HB 1846-1_ Filed 02/24/2005, 10:18
Text Box
Adopted Rejected
[
]
COMMITTEE REPORT
YES:
17
NO:
5
MR. SPEAKER:
Your Committee on Ways and Means , to which was referred House Bill 1846 ,
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 the title and insert the following:
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
Delete everything after the enacting clause and insert the following:
SOURCE: IC 4-33-13-1.5; (05)AM184602.1. -->
SECTION 1. IC 4-33-13-1.5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 1.5. (a) This section
applies only to a riverboat that has implemented flexible scheduling
under IC 4-33-6-21 or IC 4-33-6.5.
(b) A graduated tax is imposed on the adjusted gross receipts
received from gambling games authorized under this article as follows:
(1) Fifteen percent (15%) of the first twenty-five million dollars
($25,000,000) of adjusted gross receipts received during the
period beginning July 1 of each year and ending June 30 of the
following year.
(2) Twenty percent (20%) of the adjusted gross receipts in excess
of twenty-five million dollars ($25,000,000) but not exceeding
fifty million dollars ($50,000,000) received during the period
beginning July 1 of each year and ending June 30 of the following
year.
(3) Twenty-five percent (25%) of the adjusted gross receipts in
excess of fifty million dollars ($50,000,000) but not exceeding
seventy-five million dollars ($75,000,000) received during the
period beginning July 1 of each year and ending June 30 of the
following year.
(4) Thirty percent (30%) of the adjusted gross receipts in excess
of seventy-five million dollars ($75,000,000) but not exceeding
one hundred fifty million dollars ($150,000,000) received during
the period beginning July 1 of each year and ending June 30 of the
following year.
(5) Before July 1, 2008, thirty-five percent (35%) and, after
June 30, 2008, thirty-six percent (36%) of all adjusted gross
receipts in excess of one hundred fifty million dollars
($150,000,000) received during the period beginning July 1 of
each year and ending June 30 of the following year.
(c) The licensed owner or operating agent shall remit the tax
imposed by this chapter to the department before the close of the
business day following the day the wagers are made.
(d) The department may require payment under this section to be
made by electronic funds transfer (as defined in IC 4-8.1-2-7(f)).
(e) If the department requires taxes to be remitted under this chapter
through electronic funds transfer, the department may allow the
licensed owner or operating agent to file a monthly report to reconcile
the amounts remitted to the department.
(f) The department may allow taxes remitted under this section to be
reported on the same form used for taxes paid under IC 4-33-12.
(g) If a riverboat implements flexible scheduling during any part of
a period beginning July 1 of each year and ending June 30 of the
following year, the tax rate imposed on the adjusted gross receipts
received while the riverboat implements flexible scheduling shall be
computed as if the riverboat had engaged in flexible scheduling during
the entire period beginning July 1 of each year and ending June 30 of
the following year.
(h) If a riverboat:
(1) implements flexible scheduling during any part of a period
beginning July 1 of each year and ending June 30 of the following
year; and
(2) before the end of that period ceases to operate the riverboat
with flexible scheduling;
the riverboat shall continue to pay a wagering tax at the tax rates
imposed under subsection (b) until the end of that period as if the
riverboat had not ceased to conduct flexible scheduling.
SOURCE: IC 4-33-13-5; (05)AM184602.2. -->
SECTION 2. IC 4-33-13-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 5. (a) This subsection
does not apply to tax revenue remitted by an operating agent operating
a riverboat in a historic hotel district. After funds are appropriated
under section 4 of this chapter, each month the treasurer of state shall
distribute the tax revenue deposited in the state gaming fund under this
chapter to the following:
(1) The first:
(A) thirty-three million dollars ($33,000,000) of tax revenues
collected under this chapter shall be set aside for revenue
sharing under subsection (e);
and
(B) ten million dollars ($10,000,000) from tax revenues
collected on adjusted gross receipts subject to section
1.5(b)(5) of this chapter after June 30, 2008, and before
July 1, 2041, shall be set aside for distribution under
subsection (i).
(2) Subject to subsection (c), twenty-five percent (25%) of the
remaining tax revenue remitted by each licensed owner shall be
paid:
(A) to the city that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of:
(i) a city described in IC 4-33-12-6(b)(1)(A); or
(ii) a city located in a county having a population of more
than four hundred thousand (400,000) but less than seven
hundred thousand (700,000); or
(B) to the county that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of a riverboat whose home dock is not in a city described in
clause (A).
(3) Subject to subsection (d), the remainder of the tax revenue
remitted by each licensed owner shall be paid to the property tax
replacement fund. In each state fiscal year beginning after June
30, 2003, the treasurer of state shall make the transfer required by
this subdivision not later than the last business day of the month
in which the tax revenue is remitted to the state for deposit in the
state gaming fund. However, if tax revenue is received by the state
on the last business day in a month, the treasurer of state may
transfer the tax revenue to the property tax replacement fund in
the immediately following month.
(b) This subsection applies only to tax revenue remitted by an
operating agent operating a riverboat in a historic hotel district. After
funds are appropriated under section 4 of this chapter, each month the
treasurer of state shall distribute the tax revenue deposited in the state
gaming fund under this chapter as follows:
(1) Thirty-seven and one half percent (37.5%) shall be paid to the
property tax replacement fund established under IC 6-1.1-21.
(2) Thirty-seven and one-half percent (37.5%) shall be paid to the
West Baden Springs historic hotel preservation and maintenance
fund established by IC 36-7-11.5-11(b). However, at any time the
balance in that fund exceeds twenty million dollars ($20,000,000),
the amount described in this subdivision shall be paid to the
property tax replacement fund established under IC 6-1.1-21.
(3) Five percent (5%) shall be paid to the historic hotel
preservation commission established under IC 36-7-11.5.
