends the Internal Revenue Code to: (1) phase-in between 2011 through 2021increases in the exemption amount for the alternative minimum tax (AMT); and (2) make permanent offsets against the AMT for certain nonrefundable tax credits. Makes permanent the repeal of the estate, gift, and generation-skipping transfer taxes for decedents dying, gifts made, and generation skipping transfers after December 31, 2009.” The bill was never considered by the full House. [CRS via Congressional Quarterly, 3/12/11; Congressional Actions, H.R. 696]
December 2010: Pence: A Permanent Extension Of The Bush Tax Cuts Was The “First Step” To Get The Economy Moving. According to the transcript of a Mike Pence interview with MSNBC obtained via Federal News Service, “PENCE: PENCE: Well, I -- what I hope to see, what I know that John Boehner and Eric Cantor delivered as a message yesterday was that House Republicans believe that we should not raise taxes on any American in January, not one. And we ought to be extending all the current tax rates. Jim DeMint and I actually have introduced legislation to permanently extend these tax rates as a first step toward getting this economy moving again.” [Federal News Service, 12/1/10]
August 2010: Pence Called The Expiration Of The Bush Tax Cuts, “One Of The Largest Tax Increases In American History.” According to the transcript of a Mike Pence interview with CNBC obtained via Federal News Service, “PENCE: Well, look, the Democrats have made it clear that they intend to stand firm on allowing one of the largest tax increases in American history to take effect on January 1st for small-business owners, family farmers, American business. But you know, it’s one of my frustrations for being here in Washington talking to you instead of at my job fair in Muncie, Indiana today, and that is, I think the longer members of Congress in both parties are home, the more they’re going to continue to hear from their constituents that they want to get spending under control, they want to get the economy moving, and they don’t want to see taxes go up in January on any American.” [Federal News Service, 8/10/10]
July 2010: Pence Claimed Taxes Would Increase For The “Job Creators” If The Bush Tax Cuts Were Only Extended For Middle Class Americans. According to the transcript of a Mike Pence interview with FOX News obtained via the Federal News Service, “DOOCY:Right. And the Democrats say, well, we would like to extend the Bush-era tax cuts for the middleclass. But those evil successful people at the top 3 or 4 or 5 percent -- the so-called rich Americans -- we’re going to continue to tax them at a higher rate. And when you talk about those rich Americans, really, you’re not talking about Donald Trump or a member of the Rockefeller family. You’re talking about a lot of people who own and operate America’s small businesses, which is where a lot of people get their jobs. PENCE: Well, that’s right. Let’s remember, this is the worst economy in 25 years. The economic policies of this administration, which have just amounted to more spending and more borrowing and more bailouts -- as well as government takeovers -the economic policies of this administration have failed. And the very idea that we would raise taxes on job creators during the worst recession in 25 years is just -- frankly, it’s astounding to millions of Americans.” [Federal News Service, 7/27/10]
August 2010: Pence Believed Allowing The Bush Tax Cuts To Expire For “Job Creators” Made “No Sense.” According to thet transcript of a Mike Pence interview with CNBC obtained via Federal News Service, “KUDLOW: Have you or Mr. Boehner or Mr. Cantor or anyone actually submitted a full extension for all the Bush tax cuts? Is that actually in bill form? PENCE: I don’t know if we’ve dropped it yet, but that’s a debate that we are preparing for this fall. The Democrats continue to indicate that they intend to preserve tax cuts for so-called middle- class Americans. And you know, we certainly welcome that. But the idea of raising taxes on any Americans, particularly job creators, during the worst economy in the last quarter of a century makes no sense to millions of Americans. And Republicans are going to have the alternatives. We’re going to make the fight.” [Federal News Service, 8/10/10]
1989: Pence Argued That Capital Gains Tax Cuts Resulted In Economic Growth. In a letter to the Indianapolis Star, Pence wrote, “Common sense prevailed on Sept. 18 as the House of Representatives voted 239-190 to reduce the capital gains tax. Against the vigorous opposition of liberal Democrats, including Rep. Phil Sharp, conservatives of both parties managed to return the capital gains tax to slightly below its 1986 level of 20 percent, and in so doing ensured vigorous growth in the nation’s economy. Although House Democrats referred to the legislation as ‘immoral’ and ‘a financial disaster for the country,’ the evidence is clear that a reduction in the capital gains tax rate increases revenues, stimulates economic growth and creates jobs.” [Indianapolis Star, 11/14/89]
