Governor Mitch Daniels signed HB 1001 which will increase the state sales and use tax rate from 6% to 7%, effective April 1, 2008. In addition, other provisions added to the new legislation include caps on the following: homeowners’ property tax bills at 1.5% of their assessed value in 2009 and 1% in 2010 then thereafter. The plan would cap rental and agricultural property at 2.5% in 2009 and 2% in 2010 and business property at 3.5% in 2009 and 3% in 2010. (H.B. 1001, Laws 2008, Indiana General Assembly, March 14, 2008)