Citations Affected: Numerous provisions throughout the Indiana
Code.
January 12, 2011, read first time and referred to Committee on Commerce, Small Business
and Economic Development.
January 31, 2011, amended, reported _ Do Pass.
February 8, 2011, read second time, ordered engrossed. Engrossed.
February 10, 2011, read third time, passed. Yeas 94, nays 0.
tax credit, the maternity home tax credit, the credit for offering a health
benefit plan, and the small employer qualified wellness program tax
credit. Provides that the tax on moist snuff is $0.40 per ounce and is
proportionate to any fractional parts of an ounce. Provides that for
purposes of determining state minimum cigarette prices, the cost of
doing business is presumed to be 10% of the basic cost of cigarettes.
Provides that the Indiana finance authority may bond to return
advances received from the federal unemployment trust fund before
July 1, 2011. Provides that the authority may not issue bonds under
these provisions after June 30, 2013. Provides that the department of
workforce development may enter into agreements with the authority
to make lease payments or other payments permitted by law. Provides
that the bond proceeds, including investment income, shall be held in
trust to: (1) repay the principal and interest of previous advances from
the federal trust fund; (2) pay the costs of issuing the bonds; (3)
provide a bond reserve; and (4) pay capitalized interest on the bonds.
Requires the authority to obtain a legal opinion setting forth a
determination that bonds may be issued under these provisions.
Requires a nonprofit hospital to file its annual community benefits plan
with the state department of health at the same time the nonprofit
hospital files its annual information return with the Internal Revenue
Service. Indicates that the delivery of services through a fire protection
territory is not considered a municipal service for zoning outside the
boundaries of the municipality. Specifies that a member of the
legislative body of a unit may not vote on a proposed ordinance or
resolution authorizing the unit to join or establish a fire protection
territory if that member is also an employee of a participating unit or
is proposing to become a participating unit. Specifies different tax rates
may be levied for the participating units included within the territory.
Specifies additional actions in order to become part of a fire protection
territory and expires these additional requirements July 1, 2012.
Requires the DLGF to review the tax rates and levies for each fire
protection territory that is located in Hancock County and whether
different tax rates for fire protection services should be applied for the
participating units included within the territory. Provides that a fire
department, volunteer fire department, or emergency medical services
provider may apply to the county to receive a distribution of the public
safety local option income tax (LOIT) tax revenue before the remainder
of the tax revenue is distributed to the county and to the municipalities
in the county. Specifies that a municipality is entitled to receive a
distribution of public safety LOIT revenue only if the municipality is
providing public safety services. Increases the cost of projects that may
be performed without awarding a public works contract. Requires
certain public works contract provisions for a public works project of
more than $1,000,000. Specifies notice and public meeting
requirements that must be satisfied before a public work project with
an estimated cost of more than $100,000 may be performed by the
workforce of a municipality, county, state agency, or state educational
institution. Adds requirements for examination reports prepared by the
state board of accounts concerning certain public work projects.
Increases the cost threshold at which bids and quotes are required
under the local public works statute. Extends a county's or
municipality's authority to provide a property tax exemption for
enterprise information technology equipment. Authorizes a designating
body for property tax abatement deductions to provide an alternative
abatement schedule. Authorizes cities and counties to pay hiring
incentives for new employment in their jurisdictions limited to the local
option income taxes paid by the new employees. Extends the time for
amending a personal property tax return and provides for a reduction
in a refund or credit based on the time of filing. Provides that if a
personal property credit from filing an amended property tax return
exceeds $25,000, the credit maybe carried forward. Specifies that the
Lake County, to specify that the tax applies to the renting or furnishing of room for periods of less than 30 days by the same party in the same room, to broadens the funds into which innkeepers' tax revenue may be deposited, to change the budget and financial reporting deadline. Changes the membership of the Clark County and Floyd County special funds board of managers, specifies that the open door and public record laws apply to the board of managers, and requires the publication of financial information and an annual report. Provides that recipients of Clark County and Floyd County innkeeper's tax revenues are required to submit a report to the board of managers when requested by the board of managers. Authorizes the county council of White County to increase the county's innkeeper's tax rate to not more than 5% to be used to promote conventions, tourism, and economic development in the county. Extends the Nashville food and beverage tax to 2022. Provides that a school corporation's capital projects plan and school bus replacement plan must be adopted before November 1. Provides for the DLGF to review the school bus replacement levy for 2012 for reasonableness. Legalizes an ordinance of a county adopted after December 31, 2006, and before February 1, 2007, that implemented a licensing system for dogs despite the fact that the county did not first adopt the county option dog tax.
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
policies and activities.
(2) The use and effectiveness of tax credits and deductions.
(3) Whether there are any specific sectors of the economy for
which Indiana might have comparative advantages over other
states.
(4) The extent to which Indiana's tax laws encourage business
investment, and any improvements that might be made to
Indiana's tax laws.
(5) The extent to which Indiana's education systems support
economic development.
(6) The benefits of existing community revitalization
enhancement districts and possible new community
revitalization enhancement districts as an economic
development tool.
(7) Methods for eliminating or reducing the personal property
tax statewide.
(8) Any other issue assigned to the committee by the
legislative council or as directed by the committee's co-chairs.
Sec. 4. The committee shall issue a final report before November
1 each year to the legislative council containing any findings and
recommendations of the committee. The report must be in an
electronic format under IC 5-14-6.
Sec. 5. Except as otherwise provided in this chapter, the
committee shall operate under the policies governing study
committees adopted by the legislative council.
Sec. 6. This chapter expires December 31, 2014.
consultants, and agents as may be necessary in its judgment and
to fix their compensation.
(8) Procure insurance against any loss in connection with its
property and other assets, including loans and loan notes in
amounts and from insurers as it may consider advisable.
(9) Borrow money, make guaranties, issue bonds, and otherwise
incur indebtedness for any of the authority's purposes, and issue
debentures, notes, or other evidences of indebtedness, whether
secured or unsecured, to any person, as provided by the affected
statutes. Notwithstanding any other law, the:
(A) issuance by the authority of any indebtedness that
establishes a procedure for the authority or a person acting on
behalf of the authority to certify to the general assembly the
amount needed to restore a debt service reserve fund or
another fund to required levels; or
(B) execution by the authority of any other agreement that
creates a moral obligation of the state to pay all or part of any
indebtedness issued by the authority;
is subject to review by the budget committee and approval by the
budget director.
(10) Procure insurance or guaranties from any public or private
entities, including any department, agency, or instrumentality of
the United States, for payment of any bonds issued by the
authority, including the power to pay premiums on any insurance
or reinsurance.
(11) Purchase, receive, take by grant, gift, devise, bequest, or
otherwise, and accept, from any source, aid or contributions of
money, property, labor, or other things of value to be held, used,
and applied to carry out the purposes of the affected statutes,
subject to the conditions upon which the grants or contributions
are made, including but not limited to gifts or grants from any
department, agency, or instrumentality of the United States, and
lease or otherwise acquire, own, hold, improve, employ, use, and
otherwise deal in and with real or personal property or any
interest in real or personal property, wherever situated, for any
purpose consistent with the affected statutes.
(12) Enter into agreements with any department, agency, or
instrumentality of the United States or this state and with lenders
and enter into loan agreements, sales contracts, and leases with
contracting parties, including participants (as defined in
IC 13-11-2-151.1) for any purpose permitted under IC 13-18-13
or IC 13-18-21, borrowers, lenders, developers, or users, for the
purpose of planning, regulating, and providing for the financing
and refinancing of any agricultural enterprise (as defined in
IC 5-28-31-1), rural development project (as defined in
IC 5-28-31-20), industrial development project, purpose permitted
under IC 13-18-13 and IC 13-18-21, or international exports, and
distribute data and information concerning the encouragement
and improvement of agricultural enterprises and agricultural
employment, rural development projects, industrial development
projects, international exports, and other types of employment in
the state undertaken with the assistance of the authority under this
chapter.
(13) Enter into contracts or agreements with lenders and lessors
for the servicing and processing of loans and leases pursuant to
the affected statutes.
(14) Provide technical assistance to local public bodies and to
profit and nonprofit entities in the development or operation of
agricultural enterprises, rural development projects, and industrial
development projects.
(15) To the extent permitted under its contract with the holders of
the bonds of the authority, consent to any modification with
respect to the rate of interest, time, and payment of any
installment of principal or interest, or any other term of any
contract, loan, loan note, loan note commitment, contract, lease,
or agreement of any kind to which the authority is a party.
(16) To the extent permitted under its contract with the holders of
bonds of the authority, enter into contracts with any lender
containing provisions enabling it to reduce the rental or carrying
charges to persons unable to pay the regular schedule of charges
when, by reason of other income or payment by any department,
agency, or instrumentality of the United States of America or of
this state, the reduction can be made without jeopardizing the
economic stability of the agricultural enterprise, rural
development project, or industrial development project being
financed.
(17) Notwithstanding IC 5-13, but subject to the requirements of
any trust agreement entered into by the authority, invest:
(A) the authority's money, funds, and accounts;
(B) any money, funds, and accounts in the authority's custody;
and
(C) proceeds of bonds or notes;
in the manner provided by an investment policy established by
resolution of the authority.
industrial development projects, including land, machinery,
equipment, or any combination thereof; or
(B) eligible expenditures for an educational facility project
described in IC 4-4-10.9-6.2(a)(2);
with the loans to be secured by the pledge of one (1) or more
bonds, notes, warrants, or other secured or unsecured debt
obligations of the users or developers.
(28) Lend or deposit the proceeds of bonds to or with a lender for
the purpose of furnishing funds to such lender to be used for
making a loan to a developer or user for the financing of industrial
development projects under this chapter.
(29) Enter into agreements with users or developers to allow the
users or developers, directly or as agents for the authority, to
wholly or partially construct industrial development projects to be
leased from or to be acquired by the authority.
(30) Establish reserves from the proceeds of the sale of bonds,
other funds, or both, in the amount determined to be necessary by
the authority to secure the payment of the principal and interest on
the bonds.
(31) Adopt rules and guidelines governing its activities authorized
under the affected statutes.
(32) Use the proceeds of bonds to make guaranteed participating
loans.
(33) Purchase, discount, sell, and negotiate, with or without
guaranty, notes and other evidences of indebtedness.
(34) Sell and guarantee securities.
(35) Make guaranteed participating loans under IC 4-4-21-26.
(36) Procure insurance to guarantee, insure, coinsure, and
reinsure against political and commercial risk of loss, and any
other insurance the authority considers necessary, including
insurance to secure the payment of principal and interest on notes
or other obligations of the authority.
(37) Provide performance bond guarantees to support eligible
export loan transactions, subject to the terms of the affected
statutes.
(38) Provide financial counseling services to Indiana exporters.
(39) Accept gifts, grants, or loans from, and enter into contracts
or other transactions with, any federal or state agency,
municipality, private organization, or other source.
(40) Sell, convey, lease, exchange, transfer, or otherwise dispose
of property or any interest in property, wherever the property is
located.
public works projects;
(2) approve contract documents for public works projects;
(3) advertise for bids for public works contracts;
(4) recommend to the commissioner award of public works
contracts;
(5) supervise and inspect all work relating to public works
projects;
(6) recommend to the commissioner approval of any necessary
lawful changes in contract documents relating to a public works
contract that has been awarded;
(7) approve or reject estimates for payment;
(8) accept or reject a public works project; and
(9) administer this article.
(b) Except as provided in IC 4-13.6-5-4(b) IC 4-13.6-5-4(d) and
subject to IC 4-13.6-2-6, whenever in this article a duty is specified or
authority is granted that relates to the estimated dollar value of a public
works project, the director shall make the determination of the value of
the project. Such a determination of the director is final and conclusive
and is the amount against which the existence of the duty or the
authority shall be determined, even if it is later found that the
determination of the director was erroneous.
(c) The division may delegate any of its authority to a governmental
body.
a listing of the equipment that is available to the contractor for
performance of the work.
(f) The statements required by this section shall be submitted on
forms approved by the state board of accounts. The forms shall be
based, so far as applicable, on standard questionnaires and financial
statements for contractors used in investigating the qualifications of
contractors on public construction work.
(g) The division shall reject the bid of a contractor if:
(1) the estimated cost of the public works project is one hundred
fifty thousand dollars ($150,000) or more and the contractor is not
qualified under chapter 4 of this article;
(2) the estimated cost of the public works project is less than one
hundred fifty thousand dollars ($150,000) and the director makes
a written determination, based upon information provided under
subsections (d) and (e), that the contractor is not qualified to
perform the public works contract;
(3) the contractor has failed to perform a previous contract with
the state satisfactorily and has submitted the bid during a period
of suspension imposed by the director (the failure of the
contractor to perform a contract satisfactorily must be based upon
a written determination by the director);
(4) the contractor has not complied with a rule adopted under this
article and the rule specifies that failure to comply with it is a
ground for rejection of a bid; or
(5) the contractor has not complied with any requirement under
section 2.5 of this chapter.
(h) The division shall keep a record of all bids. The state board of
accounts shall approve the form of this record, and the record must
include at least the following information:
(1) The name of each contractor.
(2) The amount bid by each contractor.
(3) The name of the contractor making the lowest bid.
(4) The name of the contractor to whom the contract was
awarded.
(5) The reason the contract was awarded to a contractor other than
the lowest bidder, if applicable.
(6) Purchase order numbers.
this chapter or under this section, at the discretion of the director.
(b) If the director awards a contract under this section, the division
shall invite quotations from at least three (3) contractors known to the
division to deal in the work required to be done. However, if fewer than
three (3) contractors are known to the division to be qualified to
perform the work, the division shall invite quotations from as many
contractors as are known to be qualified to perform the work. Failure
to receive three (3) quotations shall not prevent an award from being
made.
(c) The division may authorize the governmental body for which the
public work is to be performed to invite quotations, but award of a
contract based upon those quotations is the responsibility of the
division.
(d) Quotations given by a contractor under this section must be in
writing and sealed in an envelope, shall be considered firm, and may
be the basis upon which the division awards a public works contract.
(e) The division shall award a contract to the lowest responsible and
responsive contractor and in accordance with any requirement imposed
under section 2.5 of this chapter.
dollars ($1,000,000) or more, the division shall include as part of the
public works contract provisions for the retainage of portions of
payments by the division to the contractor, by the contractor to
subcontractors, and for the payment of subcontractors and suppliers by
the contractor. The contract must provide that the division may
withhold from the contractor sufficient funds from the contract price to
pay subcontractors and suppliers as provided in section 4 of this
chapter.
(b) A public works contract and contracts between contractors and
subcontractors, if portions of the public works contract are
subcontracted, may include a provision that at the time any retainage
is withheld, the division or the contractor, as the case may be, may
place the retainage in an escrow account, as mutually agreed, with:
(1) a bank;
(2) a savings and loan institution;
(3) the state of Indiana; or
(4) an instrumentality of the state of Indiana;
as escrow agent. The parties to the contract shall select the escrow
agent by mutual agreement. The parties to the agreement shall enter
into a written agreement with the escrow agent.
(c) The escrow agreement must provide the following:
(1) The escrow agent shall promptly invest all escrowed principal
in the obligations that the escrow agent selects, in its discretion.
(2) The escrow agent shall hold the escrowed principal and
income until it receives notice from both of the other parties to the
escrow agreement specifying the percentage of the escrowed
principal to be released from the escrow and the persons to whom
this percentage is to be released. When it receives this notice, the
escrow agent shall promptly pay the designated percentage of
escrowed principal and the same percentage of the accumulated
escrowed income to the persons designated in the notice.
(3) The escrow agent shall be compensated for its services as the
parties may agree. The compensation shall be a commercially
reasonable fee commensurate with fees being charged at the time
the escrow fund is established for the handling of escrow accounts
of like size and duration. The fee must be paid from the escrowed
income of the escrow account.
(d) The escrow agreement may include other terms and conditions
that are not inconsistent with subsection (c). Additional provisions may
include provisions authorizing the escrow agent to commingle the
escrowed funds held under other escrow agreements and provisions
limiting the liability of the escrow agent.
over horse racing meetings or pari-mutuel wagering; and
(2) any of the conditions listed in subsection (b) apply to the
applicant or licensee.
(b) The conditions referred to in subsection (a) are as follows:
(1) The applicant or licensee has been convicted of a felony or
misdemeanor that could compromise the integrity of racing by the
applicant's or licensee's participation in racing.
(2) The applicant or licensee has had a license of the legally
constituted racing authority of a state, province, or country
denied, suspended, or revoked for cause within the preceding five
(5) years.
(3) The applicant or licensee is presently under suspension for
cause of a license by the legally constituted racing authority of a
state, province, or country.
(4) The applicant or licensee has violated or attempted to violate
a provision of this article, a rule adopted by the commission, or a
law or rule with respect to horse racing in a jurisdiction.
(5) The applicant or licensee has perpetrated or attempted to
perpetrate a fraud or misrepresentation in connection with the
racing or breeding of horses or pari-mutuel wagering.
(6) The applicant or licensee has demonstrated financial
irresponsibility by accumulating unpaid obligations, defaulting on
obligations, or issuing drafts or checks that are dishonored or not
paid.
(7) The applicant or licensee has made a material
misrepresentation in an application for a license.
(8) The applicant or licensee has been convicted of a crime
involving bookmaking, touting, or similar pursuits or has
consorted with a person convicted of such an offense.
(9) The applicant or licensee has abandoned, mistreated, abused,
neglected, or engaged in an act of cruelty to a horse.
(10) The applicant or licensee has engaged in conduct that is
against the best interest of horse racing.
(11) The applicant or licensee has failed to comply with a written
order or ruling of the commission or judges pertaining to a racing
matter.
(12) The applicant or licensee has failed to answer correctly under
oath, to the best of the applicant's or licensee's knowledge, all
questions asked by the commission or its representatives
pertaining to a racing matter.
(13) The applicant or licensee has failed to return to a permit
holder any purse money, trophies, or awards paid in error or
ordered redistributed by the commission.
(14) The applicant or licensee has had possession of an alcoholic
beverage on a permit holder's premises, other than a beverage
legally sold through the permit holder's concession operation.
(15) The applicant or licensee has interfered with or obstructed a
member of the commission, a commission employee, or a racing
official while performing official duties.
(16) The name of the applicant or licensee appears on the
department of state revenue's most recent tax warrant list, and the
person's delinquent tax liability tax warrant has not been
satisfied.
(17) The applicant or licensee has pending criminal charges.
(18) The applicant or licensee has racing disciplinary charges
pending in Indiana or another jurisdiction.