2009: Pence Voted To Suspend Capital Gains Taxes For 2009 And 2010. In April 2009, Pence voted to suspend capital gains taxes for the remainder of 2009 and 2010, as part of Rep. Paul Ryan’s (R-WI) proposed budget resolution covering fiscal years 2010 to 2019. According to the House Budget Committee, “This budget eliminates capital gains taxes for the balance of 2009 and all of 2010.” The vote was on adopting the budget as a substitute amendment, the amendment failed by a vote of 137 to 293. [House Vote 191, 4/2/09; House Budget Committee, 4/1/09]
The Pence-DeMint Tax Relief Certainty Act Would Prevent Tax Increase On Capital Gains And Dividends Income. According to a Mike Pence press release obtained via The Office Of Rep. Mike Pence, “The Pence-DeMint Tax Relief Certainty Act would: […] Prevent the tax increase on capital gains and dividends income for all Americans, rather than allowing the Democrats to increase the rates to 20% from the current 15%;” [Office Of Rep. Mike Pence, 2/14/11]
Hill: Capital Gains Tax Cuts, “Regressive.” According to the Hill, “Republicans get regressive on tax reform […] The capital gains rate would decline from its current rate of 20 percent to a range between 6 percent and 16.5 percent with similar treatment for dividend and interest income (currently scaled at the personal income rates from 15 percent to 33.9 percent). Most tax returns would be submitted on a form the size of a postcard. Businesses could write off capital investments immediately (rather than currently amortizing the cost over the equipment’s useful life).” [Hill, 7/18/16]
Low Capital Gains Tax Rates Benefitted The Wealthy. According to the Washington Post, “For the very richest Americans, low tax rates on capital gains are better than any Christmas gift. As a result of a pair of rate cuts, first under President Bill Clinton and then under Bush, most of the richest Americans pay lower overall tax rates than middle-class Americans do. And this is one reason the gap between the wealthy and the rest of the country is widening dramatically. The rates on capital gains — which include profits from the sale of stocks, bonds and real estate — should be a key point in negotiations over how to shrink the budget deficit, some lawmakers say.” [Washington Post, 9/11/11]
Pence Said The Death Tax Was Created Because “Congress Thought It Should Prevent The Transmission Of Wealth Inequalities Through Inheritance,” Suggesting He Disagreed With That. According to a press release from Rep. Pence, “‘The death tax, was enacted in 1916 primarily to raise revenues for World War I, but also because Congress thought it should prevent the transmission of wealth inequalities through inheritance. Last I checked, however, World War I is long over and there is something terribly wrong with taxing dead people. In fact, it is downright harmful to a capitalist economy like ours.’” [Press Release – Office of Rep. Pence, 4/13/05]
Pence: The Death Tax “Is Perhaps The Most Disgraceful Tax Levied By The Federal Government.” According to a press release from Rep. Pence, “‘Unfortunately, even though we’ve voted to repeal the death tax before, it is down but not out. Because of an antiquated rule in the Senate, it will rear its ugly head in full in 2011. That is why we must vote to fully repeal the death tax today. ‘This is perhaps the most disgraceful tax levied by the federal government. It punishes people who work hard, take risks and invest in farms and small businesses.’” [Press Release – Office of Rep. Pence, 4/13/05]
Pence: “I Believe Death Taxes Are Immoral. I Believe It Is Morally Wrong To Make Death A Taxable Event.” According to a Mike Pence press release obtained via Congressional Press Releases, “‘And let me just say that I believe death taxes are immoral. I believe it is morally wrong to make death a taxable event. I believe it is also morally wrong to say to small business owners and family farmers, and any American whatever their means, that after a lifetime of obeying the law and a lifetime of paying your share honestly and legally to the Federal Treasury, that we will make your death a taxable event.’” [Congressional Press Releases, 6/22/06]
December 2010: Pence Proposed Amendment That Would “Permanently Repeal The Immoral And Unfair Death Tax.” According to a Mike Pence press release obtained via The Office Of Rep. Mike Pence, “The Pence Amendment would provide certainty to American taxpayers in four areas. […] Second, it would permanently repeal the immoral and unfair death tax.” [Office Of Rep. Mike Pence, 12/15/10]