(4) Ten percent (10%) shall be paid in equal amounts to each town
that:
(A) is located in the county in which the riverboat docks; and
(B) contains a historic hotel.
The town council shall appropriate a part of the money received
by the town under this subdivision to the budget of the town's
tourism commission.
(5) Ten percent (10%) shall be paid to the county treasurer of the
county in which the riverboat is docked. The county treasurer
shall distribute the money received under this subdivision as
follows:
(A) Twenty percent (20%) shall be quarterly distributed to the
county treasurer of a county having a population of more than
thirty-nine thousand six hundred (39,600) but less than forty
thousand (40,000) for appropriation by the county fiscal body
after receiving a recommendation from the county executive.
The county fiscal body for the receiving county shall provide
for the distribution of the money received under this clause to
one (1) or more taxing units (as defined in IC 6-1.1-1-21) in
the county under a formula established by the county fiscal
body after receiving a recommendation from the county
executive.
(B) Twenty percent (20%) shall be quarterly distributed to the
county treasurer of a county having a population of more than
ten thousand seven hundred (10,700) but less than twelve
thousand (12,000) for appropriation by the county fiscal body
after receiving a recommendation from the county executive.
The county fiscal body for the receiving county shall provide
for the distribution of the money received under this clause to
one (1) or more taxing units (as defined in IC 6-1.1-1-21) in
the county under a formula established by the county fiscal
body after receiving a recommendation from the county
executive.
(C) Sixty percent (60%) shall be retained by the county where
the riverboat is docked for appropriation by the county fiscal
body after receiving a recommendation from the county
executive. The county fiscal body shall provide for the
distribution of part or all of the money received under this
clause to the following under a formula established by the
county fiscal body:
(i) A town having a population of more than two thousand
two hundred (2,200) but less than three thousand five
hundred (3,500) located in a county having a population of
more than nineteen thousand three hundred (19,300) but less
than twenty thousand (20,000).
(ii) A town having a population of more than three thousand
five hundred (3,500) located in a county having a population
of more than nineteen thousand three hundred (19,300) but
less than twenty thousand (20,000).
(c) For each city and county receiving money under subsection
(a)(2)(A) or (a)(2)(C), the treasurer of state shall determine the total
amount of money paid by the treasurer of state to the city or county
during the state fiscal year 2002. The amount determined is the base
year revenue for the city or county. The treasurer of state shall certify
the base year revenue determined under this subsection to the city or
county. The total amount of money distributed to a city or county under
this section during a state fiscal year may not exceed the entity's base
year revenue. For each state fiscal year beginning after June 30, 2002,
the treasurer of state shall pay that part of the riverboat wagering taxes
that:
(1) exceeds a particular city or county's base year revenue; and
(2) would otherwise be due to the city or county under this
section;
to the property tax replacement fund instead of to the city or county.
(d) Each state fiscal year the treasurer of state shall transfer from the
tax revenue remitted to the property tax replacement fund under
subsection (a)(3) to the build Indiana fund an amount that when added
to the following may not exceed two hundred fifty million dollars
($250,000,000):
(1) Surplus lottery revenues under IC 4-30-17-3.
(2) Surplus revenue from the charity gaming enforcement fund
under IC 4-32-10-6.
(3) Tax revenue from pari-mutuel wagering under IC 4-31-9-3.
The treasurer of state shall make transfers on a monthly basis as needed
to meet the obligations of the build Indiana fund. If in any state fiscal
year insufficient money is transferred to the property tax replacement
fund under subsection (a)(3) to comply with this subsection, the
treasurer of state shall reduce the amount transferred to the build
Indiana fund to the amount available in the property tax replacement
fund from the transfers under subsection (a)(3) for the state fiscal year.
(e) Before August 15 of 2003 and each year thereafter, the treasurer
of state shall distribute the wagering taxes set aside for revenue sharing
under subsection (a)(1) to the county treasurer of each county that does
not have a riverboat according to the ratio that the county's population
bears to the total population of the counties that do not have a riverboat.
Except as provided in subsection (h), the county auditor shall distribute
the money received by the county under this subsection as follows:
(1) To each city located in the county according to the ratio the
city's population bears to the total population of the county.
(2) To each town located in the county according to the ratio the
town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be retained by the county.
(f) Money received by a city, town, or county under subsection (e)
or (h) may be used for any of the following purposes:
(1) To reduce the property tax levy of the city, town, or county for
a particular year (a property tax reduction under this subdivision
does not reduce the maximum levy of the city, town, or county
under IC 6-1.1-18.5);
(2) For deposit in a special fund or allocation fund created under
IC 8-22-3.5, IC 36-7-14, IC 36-7-14.5, IC 36-7-15.1, and
IC 36-7-30 to provide funding for additional credits for property
tax replacement in property tax increment allocation areas or debt
repayment.
(3) To fund sewer and water projects, including storm water
management projects.
(4) For police and fire pensions.
(5) To carry out any governmental purpose for which the money
is appropriated by the fiscal body of the city, town, or county.
Money used under this subdivision does not reduce the property
tax levy of the city, town, or county for a particular year or reduce
the maximum levy of the city, town, or county under
IC 6-1.1-18.5.
(g) This subsection does not apply to an entity receiving money
under IC 4-33-12-6(c). Before September 15 of 2003 and each year
thereafter, the treasurer of state shall determine the total amount of
money distributed to an entity under IC 4-33-12-6 during the preceding
state fiscal year. If the treasurer of state determines that the total amount
of money distributed to an entity under IC 4-33-12-6 during the
preceding state fiscal year was less than the entity's base year revenue
(as determined under IC 4-33-12-6), the treasurer of state shall make a
supplemental distribution to the entity from taxes collected under this
chapter and deposited into the property tax replacement fund. The
amount of the supplemental distribution is equal to the difference
between the entity's base year revenue (as determined under
IC 4-33-12-6) and the total amount of money distributed to the entity
during the preceding state fiscal year under IC 4-33-12-6.