(19) The applicant or licensee is unqualified to perform the duties
required under this article or the rules of the commission.
IC 5-16-8-2(b) or IC 5-16-8-4.
(b) If a municipality or a county performs a public work by
means of its own workforce under IC 36-1-12-3, the state board of
accounts shall include the following in each examination report
concerning the municipality or county:
(1) An opinion concerning whether the municipality or county
has complied with IC 36-1-12-3 for each public work
performed by the entity's own workforce.
(2) A brief description of each public work that the
municipality or county has performed with its own workforce
under IC 36-1-12-3, including a calculation of the actual cost
of each public work under IC 36-1-12-3.
(3) An opinion concerning whether the municipality or county
has complied with IC 36-1-12-19 in calculating the actual
costs of a public work project performed under IC 36-1-12-3.
(c) If a state agency performs a public work by means of its own
workforce under IC 4-13.6-5-4, the state board of accounts shall
include the following in each examination report concerning the
agency:
(1) An opinion concerning whether the agency has complied
with IC 4-13.6-5-4 for each public work performed by the
agency's own workforce.
(2) A brief description of each public work that the agency has
performed with its own workforce under IC 4-13.6-5-4,
including a calculation of the actual cost of each public work
under IC 4-13.6-5-4.
(3) An opinion concerning whether the agency has complied
with IC 4-13.6-5-4(c) in calculating the actual costs of a public
work project performed under IC 4-13.6-5-4.
(d) If a state educational institution performs a public work by
means of its own workforce under IC 5-16-1-1.5, the state board of
accounts shall include the following in each examination report
concerning the state educational institution:
(1) An opinion concerning whether the state educational
institution has complied with IC 5-16-1-1.5 for each public
work performed by the state educational institution's own
workforce.
(2) A brief description of each public work that the state
educational institution has performed with its own workforce
under IC 5-16-1-1.5, including a calculation of the actual cost
of each public work under IC 5-16-1-1.5.
(3) An opinion concerning whether the state educational
institution has complied with IC 5-16-1-1.5 in calculating the
actual costs of a public work project performed under
IC 5-16-1-1.5.
(b) (e) The state board of accounts may exercise any of its powers
under this chapter concerning public accounts to carry out this section,
including the power to require a uniform system of accounting or the
use of forms prescribed by the state board of accounts.
institution without advertising for bids and meeting other contract
awarding requirements of this article whenever the estimated cost of
the project is less than fifty two hundred thousand dollars ($50,000).
($200,000). However, in awarding any contract under this section the
state educational institution must do the following:
(1) Invite bids from at least three (3) persons, firms, limited
liability companies, or corporations known to deal in the work
required to be done.
(2) Give notice of the project if the estimated cost of the project
is more than twenty-five thousand dollars ($25,000). If required,
notice must include a description of the work to be done and be
given in at least one (1) newspaper of general circulation printed
and published in the county in which the work is to be done.
(3) Award the contract to the lowest and best bidder.
for those purposes, may do the following:
(1) Cooperate with federal, state, and local governments and
agencies in the coordination of programs to make the best use of
Indiana resources, based on a statewide study to determine
specific economic sectors that should be emphasized by the
state and by local economic development organizations within
geographic regions in Indiana.
(2) Receive and expend funds, grants, gifts, and contributions of
money, property, labor, interest accrued from loans made by the
corporation, and other things of value from public and private
sources, including grants from agencies and instrumentalities of
the state and the federal government. The corporation:
(A) may accept federal grants for providing planning
assistance, making grants, or providing other services or
functions necessary to political subdivisions, planning
commissions, or other public or private organizations;
(B) shall administer these grants in accordance with the terms
of the grants; and
(C) may contract with political subdivisions, planning
commissions, or other public or private organizations to carry
out the purposes for which the grants were made.
(3) Direct that assistance, information, and advice regarding the
duties and functions of the corporation be given to the corporation
by an officer, agent, or employee of the executive branch of the
state. The head of any other state department or agency may
assign one (1) or more of the department's or agency's employees
to the corporation on a temporary basis or may direct a division
or an agency under the department's or agency's supervision and
control to make a special study or survey requested by the
corporation.
(b) The corporation shall perform the following duties:
(1) Develop and implement industrial development programs to
encourage expansion of existing industrial, commercial, and
business facilities in Indiana and to encourage new industrial,
commercial, and business locations in Indiana.
(2) Assist businesses and industries in acquiring, improving, and
developing overseas markets and encourage international plant
locations in Indiana. The corporation, with the approval of the
governor, may establish foreign offices to assist in this function.
(3) Promote the growth of minority business enterprises by doing
the following:
(A) Mobilizing and coordinating the activities, resources, and
efforts of governmental and private agencies, businesses, trade
associations, institutions, and individuals.
(B) Assisting minority businesses in obtaining governmental
or commercial financing for expansion or establishment of
new businesses or individual development projects.
(C) Aiding minority businesses in procuring contracts from
governmental or private sources, or both.
(D) Providing technical, managerial, and counseling assistance
to minority business enterprises.
(4) Assist the office of the lieutenant governor in:
(A) community economic development planning;
(B) implementation of programs designed to further
community economic development; and
(C) the development and promotion of Indiana's tourist
resources.
(5) Assist the secretary of agriculture and rural development in
promoting and marketing of Indiana's agricultural products and
provide assistance to the director of the Indiana state department
of agriculture.
(6) With the approval of the governor, implement federal
programs delegated to the state to carry out the purposes of this
article.
(7) Promote the growth of small businesses by doing the
following:
(A) Assisting small businesses in obtaining and preparing the
permits required to conduct business in Indiana.
(B) Serving as a liaison between small businesses and state
agencies.
(C) Providing information concerning business assistance
programs available through government agencies and private
sources.
(8) Establish a public information page on its current Internet site
on the world wide web. The page must provide the following:
(A) By program, cumulative information on the total amount
of incentives awarded, the total number of companies that
received the incentives and were assisted in a year, and the
names and addresses of those companies.
(B) A mechanism on the page whereby the public may request
further information online about specific programs or
incentives awarded.
(C) A mechanism for the public to receive an electronic
response.
7.5. (a) A taxpayer may file an amended personal property tax return,
in conformity with the rules adopted by the department of local
government finance, not more than six (6) months, if the filing date
for the original personal property tax return is before May 15,
2011, or twelve (12) months, if the filing date for the original
personal property tax return is after May 14, 2011, after the later of
the following:
(1) The filing date for the original personal property tax return, if
the taxpayer is not granted an extension in which to file under
section 7 of this chapter.
(2) The extension date for the original personal property tax
return, if the taxpayer is granted an extension under section 7 of
this chapter.
(b) A tax adjustment related to an amended personal property tax
return shall be made in conformity with rules adopted under IC 4-22-2
by the department of local government finance.
(c) If a taxpayer wishes to correct an error made by the taxpayer on
the taxpayer's original personal property tax return, the taxpayer must
file an amended personal property tax return under this section within
the time required by subsection (a). A taxpayer may claim on an
amended personal property tax return any adjustment or exemption that
would have been allowable under any statute or rule adopted by the
department of local government finance if the adjustment or exemption
had been claimed on the original personal property tax return.
(d) Notwithstanding any other provision, if:
(1) a taxpayer files an amended personal property tax return under
this section in order to correct an error made by the taxpayer on
the taxpayer's original personal property tax return; and
(2) the taxpayer is entitled to a refund of personal property taxes
paid by the taxpayer under the original personal property tax
return;
the taxpayer is not entitled to interest on the refund.
(e) If a taxpayer files an amended personal property tax return for
a year before July 16 of that year, the taxpayer shall pay taxes payable
in the immediately succeeding year based on the assessed value
reported on the amended return.
(f) If a taxpayer files an amended personal property tax return for a
year after July 15 of that year, the taxpayer shall pay taxes payable in
the immediately succeeding year based on the assessed value reported
on the taxpayer's original personal property tax return. Subject to
subsection (l), a taxpayer that paid taxes under this subsection is
entitled to a credit in the amount of taxes paid by the taxpayer on the
remainder of:
(1) the assessed value reported on the taxpayer's original personal
property tax return; minus
(2) the finally determined assessed value that results from the
filing of the taxpayer's amended personal property tax return.
Except as provided in subsection (k), the county auditor shall may
apply the credit against the taxpayer's property taxes on personal
property payable in the year or years that immediately succeeds
succeed the year in which the taxes were paid, as applicable. The
county is not required to pay interest on any amounts that a
taxpayer is entitled to receive as a credit under this section.
(g) If the amount of the A county auditor may carry a credit to
which the taxpayer is entitled under subsection (f) exceeds the amount
of the taxpayer's property taxes on personal property payable in the year
that immediately succeeds the year in which the taxes were paid, the
county auditor shall apply the amount of the excess forward to the
immediately succeeding year or years, as applicable, and use the
credit against the taxpayer's property taxes on personal property in the
next succeeding year. as follows:
(1) If the amount of the credit to which the taxpayer is
initially entitled under subsection (f) does not exceed
twenty-five thousand dollars ($25,000), the county auditor
may carry the credit forward to the year immediately
succeeding the year in which the taxes were paid.
(2) If the amount of the credit to which the taxpayer is
initially entitled under subsection (f) exceeds twenty-five
thousand dollars ($25,000), the county auditor may carry the
credit forward for not more than three (3) consecutive years
immediately succeeding the year in which the taxes were paid.
The credit is reduced each time the credit is applied to the
taxpayer's property taxes on personal property in succeeding years
by the amount applied.
(h) Not later than December 31 of the year in which a credit is
applied under subsection (g), If an excess credit remains after the
credit is applied in the final year to which the credit may be carried
forward under subsection (g), the county auditor shall refund to the
taxpayer the amount of any excess credit that remains after application
of the credit under subsection (g) not later than December 31 of the
final year to which the excess credit may be carried.
(i) The taxpayer is not required to file an application for:
(1) a credit under subsection (f) or (g); or
(2) a refund under subsection (h).
county council notice, before January 1 in a year, of the tax levies
required by this section for that year.
(e) The department of local government finance may raise or lower
the property tax levy under this section for a year if the department
determines it is appropriate because the estimated cost of:
(1) a general reassessment; or
(2) making annual adjustments under section 4.5 of this chapter;
has changed.
(f) The county assessor may petition the county fiscal body to
increase the levy under subsection (b) or (c) to pay for the costs of:
(1) a general reassessment;
(2) verification under 50 IAC 21-3-2 of sales disclosure forms
forwarded to the county assessor under IC 6-1.1-5.5-3; or
(3) processing annual adjustments under section 4.5 of this
chapter.
The assessor must document the needs and reasons for the increased
funding.
(g) If the county fiscal body denies a petition under subsection (f),
the county assessor may appeal to the department of local government
finance. The department of local government finance shall:
(1) hear the appeal; and
(2) determine whether the additional levy is necessary.
business is exempt from property taxation. In the case of a county, the
exemption applies only to qualified property that is located in
unincorporated territory of the county. In the case of a municipality, the
exemption applies only to qualified property that is located in the
municipality. The property tax exemption applies to the qualified
property only if the designating body and the eligible business enter
into an agreement concerning the property tax exemption. The
agreement must specify the duration of the property tax exemption. The
agreement may specify that if the ownership of qualified property is
transferred by an eligible business, the transferee is entitled to the
property tax exemption on the same terms as the transferor. If a
designating body adopts a final resolution under this subsection and
enters into an agreement with an eligible business, the qualified
property owned by the eligible business is exempt from property
taxation as provided in the resolution and the agreement.
(i) If a designating body adopts a final resolution and enters into an
agreement under subsection (h) to provide a property tax exemption,
the property tax exemption continues for the period specified in the
agreement, notwithstanding the January 1, 2013, 2017, deadline to
adopt a final resolution under subsection (h).
application. Notwithstanding any other law, a statement of benefits is
a public record that may be inspected and copied under IC 5-14-3-3.
(b) The designating body must review the statement of benefits
required under subsection (a). The designating body shall determine
whether an area should be designated an economic revitalization area
or whether the deduction shall be allowed, based on (and after it has
made) the following findings:
(1) Whether the estimate of the cost of the new manufacturing
equipment, new research and development equipment, new
logistical distribution equipment, or new information technology
equipment is reasonable for equipment of that type.
(2) With respect to:
(A) new manufacturing equipment not used to dispose of solid
waste or hazardous waste by converting the solid waste or
hazardous waste into energy or other useful products; and
(B) new research and development equipment, new logistical
distribution equipment, or new information technology
equipment;
whether the estimate of the number of individuals who will be
employed or whose employment will be retained can be
reasonably expected to result from the installation of the new
manufacturing equipment, new research and development
equipment, new logistical distribution equipment, or new
information technology equipment.
(3) Whether the estimate of the annual salaries of those
individuals who will be employed or whose employment will be
retained can be reasonably expected to result from the proposed
installation of new manufacturing equipment, new research and
development equipment, new logistical distribution equipment, or
new information technology equipment.
(4) With respect to new manufacturing equipment used to dispose
of solid waste or hazardous waste by converting the solid waste
or hazardous waste into energy or other useful products, whether
the estimate of the amount of solid waste or hazardous waste that
will be converted into energy or other useful products can be
reasonably expected to result from the installation of the new
manufacturing equipment.
(5) Whether any other benefits about which information was
requested are benefits that can be reasonably expected to result
from the proposed installation of new manufacturing equipment,
new research and development equipment, new logistical
distribution equipment, or new information technology
equipment.
(6) Whether the totality of benefits is sufficient to justify the
deduction.
The designating body may not designate an area an economic
revitalization area or approve the deduction unless it makes the
findings required by this subsection in the affirmative.
(c) Except as provided in subsection (g), and subject to subsection
(h) and section 15 of this chapter, an owner of new manufacturing
equipment, new research and development equipment, new logistical
distribution equipment, or new information technology equipment
whose statement of benefits is approved after June 30, 2000, is entitled
to a deduction from the assessed value of that equipment for the
number of years determined by the designating body under subsection
(f). Except as provided in subsection (e) and in section 2(i)(3) of this
chapter, and subject to subsection (h) and section 15 of this chapter, the
amount of the deduction that an owner is entitled to for a particular
year equals the product of:
(1) the assessed value of the new manufacturing equipment, new
research and development equipment, new logistical distribution
equipment, or new information technology equipment in the year
of deduction under the appropriate table set forth in subsection
(d); multiplied by
(2) the percentage prescribed in the appropriate table set forth in
subsection (d).
(d) Unless the designating body elects to use the method set forth
in section 17 of this chapter to calculate a deduction, the percentage
to be used in calculating the deduction under subsection (c) is as
follows:
(1) For deductions allowed over a one (1) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd and thereafter 0%
(2) For deductions allowed over a two (2) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 50%
3rd and thereafter 0%
(3) For deductions allowed over a three (3) year period:
YEAR OF DEDUCTION
PERCENTAGE
1st 100%
2nd 66%
3rd 33%
whose statement of benefits is approved after April 30, 1991, is entitled
to a deduction for five (5) or ten (10) years. For an economic
revitalization area designated after June 30, 2000, the designating body
shall determine the number of years the deduction is allowed. However,
the deduction may not be allowed for more than ten (10) years. This
determination shall be made:
(1) as part of the resolution adopted under section 2.5 of this
chapter; or
(2) by resolution adopted within sixty (60) days after receiving a
copy of a property owner's certified deduction application from
the county auditor. A certified copy of the resolution shall be sent
to the county auditor.
A determination about the number of years the deduction is allowed
that is made under subdivision (1) is final and may not be changed by
following the procedure under subdivision (2).
(g) The owner of new manufacturing equipment that is directly used
to dispose of hazardous waste is not entitled to the deduction provided
by this section for a particular assessment year if during that
assessment year the owner:
(1) is convicted of a criminal violation under IC 13, including
IC 13-7-13-3 (repealed) or IC 13-7-13-4 (repealed); or
(2) is subject to an order or a consent decree with respect to
property located in Indiana based on a violation of a federal or
state rule, regulation, or statute governing the treatment, storage,
or disposal of hazardous wastes that had a major or moderate
potential for harm.
(h) For purposes of subsection (c), the assessed value of new
manufacturing equipment, new research and development equipment,
new logistical distribution equipment, or new information technology
equipment that is part of an owner's assessable depreciable personal
property in a single taxing district subject to the valuation limitation in
50 IAC 4.2-4-9 or 50 IAC 5.1-6-9 is the product of:
(1) the assessed value of the equipment determined without
regard to the valuation limitation in 50 IAC 4.2-4-9 or 50
IAC 5.1-6-9; multiplied by
(2) the quotient of:
(A) the amount of the valuation limitation determined under
50 IAC 4.2-4-9 or 50 IAC 5.1-6-9 for all of the owner's
depreciable personal property in the taxing district; divided by
(B) the total true tax value of all of the owner's depreciable
personal property in the taxing district that is subject to the
valuation limitation in 50 IAC 4.2-4-9 or 50 IAC 5.1-6-9
determined:
(i) under the depreciation schedules in the rules of the
department of local government finance before any
adjustment for abnormal obsolescence; and
(ii) without regard to the valuation limitation in 50
IAC 4.2-4-9 or 50 IAC 5.1-6-9.
county or township official referred to in this subsection; and
(2) the procedures the taxpayer must follow in order to obtain a
review under this section.
(c) In order to obtain a review of an assessment or deduction
effective for the assessment date to which the notice referred to in
subsection (b) applies, the taxpayer must file a notice in writing with
the county or township official referred to in subsection (a) not later
than forty-five (45) days after the date of the notice referred to in
subsection (b).
(d) A taxpayer may obtain a review by the county board of the
assessment of the taxpayer's tangible property effective for an
assessment date for which a notice of assessment is not given as
described in subsection (b). To obtain the review, the taxpayer must file
a notice in writing with the township assessor, or the county assessor
if the township is not served by a township assessor. The right of a
taxpayer to obtain a review under this subsection for an assessment
date for which a notice of assessment is not given does not relieve an
assessing official of the duty to provide the taxpayer with the notice of
assessment as otherwise required by this article. The notice to obtain
a review must be filed not later than the later of:
(1) May 10 of the year; or
(2) forty-five (45) days after the date of the tax statement mailed
by the county treasurer, regardless of whether the assessing
official changes the taxpayer's assessment.
(e) A change in an assessment made as a result of a notice for
review filed by a taxpayer under subsection (d) after the time
prescribed in subsection (d) becomes effective for the next assessment
date. A change in an assessment made as a result of a notice for review
filed by a taxpayer under subsection (c) or (d) remains in effect from
the assessment date for which the change is made until the next
assessment date for which the assessment is changed under this article.
