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Scott Pelath

Future income tax cut added to Indiana road funding plan

Hoping to entice Indiana Senate Republicans to support a roads funding plan that boosts gas and cigarette taxes, a House committee on Thursday added a proposal to cut the state's income tax rate by 5 percent over the next eight years.

The House Ways and Means Committee voted 14-7 to advance the plan to the full House. The proposal has the backing of House Republicans, but it's faced criticism from GOP Gov. Mike Pence and conservative groups for raising Indiana's cigarette tax by $1 a pack while tacking an estimated 4 cents onto the state's 18 cents-a-gallon gas tax. Senate Republicans have been advancing a plan supported by Pence that would increase highway spending through steps...