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Legislature overrides Pence tax-bill veto

INDIANAPOLIS – The Indiana House voted 68-23 and the Senate followed with a tally of 34-12 to override a veto by Gov. Mike Pence of a retroactive tax bill.

Only a few Republicans voted with the governor, including Sen. Jim Banks, R-Columbia City.

The measure in question was House Bill 1546, and its provisions regarding special local income taxes in Jackson and Pulaski counties that had expired in 2011 and 2006, respectively.

But taxpayers kept paying and government kept collecting to the tune of $6 million.

The bill retroactively reinstated those taxes, allowing local government to keep the funds collected against the law. Pence objected to the public policy.

But a number of Republicans in support of the veto said the other solutions – refunding the money, reinstating the tax and short-term borrowing for those counties in the meantime – would ultimately cost the taxpayers more.