As a new governor and administration enter the Indiana Statehouse, small-business owners must monitor upcoming tax code changes. 

Courtney Kincaid, the President and CEO of the Indiana CPA Society, says possible changes could significantly benefit entrepreneurs. She says there is a lot of fear or excitement about the changes.  

While much attention is being paid to new leadership on the federal level, Kincaid says what happens at the state and local levels is often more impactful for small-business owners. “There are a lot of changes that usually come out.” 

Incoming Indiana Gov. Mike Braun says he is committed to continuing business development in the state. He will work with a task force that will recommend possible changes to the tax code.  

One possible change is the law that taxes a property’s original value. Kincaid says this can be harmful to small businesses, and many are expecting the new governor to consider a proposal to change the tax to assess a property’s current market value instead.  

 Kincaid says she is also monitoring the de minimis tax, which taxes a business’s property, including furniture and hardware. The tax does not kick in before the first $20,000, but Kincaid says Governor Braun is considering raising that amount to possibly as high as $80,000. She says this change could result in more money for business owners and even create more job opportunities. 

Kincaid says it’s important to work with your CPA to monitor upcoming changes and not be surprised if your CPA needs to file an extension in Q1 as changes continue to be made to the tax code.