LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6922 NOTE PREPARED: Jan 3, 2024
BILL NUMBER: HB 1375 BILL AMENDED:
SUBJECT: Extension of Innkeeper's Tax.
FIRST AUTHOR: Rep. Karickhoff BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: The bill allows a county fiscal body to adopt an ordinance to extend the duration
for which an innkeeper's tax is imposed on a person engaged in the business of renting or furnishing any
rooms, lodging, or accommodations for a period of more than 30 days but not more than one year. (Current
law limits the imposition of the innkeeper's tax to periods of less than 30 days.)
The bill provides that a county fiscal body may renew a previously adopted ordinance extending the duration
of the innkeeper's tax.
The bill makes conforming changes.
Effective Date: July 1, 2024.
Explanation of State Expenditures: The extended innkeeper’s tax in a county would be collected and
remitted to the Department of State Revenue (DOR) in the same manner as the innkeeper’s tax within a
period of less than 30 days under current law. The DOR should be able to implement the bill’s requirements
within existing levels of staff and resources.
Explanation of State Revenues:
Explanation of Local Expenditures: If a county extends the innkeeper’s tax, the county fiscal officer would
update the innkeeper’s tax form and instructions. Counties should be able to implement the bill’s requirement
within existing levels of staff and resources.
HB 1375 1 Explanation of Local Revenues: The bill authorizes a county fiscal body to adopt an ordinance to extend
the duration of the innkeeper’s tax and provides that a county fiscal body may renew the extension of
duration. The extended innkeeper’s tax would potentially significantly increase local revenue. The amount
of local revenue increase is indeterminable and would depend on the hotel demand in that county.
State Agencies Affected: Department of State Revenue.
Local Agencies Affected: Counties.
Information Sources:
Fiscal Analyst: Qian Li, 317-232-9671.
HB 1375 2