(h) This subsection applies only to a county containing a
consolidated city. The county auditor shall distribute the money
received by the county under subsection (d) as follows:
(1) To each city, other than a consolidated city, located in the
county according to the ratio that the city's population bears to the
total population of the county.
(2) To each town located in the county according to the ratio that
the town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be paid in equal amounts to the
consolidated city and the county.
(i) The treasurer of state shall transfer the first eight million
dollars ($8,000,000) set aside under subsection (a)(1)(B) to the
auditor of state for deposit in a special account for a county that
constructs a football stadium (as defined in IC 6-9-30-5). The
auditor of state shall transfer money in the special account to the
capital improvement board of managers established under
IC 36-10-9-3 on a monthly basis as the money is received. The
remainder of the money set aside under subsection (a)(1)(B) shall
be deposited in the property tax replacement fund.
SOURCE: IC 6-6-9.7-7; (05)AM184602.3. -->
SECTION 3. IC 6-6-9.7-7 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 7. (a) The city-county
council of a county that contains a consolidated city may adopt an
ordinance to impose an excise tax, known as the county supplemental
auto rental excise tax, upon the rental of passenger motor vehicles and
trucks in the county for periods of less than thirty (30) days.
The In any
year following the year in which an ordinance initially imposing a
tax under this chapter is adopted, the city-county council may
adopt an ordinance increasing the tax imposed under this chapter
up to the amount in subsection (b). An ordinance
adopted under this
section must specify that the tax expires
on or before December 31,
2027. 2040.
(b) The county supplemental auto rental excise tax that may be
imposed upon the rental of a passenger motor vehicle or truck equals
two the percentage established in the ordinance adopted under
subsection (a), which may not exceed four percent
(2%) (4%) of the
gross retail income received by the retail merchant for the rental.
(c) If a city-county council adopts an ordinance under subsection (a),
the city-county council shall immediately send a certified copy of the
ordinance to the commissioner of the department of state revenue.
(d) If a city-county council adopts An ordinance adopted under
subsection (a) prior to June 1 the county supplemental auto rental
excise tax applies to auto rentals after June 30 of the year in which the
ordinance is adopted. If the city-county council adopts An ordinance
adopted under subsection (a) on or after June 1 the county
supplemental auto rental excise tax applies to auto rentals after the last
day of the month in which the ordinance is adopted.
SOURCE: IC 6-6-9.7-11; (05)AM184602.4. -->
SECTION 4. IC 6-6-9.7-11 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 11. (a) All revenues
collected from the county supplemental auto rental excise tax shall be
deposited in a special account of the state general fund called the
county supplemental auto rental excise tax account.
(b) On or before the twentieth day of each month, all amounts held
in the county supplemental auto rental excise tax account shall be
distributed to the capital improvement board of managers operating in
a consolidated city. The board shall deposit revenues received under
this chapter that are attributable to the part of a tax rate exceeding
two percent (2%) in a special fund. The money in the special fund
may be used only to construct and equip a football stadium (as
defined in IC 6-9-30-5), including the payment of principal and
interest on obligations (as defined in IC 5-1-3-1) issued to finance
or refinance the football stadium or the payment of lease payments
(as described in IC 36-10-9) for the football stadium.
(c) The amount to be distributed to the capital improvement board
of managers operating in a consolidated city equals the total county
supplemental auto rental excise taxes that were initially imposed and
collected from within the county in which the consolidated city is
located. The department shall notify the county auditor of the amount
of taxes to be distributed to the board.
(d) All distributions from the county supplemental auto rental excise
tax account shall be made by warrants issued by the auditor of state to
the treasurer of state ordering those payments to the capital
improvement board of managers operating in a consolidated city.
SOURCE: IC 6-6-9.7-12; (05)AM184602.5. -->
SECTION 5. IC 6-6-9.7-12 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 12. This chapter
expires January 1, 2028. 2041.
SOURCE: IC 6-8.1-1-1; (05)AM184602.6. -->
SECTION 6. IC 6-8.1-1-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 1. "Listed taxes" or
"taxes" includes only the pari-mutuel taxes (IC 4-31-9-3 through
IC 4-31-9-5); the riverboat admissions tax (IC 4-33-12); the riverboat
wagering tax (IC 4-33-13); the gross income tax (IC 6-2.1) (repealed);
the utility receipts tax (IC 6-2.3); the state gross retail and use taxes (IC
6-2.5); the adjusted gross income tax (IC 6-3); the supplemental net
income tax (IC 6-3-8) (repealed); the county adjusted gross income tax
(IC 6-3.5-1.1); the county option income tax (IC 6-3.5-6); the county
economic development income tax (IC 6-3.5-7); the municipal option
income tax (IC 6-3.5-8); the auto rental excise tax (IC 6-6-9); the
financial institutions tax (IC 6-5.5); the gasoline tax (IC 6-6-1.1); the
alternative fuel permit fee (IC 6-6-2.1); the special fuel tax (IC 6-6-2.5);
the motor carrier fuel tax (IC 6-6-4.1); a motor fuel tax collected under
a reciprocal agreement under IC 6-8.1-3; the motor vehicle excise tax
(IC 6-6-5); the commercial vehicle excise tax (IC 6-6-5.5); the
hazardous waste disposal tax (IC 6-6-6.6); the cigarette tax (IC 6-7-1);
the beer excise tax (IC 7.1-4-2); the liquor excise tax (IC 7.1-4-3); the
wine excise tax (IC 7.1-4-4); the hard cider excise tax (IC 7.1-4-4.5);
the malt excise tax (IC 7.1-4-5); the petroleum severance tax (IC 6-8-1);
the various innkeeper's taxes (IC 6-9); the various county food and
beverage taxes (IC 6-9); the county admissions tax (IC 6-9-13 and
IC 6-9-28); the luxury suite tax (IC 6-9-30); the professional sports
team excise tax (IC 6-9-35); the oil inspection fee (IC 16-44-2); the
emergency and hazardous chemical inventory form fee (IC 6-6-10); the
penalties assessed for oversize vehicles (IC 9-20-3 and IC 9-30); the
fees and penalties assessed for overweight vehicles (IC 9-20-4 and
IC 9-30); the underground storage tank fee (IC 13-23); the solid waste
management fee (IC 13-20-22); and any other tax or fee that the
department is required to collect or administer.
