produces a variety of petroleum products by processing an annual
average of at least one hundred thousand (100,000) barrels of
crude oil per day.
(5) (6) "Permanently retired depreciable personal property" has the
meaning set forth in 50 IAC 4.2-4-3 (as in effect on January 1,
2003).
(6) (7) "Pool" refers to a pool established in 50 IAC 4.2-4-5(a) (as
in effect on January 1, 2003).
(7) (8) "Special integrated steel mill or oil refinery/petrochemical
equipment" means depreciable personal property, other than
special tools and permanently retired depreciable personal
property:
(A) that:
(i) is owned, leased, or used by an integrated steel mill or an
entity that is at least fifty percent (50%) owned by an
affiliate of an integrated steel mill; and
(ii) falls within Asset Class 33.4 as set forth in IRS Rev.
Proc. 87-56, 1987-2, C.B. 647; or
(B) that:
(i) is owned, leased, or used as an integrated part of an oil
refinery/petrochemical company or its affiliate; and
(ii) falls within Asset Class 13.3 or 28.0 as set forth in IRS
Rev. Proc. 87-56, 1987-2, C.B. 647.
(8) (9) "Special tools" has the meaning set forth in 50 IAC 4.2-6-2
(as in effect on January 1, 2003). and
(9) (10) "Year of acquisition" refers to the year of acquisition
determined under 50 IAC 4.2-4-6 (as in effect on January 1,
2003).
(b) Notwithstanding 50 IAC 4.2-4-4, 50 IAC 4.2-4-6, and 50
IAC 4.2-4-7, and except as provided in subsection (h), a taxpayer
may elect to calculate the true tax value of the taxpayer's special
integrated steel mill or oil refinery/petrochemical equipment by
multiplying the adjusted cost of that equipment by the percentage set
forth in the following table:
Year of Acquisition Percentage
1 40%
2 56%
3 42%
4 32%
5 24%
6 18%
7 15%
8 and older 10%
(c) The department of local government finance shall designate the
table under subsection (b) as "Pool No. 5" on the business personal
property tax return.
(d) The percentage factors in the table under subsection (b)
automatically reflect all adjustments for depreciation and obsolescence,
including abnormal obsolescence, for special integrated steel mill or oil
refinery/petrochemical equipment. The equipment is entitled to all
exemptions, credits, and deductions for which it qualifies.
(e) The minimum valuation limitations under 50 IAC 4.2-4-9 do not
apply to special integrated steel mill or oil refinery/petrochemical
equipment valued under this section. The value of the equipment is not
included in the calculation of that minimum valuation limitation for the
taxpayer's other assessable depreciable personal property in the taxing
district.
(f) An election to value special integrated steel mill or oil
refinery/petrochemical equipment under this section:
(1) must be made by reporting the equipment under this section on
a business personal property tax return;
(2) applies to all of the taxpayer's special integrated steel mill or oil
refinery/petrochemical equipment located in the state (whether
owned or leased, or used as an integrated part of the equipment);
and
(3) is binding on the taxpayer for the assessment date for which
the election is made.
However, a taxpayer whose election is invalid under this section
may claim depreciation and obsolescence, including abnormal
obsolescence, in the taxpayer's original or amended property tax
return as if the taxpayer did not make an election under
subsection (b), notwithstanding any other law. The department of
local government finance shall prescribe the forms to make the election
beginning with the March 1, 2003, assessment date. required under
this section. Any special integrated steel mill or oil
refinery/petrochemical equipment acquired by a taxpayer that has made
an election under this section is valued under this section.
(g) If fifty percent (50%) or more of the adjusted cost of a
taxpayer's property that would, notwithstanding this section, be
reported in a pool other than Pool No. 5 is attributable to special
integrated steel mill or oil refinery/petrochemical equipment, the
taxpayer may elect to calculate the true tax value of all of that property
as special integrated steel mill or oil refinery/petrochemical equipment.
The true tax value of property for which an election is made under this
subsection is calculated under subsections (b) through (f).
(h) This subsection applies to assessment dates beginning after
February 28, 2005. A taxpayer may not make an election under
subsection (b) if the taxpayer displaces jobs during the calendar
year immediately preceding the assessment date for which the
election would be made. If a taxpayer makes an election under
subsection (b) and, in a calendar year after the calendar year in
which the election is made, displaces jobs, the department of local
government finance shall disallow the election for the assessment
date in the calendar year in which the displacement occurs.
(i) This subsection applies beginning with the March 1, 2005,
assessment date and if all the following conditions are satisfied:
(1) A taxpayer that makes an election under subsection (b)
is a party, or has employees in Indiana who are a party, to a
collective bargaining agreement.
(2) The enforcement provisions of the collective bargaining
agreement prohibit the displacement of jobs from Indiana to
another country.
(3) The taxpayer displaces from Indiana to another country
jobs that are covered by the collective bargaining agreement
in a calendar year after the initial calendar year in which the
taxpayer makes an election under subsection (b).
(4) It is determined under the terms of the collective
bargaining agreement that the displacement described in
subdivision (3) occurred contrary to the enforcement
provisions of the collective bargaining agreement.
The election under subsection (b) is disallowed for the assessment
date in the calendar year in which the determination described in
subdivision (4) is made.
(j) Except as provided in subsection (i), the department of local
government finance shall determine whether a taxpayer is eligible
for an election under subsection (b) not later than March 30 of:
(1) the year in which the taxpayer makes the election; or
(2) any other year in which the election is in effect;
as applicable. A township assessor, county assessor, or county
property tax assessment board of appeals may not disallow a
taxpayer's election under subsection (b). The department of local
government finance shall give notice by mail, and an opportunity
for a hearing at least ten (10) days after notice is mailed, to a
taxpayer whose eligibility is under review under this subsection.
The notice must clearly state the department of local government
finance's reasons for disallowing the election. If the department
of local government finance does not make a final determination
under this subsection by March 30 of the applicable year, the
election is allowed for the assessment date of the applicable year.
If the department of local government finance disallows a
taxpayer's election under subsection (b), the taxpayer may appeal
the department of local government finance's determination by
filing a petition with the Indiana board not more than forty-five
(45) days after the department of local government finance gives
the taxpayer notice of the determination. A petition filed under
this subsection is considered a petition filed under IC 6-1.1-15-3
for purposes of petition and review under IC 6-1.1-15.".