INDIANAPOLIS, Ind. (NETWORK INDIANA): In recent weeks forecasts that predict what the state will take in in tax revenue revealed a massive shortfall in Medicaid funding in Indiana.
The shortfall was brought on by several different factors that seem to add up to a failure in the system somewhere to account for the spending shortfall for Medicaid. Either way, the news has not deterred Lt. Gov. Suzanne Crouch (R) in her desire to eliminate the state income tax if elected governor.
Eliminating the tax has been her platform ever since announcing her desire to run for governor.
“We’re going to ‘axe the tax’,” she told IndyPolitics. “My opponents are screaming bloody murder saying that ‘it can’t be done.’ But, quite honestly that money is not theirs, it’s yours. You always spend it more wisely than the government will.”
Still, it begs the question of how the state can afford to eliminate the state income tax when there is a shortfall of nearly a billion dollars in Medicaid funding to deal with. Crouch said the state is prepared for these sorts of happenings. She also said the plan is not to immediately do away with the income tax, but rather to phase it in.
“We do it because we phase it in and we have triggers in place to protect against economic downturn. It’s not something new,” Crouch said. “We’ve had those kinds of triggers in place when we have other initiatives. It’s not going to happen overnight.”
She hinted that the state needs to use its surpluses in cash reserves to help mitigate the Medicaid shortfall.
Regardless, Crouch remains committed to eliminating the state income tax.
‘We have an opportunity to put thousands of dollars into the pockets of Hoosiers every year,” said Crouch. “When we eliminate that income tax not only are we going to keep people in the Hoosier state, but we are going to bring people in.”
This week began Crouch’s final legislative session as the lieutenant governor to Gov. Eric Holcomb (R).
2 comments
The Medicaid shortfall ca be laid directly on the back of Dopey Prince Eric the Chinless Wonder of Hoosierville. HE expanded the program on the Covid emergency money he kept going long after it was needed. When the money dried up you have a shortfall. That is the basic problem of relying on federal money to expand a program when the ongoing program will have to g=[be paid for by Hoosier taxpayers after the federal money spout is closed. I can only think of one word to describe this, DOOFUS!!!!!
Previously the Medicaid program serviced about 200 18-20 year olds. No it has 30,000 enrolled. Bombard you stat reps and senators and tell them no more unfunded mandates. And we need to eliminate the income tax too. It would not take a massive spending cut or some other tax increase to do this. Several other states have no income tax and they are attracting people from all over the country to live and work there. Ever visit Florida? The place is booming. No income tax!
‘We have an opportunity to put thousands of dollars into the pockets of Hoosiers every year,” said Crouch.
IT’S OUR MONEY IN THE FIRST PLACE!!!!!!!