Indiana panel gets audit after $526M in tax errors

INDIANAPOLIS (AP) -- Indiana's budget leaders are getting a detailed review of how the state mishandled $526 million in tax collection.

Members of the State Budget Committee are scheduled to review international accounting firm Deloitte's detailed investigation of Indiana's revenue department Monday afternoon.

Deloitte's audit results come roughly a year after Gov. Mitch Daniels disclosed the first major error -- the misplacing of $320 million in corporate tax collections. The found money was used to pad the state's coffers and pay for a year of full-day kindergarten.

The panel also received an update on how the "fiscal cliff" could send the state and the nation into a recession, but the state's economic consultant said he expects Washington leaders to cut a deal avoiding that.

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