SOURCE: IC 6-9-8-3; (05)AM184602.7. -->
SECTION 7. IC 6-9-8-3 IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2005]: Sec. 3. (a) Except as provided in
subsection (b) and section 3.5 of this chapter, the tax imposed by
section 2 of this chapter shall be at the rate of:
(1) before January 1, 2028, five percent (5%) on the gross income
derived from lodging income only, if the fiscal body does not
adopt an ordinance under subsection (b), and six percent (6%) if
the fiscal body adopts an ordinance under subsection (b); and
(2) after December 31, 2027, five percent (5%).
(b) In any year subsequent to the initial year in which a tax is
imposed under section 2 of this chapter, the fiscal body may, by
ordinance adopted by at least two-thirds (2/3) of the members elected
to the fiscal body, increase the tax imposed by section 2 of this chapter
from five percent (5%) to six percent (6%). The ordinance must specify
that the increase in the tax authorized under this subsection expires
January 1, 2028.
(c) The amount collected from an increase adopted under subsection
(b) shall be transferred to the capital improvement board of managers
established by IC 36-10-9-3. The board shall deposit the revenues
received under this subsection in a special fund. Money in the special
fund may be used only for the payment of obligations incurred to
expand a convention center, including:
(1) principal and interest on bonds issued to finance or refinance
the expansion of a convention center; and
(2) lease agreements entered into to expand a convention center.
SOURCE: IC 6-9-8-3.5; (05)AM184602.8. -->
SECTION 8. IC 6-9-8-3.5 IS ADDED TO THE INDIANA CODE
AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2005]:
Sec. 3.5. (a) In any year following the initial year in
which the tax imposed under this chapter is increased under
section 3(b) of this chapter, the fiscal body may, by ordinance,
increase the rate of the tax imposed by section 2 of this chapter to
an amount not to exceed nine percent (9%) of the gross income
derived from lodging income only. The ordinance must specify
that:
(1) the increase in the rate of the tax authorized under this
subsection expires December 31, 2040; and
(2) the rate of the tax after December 31, 2040, is five percent
(5%) of the gross income derived from lodging income only.
(b) The amount collected from an increase adopted under this
section shall be transferred to the capital improvement board of
managers established under IC 36-10-9-3. The board shall deposit
revenues received under this section in a special fund. The money
in the special fund may be used only to construct and equip a
football stadium (as defined in IC 6-9-30-5), including the payment
of principal and interest on obligations (as defined in IC 5-1-3-1)
issued to finance or refinance the football stadium or the payment
of lease payments (as described in IC 36-10-9) for the football
stadium.
(c) If the fiscal body adopts an ordinance under subsection (a)
before June 1, the increased rate of the tax imposed by section 2 of
this chapter applies after June 30 of the year in which the
ordinance is adopted. If the fiscal body adopts an ordinance under
subsection (a) on or after June 1, the increased rate of the tax
imposed by section 2 of this chapter applies after the last day of the
month in which the ordinance is adopted.
SOURCE: IC 6-9-13-1; (05)AM184602.9. -->
SECTION 9. IC 6-9-13-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 1. (a) Except as
provided in subsection (b), the city-county council of a county that
contains a consolidated first class city may adopt an ordinance to
impose an excise tax, known as the county admissions tax, for the
privilege of attending, before January 1,
2028, 2041, any event and,
after December 31,
2027, 2040, any professional sporting event:
(1) held in a facility financed in whole or in part by bonds or notes
issued under IC 18-4-17 (before its repeal on September 1, 1981),
IC 36-10-9, or IC 36-10-9.1; and
(2) to which tickets are offered for sale to the public by:
(A) the box office of the facility; or
(B) an authorized agent of the facility.
(b) The excise tax imposed under subsection (a) does not apply to
the following:
(1) An event sponsored by an educational institution or an
association representing an educational institution.
(2) An event sponsored by a religious organization.
(3) An event sponsored by an organization that is considered a
charitable organization by the Internal Revenue Service for
federal tax purposes.
(4) An event sponsored by a political organization.
(c) If a city-county council adopts an ordinance under subsection (a),
it shall immediately send a certified copy of the ordinance to the
commissioner of the department of state revenue.
(d) If a city-county council adopts an ordinance under subsection (a)
prior to June 1, the county admissions tax applies to admission charges
collected after June 30 of the year in which the ordinance is adopted. If
the city-county council adopts an ordinance under subsection (a) on or
after June 1, the county admissions tax applies to admission charges
collected after the last day of the month in which the ordinance is
adopted.
SOURCE: IC 6-9-13-2; (05)AM184602.10. -->
SECTION 10. IC 6-9-13-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 2. (a) Except as
provided by subsection (b), the county admissions tax equals five
percent (5%) of the price for admission to any event described in
section 1 of this chapter.
