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Stadium bailout now relegated to Indy

State liquor tax dries up

State liquor tax dries up
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INDIANAPOLIS | Northwest Indiana drinkers can imbibe easily again: Lawmakers don't want to raise your liquor taxes.

The state Senate on Tuesday removed a proposed doubling of state alcohol taxes from legislation designed to erase a $47 million operating deficit amassed by the agency that runs Indianapolis' pro sports stadium. The proposal, House Bill 1604, would have added a penny to the cost of a can of beer and 9.3 cents to a bottle of wine.

The new plan instead would allow Indianapolis to raise its taxes on car rentals, hotel rooms, parking and stadium tickets and become the only community allowed to impose an alcohol tax higher than the state's.

If the statewide liquor tax hike had gone ahead, Indianapolis would have kept its $8 million share for the stadiums, with other cities and towns across the state splitting another $34 million.

"There seemed to be opposition to the statewide tax," said Sen. Luke Kenley, R-Noblesville. "(There was) a lot of controversy around -- and I think misunderstanding -- that (all) the money was going to go to Indianapolis."

Copyright 2012 nwitimes.com. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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