Pence Said The Death Tax Was Created To Fund World War I, During “The Very Nascent Time Of Socialism On The World Stage.” According to a Mike Pence press release obtained via Congressional Press Releases, “‘I would prefer in the balance of my remarks to speak not about an estate tax, because I don’t know too many estates in eastern Indiana, but I’d rather talk about the death tax, because this a tax that is death to the American dream for small business owners and family farmers all across eastern Indiana. ‘And it is why I have dedicated myself in my nearly three terms in Congress to the principle of ending this immoral tax, a tax which, by the way, was instituted in 1916 primarily to raise revenues for World War I.’ ‘It was a product of a time where the redistribution of wealth was seen globally to be an acceptable practice of economics. It was the very nascent time of socialism on the world stage, and America embraced this principle of redistribution with the estate tax in 1916.’” [Congressional Press Releases, 6/22/06]
Pence, 2000: “Congress Should Repeal The Death Tax.” According to Mike Pence For Congress, “• Congress should repeal the death tax.” [Mike Pence For Congress via Wayback Machine, 2000]
2003: Pence Voted To Repeal The Estate Tax Permanently. In June 2003, Pence voted for legislation that according to Congressional Quarterly, would have “ma[d]e permanent the repeal of the estate tax contained in the 2001 tax cut law (PL 107-16) and which [expired] after 2010.” The House passed the bill by a vote of 264 to 163; however, the Senate took no substantive action on the measure. [House Vote 288, 6/18/03; Congressional Quarterly, 6/18/03; Congressional Actions, H.R. 8]
December 2010: Pence’s Tax Reform Legislation Permanently Repealed The Estate Tax. According to the transcript from a Mike Pence press conference obtained via Federal News Service, “PENCE: Senator Jim DeMint and I are introducing legislation that will ensure that no American, small-business owner or family farmer will see a tax increase on January 1, 2011, 2012, 2013 and beyond. The legislation that we’ll introduce would protect small businesses and family farms by permanently repealing the death tax, finally fixing the flawed AMT legislation, and providing a permanent extension of all current tax rates in the law.” [Federal News Service, 12/2/10]
Pence Signed The Budget, Which Included An Elimination Of Indiana’s Inheritance Tax. According to the Evansville Courier & Press, “The budget also includes two items Pence had not advocated - the immediate elimination of Indiana’s inheritance tax and a reduction in the state’s financial institutions tax, which together will cost the state $170 million in revenue a year. Pence said Monday that he only accepted the deal that House and Senate leaders were offering on Wednesday night, two days before the chambers cast their votes. ‘We came to this process right to the end, vigorously advocating for what we thought was going to be the best tax relief for Hoosiers,’ Pence said. ‘But in the end, I’m convinced that a combination of income tax relief, full repeal of the inheritance tax, and tax relief with respect to our financial institutions in Indiana was just the right tax relief at the right time. But it came very late in the process.’” [Evansville Courier & Press, 4/30/13]
CBPP: “The Estate Tax Thus Limits, To A Modest Degree, The Large Tax Breaks That Extremely Wealthy Households Get On Their Wealth As It Grows, Which Can Otherwise Go Untaxed.” According to the Center On Budget And Policy Priorities, “The federal estate tax is a tax on property (cash, real estate, stock, or other assets) transferred from deceased persons to their heirs. Only the wealthiest estates pay the tax because it is levied only on the portion of an estate’s value that exceeds a specified exemption level — $5.43 million per person (effectively $10.86 million per married couple) in 2015.[2] The estate tax thus limits, to a modest degree, the large tax breaks that extremely wealthy households get on their wealth as it grows, which can otherwise go untaxed.” [Center On Budget And Policy Priorities, 3/23/15]
CBPP: “Estate Tax Is Best Characterized As A Tax On Very Large Inheritances By A Small Group Of Wealthy Heirs; Repeal Would Amount To A Massive Windfall For Those Heirs.” According to the Center On Budget And Policy Priorities, “Thus, the estate tax is best characterized as a tax on very large inheritances by a small group of wealthy heirs; repeal would amount to a massive windfall for those heirs. That’s why it is misleading to characterize the tax as the ‘death tax,’ as repeal advocates often do. Rather, as other observers such as the columnist E. J. Dionne have said, estate tax repeal could be more appropriately called the ‘Paris Hilton tax cut.’” [Center On Budget And Policy Priorities, 3/23/15]