(b) In any year following the initial year in which the county
admissions tax is imposed under section 1 of this chapter, a
city-county council may adopt an ordinance imposing an additional
admissions tax, not exceeding ten dollars ($10), for admission to
any combination of events that are described in:
(1) section 1(a) of this chapter;
(2) section 1(b)(1) of this chapter; or
(3) section 1(b)(3) of this chapter;
and held at a football stadium (as defined in IC 6-9-30-5).
(c) If a city-county council adopts an ordinance under subsection
(b) before June 1, the increased rate of the county admissions tax
applies to admission charges collected after June 30 of the year in
which the ordinance is adopted. If a city-county council adopts an
ordinance under subsection (b) on or after June 1, the increased
admissions tax applies to admission charges collected after the last
day of the month in which the ordinance is adopted.
SOURCE: IC 6-9-13-5; (05)AM184602.11. -->
SECTION 11. IC 6-9-13-5 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 5. The amounts
received from the county admissions tax shall be paid monthly by the
treasurer of the state to the treasurer of the capital improvement board
of managers of the county upon warrants issued by the auditor of state.
The board shall deposit revenues received under section 2(b) of this
chapter in a special fund. The money in the special fund may be
used only to construct and equip a football stadium (as defined in
IC 6-9-30-5), including the payment of principal and interest on
obligations (as defined in IC 5-1-3-1) issued to finance or refinance
the football stadium or the payment of lease payments (as
described in IC 36-10-9) for the football stadium.
SOURCE: IC 6-9-30; (05)AM184602.12. -->
SECTION 12. IC 6-9-30 IS ADDED TO THE INDIANA CODE
AS A
NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2005]:
Chapter 30. Marion County Luxury Suite Tax
Sec. 1. As used in this chapter, "event" means an event
described in IC 6-9-13-1 held at a football stadium.
Sec. 2. As used in this chapter, "fiscal body" has the meaning set
forth in IC 36-1-2-6.
Sec. 3. As used in this chapter "gross retail income" refers to
gross retail income as determined under IC 6-2.5-1.
Sec. 4. As used in this chapter, "luxury suite" means an enclosed
or partially enclosed room and any contiguous balcony seats in a
football stadium:
(1) that are designed to be used to observe or entertain at, or
both, one (1) or more events; and
(2) for which a rental fee is charged that is separate from the
price of admission to the event.
Sec. 5. As used in this chapter, "football stadium" refers to a
building that:
(1) is constructed in a consolidated city after December 31,
2004;
(2) when added to the cost of site acquisition and
improvements, costs or will cost at least four hundred million
dollars ($400,000,000); and
(3) is designed to be used to regularly play substantially all of
the home games of a National Football League team; and
any related parking facilities or other facilities needed to
accommodate the attendance of the public. The term does not
include a convention center. However, a building does not cease to
be a football stadium if the building is incidentally used for
convention activities that do not interfere with its use for a National
Football League team.
Sec. 6. As used in this chapter, "person" has the meaning set
forth in IC 6-2.5-1-3.
Sec. 7. As used in this chapter, "rental" includes lease and
purchase of ownership rights.
Sec. 8. The fiscal body of a county with a consolidated city may
adopt, amend, or repeal an ordinance to levy a tax on every person
engaged in the business of renting or furnishing luxury suites
located in the county. Whenever an ordinance is adopted, amended,
or repealed under this section, the county auditor shall immediately
send a certified copy of the ordinance to the department.
Sec. 9. The tax may not exceed a rate that when applied to all
luxury suite rentals is reasonably likely to raise not more than one
million dollars ($1,000,000) in a year.
Sec. 10. (a) An ordinance adopted under this chapter may
require that the tax be reported on forms approved by the county
treasurer and that the tax be paid monthly to the capital
improvement board of managers operating in a consolidated city.
If an ordinance including the provisions of this subsection is
adopted, the tax shall be paid to the capital improvement board of
managers operating in a consolidated city not more than twenty
(20) days after the end of the month the tax is collected.
(b) If an ordinance does not include the provisions described in
subsection (a), the tax shall be imposed, paid, and collected in
exactly the same manner as the state gross retail tax is imposed,
paid, and collected under IC 6-2.5.
Sec. 11. (a) All the provisions of IC 6-2.5 relating to rights,
duties, liabilities, procedures, penalties, definitions, exemptions,
and administration are applicable to the imposition and
administration of the tax imposed under this chapter except to the
extent those provisions are in conflict or inconsistent with the
specific provisions of this chapter or the requirements of the county
treasurer. However, IC 6-2.5-4-4(d) does not apply to this chapter.
The county treasurer may require the capital improvement board
of managers operating in a consolidated city to make the reports
concerning collections that the county treasurer determines
necessary.
(b) If the tax is paid to the department of state revenue, the
return to be filed for the payment of the tax under this section may
be either a separate return or may be combined with the return
filed for the payment of the state gross retail tax as the department
of state revenue may, by rule, determine.
Sec. 12. (a) This section applies if the tax is paid to the
department of state revenue.
(b) All revenues collected from the county luxury suite tax shall
be deposited in a special account of the state general fund called the
county luxury suite tax account.
(c) On or before the twentieth day of each month, all amounts
held in the county luxury suite tax account shall be distributed to
the capital improvement board of managers operating in a
consolidated city. All money distributed under this chapter shall be
paid by the treasurer of state upon warrants issued by the auditor
of state.
(d) The amount to be distributed to the capital improvement
board of managers operating in a consolidated city equals the total
county luxury suite taxes that are imposed and collected within the
county in which the consolidated city is located. The department
shall notify the county auditor of the amount of taxes to be
distributed to the board.