(f) The written notice filed by a taxpayer under subsection (c) or (d)
must include the following information:
(1) The name of the taxpayer.
(2) The address and parcel or key number of the property.
(3) The address and telephone number of the taxpayer.
(g) The filing of a notice under subsection (c) or (d):
(1) initiates a review under this section; and
(2) constitutes a request by the taxpayer for a preliminary
informal meeting with the official referred to in subsection (a).
(h) A county or township official who receives a notice for review
filed by a taxpayer under subsection (c) or (d) shall:
the county auditor of the assessment or deduction in the amount
referred to in subsection (i)(1)(B); and
(3) if the matter in issue is the assessment of tangible property,
the county board may reserve the right to change the assessment
under IC 6-1.1-13.
(k) If:
(1) subsection (i)(2) applies; or
(2) the county board does not receive a form referred to in
subsection (i) not later than one hundred twenty (120) days after
the date of the notice for review filed by the taxpayer under
subsection (c) or (d);
the county board shall hold a hearing on a review under this subsection
not later than one hundred eighty (180) days after the date of that
notice. The county board shall, by mail, give notice of the date, time,
and place fixed for the hearing to the taxpayer and the county or
township official with whom the taxpayer filed the notice for review.
The taxpayer and the county or township official with whom the
taxpayer filed the notice for review are parties to the proceeding before
the county board.
(l) At the hearing required under subsection (k):
(1) the taxpayer may present the taxpayer's reasons for
disagreement with the assessment or deduction; and
(2) the county or township official with whom the taxpayer filed
the notice for review must present:
(A) the basis for the assessment or deduction decision; and
(B) the reasons the taxpayer's contentions should be denied.
(m) The official referred to in subsection (a) may not require the
taxpayer to provide documentary evidence at the preliminary informal
meeting under subsection (h). The county board may not require a
taxpayer to file documentary evidence or summaries of statements of
testimonial evidence before the hearing required under subsection (k).
If the action for which a taxpayer seeks review under this section is the
assessment of tangible property, the taxpayer is not required to have an
appraisal of the property in order to do the following:
(1) Initiate the review.
(2) Prosecute the review.
(n) The county board shall prepare a written decision resolving all
of the issues under review. The county board shall, by mail, give notice
of its determination not later than one hundred twenty (120) days after
the hearing under subsection (k) to the taxpayer, the official referred to
in subsection (a), the county assessor, and the county auditor.
(o) If the maximum time elapses:
after the correction is either approved by the department of local
government finance or ordered by the tax court.
(d) If the tax is not based on an assessment made or determined by
the department of local government finance, the county auditor shall
correct an error described under subsection (a)(6), (a)(7), or (a)(8) only
if the correction is first approved by at least two (2) of the following
officials:
(1) The township assessor (if any).
(2) The county auditor.
(3) The county assessor.
If two (2) of these officials do not approve such a correction, the county
auditor shall refer the matter to the county board for determination. The
county board shall provide a copy of the determination to the taxpayer
and to the county auditor.
(e) A taxpayer may appeal a determination of the county board to
the Indiana board for a final administrative determination. An appeal
under this section shall be conducted in the same manner as appeals
under sections 4 through 8 of this chapter. The Indiana board shall send
the final administrative determination to the taxpayer, the county
auditor, the county assessor, and the township assessor (if any).
(f) If a correction or change is made in the tax duplicate after it is
delivered to the county treasurer, the county auditor shall transmit a
certificate of correction to the county treasurer. The county treasurer
shall keep the certificate as the voucher for settlement with the county
auditor.
(g) A taxpayer that files a personal property tax return under
IC 6-1.1-3 may not petition under this section for the correction of an
error made by the taxpayer on the taxpayer's personal property tax
return. If the taxpayer wishes to correct an error made by the taxpayer
on the taxpayer's personal property tax return, the taxpayer must
instead file an amended personal property tax return under
IC 6-1.1-3-7.5.
(h) A taxpayer that files a statement under IC 6-1.1-8-19 may not
petition under this section for the correction of an error made by the
taxpayer on the taxpayer's statement. If the taxpayer wishes to correct
an error made by the taxpayer on the taxpayer's statement, the taxpayer
must instead initiate an objection under IC 6-1.1-8-28 or an appeal
under IC 6-1.1-8-30.
assessment that is the subject of the review or appeal increased the
assessed value of the assessed property by more than five percent
(5%) over the assessed value determined by the county assessor or
township assessor (if any) for the immediately preceding
assessment date. The county assessor or township assessor making
the assessment has the burden of proving that the assessment is
correct.
under STEP FIVE or the amount determined under STEP SIX.
STEP EIGHT: Subtract the amount determined under STEP FIVE
of subsection (e) from the amount determined under STEP
SEVEN of this subsection.
(c) The amount to be entered under STEP SIX of subsection (a) or
STEP SIX of subsection (b), as applicable, equals the sum of the
following:
(1) If a civil taxing unit in the immediately preceding calendar
year provided an area outside its boundaries with services on a
contractual basis and in the ensuing calendar year that area has
been annexed by the civil taxing unit, the amount paid by the
annexed area during the immediately preceding calendar year for
services that the civil taxing unit must provide to that area during
the ensuing calendar year as a result of the annexation.
(2) If the civil taxing unit has had an excessive levy appeal
approved under section 13(a)(1) of this chapter for the ensuing
calendar year, an amount determined by the civil taxing unit for
the ensuing calendar year that does not exceed the amount of that
excessive levy.
In all other cases, the amount to be entered under STEP SIX of
subsection (a) or STEP SIX of subsection (b), as the case may be,
equals zero (0).
(d) This subsection applies only to civil taxing units located in a
county having a county adjusted gross income tax rate for resident
county taxpayers (as defined in IC 6-3.5-1.1-1) of one percent (1%) as
of January 1 of the ensuing calendar year. For each civil taxing unit, the
amount to be added to the amount determined in subsection (e), STEP
FOUR, is determined using the following formula:
STEP ONE: Multiply the civil taxing unit's maximum permissible
ad valorem property tax levy for the preceding calendar year by
two percent (2%).
STEP TWO: For the determination year, the amount to be used as
the STEP TWO amount is the amount determined in subsection
(f) for the civil taxing unit. For each year following the
determination year the STEP TWO amount is the lesser of:
(A) the amount determined in STEP ONE; or
(B) the amount determined in subsection (f) for the civil taxing
unit.
STEP THREE: Determine the greater of:
(A) zero (0); or
(B) the civil taxing unit's certified share for the ensuing
calendar year minus the greater of:
for the ensuing calendar year for a civil taxing unit subject to this
section is equal to the civil taxing unit's maximum permissible ad
valorem property tax levy for the current calendar year.
(h) (c) This subsection applies only to property taxes first due and
payable after December 31, 2007. In the case of a civil taxing unit that:
(1) is partially located in a county for which a county adjusted
gross income tax rate is first imposed or is increased in a
particular year under IC 6-3.5-1.1-24 or a county option income
tax rate is first imposed or is increased in a particular year under
IC 6-3.5-6-30; and
(2) is partially located in a county that is not described in
subdivision (1);
the department of local government finance shall, notwithstanding
subsection (g), (b), adjust the portion of the civil taxing unit's
maximum permissible ad valorem property tax levy that is attributable
(as determined by the department of local government finance) to the
county or counties described in subdivision (2). The department of
local government finance shall adjust this portion of the civil taxing
unit's maximum permissible ad valorem property tax levy so that,
notwithstanding subsection (g), (b), this portion is allowed to increase
as otherwise provided in this section. If the department of local
government finance increases the civil taxing unit's maximum
permissible ad valorem property tax levy under this subsection, any
additional property taxes imposed by the civil taxing unit under the
adjustment shall be paid only by the taxpayers in the county or counties
described in subdivision (2).
government finance in fixing the civil taxing unit's budget, levy, and
rate for the applicable calendar year, excluding deductions allowed
under IC 6-1.1-12 or IC 6-1.1-12.1.
divided by the sum of one (1) plus the STEP SIX percentage
increase.
(d) The department of local government finance shall compute the
maximum rate allowed under subsection (c) and provide the rate to
each political subdivision with authority to levy a tax under a statute
listed in subsection (a).
(e) This subsection applies to STEP TWO and STEP FOUR of
subsection (c) for taxes first due and payable after 2011. If the
assessed value change used in the STEPS was not an increase, the
STEPS are applied using instead:
(1) the actual percentage decrease (rounded to the nearest
one-hundredth percent (0.01%)) in the assessed value (before
the adjustment, if any, under IC 6-1.1-4-4.5) of the taxable
property; or
(2) zero (0) if the assessed value did not increase or decrease.
local government tax control board finds that the civil taxing unit
needs the increase to meet the civil taxing unit's share of the costs
of operating a court established by statute enacted after December
31, 1973. Before recommending such an increase, the local
government tax control board shall consider all other revenues
available to the civil taxing unit that could be applied for that
purpose. The maximum aggregate levy increases that the local
government tax control board may recommend for a particular
court equals the civil taxing unit's estimate of the unit's share of
the costs of operating a court for the first full calendar year in
which it is in existence. For purposes of this subdivision, costs of
operating a court include:
(A) the cost of personal services (including fringe benefits);
(B) the cost of supplies; and
(C) any other cost directly related to the operation of the court.
(3) Permission to the civil taxing unit to increase its levy in excess
of the limitations established under section 3 of this chapter, if the
department finds that the quotient determined under STEP SIX of
the following formula is equal to or greater than one and
two-hundredths (1.02):
STEP ONE: Determine the three (3) calendar years that most
immediately precede the ensuing calendar year and in which
a statewide general reassessment of real property or the initial
annual adjustment of the assessed value of real property under
IC 6-1.1-4-4.5 does not first become effective.
STEP TWO: Compute separately, for each of the calendar
years determined in STEP ONE, the quotient (rounded to the
nearest ten-thousandth (0.0001)) of the sum of the civil taxing
unit's total assessed value of all taxable property and:
(i) for a particular calendar year before 2007, the total
assessed value of property tax deductions in the unit under
IC 6-1.1-12-41 or IC 6-1.1-12-42 in the particular calendar
year; or
(ii) for a particular calendar year after 2006, the total
assessed value of property tax deductions that applied in the
unit under IC 6-1.1-12-42 in 2006 plus for a particular
calendar year after 2009, the total assessed value of property
tax deductions that applied in the unit under
IC 6-1.1-12-37.5 in 2008;
divided by the sum determined under this STEP for the
calendar year immediately preceding the particular calendar
year.
ensuing calendar year may not exceed the lesser of:
(A) ten thousand dollars ($10,000); or
(B) twenty percent (20%) of:
(i) the amount authorized for operating expenses of a
volunteer fire department in the budget of the civil taxing
unit for the immediately preceding calendar year; plus
(ii) the amount of any additional appropriations authorized
during that calendar year for the civil taxing unit's use in
paying operating expenses of a volunteer fire department
under this chapter; minus
(iii) the amount of money borrowed under IC 36-6-6-14
during that calendar year for the civil taxing unit's use in
paying operating expenses of a volunteer fire department.
(5) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission to a civil taxing unit to increase its levy in excess of
the limitations established under section 3 of this chapter in order
to raise revenues for pension payments and contributions the civil
taxing unit is required to make under IC 36-8. The maximum
increase in a civil taxing unit's levy that may be recommended
under this subdivision for an ensuing calendar year equals the
amount, if any, by which the pension payments and contributions
the civil taxing unit is required to make under IC 36-8 during the
ensuing calendar year exceeds the product of one and one-tenth
(1.1) multiplied by the pension payments and contributions made
by the civil taxing unit under IC 36-8 during the calendar year that
immediately precedes the ensuing calendar year. For purposes of
this subdivision, "pension payments and contributions made by a
civil taxing unit" does not include that part of the payments or
contributions that are funded by distributions made to a civil
taxing unit by the state.
(6) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission to increase its levy in excess of the limitations
established under section 3 of this chapter if the local government
tax control board finds that:
(A) the township's township assistance ad valorem property
tax rate is less than one and sixty-seven hundredths cents
($0.0167) per one hundred dollars ($100) of assessed
valuation; and
(B) the township needs the increase to meet the costs of
providing township assistance under IC 12-20 and IC 12-30-4.
hundred (16,600); or
(v) a city having a population of more than seven thousand
(7,000) but less than seven thousand three hundred (7,300);
and
(B) the increase is necessary to provide funding to undertake
removal (as defined in IC 13-11-2-187) and remedial action
(as defined in IC 13-11-2-185) relating to hazardous
substances (as defined in IC 13-11-2-98) in solid waste
disposal facilities or industrial sites in the civil taxing unit that
have become a menace to the public health and welfare.
The maximum increase that the local government tax control
board may recommend for such a civil taxing unit is the levy that
would result from a property tax rate of six and sixty-seven
hundredths cents ($0.0667) for each one hundred dollars ($100)
of assessed valuation. For purposes of computing the ad valorem
property tax levy limit imposed on a civil taxing unit under
section 3 of this chapter, the civil taxing unit's ad valorem
property tax levy for a particular year does not include that part of
the levy imposed under this subdivision. In addition, a property
tax increase permitted under this subdivision may be imposed for
only two (2) calendar years.
(9) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission for a county:
(A) having a population of more than eighty thousand (80,000)
but less than ninety thousand (90,000) to increase the county's
levy in excess of the limitations established under section 3 of
this chapter, if the local government tax control board finds
that the county needs the increase to meet the county's share of
the costs of operating a jail or juvenile detention center,
including expansion of the facility, if the jail or juvenile
detention center is opened after December 31, 1991;
(B) that operates a county jail or juvenile detention center that
is subject to an order that:
(i) was issued by a federal district court; and
(ii) has not been terminated;
(C) that operates a county jail that fails to meet:
(i) American Correctional Association Jail Construction
Standards; and
(ii) Indiana jail operation standards adopted by the
department of correction; or
(D) that operates a juvenile detention center that fails to meet
standards equivalent to the standards described in clause (C)
for the operation of juvenile detention centers.
Before recommending an increase, the local government tax
control board shall consider all other revenues available to the
county that could be applied for that purpose. An appeal for
operating funds for a jail or a juvenile detention center shall be
considered individually, if a jail and juvenile detention center are
both opened in one (1) county. The maximum aggregate levy
increases that the local government tax control board may
recommend for a county equals the county's share of the costs of
operating the jail or a juvenile detention center for the first full
calendar year in which the jail or juvenile detention center is in
operation.
(10) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission for a township to increase its levy in excess of the
limitations established under section 3 of this chapter, if the local
government tax control board finds that the township needs the
increase so that the property tax rate to pay the costs of furnishing
fire protection for a township, or a portion of a township, enables
the township to pay a fair and reasonable amount under a contract
with the municipality that is furnishing the fire protection.
However, for the first time an appeal is granted the resulting rate
increase may not exceed fifty percent (50%) of the difference
between the rate imposed for fire protection within the
municipality that is providing the fire protection to the township
and the township's rate. A township is required to appeal a second
time for an increase under this subdivision if the township wants
to further increase its rate. However, a township's rate may be
increased to equal but may not exceed the rate that is used by the
municipality. More than one (1) township served by the same
municipality may use this appeal.
(11) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission for a township to increase its levy in excess of the
limitations established under section 3 of this chapter, if the local
government tax control board finds that the township has been
required, for the three (3) consecutive years preceding the year for
which the appeal under this subdivision is to become effective, to
borrow funds under IC 36-6-6-14 to furnish fire protection for the
township or a part of the township. However, the maximum
increase in a township's levy that may be allowed under this
subdivision is the least of the amounts borrowed under
IC 36-6-6-14 during the preceding three (3) calendar years. A
township may elect to phase in an approved increase in its levy
under this subdivision over a period not to exceed three (3) years.
A particular township may appeal to increase its levy under this
section not more frequently than every fourth calendar year.
(12) Permission to a city having a population of more than
twenty-nine thousand (29,000) but less than thirty-one thousand
(31,000) to increase its levy in excess of the limitations
established under section 3 of this chapter if:
(A) an appeal was granted to the city under this section to
reallocate property tax replacement credits under IC 6-3.5-1.1
in 1998, 1999, and 2000; and
(B) the increase has been approved by the legislative body of
the city, and the legislative body of the city has by resolution
determined that the increase is necessary to pay normal
operating expenses.
The maximum amount of the increase is equal to the amount of
property tax replacement credits under IC 6-3.5-1.1 that the city
petitioned under this section to have reallocated in 2001 for a
purpose other than property tax relief.
(13) A levy increase may be granted under this subdivision only
for property taxes first due and payable after December 31, 2008.
Permission to a civil taxing unit to increase its levy in excess of
the limitations established under section 3 of this chapter if the
civil taxing unit cannot carry out its governmental functions for
an ensuing calendar year under the levy limitations imposed by
section 3 of this chapter due to a natural disaster, an accident, or
another unanticipated emergency.
(14) Permission to Jefferson County to increase its levy in
excess of the limitations established under section 3 of this
chapter if the department finds that the county experienced a
property tax revenue shortfall that resulted from an
erroneous estimate of the effect of the supplemental deduction
under IC 6-1.1-12-37.5 on the county's assessed valuation. An
appeal for a levy increase under this subdivision may not be
denied because of the amount of cash balances in county
funds. The maximum increase in the county's levy that may be
approved under this subdivision is three hundred thousand
dollars ($300,000).
(b) The department of local government finance shall increase
the maximum permissible ad valorem property tax levy under
section 3 of this chapter for the city of Goshen for 2012 and
thereafter by an amount equal to the greater of zero (0) or the
result of:
(1) the city's total pension costs in 2009 for the 1925 police
pension fund (IC 36-8-6) and the 1937 firefighters' pension
fund (IC 36-8-7); minus
(2) the sum of:
(A) the total amount of state funds received in 2009 by the
city and used to pay benefits to members of the 1925 police
pension fund (IC 36-8-6) or the 1937 firefighters' pension
fund (IC 36-8-7); plus
(B) any previous permanent increases to the city's levy that
were authorized to account for the transfer to the state of
the responsibility to pay benefits to members of the 1925
police pension fund (IC 36-8-6) and the 1937 firefighters'
pension fund (IC 36-8-7).
reduction of property tax collections referred to in subsection (b).
amount needed to meet the debt service obligations of a political
subdivision as the obligations come due, the political subdivision
may transfer funds from one (1) or more of the other funds of the
political subdivision.
