HB 1386-1_ Filed 01/27/2000, 11:35
Text Box
Adopted Rejected
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COMMITTEE REPORT
YES:
20
NO:
0
MR. SPEAKER:
Your Committee on Ways and Means , to which was referred House Bill 1386 ,
has had the same under consideration and begs leave to report the same back to the House with
the recommendation that said bill be amended as follows:
Delete everything after the enacting clause and insert the following:
SOURCE: IC 6-1.1-10-29.1; (00)AM138602.1. -->
SECTION 1.
IC 6-1.1-10-29.1
IS ADDED OT THE INDIANA
CODE AS A
NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JANUARY 1, 2001]:
Sec. 29.1. (a) As used in this
section, "manufacturer" or "processor" means a person that
performs an operation or continuous series of operations on raw
materials, goods, or other personal property to alter the raw
materials, goods, or other personal property into a new or changed
state or form. The operation may be performed by hand,
machinery, or a chemical process directed or controlled by an
individual.
(b) Personal property owned by a manufacturer or processor is
exempt from property taxation if the owner is able to show by
adequate records that the personal property:
(1) is not exempt under any other law; and
(2) will be used in an operation or a continuous series of
operations to alter the personal property into a new or
changed state or form and the resulting personal property will
be shipped, or will be incorporated into personal property
that will be shipped, to an out-of-state destination.
(c) The amount of the exemption under this section is equal to
the product of:
(1) the appropriate percentage specified in subsection (d);
multiplied by
(2) the assessed value of personal property covered by this
section.
(d) The percentage described in subsection (c)(1) is determined
by the calendar year that the personal property return is filed and
is set forth in the following table:
CALENDAR YEAR PERCENTAGE
2001 10%
2002 20%
2003 30%
2004 40%
2005 50%
2006 60%
2007 70%
2008 80%
2009 90%
2010 and thereafter 100%
(e) A person may use an allocation percentage to claim an
exemption under this section for a portion of the person's personal
property if a person's business records substantiate that the
allocation percentage accurately reflects the portion of the
personal property that will be altered into a new or changed state
or form and then will be shipped, or will be incorporated into
personal property that will be shipped, to an out-of-state
destination. The percentage may include personal property that
will be sold to another processor or manufacturer if the personal
property will be incorporated into the personal property of the
buyer and that personal property will be shipped out-of-state.
(f) A manufacturer or processor that possesses personal
property owned by another person may claim an exemption under
this section if:
(1) the manufacturer or processor includes the property on
the manufacturer's or processor's personal property tax
return; and
(2) the manufacturer or processor is able to show that the
owner of the personal property would otherwise have
qualified for an exemption under subsection (b).
SOURCE: ; (00)AM138602.2. -->
SECTION 2. [EFFECTIVE JULY 1, 2000]
IC 6-1.1-10-29.1
, as
added by this act, applies to property taxes first due and payable
after December 31, 2001.
(Reference is to HB 1386 as introduced.)
and when so amended that said bill do pass.
__________________________________
AM138602/DI 58 2000