Sec. 13. The capital improvement board operating in the
consolidated city shall deposit revenues received under this chapter
in a special fund. The money in the special fund may be used only
to construct and equip a football stadium, including the payment
of principal and interest on obligations (as defined in IC 5-1-3-1)
issued to finance or refinance the football stadium or the payment
of lease payments (as described in IC 36-10-9) for the football
stadium.
Sec. 14. This chapter expires January 1, 2041.
SOURCE: IC 6-9-35; (05)AM184602.13. -->
SECTION 13. IC 6-9-35 IS ADDED TO THE INDIANA CODE
AS A
NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2005]:
Chapter 35. Professional Sports Team Excise Tax
Sec. 1. This chapter applies only to a county having a
consolidated city.
Sec. 2. As used in this chapter, "department" refers to the
department of state revenue.
Sec. 3. As used in this chapter, "fiscal body" has the meaning set
forth in IC 36-1-2-6.
Sec. 4. As used in this chapter, "football stadium" has the
meaning set forth in IC 6-9-30-5.
Sec. 5. As used in this chapter, "football stadium days" means
the number of total duty days spent by a team member within
Indiana rendering a service for the team in any manner during the
taxable year in or at a football stadium, except those days spent in
or at a football stadium for which a team member is on the disabled
list.
Sec. 6. As used in this chapter, "team" has the meaning set forth
in IC 6-3-2-2.7.
Sec. 7. As used in this chapter, "team member" has the meaning
set forth in IC 6-3-2-2.7.
Sec. 8. As used in this chapter, "total duty days" has the
meaning set forth in IC 6-3-2-2.7.
Sec. 9. As used in this chapter, "total income" has the meaning
set forth in IC 6-3-2-2.7.
Sec. 10. The county fiscal body may adopt, amend, or repeal an
ordinance to levy a professional sports team excise tax on each
team member that uses a football stadium to render services for a
team. Whenever an ordinance is adopted, amended, or repealed
under this section, the county auditor shall immediately send a
certified copy of the ordinance to the department.
Sec. 11. An excise tax is imposed under this chapter on a team
member measured by the proportionate share of the team
member's total income for a taxable year that is attributable to
each day that the team member uses a football stadium to render
service for a team. The tax imposed under this chapter is in
addition to any other state or local tax imposed on total income.
Sec. 12. The amount of the tax for a taxable year is equal to the
team member's total income multiplied by the lesser of the tax rate
set in the ordinance adopted or amended under section 10 of this
chapter or two percent (2%) and further multiplied by the
following fraction:
(1) The numerator of the fraction is the team member's
football stadium days for the taxable year.
(2) The denominator of the fraction is the team member's total
duty days for the taxable year.
Sec. 13. It is presumed that this chapter results in a fair and
equitable apportionment of the team member's total income to
football stadium days. However, if the department demonstrates
that the method provided under this chapter does not fairly and
equitably apportion a team member's total income, the department
may require the team member to apportion the team member's
total income under another method that the department prescribes.
The prescribed method must result in a fair and equitable
apportionment. A team member may submit a proposal for an
alternative method to apportion the team member's compensation
if the team member demonstrates that the method provided under
this chapter does not fairly and equitably apportion the team
member's total income. If approved by the department, the
proposed method must be fully explained in the team member's
professional sports team excise tax return.
Sec. 14. The department may adopt rules under IC 4-22-2 to
establish either of the following methods of simplifying return filing
for team members of a team, if the team is not based in Indiana:
(1) A withholding system requiring a team to withhold total
income for each team member and to remit the withheld taxes
to Indiana on an annual basis. The department may require
each team to submit information for each team member
regarding total income, total income subject to tax under this
chapter, and the amount of tax withheld. Remittance of the
withholding and submission of the required information
satisfies the team member's tax liability and return filing
responsibilities. A team that is required to withhold and remit
shall provide all participating team members with a statement
evidencing the amount of tax withheld and remitted to
Indiana. Even though a team is required to withhold and
remit, a team member may file an individual professional
sports team excise tax return to claim a refund if the amount
remitted exceeds the amount otherwise owed using the
methodology under this chapter. However, if the team
member files an individual professional sports team excise tax
return to claim a refund, the team member is required to
notify the team member's state of residence of the filing.
(2) A composite return method that permits the filing of a
composite tax return by the team on behalf of each team
member. Other department rules concerning composite
returns apply to the extent these rules are not inconsistent
with this subdivision. The team must obtain approval from the
department before filing a composite return. The team must
obtain written authorization each taxable year from each
team member who elects to participate in the composite
return. The participating team members must acknowledge
through their elections that the composite return constitutes
an irrevocable filing and that they may not file a professional
sports team excise tax return in Indiana. The team must
maintain a power of attorney from each participating team
member that authorizes the team to represent them in a
protest or other appeal. The team and participating team
members must agree that the team is responsible for any
deficiencies, including penalties. The team shall withhold tax
from each participating team member's total income and
remit it to the state. The return must contain information for
each participating team member regarding total income, total
income subject to tax in Indiana using the methodology under
this chapter, and the amount of tax due. Filing of the return
and remittance of the tax satisfy the participating team
member's tax liability and return filing responsibilities.
If the method under subdivision (1) or (2) is required, a team
member's total income may not be reduced by using a deduction,
an exemption, or an exclusion. For a team member to participate
in either method, a team member's total income from the team
must be the only source of income attributable to Indiana. If a team
member leaves the team during a taxable year, the team remains
responsible for remitting the appropriate tax and may either collect
the tax paid from the team member or absorb the cost itself.
Sec. 15. Subject to this chapter, the tax imposed under this
chapter shall be imposed, paid, and collected in exactly the same
manner as the state adjusted gross income tax is imposed, paid, and
collected under IC 6-3. The provisions of IC 6-3-1-3.5(a)(6),
IC 6-3-3-3, IC 6-3-3-5, and IC 6-3-5-1 do not apply to the tax
imposed by this chapter.