(c) Upon the failure of a political subdivision to pay any of the
political subdivision's debt service obligations during a calendar year
when due, the treasurer of state, upon being notified of the failure by
a claimant, shall pay the unpaid debt service obligations that are due
from money in the possession of the state that would otherwise be
available for distribution to the political subdivision under any other
law, deducting the payment from the amount distributed. A deduction
under this subsection must be made:
(1) first from distributions of county adjusted gross income tax
distributions under IC 6-3.5-1.1, county option income tax
distributions under IC 6-3.5-6, or county economic development
income tax distributions under IC 6-3.5-7 that would otherwise be
distributed to the county under the schedule in IC 6-3.5-1.1-10,
IC 6-3.5-1.1-21.1, IC 6-3.5-6-16, IC 6-3.5-6-17.3, IC 6-3.5-7-17,
and IC 6-3.5-7-17.3; and
(2) second from any other undistributed funds of the political
subdivision in the possession of the state.
(d) This section shall be interpreted liberally so that the state shall
to the extent legally valid ensure that the debt service obligations of
each political subdivision are paid when due. However, this section
does not create a debt of the state.
subsection (e) and approved by the county treasurer; and
(ii) that the second installment is either the amount specified
in a reconciling statement or, if a reconciling statement is
not sent until after the second installment is due, an amount
equal to fifty percent (50%) of the tax liability that was
payable in the same year as the assessment date for the
property for which the provisional statement is issued,
subject to any adjustments to the tax liability authorized by
the department of local government finance under
subsection (e) and approved by the county treasurer; and
(B) for property taxes billed using a provisional statement
under section 6.5 of this chapter, except as provided in
subsection (d), indicate tax liability in an amount determined
by the department of local government finance based on:
(i) subject to subsection (c), for the cross-county entity, the
property tax rate of the cross-county entity for taxes first due
and payable in the immediately preceding calendar year; and
(ii) for all other taxing units that make up the taxing district
or taxing districts that comprise the cross-county area, the
property tax rates of the taxing units for taxes first due and
payable in the current calendar year;
(3) indicate:
(A) that the tax liability under the provisional statement is
determined as described in subdivision (2); and
(B) that property taxes billed on the provisional statement:
(i) are due and payable in the same manner as property taxes
billed on a tax statement under IC 6-1.1-22-8.1; and
(ii) will be credited against a reconciling statement;
(4) for property taxes billed using a provisional statement under
section 6 of this chapter, include a statement in the following or
a substantially similar form, as determined by the department of
local government finance:
"Under Indiana law, ________ County (insert county) has sent
provisional statements. The statement is due to be paid in
installments on __________ (insert date) and ________ (insert
date). The first installment is equal to fifty percent (50%) of your
tax liability for taxes payable in ______ (insert year), subject to
adjustment to the tax liability authorized by the department of
local government finance and approved by the county treasurer.
The second installment is either the amount specified in a
reconciling statement that will be sent to you, or (if a reconciling
statement is not sent until after the second installment is due) an
amount equal to fifty percent (50%) of your tax liability for taxes
payable in ______ (insert year), subject to adjustment to the tax
liability authorized by the department of local government finance
and approved by the county treasurer. After the abstract of
property is complete, you will receive a reconciling statement in
the amount of your actual tax liability for taxes payable in ______
(insert year) minus the amount you pay under this provisional
statement.";
(5) for property taxes billed using a provisional statement under
section 6.5 of this chapter, include a statement in the following or
a substantially similar form, as determined by the department of
local government finance:
"Under Indiana law, ________ County (insert county) has elected
to send provisional statements for the territory of
__________________ (insert cross-county entity) located in
________ County (insert county) because the property tax rate for
________________ (insert cross-county entity) was not available
in time to prepare final tax statements. The statement is due to be
paid in installments on __________ (insert date) and _________
(insert date). The statement is based on the property tax rate of
_________________ (insert cross-county entity) for taxes first
due and payable in _____ (insert immediately preceding calendar
year). After the property tax rate of ________________ (insert
cross-county entity) is determined, you will receive a reconciling
statement in the amount of your actual tax liability for taxes
payable in _____ (insert year) minus the amount you pay under
this provisional statement.";
(6) in the case of a reconciling statement only, indicate any
adjustment to tax liability under subdivision (2) authorized by
the department of local government finance under subsection
(e) and approved by the county treasurer for:
(A) delinquent:
(i) taxes; and
(ii) special assessments;
(B) penalties; and
(C) interest;
is allowed to appear on the tax statement under IC 6-1.1-22-8.1
for the first installment of property taxes in the year in which the
provisional tax statement is issued;
(7) in the case of a reconciling statement only, include:
(A) a checklist that shows:
(i) homestead credits under IC 6-1.1-20.4, IC 6-3.5-6-13, or
another law and all property tax deductions; and
(ii) whether each homestead credit and property tax
deduction was were applied in the current provisional
statement;
(B) an explanation of the procedure and deadline that a
taxpayer must follow and the forms that must be used if a
credit or deduction has been granted for the property and the
taxpayer is no longer eligible for the credit or deduction; and
(C) an explanation of the tax consequences and applicable
penalties if a taxpayer unlawfully claims a standard deduction
under IC 6-1.1-12-37 on:
(i) more than one (1) parcel of property; or
(ii) property that is not the taxpayer's principal place of
residence or is otherwise not eligible for a standard
deduction; and
(8) include any other information the county treasurer requires.
(b) This subsection applies to property taxes first due and payable
for assessment dates after January 15, 2009. The county may apply a
standard deduction, supplemental standard deduction, or homestead
credit calculated by the county's property system on a provisional bill
for a qualified property. If a provisional bill has been used for property
tax billings for two (2) consecutive years and a property qualifies for
a standard deduction, supplemental standard deduction, or homestead
credit for the second year a provisional bill is used, the county shall
apply the standard deduction, supplemental standard deduction, or
homestead credit calculated by the county's property system on the
provisional bill.
(c) For purposes of this section, property taxes that are:
(1) first due and payable in the current calendar year on a
provisional statement under section 6 or 6.5 of this chapter; and
(2) based on property taxes first due and payable in the
immediately preceding calendar year or on a percentage of those
property taxes;
are determined after excluding from the property taxes first due and
payable in the immediately preceding calendar year property taxes
imposed by one (1) or more taxing units in which the tangible property
is located that are attributable to a levy that no longer applies for
property taxes first due and payable in the current calendar year.
(d) If there was no property tax rate of the cross-county entity for
taxes first due and payable in the immediately preceding calendar year
for use under subsection (a)(2)(B), the department of local government
finance shall provide an estimated tax rate calculated to approximate
the actual tax rate that will apply when the tax rate is finally
determined.
(e) The department of local government finance shall:
(1) authorize the types of adjustments to tax liability that a county
treasurer may approve under subsection (a)(2)(A) including:
(A) adjustments for any new construction on the property or
any damage to the property; and
(B) any necessary adjustments for credits, deductions, or local
option income taxes;
(C) adjustments to include current year special
assessments or exclude special assessments payable in the
year of the assessment date but not payable in the current
year;
(D) adjustments to include delinquent:
(i) taxes; and
(ii) special assessments;
(E) adjustments to include penalties that are due and
owing; and
(F) adjustments to include interest that is due and owing;
and
(2) notify county treasurers in writing of the types of adjustments
authorized under subdivision (1).
government finance. If no bill was issued in the prior year, the
provisional bill shall be based on the amount that would have been due
if a provisional tax statement had been issued for the immediately
preceding year. The department of local government finance may
prescribe standards to implement this subsection, including a method
of calculating the taxes due when an abstract or other information is not
complete.
(d) This subsection applies only if a provisional statement for
payment of property taxes, and special assessments, and any
adjustment included in the provisional statement under section 8(e)
of this chapter by electronic mail is transmitted to a person under
IC 6-1.1-22-8.1(h). If a response to the transmission of electronic mail
to a person indicates that the electronic mail was not received, the
county treasurer shall mail to the person a hard copy of the provisional
statement in the manner required by this chapter for persons who do
not opt to receive statements by electronic mail. The due date for the
property taxes, and special assessments, and any adjustment included
in the provisional statement under section 8(e) of this chapter under
a provisional statement mailed to a person under this subsection is the
due date indicated in the statement transmitted to the person by
electronic mail.
section. This subsection expires January 1, 2013.
(e) In a county in which an authorizing ordinance is adopted under
IC 6-1.1-22-8.1(h), a person may direct the county treasurer to transmit
a reconciling statement by electronic mail under IC 6-1.1-22-8.1(h).
(f) A reconciling statement may include any adjustment
authorized by the department of local government finance under
section 8(e) of this chapter and approved by the county treasurer.
government finance shall distribute to each county treasurer an amount
equal to the product of:
(1) the compromised amount; multiplied by
(2) a fraction, the numerator of which is the total of the particular
county's property tax levies against the railroad for the
compromised years, and the denominator of which is the total of
all property tax levies against the railroad for the compromised
years.
(e) After making the distribution under subsection (d), the
department of local government finance shall direct the auditors of
each county to remove from the tax rolls the amount of all property
taxes assessed against the bankrupt railroad for the compromised years.
(f) The county auditor of each county receiving money under
subsection (d) shall allocate that money among the county's taxing
districts. The auditor shall allocate to each taxing district an amount
equal to the product of:
(1) the amount of money received by the county under subsection
(d); multiplied by
(2) a fraction, the numerator of which is the total of the taxing
district's property tax levies against the railroad for the
compromised years, and the denominator of which is the total of
all property tax levies against the railroad in that county for the
compromised years.
(g) The money allocated to each taxing district shall be apportioned
and distributed among the taxing units of that taxing district in the
same manner and at the same time that property taxes are apportioned
and distributed.
(h) The department of local government finance may, with the
approval of the attorney general, compromise the amount of property
taxes, together with any interest or penalties on those taxes, assessed
against property owned by a person that has a case pending under state
or federal bankruptcy law. Property taxes that are compromised under
this section shall be distributed and allocated at the same time and in
the same manner as regularly collected property taxes. The department
of local government finance may compromise property taxes under this
subsection only if:
(1) a petition is filed with the department of local government
finance that requests the compromise and is signed and approved
by the assessor, auditor, and treasurer of each county and the
assessor of each township (if any) that is entitled to receive any
part of the compromised taxes;
(2) the compromise significantly advances the time of payment of
the taxes; and
(3) the compromise is in the best interest of the state and the
taxing units that are entitled to receive any part of the
compromised taxes.
(i) A taxing unit that receives funds under this section is not
required to include the funds in its budget estimate for any budget year
which begins after the budget year in which it receives the funds.
(j) A county treasurer, with the consent of the county auditor and the
county assessor, may compromise the amount of property taxes,
interest, or penalties owed in a county by an entity that has a case
pending under Title 11 of the United States Code (Bankruptcy Code)
by accepting a single payment that must be at least seventy-five percent
(75%) of the total amount owed in the county.
SECTION 316, IS AMENDED TO READ AS FOLLOWS
[EFFECTIVE JANUARY 1, 2012]: Sec. 1. (a) A retail merchant may
not make a retail transaction in Indiana, unless the retail merchant has
applied for a registered retail merchant's certificate.
(b) A retail merchant may obtain a registered retail merchant's
certificate by filing an application with the department and paying a
registration fee of twenty-five dollars ($25) for each place of business
listed on the application. The retail merchant shall also provide such
security for payment of the tax as the department may require under
IC 6-2.5-6-12.
(c) The retail merchant shall list on the application the location
(including the township) of each place of business where the retail
merchant makes retail transactions. However, if the retail merchant
does not have a fixed place of business, the retail merchant shall list the
retail merchant's residence as the retail merchant's place of business. In
addition, a public utility may list only its principal Indiana office as its
place of business for sales of public utility commodities or service, but
the utility must also list on the application the places of business where
it makes retail transactions other than sales of public utility
commodities or service.
(d) Upon receiving a proper application, the correct fee, and the
security for payment, if required, the department shall issue to the retail
merchant a separate registered retail merchant's certificate for each
place of business listed on the application. Each certificate shall bear
a serial number and the location of the place of business for which it is
issued.
(e) If a retail merchant intends to make retail transactions during a
calendar year at a new Indiana place of business, the retail merchant
must file a supplemental application and pay the fee for that place of
business.
(f) A registered retail merchant's certificate is valid for two (2) years
after the date the registered retail merchant's certificate is originally
issued or renewed. If the retail merchant has filed all returns and
remitted all taxes the retail merchant is currently obligated to file or
remit, the department shall renew the registered retail merchant's
certificate within thirty (30) days after the expiration date, at no cost to
the retail merchant.
(g) The department may not renew a registered retail merchant
certificate of a retail merchant who is delinquent in remitting
withholding taxes required to be remitted under IC 6-3-4 or sales
or use tax. The department, at least sixty (60) days before the date on
which a retail merchant's registered retail merchant's certificate expires,
shall notify a retail merchant who is delinquent in remitting
withholding taxes required to be remitted under IC 6-3-4 or sales
or use tax that the department will not renew the retail merchant's
registered retail merchant's certificate.
(h) A retail merchant engaged in business in Indiana as defined in
IC 6-2.5-3-1(c) who makes retail transactions that are only subject to
the use tax must obtain a registered retail merchant's certificate before
making those transactions. The retail merchant may obtain the
certificate by following the same procedure as a retail merchant under
subsections (b) and (c), except that the retail merchant must also
include on the application:
(1) the names and addresses of the retail merchant's principal
employees, agents, or representatives who engage in Indiana in
the solicitation or negotiation of the retail transactions;
(2) the location of all of the retail merchant's places of business in
Indiana, including offices and distribution houses; and
(3) any other information that the department requests.
(i) The department may permit an out-of-state retail merchant to
collect the use tax. However, before the out-of-state retail merchant
may collect the tax, the out-of-state retail merchant must obtain a
registered retail merchant's certificate in the manner provided by this
section. Upon receiving the certificate, the out-of-state retail merchant
becomes subject to the same conditions and duties as an Indiana retail
merchant and must then collect the use tax due on all sales of tangible
personal property that the out-of-state retail merchant knows is
intended for use in Indiana.
(j) Except as provided in subsection (k), the department shall submit
to the township assessor, or the county assessor if there is no township
assessor for the township, before July 15 of each year:
(1) the name of each retail merchant that has newly obtained a
registered retail merchant's certificate between March 2 of the
preceding year and March 1 of the current year for a place of
business located in the township or county; and
(2) the address of each place of business of the taxpayer in the
township or county.
(k) If the duties of the township assessor have been transferred to
the county assessor as described in IC 6-1.1-1-24, the department shall
submit the information listed in subsection (j) to the county assessor.
However, the department must give the certificate holder at least five
(5) days notice before it revokes the certificate under this subsection.
(b) The department shall revoke a certificate issued under section
1, 3, or 4 of this chapter if, for a period of three (3) years, the certificate
holder fails to:
(1) file the returns required by IC 6-2.5-6-1; or
(2) report the collection of any state gross retail or use tax on the
returns filed under IC 6-2.5-6-1.
However, the department must give the certificate holder at least five
(5) days notice before it revokes the certificate.
(c) The department may, for good cause, revoke a certificate issued
under section 1 of this chapter after at least five (5) days notice to the
certificate holder if:
(1) the certificate holder is subject to an innkeeper's tax under
IC 6-9; and
(2) a board, bureau, or commission established under IC 6-9 files
a written statement with the department.
(d) The statement filed under subsection (c) must state that:
(1) information obtained by the board, bureau, or commission
under IC 6-8.1-7-1 indicates that the certificate holder has not
complied with IC 6-9; and
(2) the board, bureau, or commission has determined that
significant harm will result to the county from the certificate
holder's failure to comply with IC 6-9.
(e) The department shall revoke or suspend a certificate issued
under section 1 of this chapter after at least five (5) days notice to the
certificate holder if:
(1) the certificate holder owes taxes, penalties, fines, interest, or
costs due under IC 6-1.1 that remain unpaid at least sixty (60)
days after the due date under IC 6-1.1; and
(2) the treasurer of the county to which the taxes are due requests
the department to revoke or suspend the certificate.
(f) The department shall reinstate a certificate suspended under
subsection (e) if the taxes and any penalties due under IC 6-1.1 are paid
or the county treasurer requests the department to reinstate the
certificate because an agreement for the payment of taxes and any
penalties due under IC 6-1.1 has been reached to the satisfaction of the
county treasurer.
(g) The department shall revoke a certificate issued under section
1 of this chapter after at least five (5) days notice to the certificate
holder if the department finds in a public hearing by a preponderance
of the evidence that the certificate holder has violated IC 35-45-5-3,
IC 35-45-5-3.5, or IC 35-45-5-4.
(h) If a person makes a payment for the certificate under section
1 or 3 of this chapter with a check, credit card, debit card, or
electronic funds transfer, and the department is unable to obtain
payment of the check, credit card, debit card, or electronic funds
transfer for its full face amount when the check, credit card, debit
card, or electronic funds transfer is presented for payment through
normal banking channels, the department shall notify the person
by mail that the check, credit card, debit card, or electronic funds
transfer was not honored and that the person has five (5) days after
the notice is mailed to pay the fee in cash, by certified check, or
other guaranteed payment. If the person fails to make the payment
within the five (5) day period, the department shall revoke the
certificate.
performance standard for that system is liable for the failure of the
system to meet the performance standard.
(d) A certified service provider or a seller using a certified
automated system that obtains a certification or taxability matrix from
the department is not liable for sales or use tax collection errors that
result from reliance on the department's certification or taxability
matrix. If the department determines that an item or transaction is
incorrectly classified as to the taxability of the item or transaction, the
department shall notify the certified service provider or the seller using
a certified automated system of the incorrect classification. The
certified service provider or the seller using a certified automated
system must revise the incorrect classification within ten (10) days
after receiving notice of the determination from the department. If the
classification error is not corrected within ten (10) days after receiving
the department's notice, the certified service provider or the seller using
a certified automated system is liable for failure to collect the correct
amount of sales or use tax due and owing.
(e) If at least thirty (30) days are not provided between the
enactment of a statute changing the rate set forth in IC 6-2.5-2-2 and
the effective date of the rate change, the department shall relieve the
seller of liability for failing to collect tax at the new rate if:
(1) the seller collected the tax at the immediately preceding
effective rate; and
(2) the seller's failure to collect at the current rate does not extend
beyond thirty (30) days after the effective date of the rate change.
A seller is not eligible for the relief provided for in this subsection if
the seller fraudulently fails to collect at the current rate or solicits
purchases based on the immediately preceding effective rate.