2000: Pence Called For Passing The Armey-Shelby Flat Tax Proposal. According to Mike Pence For Congress, “• Congress should adopt the Armey-Shelby Flat Tax Proposal (H.R. 1040/S.1040) sponsored by House Majority Leader Richard Armey (R-TX) and Senator Richard Shelby (R-AL). Under the Armey-Shelby proposal, two simple postcard size forms would replace the current tax code’s 703 forms.” [Mike Pence For Congress via Wayback Machine, 2000]
2012: Pence Voted To Allow Taxpayers To Choose Between The Current Tax System And Two Bracket Tax System. In March, 2012, Pence voted to support allowing taxpayers to choose between the current tax system and a more flat tax system, as part of the Republican Study Committee’s proposed budget resolution covering fiscal years 2013 to 2022. According to the Republican Study Committee, “Modeled on the RSC’s Taxpayer Choice Act of 2007 (H.R. 3818 in the 110th Congress), the legislation gives taxpayers the choice of staying with the current tax code or switching to a simple, flatter and fairer system.” The vote was on an amendment to the House budget resolution replacing the entire budget with the RSC’s proposed budget; the amendment failed by a vote of 136 to 285. [House Vote 149, 3/29/12; Republican Study Committee, 3/12]
Dean Baker: “The Flat Tax Means A Large Tax Cut For Rich People.” According to a column by Dean Baker and published by US News & World Report, “Confusing a simple tax code with a flat tax is a cheap political stunt. The number of tax brackets doesn’t affect simplicity at all. Regardless of the number of brackets, there is only one calculation needed. The instruction is simple. It looks like this: ‘pay $1,000, plus 15 percent of income above $50,000.’ You can have a flat tax or 100 tax brackets, it is the same formula. Even a Republican presidential candidate can figure it out. The other part of the story is that the flat tax means a large tax cut for rich people. Every economist who has examined flat tax proposals over the years comes to that same conclusion: A flat tax means the rich pay less. And if the rich pay less and we raise the same amount of money, then someone else has to pay more. And the someone in this story is the middle class. It really is that simple.” [Dean Baker Column – US News & World Report, 11/1/11]
CNBC: “If A Flat Tax Hit All Households With, Say, A 15 Percent Rate That Would Mean Taxes On The Bottom Fifth Would Increase More Than Sevenfold, While The Top 1 Percent Would See Their Taxes Cut Almost In Half.” According to CNBC, “A 2011 Congressional Budget Office study, for example, found that American households in the lowest fifth of the income ladder paid about 2 percent of their income in federal taxes. The top fifth paid 21 percent of their total income and the top 1 percent paid 29 percent. So if a flat tax hit all households with, say, a 15 percent rate that would mean taxes on the bottom fifth would increase more than sevenfold, while the top 1 percent would see their taxes cut almost in half.” [CNBC, 11/12/15]
Summary:
In 2011, Pence announced he would run for governor of Indiana. As part of his platform, Pence proposed a series of tax cuts for Hoosiers, specifically a 10 percent reduction in income taxes. Pence believed tax cuts would help grow his state’s economy. He called tax cuts his, “top priority” if elected governor and after his election in 2012, Pence made good on that promise. During the 2013 session of the General Assembly, Pence pushed his 10 percent reduction in income taxes, which was met with opposition from members of his own party. Legislators responded to Pence’s 10 percent reduction with a 3 percent reduction, which upset Pence as he threatened to veto the state budget if it did not include his full tax cut proposal. Pence and the legislature compromised at a 5 percent cut, which Pence signed in April 2013. Newspapers were critical of Pence’s tax cuts, claiming the cuts would benefit the wealthy, and would dramatically affect state revenue, which could lead to serious cuts to state services. During the same legislative session, Pence vetoed a bill that would allow Jackson and Pulaski Counties to collect local income taxes. Despite Pence’s veto, the legislature overrode Pence’s action.
In December 2013, Pence announced his intention to phase out the state’s business personal property tax, which he called a tax on investment that discouraged companies from investing in Indiana. In March 2014, the exemption passed the legislature and Pence signed it into law. State newspapers did not agree with Pence’s proposal, believing it would deprive local communities of much-needed revenue from the state. During that same month, Pence signed a bill further reducing the state’s corporate income tax rates and by the end of 2014, Pence announced his intention to continue his quest to decrease Indiana’s taxes. In 2015, Pence indicated he wanted to simplify the state’s tax code, but did not provide details as to what that entailed.