Sec. 16. (a) The department shall establish a professional sports
team excise tax special account for the county imposing a tax under
this chapter. The department shall deposit into the account the
amount of professional sports team excise tax collected under this
chapter. Refunds of overpayments of the tax imposed by this
chapter shall be paid from the special account created for the
county. If the amount of refunds exceeds the amount in the special
account, the budget agency shall advance sufficient money to the
special account to pay the refund. Repayment from the special
account of an advance shall be made on the schedule established by
the budget agency.
(b) On or before the twentieth day of each month, all amounts
held in the county professional sports team excise tax special
account shall be distributed to the capital improvement board of
managers operating in a consolidated city.
(c) The amount to be distributed to the capital improvement
board of managers operating in a consolidated city equals the total
professional sports team excise tax imposed and collected from
within the county in which the consolidated city is located. The
department shall notify the county auditor of the amount of taxes
to be distributed to the board.
(d) All distributions from the professional sports team excise tax
special account shall be made by warrants issued by the auditor of
state to the treasurer of state ordering those payments to the capital
improvement board of managers operating in a consolidated city.
Sec. 17. The capital improvement board operating in the
consolidated city shall deposit revenues received under this chapter
in a special fund. The money in the special fund may be used only
to construct and equip a football stadium, including the payment
of principal and interest on obligations (as defined in IC 5-1-3-1)
issued to finance or refinance the football stadium or the payment
of lease payments (as described in IC 36-10-9) for the football
stadium.
Sec. 18. This chapter expires January 1, 2041.
SOURCE: IC 9-13-2-170; (05)AM184602.14. -->
SECTION 14. IC 9-13-2-170 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 170. "Special group"
means:
(1) a class or group of persons that the bureau finds:
(1) that: have (A) has made significant contributions to the
United States, Indiana, or the group's community or
(B) are
descendants of native or pioneer residents of Indiana;
(2) are (B) is organized as a nonprofit organization (as defined
under Section 501(c) of the Internal Revenue Code);
(3) are (C) is organized for nonrecreational purposes; and
(4) are (D) is organized as a separate, unique organization or
as a coalition of separate, unique organizations;
or
(2) a capital improvement board of managers created by
IC 36-10-9-3.
SOURCE: IC 9-18-15-1; (05)AM184602.15. -->
SECTION 15. IC 9-18-15-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 1. (a) A person who is
the registered owner or lessee of a:
(1) passenger motor vehicle;
(2) motorcycle;
(3) recreational vehicle; or
(4) vehicle registered as a truck with a declared gross weight of
not more than:
(A) eleven thousand (11,000) pounds;
(B) nine thousand (9,000) pounds; or
(C) seven thousand (7,000) pounds;
registered with the bureau or who makes an application for an original
registration or renewal registration of a vehicle may apply to the bureau
for a personalized license plate to be affixed to the vehicle for which
registration is sought instead of the regular license plate.
(b) A person who:
(1) is the registered owner or lessee of a vehicle described in
subsection (a); and
(2) is eligible to receive a license plate for the vehicle under:
(A) IC 9-18-17 (prisoner of war license plates);
(B) IC 9-18-18 (disabled veteran license plates);
(C) IC 9-18-19 (purple heart license plates);
(D) IC 9-18-20 (Indiana national guard license plates);
(E) IC 9-18-21 (Indiana guard reserve license plates);
(F) IC 9-18-22 (license plates for persons with disabilities);
(G) IC 9-18-23 (amateur radio operator license plates);
(H) IC 9-18-24 (civic event license plates);
(I) IC 9-18-25 (special group recognition license plates);
(J) IC 9-18-29 (environmental license plates);
(K) IC 9-18-30 (kids first trust license plates);
(L) IC 9-18-31 (education license plates);
(M) IC 9-18-32.2 (drug free Indiana trust license plates);
(N) IC 9-18-33 (Indiana FFA trust license plates);
(O) IC 9-18-34 (Indiana firefighter license plates);
(P) IC 9-18-35 (Indiana food bank trust license plates);
(Q) IC 9-18-36 (Indiana girl scouts trust license plates);
(R) IC 9-18-37 (Indiana boy scouts trust license plates);
(S) IC 9-18-38 (Indiana retired armed forces member license
plates);
(T) IC 9-18-39 (Indiana antique car museum trust license
plates);
(U) IC 9-18-40 (D.A.R.E. Indiana trust license plates);
(V) IC 9-18-41 (Indiana arts trust license plates);
(W) IC 9-18-42 (Indiana health trust license plates);
(X) IC 9-18-43 (Indiana mental health trust license plates);
(Y) IC 9-18-44 (Indiana Native American Trust license plates);
(Z) IC 9-18-45.8 (Pearl Harbor survivor license plates);
(AA) IC 9-18-46.2 (Indiana state educational institution trust
license plates);
(BB) IC 9-18-47 (Lewis and Clark bicentennial license plates);
or
(CC) IC 9-18-48 (Riley Children's Foundation license plates);
or
(DD) IC 9-18-49 (capital improvement board team license
plates).
may apply to the bureau for a personalized license plate to be affixed
to the vehicle for which registration is sought instead of the regular
special recognition license plate.
SOURCE: IC 9-18-25-1.8; (05)AM184602.16. -->
SECTION 16. IC 9-18-25-1.8 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2005]: Sec. 1.8. Sections 15, 17, and 17.5 of
this chapter do not apply to a capital improvement board special
group recognition license plate issued under IC 9-18-49-2.