(f) The department shall allow any monetary allowances that are
provided by the member states to sellers or certified service providers
in exchange for collecting the sales and use taxes as provided in article
VI of the agreement.
(g) After June 30, 2011, the department may negotiate with a
certified service provider or seller to provide a monetary allowance
that is greater than the allowance provided in IC 6-2.5-6-10 for the
collection of gross retail tax or use tax on sales, leases, and rentals
of goods or services made in a member state or a jurisdiction that
is not a member state. A monetary allowance permitted under this
subsection may not exceed ten percent (10%) of the gross retail tax
or use tax collected from a sale, lease, or rental. The department
may adopt emergency rules under IC 4-22-2-37.1 and shall adopt
rules under IC 4-22-2 to establish standards for granting monetary
allowances under this subsection. The rules must provide that the
permitted monetary allowance is a negotiated rate based on:
(1) the collection costs of the certified service provider or
seller;
(2) the volume and value to the state of sales, leases, or rentals
processed by a certified service provider or seller;
(3) the administrative and legal costs that the state would
otherwise incur to collect gross retail taxes or use taxes for
these sales, leases, or rentals absent a negotiated monetary
allowance; and
(4) the likelihood of collecting gross retail taxes or use taxes
on these sales, leases, or rentals absent a negotiated monetary
allowance.
Revenue Code (as effective January 1, 2004); and
(B) five hundred dollars ($500) for each additional amount
allowable under Section 63(f)(1) of the Internal Revenue Code
if the adjusted gross income of the taxpayer, or the taxpayer
and the taxpayer's spouse in the case of a joint return, is less
than forty thousand dollars ($40,000).
This amount is in addition to the amount subtracted under
subdivision (4).
(6) Subtract an amount equal to the lesser of:
(A) that part of the individual's adjusted gross income (as
defined in Section 62 of the Internal Revenue Code) for that
taxable year that is subject to a tax that is imposed by a
political subdivision of another state and that is imposed on or
measured by income; or
(B) two thousand dollars ($2,000).
(7) Add an amount equal to the total capital gain portion of a
lump sum distribution (as defined in Section 402(e)(4)(D) of the
Internal Revenue Code) if the lump sum distribution is received
by the individual during the taxable year and if the capital gain
portion of the distribution is taxed in the manner provided in
Section 402 of the Internal Revenue Code.
(8) Subtract any amounts included in federal adjusted gross
income under Section 111 of the Internal Revenue Code as a
recovery of items previously deducted as an itemized deduction
from adjusted gross income.
(9) Subtract any amounts included in federal adjusted gross
income under the Internal Revenue Code which amounts were
received by the individual as supplemental railroad retirement
annuities under 45 U.S.C. 231 and which are not deductible under
subdivision (1).
(10) Add an amount equal to the deduction allowed under Section
221 of the Internal Revenue Code for married couples filing joint
returns if the taxable year began before January 1, 1987.
(11) Add an amount equal to the interest excluded from federal
gross income by the individual for the taxable year under Section
128 of the Internal Revenue Code if the taxable year began before
January 1, 1985.
(12) (10) Subtract an amount equal to the amount of federal
Social Security and Railroad Retirement benefits included in a
taxpayer's federal gross income by Section 86 of the Internal
Revenue Code.
(13) (11) In the case of a nonresident taxpayer or a resident
taxpayer residing in Indiana for a period of less than the taxpayer's
entire taxable year, the total amount of the deductions allowed
pursuant to subdivisions (3), (4), (5), and (6) shall be reduced to
an amount which bears the same ratio to the total as the taxpayer's
income taxable in Indiana bears to the taxpayer's total income.
(14) (12) In the case of an individual who is a recipient of
assistance under IC 12-10-6-1, IC 12-10-6-2.1, IC 12-15-2-2, or
IC 12-15-7, subtract an amount equal to that portion of the
individual's adjusted gross income with respect to which the
individual is not allowed under federal law to retain an amount to
pay state and local income taxes.
(15) (13) In the case of an eligible individual, subtract the amount
of a Holocaust victim's settlement payment included in the
individual's federal adjusted gross income.
(16) For taxable years beginning after December 31, 1999, (14)
Subtract an amount equal to the portion of any premiums paid
during the taxable year by the taxpayer for a qualified long term
care policy (as defined in IC 12-15-39.6-5) for the taxpayer or the
taxpayer's spouse, or both.
(17) (15) Subtract an amount equal to the lesser of:
(A) for a taxable year:
(i) including any part of 2004, the amount determined under
subsection (f); and
(ii) beginning after December 31, 2004, two thousand five
hundred dollars ($2,500); or
(B) the amount of property taxes that are paid during the
taxable year in Indiana by the individual on the individual's
principal place of residence.
(18) (16) Subtract an amount equal to the amount of a September
11 terrorist attack settlement payment included in the individual's
federal adjusted gross income.
(19) (17) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that owns property for
which bonus depreciation was allowed in the current taxable year
or in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had an election not been
made under Section 168(k) of the Internal Revenue Code to apply
bonus depreciation to the property in the year that it was placed
in service.
(20) (18) Add an amount equal to any deduction allowed under
Section 172 of the Internal Revenue Code.
(21) (19) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that placed Section 179
property (as defined in Section 179 of the Internal Revenue Code)
in service in the current taxable year or in an earlier taxable year
equal to the amount of adjusted gross income that would have
been computed had an election for federal income tax purposes
not been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding twenty-five thousand
dollars ($25,000).
(22) (20) Add an amount equal to the amount that a taxpayer
claimed as a deduction for domestic production activities for the
taxable year under Section 199 of the Internal Revenue Code for
federal income tax purposes.
(23) (21) Subtract an amount equal to the amount of the taxpayer's
qualified military income that was not excluded from the
taxpayer's gross income for federal income tax purposes under
Section 112 of the Internal Revenue Code.
(24) (22) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7; and
(B) included in the individual's federal adjusted gross income
under the Internal Revenue Code.
(25) (23) Subtract any amount of a credit (including an advance
refund of the credit) that is provided to an individual under 26
U.S.C. 6428 (federal Economic Stimulus Act of 2008) and
included in the individual's federal adjusted gross income.
(26) (24) Add any amount of unemployment compensation
excluded from federal gross income, as defined in Section 61 of
the Internal Revenue Code, under Section 85(c) of the Internal
Revenue Code.
(27) (25) Add the amount excluded from gross income under
Section 108(a)(1)(e) of the Internal Revenue Code for the
discharge of debt on a qualified principal residence.
(28) (26) Add an amount equal to any income not included in
gross income as a result of the deferral of income arising from
business indebtedness discharged in connection with the
reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code. Subtract the amount
necessary from the adjusted gross income of any taxpayer that
added an amount to adjusted gross income in a previous year to
offset the amount included in federal gross income as a result of
the deferral of income arising from business indebtedness
discharged in connection with the reacquisition after December
31, 2008, and before January 1, 2011, of an applicable debt
instrument, as provided in Section 108(i) of the Internal Revenue
Code.
(29) (27) Add the amount necessary to make the adjusted gross
income of any taxpayer that placed qualified restaurant property
in service during the taxable year and that was classified as
15-year property under Section 168(e)(3)(E)(v) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(30) (28) Add the amount necessary to make the adjusted gross
income of any taxpayer that placed qualified retail improvement
property in service during the taxable year and that was classified
as 15-year property under Section 168(e)(3)(E)(ix) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(31) (29) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that claimed the special
allowance for qualified disaster assistance property under Section
168(n) of the Internal Revenue Code equal to the amount of
adjusted gross income that would have been computed had the
special allowance not been claimed for the property.
(32) (30) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that made an election
under Section 179C of the Internal Revenue Code to expense
costs for qualified refinery property equal to the amount of
adjusted gross income that would have been computed had an
election for federal income tax purposes not been made for the
year.
(33) (31) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that made an election
under Section 181 of the Internal Revenue Code to expense costs
for a qualified film or television production equal to the amount
of adjusted gross income that would have been computed had an
election for federal income tax purposes not been made for the
year.
(34) (32) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that treated a loss from the
sale or exchange of preferred stock in:
(A) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter Act
(12 U.S.C. 1716 et seq.); or
(B) the Federal Home Loan Mortgage Corporation, established
under the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year or
in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had the loss not been
treated as an ordinary loss.
(33) Add the amount excluded from federal gross income
under Section 103 of the Internal Revenue Code for interest
received on an obligation of a state other than Indiana or a
political subdivision of such a state.
(b) In the case of corporations, the same as "taxable income" (as
defined in Section 63 of the Internal Revenue Code) adjusted as
follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Add an amount equal to any deduction or deductions allowed
or allowable pursuant to Section 170 of the Internal Revenue
Code.
(3) Add an amount equal to any deduction or deductions allowed
or allowable pursuant to Section 63 of the Internal Revenue Code
for taxes based on or measured by income and levied at the state
level by any state of the United States.
(4) Subtract an amount equal to the amount included in the
corporation's taxable income under Section 78 of the Internal
Revenue Code.
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(6) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code.
(7) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding twenty-five thousand
dollars ($25,000).
(8) Add an amount equal to the amount that a taxpayer claimed as
a deduction for domestic production activities for the taxable year
under Section 199 of the Internal Revenue Code for federal
income tax purposes.
(9) Add to the extent required by IC 6-3-2-20 the amount of
intangible expenses (as defined in IC 6-3-2-20) and any directly
related intangible interest expenses (as defined in IC 6-3-2-20) for
the taxable year that reduced the corporation's taxable income (as
defined in Section 63 of the Internal Revenue Code) for federal
income tax purposes.
(10) Add an amount equal to any deduction for dividends paid (as
defined in Section 561 of the Internal Revenue Code) to
shareholders of a captive real estate investment trust (as defined
in section 34.5 of this chapter).
(11) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7; and
(B) included in the corporation's taxable income under the
Internal Revenue Code.
(12) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(13) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified restaurant property in service
during the taxable year and that was classified as 15-year property
under Section 168(e)(3)(E)(v) of the Internal Revenue Code equal
to the amount of adjusted gross income that would have been
computed had the classification not applied to the property in the
year that it was placed in service.
(14) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified retail improvement property
in service during the taxable year and that was classified as
15-year property under Section 168(e)(3)(E)(ix) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(15) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that claimed the special allowance
for qualified disaster assistance property under Section 168(n) of
the Internal Revenue Code equal to the amount of adjusted gross
income that would have been computed had the special allowance
not been claimed for the property.
(16) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
179C of the Internal Revenue Code to expense costs for qualified
refinery property equal to the amount of adjusted gross income
that would have been computed had an election for federal
income tax purposes not been made for the year.
(17) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
181 of the Internal Revenue Code to expense costs for a qualified
film or television production equal to the amount of adjusted
gross income that would have been computed had an election for
federal income tax purposes not been made for the year.
(18) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that treated a loss from the sale or
exchange of preferred stock in:
(A) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter Act
(12 U.S.C. 1716 et seq.); or
(B) the Federal Home Loan Mortgage Corporation, established
under the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year or
in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had the loss not been
treated as an ordinary loss.
income tax purposes.
(9) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7; and
(B) included in the insurance company's taxable income under
the Internal Revenue Code.
(10) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(11) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified restaurant property in service
during the taxable year and that was classified as 15-year property
under Section 168(e)(3)(E)(v) of the Internal Revenue Code equal
to the amount of adjusted gross income that would have been
computed had the classification not applied to the property in the
year that it was placed in service.
(12) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified retail improvement property
in service during the taxable year and that was classified as
15-year property under Section 168(e)(3)(E)(ix) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(13) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that claimed the special allowance
for qualified disaster assistance property under Section 168(n) of
the Internal Revenue Code equal to the amount of adjusted gross
income that would have been computed had the special allowance
not been claimed for the property.
(14) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
179C of the Internal Revenue Code to expense costs for qualified
refinery property equal to the amount of adjusted gross income
that would have been computed had an election for federal
income tax purposes not been made for the year.
(15) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
181 of the Internal Revenue Code to expense costs for a qualified
film or television production equal to the amount of adjusted
gross income that would have been computed had an election for
federal income tax purposes not been made for the year.
(16) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that treated a loss from the sale or
exchange of preferred stock in:
(A) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter Act
(12 U.S.C. 1716 et seq.); or
(B) the Federal Home Loan Mortgage Corporation, established
under the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year or
in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had the loss not been
treated as an ordinary loss.
(17) Add an amount equal to any exempt insurance income under
Section 953(e) of the Internal Revenue Code that is active
financing income under Subpart F of Subtitle A, Chapter 1,
Subchapter N of the Internal Revenue Code.
(18) Add the amount excluded from federal gross income
under Section 103 of the Internal Revenue Code for interest
received on an obligation of a state other than Indiana or a
political subdivision of such a state.
(d) In the case of insurance companies subject to tax under Section
831 of the Internal Revenue Code and organized under Indiana law, the
same as "taxable income" (as defined in Section 832 of the Internal
Revenue Code), adjusted as follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Add an amount equal to any deduction allowed or allowable
under Section 170 of the Internal Revenue Code.
(3) Add an amount equal to a deduction allowed or allowable
under Section 805 or Section 831(c) of the Internal Revenue Code
for taxes based on or measured by income and levied at the state
level by any state.
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(11) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified restaurant property in service
during the taxable year and that was classified as 15-year property
under Section 168(e)(3)(E)(v) of the Internal Revenue Code equal
to the amount of adjusted gross income that would have been
computed had the classification not applied to the property in the
year that it was placed in service.
(12) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified retail improvement property
in service during the taxable year and that was classified as
15-year property under Section 168(e)(3)(E)(ix) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(13) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that claimed the special allowance
for qualified disaster assistance property under Section 168(n) of
the Internal Revenue Code equal to the amount of adjusted gross
income that would have been computed had the special allowance
not been claimed for the property.
(14) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
179C of the Internal Revenue Code to expense costs for qualified
refinery property equal to the amount of adjusted gross income
that would have been computed had an election for federal
income tax purposes not been made for the year.
(15) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
181 of the Internal Revenue Code to expense costs for a qualified
film or television production equal to the amount of adjusted
gross income that would have been computed had an election for
federal income tax purposes not been made for the year.
(16) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that treated a loss from the sale or
exchange of preferred stock in:
(A) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter Act
(12 U.S.C. 1716 et seq.); or
(B) the Federal Home Loan Mortgage Corporation, established
under the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year or
in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had the loss not been
treated as an ordinary loss.
(17) Add an amount equal to any exempt insurance income under
Section 953(e) of the Internal Revenue Code that is active
financing income under Subpart F of Subtitle A, Chapter 1,
Subchapter N of the Internal Revenue Code.
(18) Add the amount excluded from federal gross income
under Section 103 of the Internal Revenue Code for interest
received on an obligation of a state other than Indiana or a
political subdivision of such a state.
(e) In the case of trusts and estates, "taxable income" (as defined for
trusts and estates in Section 641(b) of the Internal Revenue Code)
adjusted as follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Subtract an amount equal to the amount of a September 11
terrorist attack settlement payment included in the federal
adjusted gross income of the estate of a victim of the September
11 terrorist attack or a trust to the extent the trust benefits a victim
of the September 11 terrorist attack.
(3) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(4) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code.
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding twenty-five thousand
dollars ($25,000).
(6) Add an amount equal to the amount that a taxpayer claimed as
a deduction for domestic production activities for the taxable year
under Section 199 of the Internal Revenue Code for federal
income tax purposes.
(7) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7; and
(B) included in the taxpayer's taxable income under the
Internal Revenue Code.
(8) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(9) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified restaurant property in service
during the taxable year and that was classified as 15-year property
under Section 168(e)(3)(E)(v) of the Internal Revenue Code equal
to the amount of adjusted gross income that would have been
computed had the classification not applied to the property in the
year that it was placed in service.
(10) Add the amount necessary to make the adjusted gross income
of any taxpayer that placed qualified retail improvement property
in service during the taxable year and that was classified as
15-year property under Section 168(e)(3)(E)(ix) of the Internal
Revenue Code equal to the amount of adjusted gross income that
would have been computed had the classification not applied to
the property in the year that it was placed in service.
(11) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that claimed the special allowance
for qualified disaster assistance property under Section 168(n) of
the Internal Revenue Code equal to the amount of adjusted gross
income that would have been computed had the special allowance
not been claimed for the property.
(12) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
179C of the Internal Revenue Code to expense costs for qualified
refinery property equal to the amount of adjusted gross income
that would have been computed had an election for federal
income tax purposes not been made for the year.
(13) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under Section
181 of the Internal Revenue Code to expense costs for a qualified
film or television production equal to the amount of adjusted
gross income that would have been computed had an election for
federal income tax purposes not been made for the year.
(14) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that treated a loss from the sale or
exchange of preferred stock in:
(A) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter Act
(12 U.S.C. 1716 et seq.); or
(B) the Federal Home Loan Mortgage Corporation, established
under the Federal Home Loan Mortgage Corporation Act (12
U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year or
in an earlier taxable year equal to the amount of adjusted gross
income that would have been computed had the loss not been
treated as an ordinary loss.
(15) Add the amount excluded from gross income under Section
108(a)(1)(e) of the Internal Revenue Code for the discharge of
debt on a qualified principal residence.
(16) Add the amount excluded from federal gross income
under Section 103 of the Internal Revenue Code for interest
received on an obligation of a state other than Indiana or a
political subdivision of such a state.
(f) This subsection applies only to the extent that an individual paid
property taxes in 2004 that were imposed for the March 1, 2002,
assessment date or the January 15, 2003, assessment date. The
maximum amount of the deduction under subsection (a)(17) is equal
to the amount determined under STEP FIVE of the following formula:
STEP ONE: Determine the amount of property taxes that the
taxpayer paid after December 31, 2003, in the taxable year for
property taxes imposed for the March 1, 2002, assessment date
and the January 15, 2003, assessment date.
STEP TWO: Determine the amount of property taxes that the
taxpayer paid in the taxable year for the March 1, 2003,
assessment date and the January 15, 2004, assessment date.
STEP THREE: Determine the result of the STEP ONE amount
divided by the STEP TWO amount.
STEP FOUR: Multiply the STEP THREE amount by two
thousand five hundred dollars ($2,500).
