Some lawmakers in Indiana refuse to recognize that digital operations are the future. To maintain control of the Hoosier Lottery’s operations, they have added language to a tax bill Tuesday that would prevent the lottery from expanding into online tickets or games. The expansion into the digital realm, already found in many states, could only happen if the General Assembly approves.

Just Say No To Digital

House Bill 1002 was amended to include the language. This bill initially would have provided $1.3 billion in income and business tax reductions. This tax language was snatched by the Senate Tax and Fiscal Policy Committee in minutes, with no discussion. This is a significant blow to both the House and Governor. The bill was amended to include the Hoosier Lottery language, which is completely unrelated to the subject of taxes.

Hoosier Lottery spokeswoman Julie Mahurin said that the organization was currently researching online gaming. Illinois and Michigan are two other states that have recently expanded their online gaming operations. For example, the lottery in Michigan has 150 interactive games on its website.

Mahurin stated that changes in consumer behavior are forcing many organizations to find new and innovative ways of offering options to customers today. “While no formal action has been taken, for the past few years, we have been researching innovations in the industry, including potential changes to the way our games are played,” she asserts.

Final Bill Approval Needed

The House passed the bill as it was. In the House’s version, the individual income tax that all Hoosiers would pay would drop from 3.23% to 3% by 2026. Businesses would pay less taxes on their equipment and there would be no utility tax that would affect all energy users.

In a press release, the House Republicans stated that the plan would save Indiana residents and businesses $1.3 billion once it was fully implemented. Representative Tim Brown is the bill’s author, and advocated for tax cuts to be reintroduced into the bill. He stated, “This is not our money.” It’s the money of the citizens.

Senator Ryan Mishler defended the Senate’s decision and stated that he would prefer to first pay down the state debt before implementing any tax cuts. This is due to the high degree of uncertainty surrounding the future state of the economy as well as its finances.

Before the legislation can be considered by the full chamber, the Senate Tax and Fiscal Policy must vote on it. Either the Senate bill would be accepted by the House, or both sides would need to negotiate a final version.

This means that the bill isn’t a finished deal and tax cuts may still be included in the final bill. However, it’s likely that not much attention will be given to the irrelevant rider, and it will remain intact once the final draft of the bill is approved.