of whether the individual resides in another county that has
imposed a tax under this chapter, IC 6-3.5-1.1, or IC 6-3.5-7. A tax
imposed under this section on a taxpayer who is not a resident
county taxpayer applies only to the adjusted gross income derived
from the nonresident taxpayer's principal place of business or
employment. The tax rate on an individual who is not a resident
county taxpayer is one-fourth (1/4) of the tax rate imposed on
resident county taxpayers, rounded to the nearest one hundredth
(d) In order to impose the county option income tax as provided in this section, the county fiscal body must adopt an ordinance:
(1) finding and determining that revenues from the county option income tax are needed in the county to fund the operation and maintenance of a jail, a juvenile detention center, or both; and
(2) agreeing to freeze the part of any property tax levy imposed in the county for the operation of the jail or juvenile detention center, or both, covered by the ordinance at the rate imposed in the year preceding the year in which a full year of additional county option income tax is certified for distribution to the county under this section for the term in which an ordinance is in effect under this section.
(e) If the county fiscal body makes a determination under subsection (d), the county fiscal body may adopt a tax rate under subsection (c). Subject to the limitations in subsection (c), the county fiscal body may amend an ordinance adopted under this section to increase, decrease, or rescind the additional tax rate imposed under this section. As soon as practicable after the adoption of an ordinance under this section, the county fiscal body shall send a certified copy of the ordinance to the county auditor, the department of local government finance, and the department of state revenue. An ordinance adopted under this section before April 1 in a year applies to the imposition of county income taxes after June 30 in that year. An ordinance adopted under this section after March 31 of a year initially applies to the imposition of county option income taxes after June 30 of the immediately following year.
(f) The county treasurer shall establish a county jail revenue fund to be used only for the purposes described in this section. County option income tax revenues derived from the tax rate imposed under this section shall be deposited in the county jail revenue fund before making a certified distribution under section 18 of this chapter.
(g) County option income tax revenues derived from the tax rate imposed under this section:
(1) may only be used for the purposes described in this section; and
(2) may not be considered by the department of local government finance in determining the county's maximum permissible
property tax levy limit under IC 6-1.1-18.5.
(h) The department of local government finance shall enforce an agreement under subsection (d)(2).
(i) The department, after reviewing the recommendation of the budget agency, shall adjust the certified distribution of a county to provide for an increased distribution of taxes in the immediately following calendar year after the county adopts an increased tax rate under this section and in each calendar year thereafter. The department shall provide for a full transition to certification of distributions as provided in section 17(a)(1) through 17(a)(2) of this chapter in the manner provided in section 17(c) of this chapter.
(j) The department shall separately designate a tax rate imposed under this section in any tax form as the Howard County jail operating and maintenance income tax.".