Indiana Warned of Problems Processing Corporate Tax Collections

by Devin Katayama on December 14, 2011

With reporting by the Associated Press.

A fiscal analyst says the Indiana Department of Revenue was warned about its inefficient corporate tax collection two years before the state discovered it misplaced $320 million.

But the agency dismissed the concerns.

Democrat Erik Gonzalez of the state’s budget forecasting committee says his panel told the agency in 2009 it had problems processing corporate tax collections. Gonzalez says the agency could have avoided misplacing the money if it had acted.

Democrats on the state budget committee requested an independent audit of the agency on Wednesday but were blocked on a party line vote. Instead the panel voted unanimously to ask the State Board of Accounts for an audit.

A spokesperson for Gov. Mitch Daniels was not immediately available for comment.

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