STEP FIVE: Determine the sum of the STEP FOUR amount and
two thousand five hundred dollars ($2,500).
consistent with the income's characterization for federal income tax
purposes and shall be considered Indiana source income as if the
person, corporation, or pass through entity that received the income had
directly engaged in the income producing activity. Income that is
derived from one (1) pass through entity and is considered to pass
through to another pass through entity does not change these
characteristics or attribution provisions. In the case of nonbusiness
income described in subsection (g), only so much of such income as is
allocated to this state under the provisions of subsections (h) through
(k) shall be deemed to be derived from sources within Indiana. In the
case of business income, only so much of such income as is
apportioned to this state under the provision of subsection (b) shall be
deemed to be derived from sources within the state of Indiana. In the
case of compensation of a team member (as defined in section 2.7 of
this chapter), only the portion of income determined to be Indiana
income under section 2.7 of this chapter is considered derived from
sources within Indiana. In the case of a corporation that is a life
insurance company (as defined in Section 816(a) of the Internal
Revenue Code) or an insurance company that is subject to tax under
Section 831 of the Internal Revenue Code, only so much of the income
as is apportioned to Indiana under subsection (r) is considered derived
from sources within Indiana.
(b) Except as provided in subsection (l), if business income of a
corporation or a nonresident person is derived from sources within the
state of Indiana and from sources without the state of Indiana, the
business income derived from sources within this state shall be
determined by multiplying the business income derived from sources
both within and without the state of Indiana by the following:
(1) For all taxable years that begin after December 31, 2006, and
before January 1, 2008, a fraction. The:
(A) numerator of the fraction is the sum of the property factor
plus the payroll factor plus the product of the sales factor
multiplied by three (3); and
(B) denominator of the fraction is five (5).
(2) For all taxable years that begin after December 31, 2007, and
before January 1, 2009, a fraction. The:
(A) numerator of the fraction is the property factor plus the
payroll factor plus the product of the sales factor multiplied by
four and sixty-seven hundredths (4.67); and
(B) denominator of the fraction is six and sixty-seven
hundredths (6.67).
(3) For all taxable years beginning after December 31, 2008, and
before January 1, 2010, a fraction. The:
(A) numerator of the fraction is the property factor plus the
payroll factor plus the product of the sales factor multiplied by
eight (8); and
(B) denominator of the fraction is ten (10).
(4) For all taxable years beginning after December 31, 2009, and
before January 1, 2011, a fraction. The:
(A) numerator of the fraction is the property factor plus the
payroll factor plus the product of the sales factor multiplied by
eighteen (18); and
(B) denominator of the fraction is twenty (20).
(5) For all taxable years beginning after December 31, 2010, the
sales factor.
(c) The property factor is a fraction, the numerator of which is the
average value of the taxpayer's real and tangible personal property
owned or rented and used in this state during the taxable year and the
denominator of which is the average value of all the taxpayer's real and
tangible personal property owned or rented and used during the taxable
year. However, with respect to a foreign corporation, the denominator
does not include the average value of real or tangible personal property
owned or rented and used in a place that is outside the United States.
Property owned by the taxpayer is valued at its original cost. Property
rented by the taxpayer is valued at eight (8) times the net annual rental
rate. Net annual rental rate is the annual rental rate paid by the taxpayer
less any annual rental rate received by the taxpayer from subrentals.
The average of property shall be determined by averaging the values at
the beginning and ending of the taxable year, but the department may
require the averaging of monthly values during the taxable year if
reasonably required to reflect properly the average value of the
taxpayer's property.
(d) The payroll factor is a fraction, the numerator of which is the
total amount paid in this state during the taxable year by the taxpayer
for compensation, and the denominator of which is the total
compensation paid everywhere during the taxable year. However, with
respect to a foreign corporation, the denominator does not include
compensation paid in a place that is outside the United States.
Compensation is paid in this state if:
(1) the individual's service is performed entirely within the state;
(2) the individual's service is performed both within and without
this state, but the service performed without this state is incidental
to the individual's service within this state; or
(3) some of the service is performed in this state and:
Internal Revenue Code, adjusted for the modifications required by
IC 6-3-1-3.5.
(d) The following provisions apply for purposes of subsection (c):
(1) The modifications that are to be applied are those
modifications required under IC 6-3-1-3.5 for the same taxable
year in which each net operating loss was incurred.
(2) An Indiana net operating loss includes a net operating loss that
arises when the modifications required by IC 6-3-1-3.5 exceed the
taxpayer's federal adjusted gross income (as defined in Section 62
of the Internal Revenue Code) for the taxable year in which the
Indiana net operating loss is determined.
(e) Subject to the limitations contained in subsection (g), an Indiana
net operating loss carryback or carryover shall be available as a
deduction from the taxpayer's adjusted gross income (as defined in
IC 6-3-1-3.5) in the carryback or carryover year provided in subsection
(f).
(f) Carrybacks and Carryovers shall be determined under this
subsection as follows:
(1) An Indiana net operating loss shall be an Indiana net operating
loss carryback to each of the carryback years preceding the
taxable year of the loss.
(2) (1) An Indiana net operating loss shall be an Indiana net
operating loss carryover to each of the carryover years following
the taxable year of the loss.
(3) Carryback years shall be determined by reference to the
number of years allowed for carrying back a net operating loss
under Section 172(b) of the Internal Revenue Code. However,
with respect to the carryback period for a net operating loss:
(A) for which a taxpayer made an election to use five (5) years
instead of two (2) years under Section 172(b)(1)(H) of the
Internal Revenue Code, two (2) years shall be used instead of
five (5) years; or
(B) that is a qualified disaster loss for which the taxpayer
elected to have the net operating loss carryback period with
respect to the loss year determined without regard to Section
172(b)(1)(J) of the Internal Revenue Code, five (5) years shall
be used.
(4) (2) Carryover years shall be determined by reference to the
number of years allowed for carrying over net operating losses
under Section 172(b) of the Internal Revenue Code.
(5) A taxpayer who makes an election under Section 172(b)(3) of
the Internal Revenue Code to relinquish the carryback period with
respect to a net operating loss for any taxable year shall be
considered to have also relinquished the carryback of the Indiana
net operating loss for purposes of this section.
(g) The entire amount of the Indiana net operating loss for any
taxable year shall be carried to the earliest of the taxable years to which
(as determined under subsection (f)) the loss may be carried. The
amount of the Indiana net operating loss remaining after the deduction
is taken under this section in a taxable year may be carried back or
carried over as provided in subsection (f). The amount of the Indiana
net operating loss carried back or carried over from year to year shall
be reduced to the extent that the Indiana net operating loss carryback
or carryover is used by the taxpayer to obtain a deduction in a taxable
year until the occurrence of the earlier of the following:
(1) The entire amount of the Indiana net operating loss has been
used as a deduction.
(2) The Indiana net operating loss has been carried over to each
of the carryover years provided by subsection (f).
arises when the modifications required by IC 6-3-1-3.5 exceed the
taxpayer's federal taxable income (as defined in Section 63 of the
Internal Revenue Code), if the taxpayer is a corporation, or when
the modifications required by IC 6-3-1-3.5 exceed the taxpayer's
federal adjusted gross income (as defined by Section 62 of the
Internal Revenue Code), if the taxpayer is a nonresident person,
for the taxable year in which the Indiana net operating loss is
determined.
(e) Subject to the limitations contained in subsection (g), an Indiana
net operating loss carryback or carryover shall be available as a
deduction from the taxpayer's adjusted gross income derived from
sources within Indiana (as defined in section 2 of this chapter) in the
carryback or carryover year provided in subsection (f).
(f) Carrybacks and Carryovers shall be determined under this
subsection as follows:
(1) An Indiana net operating loss shall be an Indiana net operating
loss carryback to each of the carryback years preceding the
taxable year of the loss.
(2) (1) An Indiana net operating loss shall be an Indiana net
operating loss carryover to each of the carryover years following
the taxable year of the loss.
(3) Carryback years shall be determined by reference to the
number of years allowed for carrying back a net operating loss
under Section 172(b) of the Internal Revenue Code. However,
with respect to the carryback period for a net operating loss:
(A) for which a taxpayer made an election to use five (5) years
instead of two (2) years under Section 172(b)(1)(H) of the
Internal Revenue Code, two (2) years shall be used instead of
five (5) years; or
(B) that is a qualified disaster loss for which the taxpayer
elected to have the net operating loss carryback period with
respect to the loss year determined without regard to Section
172(b)(1)(J) of the Internal Revenue Code, five (5) years shall
be used.
(4) (2) Carryover years shall be determined by reference to the
number of years allowed for carrying over net operating losses
under Section 172(b) of the Internal Revenue Code.
(5) A taxpayer who makes an election under Section 172(b)(3) of
the Internal Revenue Code to relinquish the carryback period with
respect to a net operating loss for any taxable year shall be
considered to have also relinquished the carryback of the Indiana
net operating loss for purposes of this section.
[EFFECTIVE JANUARY 1, 2012]: Sec. 3. Returns required to be
made pursuant to section 1 of this chapter shall be filed with the
department on or before the later of the following:
(1) The 15th day of the fourth month following the close of the
taxable year.
(2) For a corporation whose federal tax return is due on or
after the date set forth in subdivision (1), as determined
without regard to any extensions, weekends, or holidays, the
15th day of the month following the due date of the federal tax
return.
of such wages, deduct and retain therefrom the amount prescribed in
withholding instructions issued by the department. The department
shall base its withholding instructions on the adjusted gross income tax
rate for persons, on the total rates of any income taxes that the taxpayer
is subject to under IC 6-3.5, and on the total amount of exclusions the
taxpayer is entitled to under IC 6-3-1-3.5(a)(3) and IC 6-3-1-3.5(a)(4).
However, the withholding instructions on the adjusted gross income of
a nonresident alien (as defined in Section 7701 of the Internal Revenue
Code) are to be based on applying not more than one (1) withholding
exclusion, regardless of the total number of exclusions that
IC 6-3-1-3.5(a)(3) and IC 6-3-1-3.5(a)(4) permit the taxpayer to apply
on the taxpayer's final return for the taxable year. Such employer
making payments of any wages:
(1) shall be liable to the state of Indiana for the payment of the tax
required to be deducted and withheld under this section and shall
not be liable to any individual for the amount deducted from the
individual's wages and paid over in compliance or intended
compliance with this section; and
(2) shall make return of and payment to the department monthly
of the amount of tax which under this article and IC 6-3.5 the
employer is required to withhold.
(b) An employer shall pay taxes withheld under subsection (a)
during a particular month to the department no later than thirty (30)
days after the end of that month. However, in place of monthly
reporting periods, the department may permit an employer to report and
pay the tax for:
(1) a calendar year reporting period, if the average monthly
amount of all tax required to be withheld by the employer in the
previous calendar year does not exceed ten dollars ($10);
(2) a six (6) month reporting period, if the average monthly
amount of all tax required to be withheld by the employer in the
previous calendar year does not exceed twenty-five dollars ($25);
or
(3) a three (3) month reporting period, if the average monthly
amount of all tax required to be withheld by the employer in the
previous calendar year does not exceed seventy-five dollars ($75).
An employer using a reporting period (other than a monthly reporting
period) must file the employer's return and pay the tax for a reporting
period no later than the last day of the month immediately following
the close of the reporting period. If an employer files a combined sales
and withholding tax report, the reporting period for the combined
report is the shortest period required under this section, section 8.1 of
this chapter, or IC 6-2.5-6-1.
(c) For purposes of determining whether an employee is subject to
taxation under IC 6-3.5, an employer is entitled to rely on the statement
of an employee as to the employee's county of residence as represented
by the statement of address in forms claiming exemptions for purposes
of withholding, regardless of when the employee supplied the forms.
Every employee shall notify the employee's employer within five (5)
days after any change in the employee's county of residence.
(d) A county that makes payments of wages subject to tax under this
article:
(1) to a precinct election officer (as defined in IC 3-5-2-40.1); and
(2) for the performance of the duties of the precinct election
officer imposed by IC 3 that are performed on election day;
is not required, at the time of payment of the wages, to deduct and
retain from the wages the amount prescribed in withholding
instructions issued by the department.
(e) Every employer shall, at the time of each payment made by the
employer to the department, deliver to the department a return upon the
form prescribed by the department showing:
(1) the total amount of wages paid to the employer's employees;
(2) the amount deducted therefrom in accordance with the
provisions of the Internal Revenue Code;
(3) the amount of adjusted gross income tax deducted therefrom
in accordance with the provisions of this section;
(4) the amount of income tax, if any, imposed under IC 6-3.5 and
deducted therefrom in accordance with this section; and
(5) any other information the department may require.
Every employer making a declaration of withholding as provided in this
section shall furnish the employer's employees annually, but not later
than thirty (30) days after the end of the calendar year, a record of the
total amount of adjusted gross income tax and the amount of each
income tax, if any, imposed under IC 6-3.5, withheld from the
employees, on the forms prescribed by the department.
(f) All money deducted and withheld by an employer shall
immediately upon such deduction be the money of the state, and every
employer who deducts and retains any amount of money under the
provisions of this article shall hold the same in trust for the state of
Indiana and for payment thereof to the department in the manner and
at the times provided in this article. Any employer may be required to
post a surety bond in the sum the department determines to be
appropriate to protect the state with respect to money withheld pursuant
to this section.
Act, an employer of a domestic service employee may report and remit
state unemployment insurance contributions on the employee's wages
on the employer's Indiana individual income tax return in the same
manner as allowed by Section 3510 of the Internal Revenue Code.
(l) The department shall adopt rules under IC 4-22-2 to exempt an
employer from the duty to deduct and remit from the wages of an
employee adjusted gross income tax withholding that would otherwise
be required under this section whenever:
(1) an employee has at least one (1) qualifying child, as
determined under Section 32 of the Internal Revenue Code;
(2) the employee is eligible for an earned income tax credit under
IC 6-3.1-21;
(3) the employee elects to receive advance payments of the earned
income tax credit under IC 6-3.1-21 from money that would
otherwise be withheld from the employee's wages for adjusted
gross income taxes; and
(4) the amount that is not deducted and remitted is distributed to
the employee, in accordance with the procedures prescribed by
the department, as an advance payment of the earned income tax
credit for which the employee is eligible under IC 6-3.1-21.
The rules must establish the procedures and reports required to carry
out this subsection.
(m) (l) A person who knowingly fails to remit trust fund money as
set forth in this section commits a Class D felony.
1, 2020.
FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 8. To obtain a credit
under this chapter, or the advance payment of a credit under this
chapter provided under IC 6-3-4-8, a taxpayer must claim the advance
payment or credit in the manner prescribed by the department of state
revenue. The taxpayer shall submit to the department of state revenue
all information that the department of state revenue determines is
necessary for the calculation of the credit provided by this chapter.
Indiana economic development corporation may not certify a proposed
investment plan under section 12.5 of this chapter if the proposed
investment would result in the total amount of the tax credits certified
for the calendar year exceeding twelve million five hundred thousand
dollars ($12,500,000). An amount of an unused credit carried over by
a taxpayer from a previous calendar year may not be considered in
determining the amount of proposed investments that the Indiana
economic development corporation may certify under this chapter.
(b) Notwithstanding the other provisions of this chapter, a taxpayer
is not entitled to a credit for providing qualified investment capital to
a qualified Indiana business after December 31, 2012. 2014. However,
this subsection may not be construed to prevent a taxpayer from
carrying over to a taxable year beginning after December 31, 2012,
2014, an unused tax credit attributable to an investment occurring
before January 1, 2013. 2015.
1, 2020.
payable in the calendar year after the ensuing calendar year.
(f) The following apply only in a year in which a county council
increases a tax rate under this section:
(1) The county council shall, in the ordinance increasing the tax
rate, specify the tax rate for the following year.
(2) The tax rate that must be imposed in the county from October
1 of the year in which the tax rate is increased through September
30 of the following year is equal to the result of:
(A) the tax rate determined for the county under
IC 6-3.5-1.5-1(a) in that year; plus
(B) the tax rate currently in effect in the county under this
section.
The tax rate under this subdivision continues in effect in later
years unless the tax rate is increased under this section.
(3) The levy limitations in IC 6-1.1-18.5-3(g), IC 6-1.1-18.5-3(h),
IC 6-1.1-18.5-3(b), IC 6-1.1-18.5-3(c), IC 12-19-7-4(b) (before
its repeal), IC 12-19-7.5-6(b) (before its repeal), and
IC 12-29-2-2(c) apply to property taxes first due and payable in
the ensuing calendar year.
(g) The department of local government finance shall determine the
following property tax replacement distribution amounts:
STEP ONE: Determine the sum of the amounts determined under
STEP ONE through STEP FOUR of IC 6-3.5-1.5-1(a) for the
county in the preceding year.
STEP TWO: For distribution to each civil taxing unit that in the
year had a maximum permissible property tax levy limited under
IC 6-1.1-18.5-3(g), IC 6-1.1-18.5-3(b), determine the result of:
(1) the quotient of:
(A) the part of the amount determined under STEP ONE of
IC 6-3.5-1.5-1(a) in the preceding year that was attributable
to the civil taxing unit; divided by
(B) the STEP ONE amount; multiplied by
(2) the tax revenue received by the county treasurer under this
section.
STEP THREE: For distributions in 2009 and thereafter, the result
of this STEP is zero (0). For distribution to the county for deposit
in the county family and children's fund before 2009, determine
the result of:
(1) the quotient of:
(A) the amount determined under STEP TWO of
IC 6-3.5-1.5-1(a) in the preceding year; divided by
(B) the STEP ONE amount; multiplied by
receiving civil taxing unit's property tax levy for that year for purposes
of fixing the budget of the civil taxing unit and for determining the
distribution of taxes that are distributed on the basis of property tax
levies.
(l) If a county council imposes a tax rate under this section, the
portion of county adjusted gross income tax revenue dedicated to
property tax replacement credits under section 11 of this chapter may
not be decreased.
(m) In the year following the year in a which a county first imposes
a tax rate under this section, one-half (1/2) of the tax revenue that is
attributable to the tax rate under this section must be deposited in the
county stabilization fund established under subsection (o).
(n) A pledge of county adjusted gross income taxes does not apply
to revenue attributable to a tax rate under this section.
(o) A county stabilization fund is established in each county that
imposes a tax rate under this section. The county stabilization fund
shall be administered by the county auditor. If for a year the certified
distributions attributable to a tax rate under this section exceed the
amount calculated under STEP ONE through STEP FOUR of
IC 6-3.5-1.5-1(a) that is used by the department of local government
finance and the department of state revenue to determine the tax rate
under this section, the excess shall be deposited in the county
stabilization fund. Money shall be distributed from the county
stabilization fund in a year by the county auditor to political
subdivisions entitled to a distribution of tax revenue attributable to the
tax rate under this section if:
(1) the certified distributions attributable to a tax rate under this
section are less than the amount calculated under STEP ONE
through STEP FOUR of IC 6-3.5-1.5-1(a) that is used by the
department of local government finance and the department of
state revenue to determine the tax rate under this section for a
year; or
(2) the certified distributions attributable to a tax rate under this
section in a year are less than the certified distributions
attributable to a tax rate under this section in the preceding year.