SOURCE: IC 9-18-49; (05)AM184602.17. -->
SECTION 17. IC 9-18-49 IS ADDED TO THE INDIANA CODE
AS A
NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2005]:
Chapter 49. Capital Improvement Board Team License Plates
Sec. 1. As used in this chapter, "capital improvement board"
refers to a capital improvement board of managers created by
IC 36-10-9-3.
Sec. 2. The bureau shall design and issue one (1) or more capital
improvement board team license plates upon the request of a
capital improvement board. The capital improvement board team
license plates shall be designed and issued as special group
recognition license plates under IC 9-18-25.
Sec. 3. A capital improvement board team license plate designed
under IC 9-18-25 must include the following:
(1) A basic design for the plate, with consecutive numbers or
letters, or both, to properly identify the vehicle.
(2) A background design, an emblem, or colors that designate
the license plate as a capital improvement board team plate,
with separate design, emblem, or colors for each capital
improvement board team plate reflecting a different
professional sports team as requested by the capital
improvement board.
Sec. 4. A person who is eligible to register a vehicle under this
title is eligible to receive a capital improvement board team license
plate upon doing the following:
(1) Completing an application for a capital improvement
board team license plate.
(2) Designating the particular capital improvement board
team special group license plate desired.
(3) Paying the fees required by section 5 of this chapter.
Sec. 5. (a) The fees for a capital improvement board team license
plate are as follows:
(1) The appropriate fee under IC 9-29-5-38.
(2) An annual fee of twenty-five dollars ($25) to be collected
by the bureau.
(b) The annual fee described in subsection (a)(2) shall be
deposited in the fund established by section 6 of this chapter.
Sec. 6. (a) The capital improvement board professional sports
trust fund is established.
(b) The treasurer of state shall invest the money in the capital
improvement board professional sports trust fund not currently
needed to meet the obligations of the fund in the same manner as
other public trust funds are invested. Interest that accrues from
these investments shall be deposited in the fund.
(c) The commissioner shall administer the capital improvement
board professional sports trust fund. Expenses of administering the
fund shall be paid from money in the fund.
(d) The auditor of state shall distribute the money from the
capital improvement board professional sports trust fund to the
capital improvement board each month. The capital improvement
board shall deposit money received under this subsection in a
special fund. The money in the special fund may be used only to
construct and equip a football stadium (as defined in IC 6-9-30-5),
including the payment of principal and interest on obligations (as
defined in IC 5-1-3-1) issued to finance or refinance the football
stadium or the payment of lease payments (as described in
IC 36-10-9) for the football stadium.
(e) Money in the capital improvement board professional sports
trust fund at the end of a state fiscal year does not revert to the
state general fund.
SOURCE: IC 36-7-31-14; (05)AM184602.18. -->
SECTION 18. IC 36-7-31-14 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 14. (a) A tax area must
be established by resolution. A resolution establishing a tax area must
provide for the allocation of covered taxes attributable to a taxable
event or covered taxes earned in the tax area to the professional sports
development area fund established for the county. The allocation
provision must apply to the entire tax area. The resolution must provide
that the tax area terminates not later than December 31, 2027. 2040.
(b) All of the salary, wages, bonuses, and other compensation that
are:
(1) paid during a taxable year to a professional athlete for
professional athletic services;
(2) taxable in Indiana; and
(3) earned in the tax area;
shall be allocated to the tax area if the professional athlete is a member
of a team that plays the majority of the professional athletic events that
the team plays in Indiana in the tax area.
(c) The total amount of state revenue captured by the tax area may
not exceed five million dollars ($5,000,000) per year for twenty (20)
consecutive years. before January 1, 2008, and twelve million
dollars ($12,000,000) after December 31, 2007.
(d) The resolution establishing the tax area, or any amendment to
the resolution, must designate the facility and the facility site for which
the tax area is established and covered taxes will be used.
(e) The department may adopt rules under IC 4-22-2 and guidelines
to govern the allocation of covered taxes to a tax area.
SOURCE: IC 36-7-31-23; (05)AM184602.19. -->
SECTION 19. IC 36-7-31-23 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2005]: Sec. 23. This chapter
expires December 31, 2027. 2040.
SOURCE: ; (05)AM184602.20. -->
SECTION 20. [EFFECTIVE JULY 1, 2005]
The general assembly
finds that:
(1) the retention of a professional football team in a
consolidated city is critical to successful economic
development in a consolidated city and is a public purpose;
(2) the retention of a professional football team in a
consolidated city poses unique challenges due to the need for
development of a suitable football stadium and related
infrastructure that would not be needed apart from the needs
related to retention of a professional football team in the
consolidated city;
(3) encouragement of economic development in the
consolidated city will:
(A) generate significant economic activity, a substantial
portion of which results from persons residing outside
Indiana, which may attract new businesses and encourage
existing businesses to remain or expand in the consolidated
city;
(B) promote the consolidated city to residents outside
Indiana, which may attract residents outside Indiana and
new businesses to relocate to the consolidated city;
(C) protect and increase state and local tax revenues; and
(D) encourage overall economic growth in the consolidated
city and in Indiana;
(4) the consolidated city faces unique challenges in the
development of infrastructure and other facilities necessary to
promote economic development as a result of its need to rely
on sources of revenue other than property taxes, due to the
large number of tax exempt properties located in the
consolidated city because the consolidated city is the seat of
government, the home to multiple institutions of higher
education, and the site of numerous state and regional
nonprofit corporations;
(5) economic development benefits the health and welfare of
the people of Indiana, is a public use and purpose for which
public money may be spent, and is of public utility and
benefit; and
(6) the purpose of this act is to provide additional means for
the consolidated city to develop and finance a football stadium
and related infrastructure in order to encourage economic
development in the consolidated city.
(Reference is to HB 1846 as introduced.)
and when so amended that said bill do pass.
__________________________________
AM184602/DI 92 2005