Citations Affected: IC 6-1.1-4-4.5.
Synopsis: Assessed value of farmland. Provides that the base rate used
for property tax assessment of agricultural land is the lesser of the base
rate determined under current methodology or the preceding year's base
rate adjusted by the percent increase or decrease in the annual average
Consumer Price Index.
Effective: January 1, 2011.
January 5, 2010, read first time and referred to Committee on Tax and Fiscal Policy.
A BILL FOR AN ACT to amend the Indiana Code concerning
(c) (e) The rules adopted under subsection (a) (c) must include the
following characteristics in the system:
(1) Promote uniform and equal assessment of real property within and across classifications.
(2) Require that assessing officials:
(A) reevaluate the factors that affect value;
(B) express the interactions of those factors mathematically;
(C) use mass appraisal techniques to estimate updated property values within statistical measures of accuracy; and
(D) provide notice to taxpayers of an assessment increase that results from the application of annual adjustments.
(3) Prescribe procedures that permit the application of the adjustment percentages in an efficient manner by assessing officials.
(d) (f) The department of local government finance must review and
certify each annual adjustment determined under this section.
(e) (g) Subject to subsection (h), in making the annual
determination of the base rate to satisfy the requirement for an annual
adjustment under subsection (a), (c), the department of local
government finance shall determine the base rate using the
methodology reflected in Table 2-18 of Book 1, Chapter 2 of the
department of local government finance's Real Property Assessment
Guidelines (as in effect on January 1, 2005), except that the department
shall adjust the methodology to use a six (6) year rolling average
instead of a four (4) year rolling average.
(h) For property taxes first due and payable in a calendar year after 2010, the base rate is the lesser of the following:
(1) The result of the methodology referred to in subsection (g) for determination of the base rate.
(2) The base rate for property taxes first due and payable in the immediately preceding calendar year adjusted by the index factor.
(f) (i) For assessment dates after December 31, 2009, an adjustment
in the assessed value of real property under this section shall be based
on the estimated true tax value of the property on the assessment date
that is the basis for taxes payable on that real property.