Pence Wanted To Lower Indiana’s Corporate Tax Rate From 8.5% To 3%. According to The Associated Press State & Local Wire, “Republican Mike Pence is looking at ways to cut Indiana income tax rates across the board if he is elected governor next year. The congressman told The Associated Press on Wednesday that he wants the state’s individual and corporate tax rates reduced to 3 percent. The state’s individual tax rate is now 3.4 percent and the corporate rate is 8.5 percent. He also said he would like to repeal Indiana’s estate tax.” [Associated Press State & Local Wire, 8/3/11]
Pence’s Proposed Cuts Would Take About $1 Billion From State Revenue. According to The Associated Press State & Local Wire, “All told, the cuts would likely carry a $1 billion price tag for the state.” [Associated Press State & Local Wire, 8/3/11]
Pence Wanted To Lower Indiana’s Individual Tax Rate From 3.4% To 3%. According to The Associated Press State & Local Wire, “Republican Mike Pence is looking at ways to cut Indiana income tax rates across the board if he is elected governor next year. The congressman told The Associated Press on Wednesday that he wants the state’s individual and corporate tax rates reduced to 3 percent. The state’s individual tax rate is now 3.4 percent and the corporate rate is 8.5 percent. He also said he would like to repeal Indiana’s estate tax.” [Associated Press State & Local Wire, 8/3/11]
Pence’s Tax Cuts Would Save An Average Income Earner $102, The 1% Would Save $2,264. According to Fort Wayne Journal Gazette, “Pence, a six-term U.S. congressman, last week proposed dropping Indiana’s 3.4 percent income tax rate to 3.06 percent. He called it an ‘across the board’ cut that would save an average family of four about $228 a year. The Institute on Taxation and Economic Policy used its microsimulation tax model to analyze the plan. ITEP is a non-profit, non-partisan re-search organization based in Washington, D.C., that works on federal, state and local tax policy. The organization’s focus is tax fairness and sustainability. According to the ITEP report, if Pence’s rate cut had been in effect last year, a typical middle-income Indiana resident would have seen their taxes fall by about $102, while the state’s richest 1 percent of taxpayers would have received an average tax cut of $2,264.” [Fort Wayne Journal Gazette, 8/8/12]
Fort Wayne Journal Gazette HEADLINE: Report: Rich Benefit Most In Pence Plan [Fort Wayne Journal Gazette, 8/8/12]
Madison Courier Editorial: “We Wonder If This Is The Time To Be Cutting That Particular Tax. There Are Far Too Many Hoosiers Crying Out For Help Only To Be Told That The State Can’t Afford To Meet Their Needs.” According to an editorial published by the Madison Courier, “It looks as if Indiana Gov. Mike Pence will keep his campaign pledge to lower the state’s income tax rate from 3.4 percent to 3.06 percent. Saving taxpayers money and carrying through on promises are laudable goals. Yet we wonder if this is the time to be cutting that particular tax. There are far too many Hoosiers crying out for help only to be told that the state can’t afford to meet their needs. The fact is that the state and local tax burden on Indiana families ranks below the national average in the nation in the latest Tax Foundation analysis.” [Editorial – Madison Courier, 1/18/13]
Institute On Taxation And Economic Policy’s Analysis Of Pence’s Across-The-Board Tax Cut Plan Concluded It Would Mostly Benefit The Wealthiest Taxpayers. According to an editorial published by the Madison Courier, “And then there’s the Institute on Taxation and Economic Policy’s analysis of Pence’s across-the-board tax cut plan which concluded it would mostly benefit the wealthiest taxpayers. The poorest Hoosiers, who devote more of their household budgets to state and local taxes than any other income group, would be helped little, if at all. Pence’s proposal - while well intended - can’t be justified ... Not with so many Hoosiers having nowhere to turn for help.” [Editorial – Madison Courier, 1/18/13]
Pence Called For The Phase Out Of Indiana’s Business Personal Property Tax. According to the Evansville Courier & Press, “Indiana Gov. Mike Pence began to detail his agenda for the upcoming Indiana General Assembly session Thursday, calling the phaseout of the state’s business personal property tax and the creation of a voucher program for prekindergarten as priorities. Pence gave a broad overview of his agenda, saying details of his ‘Roadmap 2014’ would be released in the coming weeks. Many of the proposals Pence unveiled would increase state spending, even though the General Assembly is headed into a short 10-week session that won’t involve writing a new budget.” [Evansville Courier & Press, 12/6/13]
When Asked If The Tax Burden Will Shift To Individuals, Pence Said “I Would Observe This Is A Business Tax.” According to the Indianapolis Star, “Making sure communities have the necessary resources, Pence said, is an ‘extremely important part of this debate.’ When asked if the tax burden will shift to individuals, Pence responded, ‘I would observe this is a business tax. ... I fought pretty hard to lower income taxes in Indiana and I want to make sure we’re continuing to keep income taxes low across the state on individuals.’” [Indianapolis Star, 12/14/13]