FOR IMMEDIATE RELEASE
STATEHOUSE (Jan. 21, 2026) — Language authored by State Sen. Dan Dernulc (R-Highland) that would establish a rounding requirement for Indiana cash transactions passed the Senate Committee on Tax and Fiscal Policy with bipartisan support yesterday.
Senate Bill 243 would couple Indiana's tax code to federal tax code with regard to no tax on tips, no tax on overtime and no tax on loan interest for American-made vehicles passed in the One Big Beautiful Bill. This ensures Hoosiers eligible for those federal tax cuts will also benefit from the same tax cuts at the state level in tax year 2026. SB 243 also contains language similar to Senate Bill 158, authored by Dernulc, that would establish a tax program rounding transactions to the nearest nickel associated with state taxes, local government taxes and businesses based in Indiana.
"I am in full support of the provisions this tax bill is moving forward, and I am also happy to see the important language from SB 158 being addressed in this bill," Dernulc said. "This language is a small aspect of SB 243, but will update our tax code to be aligned with our changing world, as the penny is filtered out of our financial system. Thank you to State Sen. Travis Holdman (R-Markle) for considering my language. I look forward to helping SB 243 through the rest of the legislative process."
SB 243 will now move to the full Senate for further consideration.
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State Sen. Dan Dernulc (R-Highland) represents Senate District 1, which includes a portion of Lake County.
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Contact: Kristen Gorski, Press Secretary
Kristen.Gorski@iga.in.gov
317-232-9539
