Indiana Hotel and Car Rental Taxes Below Expectations
Two percent car rental tax hike and other increases imposed to fund stadium and convention center so far not as lucrative as projected.
Indiana has so far collected slightly more than expected to pay for a new stadium and Indiana Convention Center expansion, but officials are closely monitoring the numbers to make sure the trend continues, according to The Indianapolis Star.
About $32.5 million has streamed in from Marion County and the suburbs during the past 11 months, about $500,000 more than projected, reports The Indianapolis Star.
However, some sources of revenues, such as hotel and rental car taxes in Marion County, are short of projections. While they were offset by strong restaurant taxes in surrounding counties, those sources need to pick up to meet growth assumptions factored into the financing plan, said Ryan Kitchell, the state's public finance director.
The stadium and Convention Center projects will primarily be paid for with increases in Marion County hotel (three percent), car rental (two percent) and food and beverage taxes (one percent), a new restaurant tax in six neighboring counties and an increase on tax charged on tickets at Colts, Pacers and Indians venues.
The project is also getting $20 from the sale of each Colts license plate sold. Officials hoped to raise $500,000 a year from the plates, but so far, fans haven't coughed up the extra money for the tags in great numbers.
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