However, subdivision (2) does not apply to the year following the first
year in which certified distributions of revenue attributable to the tax
rate under this section are distributed to the county.
(p) Notwithstanding any other provision, a tax rate imposed under
this section may not exceed one percent (1%).
(q) A county council must each year hold at least one (1) public
meeting at which the county council discusses whether the tax rate
under this section should be imposed or increased.
(r) The department of local government finance and the department
of state revenue may take any actions necessary to carry out the
purposes of this section.
department.
(C) A county sheriff or any other member of the office of the
county sheriff.
(D) Other personnel employed to provide a service described
in this section.
(b) If a county council has imposed a tax rate of at least twenty-five
hundredths of one percent (0.25%) under section 24 of this chapter, a
tax rate of at least twenty-five hundredths of one percent (0.25%) under
section 26 of this chapter, or a total combined tax rate of at least
twenty-five hundredths of one percent (0.25%) under sections 24 and
26 of this chapter, the county council may also adopt an ordinance to
impose an additional tax rate under this section to provide funding for
public safety.
(c) A tax rate under this section may not exceed twenty-five
hundredths of one percent (0.25%).
(d) If a county council adopts an ordinance to impose a tax rate
under this section, the county auditor shall send a certified copy of the
ordinance to the department and the department of local government
finance by certified mail.
(e) A tax rate under this section is in addition to any other tax rates
imposed under this chapter and does not affect the purposes for which
other tax revenue under this chapter may be used.
(f) Except as provided in subsection (k) or (l), the county auditor
shall distribute the portion of the certified distribution that is
attributable to a tax rate under this section to the county and to each
municipality in the county that is carrying out or providing at least
one (1) of the public safety purposes described in subsection (a).
The amount that shall be distributed to the county or municipality is
equal to the result of:
(1) the portion of the certified distribution that is attributable to a
tax rate under this section; multiplied by
(2) a fraction equal to:
(A) the attributed allocation amount (as defined in
IC 6-3.5-1.1-15) of the county or municipality for the calendar
year; divided by
(B) the sum of the attributed allocation amounts of the county
and each municipality in the county that is entitled to a
distribution under this section for the calendar year.
The county auditor shall make the distributions required by this
subsection not more than thirty (30) days after receiving the portion of
the certified distribution that is attributable to a tax rate under this
section. Tax revenue distributed to a county or municipality under this
subsection must be deposited into a separate account or fund and may
be appropriated by the county or municipality only for public safety
purposes.
(g) The department of local government finance may not require a
county or municipality receiving tax revenue under this section to
reduce the county's or municipality's property tax levy for a particular
year on account of the county's or municipality's receipt of the tax
revenue.
(h) The tax rate under this section and the tax revenue attributable
to the tax rate under this section shall not be considered for purposes
of computing:
(1) the maximum income tax rate that may be imposed in a county
under section 2 of this chapter or any other provision of this
chapter;
(2) the maximum permissible property tax levy under STEP
EIGHT of IC 6-1.1-18.5-3(b); IC 6-1.1-18.5-3;
(3) the total county tax levy under IC 6-1.1-21-2(g)(3),
IC 6-1.1-21-2(g)(4), or IC 6-1.1-21-2(g)(5) (before the repeal of
IC 6-1.1-21); or
(4) (3) the credit under IC 6-1.1-20.6.
(i) The tax rate under this section may be imposed or rescinded at
the same time and in the same manner that the county may impose or
increase a tax rate under section 24 of this chapter.
(j) The department of local government finance and the department
of state revenue may take any actions necessary to carry out the
purposes of this section.
(k) Two (2) or more political subdivisions that are entitled to receive
a distribution under this section may adopt resolutions providing that
some part or all of those distributions shall instead be paid to one (1)
political subdivision in the county to carry out specific public safety
purposes specified in the resolutions.
(l) A fire department, volunteer fire department, or emergency
medical services provider that:
(1) provides fire protection or emergency medical services
within the county; and
(2) is operated by or serves a political subdivision that is not
otherwise entitled to receive a distribution of tax revenue
under this section;
may before July 1 of a year apply to the county council for a
distribution of tax revenue under this section during the following
calendar year. The county council shall review an application
submitted under this subsection and may before September 1 of a
year adopt a resolution requiring that one (1) or more of the
applicants shall receive a specified amount of the tax revenue to be
distributed under this section during the following calendar year.
A resolution approved under this subsection providing for a
distribution to one (1) or more fire departments, volunteer fire
departments, or emergency services providers applies only to
distributions in the following calendar year. Any amount of tax
revenue distributed under this subsection to a fire department,
volunteer fire department, or emergency medical services provider
shall be distributed before the remainder of the tax revenue is
distributed under subsection (f).
to provide local property tax replacement credits in that year. A
county council may not adopt an ordinance determining that tax
revenue shall be used under this subdivision to provide local
property tax replacement credits at a uniform rate to all taxpayers
in the county unless the county council has done the following:
(A) Made available to the public the county council's best
estimate of the amount of property tax replacement credits to
be provided under this subdivision to homesteads, other
residential property, commercial property, industrial property,
and agricultural property.
(B) Adopted a resolution or other statement acknowledging
that some taxpayers in the county that do not pay the tax rate
under this section will receive a property tax replacement
credit that is funded with tax revenue from the tax rate under
this section.
(2) The tax revenue may be used to uniformly increase (before
January 1, 2009) or uniformly provide (after December 31, 2008)
the homestead credit percentage in the county. The homestead
credits shall be treated for all purposes as property tax levies. The
homestead credits do not reduce the basis for determining the any
state homestead credit. under IC 6-1.1-20.9 (before its repeal).
The homestead credits shall be applied to the net property taxes
due on the homestead after the application of all other assessed
value deductions or property tax deductions and credits that apply
to the amount owed under IC 6-1.1. The department of local
government finance county auditor shall determine the
homestead credit percentage for a particular year based on the
amount of tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(3) The tax revenue may be used to provide local property tax
replacement credits at a uniform rate for all qualified residential
property (as defined in IC 6-1.1-20.6-4 before January 1, 2009,
and as defined in section 1 of this chapter after December 31,
2008) in the county. The local property tax replacement credits
shall be treated for all purposes as property tax levies. The county
auditor shall determine the local property tax replacement credit
percentage for a particular year based on the amount of tax
revenue that will be used under this subdivision to provide local
property tax replacement credits in that year.
(4) This subdivision applies only to Lake County. The Lake
County council may adopt an ordinance providing that the tax
revenue from the tax rate under this section is used for any of the
following:
(A) To reduce all property tax levies imposed by the county by
the granting of property tax replacement credits against those
property tax levies.
(B) To provide local property tax replacement credits in Lake
County in the following manner:
(i) The tax revenue under this section that is collected from
taxpayers within a particular municipality in Lake County
(as determined by the department based on the department's
best estimate) shall be used only to provide a local property
tax credit against property taxes imposed by that
municipality.
(ii) The tax revenue under this section that is collected from
taxpayers within the unincorporated area of Lake County (as
determined by the department) shall be used only to provide
a local property tax credit against property taxes imposed by
the county. The local property tax credit for the
unincorporated area of Lake County shall be available only
to those taxpayers within the unincorporated area of the
county.
(C) To provide property tax credits in the following manner:
(i) Sixty percent (60%) of the tax revenue under this section
shall be used as provided in clause (B).
(ii) Forty percent (40%) of the tax revenue under this section
shall be used to provide property tax replacement credits
against property tax levies of the county and each township
and municipality in the county. The percentage of the tax
revenue distributed under this item that shall be used as
credits against the county's levies or against a particular
township's or municipality's levies is equal to the percentage
determined by dividing the population of the county,
township, or municipality by the sum of the total population
of the county, each township in the county, and each
municipality in the county.
The Lake County council shall determine whether the credits
under clause (A), (B), or (C) shall be provided to homesteads, to
all qualified residential property, or to all taxpayers. The
department of local government finance, with the assistance of the
budget agency, shall certify to the county auditor and the fiscal
body of the county and each township and municipality in the
county the amount of property tax credits under this subdivision.
Except as provided in subsection (g), the tax revenue under this
section that is used to provide credits under this subdivision shall
be treated for all purposes as property tax levies.
The county council may before October 1 of a year adopt an ordinance
changing the purposes for which tax revenue attributable to a tax rate
under this section shall be used in the following year.
(g) The tax rate under this section and the tax revenue attributable
to the tax rate under this section shall not be considered for purposes
of computing:
(1) the maximum income tax rate that may be imposed in a county
under section 2 of this chapter or any other provision of this
chapter;
(2) the maximum permissible property tax levy under STEP
EIGHT of IC 6-1.1-18.5-3(b); IC 6-1.1-18.5-3;
(3) before January 1, 2009, the total county tax levy under
IC 6-1.1-21-2(g)(3), IC 6-1.1-21-2(g)(4), or IC 6-1.1-21-2(g)(5)
(before the repeal of those provisions); or
(4) (3) the credit under IC 6-1.1-20.6.
(h) Tax revenue under this section shall be treated as a part of the
receiving civil taxing unit's or school corporation's property tax levy for
that year for purposes of fixing the budget of the civil taxing unit or
school corporation and for determining the distribution of taxes that are
distributed on the basis of property tax levies. To the extent the
county auditor determines that there is income tax revenue
remaining from the tax under this section after providing the
property tax replacement credits, the excess shall be credited to a
dedicated county account and may be used only for property tax
replacement credits under this section in subsequent years.
(i) The department of local government finance and the department
of state revenue may take any actions necessary to carry out the
purposes of this section.
(j) A taxpayer that owns an industrial plant located in Jasper County
is ineligible for a local property tax replacement credit under this
section against the property taxes due on the industrial plant if the
assessed value of the industrial plant as of March 1, 2006, exceeds
twenty percent (20%) of the total assessed value of all taxable property
in the county on that date. The general assembly finds that the
provisions of this subsection are necessary because the industrial plant
represents such a large percentage of Jasper County's assessed
valuation.
county option income tax is in effect, the county income tax council
may, before August 1 of a year, adopt an ordinance to impose or
increase (as applicable) a tax rate under this section.
(b) In a county in which neither the county option adjusted gross
income tax nor the county option income tax is in effect, the county
income tax council may, before August 1 of a year, adopt an ordinance
to impose a tax rate under this section.
(c) An ordinance adopted under this section takes effect October 1
of the year in which the ordinance is adopted. If a county income tax
council adopts an ordinance to impose or increase a tax rate under this
section, the county auditor shall send a certified copy of the ordinance
to the department and the department of local government finance by
certified mail.
(d) A tax rate under this section is in addition to any other tax rates
imposed under this chapter and does not affect the purposes for which
other tax revenue under this chapter may be used.
(e) The following apply only in the year in which a county income
tax council first imposes a tax rate under this section:
(1) The county income tax council shall, in the ordinance
imposing the tax rate, specify the tax rate for each of the
following two (2) years.
(2) The tax rate that must be imposed in the county from October
1 of the year in which the tax rate is imposed through September
30 of the following year is equal to the result of:
(A) the tax rate determined for the county under
IC 6-3.5-1.5-1(a) in that year; multiplied by
(B) the following:
(i) In a county containing a consolidated city, one and
five-tenths (1.5).
(ii) In a county other than a county containing a consolidated
city, two (2).
(3) The tax rate that must be imposed in the county from October
1 of the following year through September 30 of the year after the
following year is the tax rate determined for the county under
IC 6-3.5-1.5-1(b). The tax rate under this subdivision continues
in effect in later years unless the tax rate is increased under this
section.
(4) The levy limitations in IC 6-1.1-18.5-3(g), IC 6-1.1-18.5-3(h),
IC 6-1.1-18.5-3(b), IC 6-1.1-18.5-3(c), IC 12-19-7-4(b) (before
its repeal), IC 12-19-7.5-6(b) (before its repeal), and
IC 12-29-2-2(c) apply to property taxes first due and payable in
the ensuing calendar year and to property taxes first due and
payable in the calendar year after the ensuing calendar year.
(f) The following apply only in a year in which a county income tax
council increases a tax rate under this section:
(1) The county income tax council shall, in the ordinance
increasing the tax rate, specify the tax rate for the following year.
(2) The tax rate that must be imposed in the county from October
1 of the year in which the tax rate is increased through September
30 of the following year is equal to the result of:
(A) the tax rate determined for the county under
IC 6-3.5-1.5-1(a) in the year the tax rate is increased; plus
(B) the tax rate currently in effect in the county under this
section.
The tax rate under this subdivision continues in effect in later
years unless the tax rate is increased under this section.
(3) The levy limitations in IC 6-1.1-18.5-3(g), IC 6-1.1-18.5-3(h),
IC 6-1.1-18.5-3(b), IC 6-1.1-18.5-3(c), IC 12-19-7-4(b) (before
its repeal), IC 12-19-7.5-6(b) (before its repeal), and
IC 12-29-2-2(c) apply to property taxes first due and payable in
the ensuing calendar year.
(g) The department of local government finance shall determine the
following property tax replacement distribution amounts:
STEP ONE: Determine the sum of the amounts determined under
STEP ONE through STEP FOUR of IC 6-3.5-1.5-1(a) for the
county in the preceding year.
STEP TWO: For distribution to each civil taxing unit that in the
year had a maximum permissible property tax levy limited under
IC 6-1.1-18.5-3(g), IC 6-1.1-18.5-3(b), determine the result of:
(1) the quotient of:
(A) the part of the amount determined under STEP ONE of
IC 6-3.5-1.5-1(a) in the preceding year that was attributable
to the civil taxing unit; divided by
(B) the STEP ONE amount; multiplied by
(2) the tax revenue received by the county treasurer under this
section.
STEP THREE: For distributions in 2009 and thereafter, the result
of this STEP is zero (0). For distribution to the county for deposit
in the county family and children's fund before 2009, determine
the result of:
(1) the quotient of:
(A) the amount determined under STEP TWO of
IC 6-3.5-1.5-1(a) in the preceding year; divided by
(B) the STEP ONE amount; multiplied by
receiving civil taxing unit's property tax levy for that year for purposes
of fixing its budget and for determining the distribution of taxes that
are distributed on the basis of property tax levies.
(l) If a county income tax council imposes a tax rate under this
section, the county option income tax rate dedicated to locally funded
homestead credits in the county may not be decreased.
(m) In the year following the year in which a county first imposes
a tax rate under this section:
(1) one-third (1/3) of the tax revenue that is attributable to the tax
rate under this section must be deposited in the county
stabilization fund established under subsection (o), in the case of
a county containing a consolidated city; and
(2) one-half (1/2) of the tax revenue that is attributable to the tax
rate under this section must be deposited in the county
stabilization fund established under subsection (o), in the case of
a county not containing a consolidated city.
(n) A pledge of county option income taxes does not apply to
revenue attributable to a tax rate under this section.
(o) A county stabilization fund is established in each county that
imposes a tax rate under this section. The county stabilization fund
shall be administered by the county auditor. If for a year the certified
distributions attributable to a tax rate under this section exceed the
amount calculated under STEP ONE through STEP FOUR of
IC 6-3.5-1.5-1(a) that is used by the department of local government
finance and the department of state revenue to determine the tax rate
under this section, the excess shall be deposited in the county
stabilization fund. Money shall be distributed from the county
stabilization fund in a year by the county auditor to political
subdivisions entitled to a distribution of tax revenue attributable to the
tax rate under this section if:
(1) the certified distributions attributable to a tax rate under this
section are less than the amount calculated under STEP ONE
through STEP FOUR of IC 6-3.5-1.5-1(a) that is used by the
department of local government finance and the department of
state revenue to determine the tax rate under this section for a
year; or
(2) the certified distributions attributable to a tax rate under this
section in a year are less than the certified distributions
attributable to a tax rate under this section in the preceding year.
However, subdivision (2) does not apply to the year following the first
year in which certified distributions of revenue attributable to the tax
rate under this section are distributed to the county.
confined persons.
(13) Pension payments for any of the following:
(A) A member of the fire department (as defined in
IC 36-8-1-8) or any other employee of a fire department.
(B) A member of the police department (as defined in
IC 36-8-1-9), a police chief hired under a waiver under
IC 36-8-4-6.5, or any other employee hired by a police
department.
(C) A county sheriff or any other member of the office of the
county sheriff.
(D) Other personnel employed to provide a service described
in this section.
(b) The county income tax council may adopt an ordinance to
impose an additional tax rate under this section to provide funding for
public safety if:
(1) the county income tax council has imposed a tax rate under
section 30 of this chapter, in the case of a county containing a
consolidated city; or
(2) the county income tax council has imposed a tax rate of at
least twenty-five hundredths of one percent (0.25%) under section
30 of this chapter, a tax rate of at least twenty-five hundredths of
one percent (0.25%) under section 32 of this chapter, or a total
combined tax rate of at least twenty-five hundredths of one
percent (0.25%) under sections 30 and 32 of this chapter, in the
case of a county other than a county containing a consolidated
city.
(c) A tax rate under this section may not exceed the following:
(1) Five-tenths of one percent (0.5%), in the case of a county
containing a consolidated city.
(2) Twenty-five hundredths of one percent (0.25%), in the case of
a county other than a county containing a consolidated city.
(d) If a county income tax council adopts an ordinance to impose a
tax rate under this section, the county auditor shall send a certified
copy of the ordinance to the department and the department of local
government finance by certified mail.
(e) A tax rate under this section is in addition to any other tax rates
imposed under this chapter and does not affect the purposes for which
other tax revenue under this chapter may be used.
(f) Except as provided in subsection subsections (l) and (m), the
county auditor shall distribute the portion of the certified distribution
that is attributable to a tax rate under this section to the county and to
each municipality in the county that is carrying out or providing at
least one (1) of the public safety purposes described in subsection
(a). The amount that shall be distributed to the county or municipality
is equal to the result of:
(1) the portion of the certified distribution that is attributable to a
tax rate under this section; multiplied by
(2) a fraction equal to:
(A) the total property taxes being collected in the county by
the county or municipality for the calendar year; divided by
(B) the sum of the total property taxes being collected in the
county by the county and each municipality in the county that
is entitled to a distribution under this section for the
calendar year.
