Citations Affected: IC 6-1.1.
Synopsis: Personal property tax assessment. Specifies that a person
contracted to discover omitted or undervalued property may review
only the three assessment years ending before January 1of the year in
which a taxpayer receives notice of the person's actions under the
contract. Specifies the priority of payments from a special nonreverting
fund created for the deposit of taxes resulting from additional
assessments on undervalued or omitted property.
Effective: July 1, 2007.
January 23, 2007, read first time and referred to Committee on Ways and Means.
February 15, 2007, amended, reported _ Do Pass.
A BILL FOR AN ACT to amend the Indiana Code concerning
must be limited in scope to the three (3) assessment years ending
before January 1 of the calendar year in which the taxpayer
receives notice of the contractor's actions. Notice provided under
this section must be in writing and must list each year for which
returns and other records may be reviewed under subsection (a).
For purposes of this subsection, notice is considered to have been
received by the taxpayer as of the date of the notice.
(c) IC 6-1.1-9-3 does not apply to a contractor's actions under subsection (a).
(b) (d) This subsection applies if funds are not appropriated for
payment of services performed under a contract described in subsection
(a). The county auditor may create a special nonreverting fund in which
the county treasurer shall deposit the amount of taxes, including
penalties and interest, that result from additional assessments on
undervalued or omitted property collected from all taxing jurisdictions
in the county after deducting the amount of any property tax credits that
reduce the owner's property tax liability for the undervalued or omitted
property. The fund remains in existence during the term of the contract.
Distributions shall be made from the fund without appropriation only
for the following purposes and in the following order:
(1) First, for all contract fees and other costs related to the contract.
(2) Second, for deposit in the county's reassessment fund. The amount deposited in the county's reassessment fund under this subdivision may not exceed twenty percent (20%) of the remaining money collected as a result of a contract entered into under this section.
(2) (e) After the payments required by subdivision (1) subsection
(d) have been made and the contract has expired, the county auditor
shall distribute all money remaining in the fund to the appropriate
taxing units in the county using the property tax rates of each taxing
unit in effect at the time of the distribution.
(f) If the money in the fund established under subsection (b) is insufficient to pay the fees and costs related to a contract described in subsection (a), the county may pay the remaining fees and costs from the county's reassessment fund.
(c) (g) A board of county commissioners, a county assessor, or an
elected township assessor may not contract for services under
subsection (a) on a percentage basis.
(h) The department shall adopt rules under IC 4-22-2 to govern the certification of persons who wish to obtain a contract under this section.