The county auditor shall make the distributions required by this
subsection not more than thirty (30) days after receiving the portion of
the certified distribution that is attributable to a tax rate under this
section. Tax revenue distributed to a county or municipality under this
subsection must be deposited into a separate account or fund and may
be appropriated by the county or municipality only for public safety
purposes.
(g) The department of local government finance may not require a
county or municipality receiving tax revenue under this section to
reduce the county's or municipality's property tax levy for a particular
year on account of the county's or municipality's receipt of the tax
revenue.
(h) The tax rate under this section and the tax revenue attributable
to the tax rate under this section shall not be considered for purposes
of computing:
(1) the maximum income tax rate that may be imposed in a county
under section 8 or 9 of this chapter or any other provision of this
chapter;
(2) the maximum permissible property tax levy under STEP
EIGHT of IC 6-1.1-18.5-3(b); IC 6-1.1-18.5-3;
(3) the total county tax levy under IC 6-1.1-21-2(g)(3),
IC 6-1.1-21-2(g)(4), or IC 6-1.1-21-2(g)(5) (before the repeal of
IC 6-1.1-21); or
(4) (3) the credit under IC 6-1.1-20.6.
(i) The tax rate under this section may be imposed or rescinded at
the same time and in the same manner that the county may impose or
increase a tax rate under section 30 of this chapter.
(j) The department of local government finance and the department
of state revenue may take any actions necessary to carry out the
purposes of this section.
other tax revenue under this chapter may be used.
(d) If a county income tax council adopts an ordinance to impose or
increase a tax rate under this section, the county auditor shall send a
certified copy of the ordinance to the department, the budget agency,
and the department of local government finance by certified mail.
(e) A tax rate under this section may be imposed, increased,
decreased, or rescinded at the same time and in the same manner that
the county income tax council may impose or increase a tax rate under
section 30 of this chapter.
(f) Tax revenue attributable to a tax rate under this section may be
used for any combination of the following purposes, as specified by
ordinance of the county income tax council:
(1) The tax revenue may be used to provide local property tax
replacement credits at a uniform rate to all taxpayers in the
county. The local property tax replacement credits shall be treated
for all purposes as property tax levies. The county auditor shall
determine the local property tax replacement credit percentage for
a particular year based on the amount of tax revenue that will be
used under this subdivision to provide local property tax
replacement credits in that year. A county income tax council may
not adopt an ordinance determining that tax revenue shall be used
under this subdivision to provide local property tax replacement
credits at a uniform rate to all taxpayers in the county unless the
county council has done the following:
(A) Made available to the public the county council's best
estimate of the amount of property tax replacement credits to
be provided under this subdivision to homesteads, other
residential property, commercial property, industrial property,
and agricultural property.
(B) Adopted a resolution or other statement acknowledging
that some taxpayers in the county that do not pay the tax rate
under this section will receive a property tax replacement
credit that is funded with tax revenue from the tax rate under
this section.
(2) The tax revenue may be used to uniformly increase (before
January 1, 2011) or uniformly provide (after December 31, 2010)
the homestead credit percentage in the county. The homestead
credits shall be treated for all purposes as property tax levies. The
homestead credits do not reduce the basis for determining any
state homestead credit. The homestead credits shall be applied to
the net property taxes due on the homestead after the application
of all other assessed value deductions or property tax deductions
and credits that apply to the amount owed under IC 6-1.1. The
county auditor shall determine the homestead credit percentage
for a particular year based on the amount of tax revenue that will
be used under this subdivision to provide homestead credits in
that year.
(3) The tax revenue may be used to provide local property tax
replacement credits at a uniform rate for all qualified residential
property (as defined in IC 6-1.1-20.6-4 before January 1, 2009,
and as defined in section 1 of this chapter after December 31,
2008) in the county. The local property tax replacement credits
shall be treated for all purposes as property tax levies. The county
auditor shall determine the local property tax replacement credit
percentage for a particular year based on the amount of tax
revenue that will be used under this subdivision to provide local
property tax replacement credits in that year.
(4) This subdivision applies only to Lake County. The Lake
County council may adopt an ordinance providing that the tax
revenue from the tax rate under this section is used for any of the
following:
(A) To reduce all property tax levies imposed by the county by
the granting of property tax replacement credits against those
property tax levies.
(B) To provide local property tax replacement credits in Lake
County in the following manner:
(i) The tax revenue under this section that is collected from
taxpayers within a particular municipality in Lake County
(as determined by the department based on the department's
best estimate) shall be used only to provide a local property
tax credit against property taxes imposed by that
municipality.
(ii) The tax revenue under this section that is collected from
taxpayers within the unincorporated area of Lake County (as
determined by the department) shall be used only to provide
a local property tax credit against property taxes imposed by
the county. The local property tax credit for the
unincorporated area of Lake County shall be available only
to those taxpayers within the unincorporated area of the
county.
(C) To provide property tax credits in the following manner:
(i) Sixty percent (60%) of the tax revenue under this section
shall be used as provided in clause (B).
(ii) Forty percent (40%) of the tax revenue under this section
shall be used to provide property tax replacement credits
against property tax levies of the county and each township
and municipality in the county. The percentage of the tax
revenue distributed under this item that shall be used as
credits against the county's levies or against a particular
township's or municipality's levies is equal to the percentage
determined by dividing the population of the county,
township, or municipality by the sum of the total population
of the county, each township in the county, and each
municipality in the county.
The Lake County council shall determine whether the credits
under clause (A), (B), or (C) shall be provided to homesteads, to
all qualified residential property, or to all taxpayers. The
department of local government finance, with the assistance of the
budget agency, shall certify to the county auditor and the fiscal
body of the county and each township and municipality in the
county the amount of property tax credits under this subdivision.
Except as provided in subsection (g), the tax revenue under this
section that is used to provide credits under this subdivision shall
be treated for all purposes as property tax levies.
The county income tax council may adopt an ordinance changing the
purposes for which tax revenue attributable to a tax rate under this
section shall be used in the following year.
(g) The tax rate under this section shall not be considered for
purposes of computing:
(1) the maximum income tax rate that may be imposed in a county
under section 8 or 9 of this chapter or any other provision of this
chapter;
(2) the maximum permissible property tax levy under STEP
EIGHT of IC 6-1.1-18.5-3(b); IC 6-1.1-18.5-3; or
(3) the credit under IC 6-1.1-20.6.
(h) Tax revenue under this section shall be treated as a part of the
receiving civil taxing unit's or school corporation's property tax levy for
that year for purposes of fixing the budget of the civil taxing unit or
school corporation and for determining the distribution of taxes that are
distributed on the basis of property tax levies. To the extent the county
auditor determines that there is income tax revenue remaining from the
tax under this section after providing the property tax replacement, the
excess shall be credited to a dedicated county account and may be used
only for property tax replacement under this section in subsequent
years.
(i) The department of local government finance, and the department
of state revenue may take any actions necessary to carry out the
purposes of this section.
(j) Notwithstanding any other provision, in Lake County the county
council (and not the county income tax council) is the entity authorized
to take actions concerning the tax rate under this section.
IC 36-7.6 and imposes an additional county economic development
income tax under this section, then, notwithstanding section 11 or any
other provision of this chapter, the initial certified distribution of the
tax revenue that results from the additional tax shall be distributed to
the county treasurer from the account established for the county under
this chapter according to the following schedule during the eighteen
(18) month period beginning on July 1 of the year in which the county
adopts the ordinance to impose the additional tax:
(1) One-fourth (1/4) on October 1 of the year in which the
ordinance to impose the additional tax is adopted.
(2) One-fourth (1/4) on January 1 of the calendar year following
the year in which the ordinance to impose the additional tax is
adopted.
(3) One-fourth (1/4) on May 1 of the calendar year following the
year in which the ordinance to impose the additional tax is
adopted.
(4) One-fourth (1/4) on November 1 of the calendar year
following the year in which the ordinance to impose the additional
tax is adopted.
creation project is located.
Sec. 7. As used in this chapter, "qualified unit" means a city or
county described in section 1 of this chapter.
Sec. 8. As used in this chapter, "taxpayer" means a person that
enters an agreement with a qualified unit to receive a hiring
incentive.
Sec. 9. (a) A qualified unit may offer hiring incentives under this
chapter to foster job creation in the qualified unit.
(b) The hiring incentive shall be claimed for the calendar years
specified in the taxpayer's hiring incentive agreement.
Sec. 10. A person that proposes a project to create new jobs in
a qualified unit may apply, as provided in section 11 of this
chapter, to the qualified unit to enter into an agreement for a
hiring incentive under this chapter.
Sec. 11. This section applies to an application proposing a
project to create new jobs in a qualified unit. After receipt of an
application, the qualified unit may enter into an agreement with
the applicant for a hiring incentive under this chapter if the fiscal
body of the qualified unit approves the agreement after finding
that all of the following conditions exist:
(1) The applicant's project will create new jobs that were not
jobs previously performed by employees of the applicant in
the qualified unit.
(2) The applicant's project is economically sound and will
benefit the people of the qualified unit by increasing
opportunities for employment in the qualified unit and
strengthening the economy of Indiana.
(3) Receiving the hiring incentive is a major factor in the
applicant's decision to go forward with the project and not
receiving the hiring incentive will result in the applicant not
creating new jobs in the qualified unit.
(4) The hiring incentive is not prohibited by section 12 of this
chapter.
Sec. 12. A person is not entitled to claim a hiring incentive
provided by this chapter for any jobs that the person relocates
from one (1) site in Indiana to another site in Indiana.
Determinations under this section shall be made by the qualified
unit providing the hiring incentive.
Sec. 13. (a) Subject to subsection (c), the qualified unit shall
determine the amount and duration of a hiring incentive awarded
under this chapter. The duration of the hiring incentive may not
exceed ten (10) calendar years.
the amounts have been verified.
(9) Any other performance conditions that the qualified unit
determines are appropriate.
Sec. 15. A qualified unit shall pay hiring incentives provided
under this chapter from revenues received by the qualified unit
under:
(1) IC 6-3.5-1.1-15;
(2) IC 6-3.5-6-19;
(3) IC 6-3.5-7-13.1; or
(4) any combination of the sources listed in subdivisions (1)
through (3).
Sec. 16. If the qualified unit determines that a taxpayer who has
claimed a hiring incentive under this chapter is not entitled to the
hiring incentive because of the taxpayer's noncompliance with the
requirements of the hiring incentive agreement or all of the
provisions of this chapter, the qualified unit shall, after giving the
taxpayer an opportunity to explain the noncompliance, pursue
existing remedies under law for an amount that may not exceed the
sum of any previously allowed hiring incentives under this chapter,
together with interest and penalties required or permitted by law.
Sec. 17. (a) The qualified unit shall submit an annual report to
the IEDC before July 1. The report must be in an electronic format
prescribed by the IEDC and must contain the following
information concerning a program established under this chapter:
(1) The number of taxpayers receiving hiring incentives in
that particular year.
(2) The location of each business receiving hiring incentives as
of the date of the report.
(3) A summary of the local incentives provided under this
chapter to each taxpayer receiving hiring incentives as of the
date of the report.
(4) The number of jobs created and the average salary paid by
taxpayers receiving hiring incentives as of the date of the
report.
(b) The IEDC shall compile an annual report based on the
information received under subsection (a). The IEDC shall submit
the annual report to the legislative council before November 1. The
report must be in an electronic format under IC 5-14-6 and must
contain the information specified in subsection (a)(1) through
(a)(4), aggregated or otherwise protected as necessary to maintain
the confidentiality of any confidential information submitted upon
request by each taxpayer under this chapter.
service in the current taxable year or in an earlier taxable year
equal to the amount of adjusted gross income that would have
been computed had an election for federal income tax
purposes not been made for the year in which the property was
placed in service to take deductions under Section 179 of the
Internal Revenue Code in a total amount exceeding
twenty-five thousand dollars ($25,000).
(I) Add an amount equal to the amount that a taxpayer claimed
as a deduction for domestic production activities for the
taxable year under Section 199 of the Internal Revenue Code
for federal income tax purposes.
(J) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from
business indebtedness discharged in connection with the
reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code. Subtract from the
adjusted gross income of any taxpayer that added an amount
to adjusted gross income in a previous year the amount
necessary to offset the amount included in federal gross
income as a result of the deferral of income arising from
business indebtedness discharged in connection with the
reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(K) Add the amount necessary to make the adjusted gross
income of any taxpayer that placed qualified restaurant
property in service during the taxable year and that was
classified as 15-year property under Section 168(e)(3)(E)(v) of
the Internal Revenue Code equal to the amount of adjusted
gross income that would have been computed had the
classification not applied to the property in the year that it was
placed in service.
(L) Add the amount necessary to make the adjusted gross
income of any taxpayer that placed qualified retail
improvement property in service during the taxable year and
that was classified as 15-year property under Section
168(e)(3)(E)(ix) of the Internal Revenue Code equal to the
amount of adjusted gross income that would have been
computed had the classification not applied to the property in
the year that it was placed in service.
(M) Add or subtract the amount necessary to make the
adjusted gross income of any taxpayer that claimed the special
allowance for qualified disaster assistance property under
Section 168(n) of the Internal Revenue Code equal to the
amount of adjusted gross income that would have been
computed had the special allowance not been claimed for the
property.
(N) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under
Section 179C of the Internal Revenue Code to expense costs
for qualified refinery property equal to the amount of adjusted
gross income that would have been computed had an election
for federal income tax purposes not been made for the year.
(O) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that made an election under
Section 181 of the Internal Revenue Code to expense costs for
a qualified film or television production equal to the amount
of adjusted gross income that would have been computed had
an election for federal income tax purposes not been made for
the year.
(P) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that treated a loss from the sale
or exchange of preferred stock in:
(i) the Federal National Mortgage Association, established
under the Federal National Mortgage Association Charter
Act (12 U.S.C. 1716 et seq.); or
(ii) the Federal Home Loan Mortgage Corporation,
established under the Federal Home Loan Mortgage
Corporation Act (12 U.S.C. 1451 et seq.);
as an ordinary loss under Section 301 of the Emergency
Economic Stabilization Act of 2008 in the current taxable year
or in an earlier taxable year equal to the amount of adjusted
gross income that would have been computed had the loss not
been treated as an ordinary loss.
(Q) Add an amount equal to any exempt insurance income
under Section 953(e) of the Internal Revenue Code for active
financing income under Subpart F, Subtitle A, Chapter 1,
Subchapter N of the Internal Revenue Code.
(2) Subtract the following amounts:
(A) Income that the United States Constitution or any statute
of the United States prohibits from being used to measure the
tax imposed by this chapter.
(B) Income that is derived from sources outside the United
States, as defined by the Internal Revenue Code.
(C) An amount equal to a debt or part of a debt that becomes
worthless, as permitted under Section 166(a) of the Internal
Revenue Code.
(D) An amount equal to any bad debt reserves that are
included in federal income because of accounting method
changes required by Section 585(c)(3)(A) or Section 593 of
the Internal Revenue Code.
(E) The amount necessary to make the adjusted gross income
of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross
income that would have been computed had an election not
been made under Section 168(k) of the Internal Revenue Code
to apply bonus depreciation.
(F) The amount necessary to make the adjusted gross income
of any taxpayer that placed Section 179 property (as defined
in Section 179 of the Internal Revenue Code) in service in the
current taxable year or in an earlier taxable year equal to the
amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding twenty-five
thousand dollars ($25,000).
(G) Income that is:
(i) exempt from taxation under IC 6-3-2-21.7; and
(ii) included in the taxpayer's taxable income under the
Internal Revenue Code.
(b) In the case of a credit union, "adjusted gross income" for a
taxable year means the total transfers to undivided earnings minus
dividends for that taxable year after statutory reserves are set aside
under IC 28-7-1-24.
(c) In the case of an investment company, "adjusted gross income"
means the company's federal taxable income plus the amount
excluded from federal gross income under Section 103 of the
Internal Revenue Code for interest received on an obligation of a
state other than Indiana or a political subdivision of such a state
multiplied by the quotient of:
(1) the aggregate of the gross payments collected by the company
during the taxable year from old and new business upon
investment contracts issued by the company and held by residents
of Indiana; divided by
(2) the total amount of gross payments collected during the
taxable year by the company from the business upon investment
contracts issued by the company and held by persons residing
within Indiana and elsewhere.
(d) As used in subsection (c), "investment company" means a
person, copartnership, association, limited liability company, or
corporation, whether domestic or foreign, that:
(1) is registered under the Investment Company Act of 1940 (15
U.S.C. 80a-1 et seq.); and
(2) solicits or receives a payment to be made to itself and issues
in exchange for the payment:
(A) a so-called bond;
(B) a share;
(C) a coupon;
(D) a certificate of membership;
(E) an agreement;
(F) a pretended agreement; or
(G) other evidences of obligation;
entitling the holder to anything of value at some future date, if the
gross payments received by the company during the taxable year
on outstanding investment contracts, plus interest and dividends
earned on those contracts (by prorating the interest and dividends
earned on investment contracts by the same proportion that
certificate reserves (as defined by the Investment Company Act
of 1940) is to the company's total assets) is at least fifty percent
(50%) of the company's gross payments upon investment
contracts plus gross income from all other sources except
dividends from subsidiaries for the taxable year. The term
"investment contract" means an instrument listed in clauses (A)
through (G).
both; or
(2) snuff, including moist snuff.
issued in the state of Indiana by or in the name of any Indiana county,
township, city, incorporated town, school corporation, state educational
institution, or any other Indiana political, municipal, public or
quasi-public corporation or body, or in the name of any special
assessment or taxing district or in the name of any authorized body of
any such corporation or district, the interest thereon, the proceeds
received by a holder from the sale of such obligations to the extent of
the holder's cost of acquisition, or proceeds received upon redemption
prior to maturity, or proceeds received at maturity, and the receipt of
such interest and proceeds, shall be exempt from taxation in the state
of Indiana for all purposes except a state inheritance tax imposed under
IC 6-4.1.
(b) All bonds issued after March 11, 1933, and before March 12,
1959, by any municipality in this state under the provisions of any
statute whereby the terms thereof provide for the payment of such
bonds out of the funds derived from the revenues of any municipally
owned utility or which are to be paid by pledging the physical property
of any such municipally owned utility, or any bonds issued pledging
both the physical property and the revenues of such utility, or any
bonds issued for additions to or improvements to be made to such
municipally owned utility, or any bonds issued by any municipality to
be paid out of taxes levied by such municipality for the acquiring,
purchase, construction, or the reconstruction of a utility, or any part
thereof, shall be exempt from taxation for all purposes except a state
inheritance tax imposed under IC 6-4.1.
(c) This section does not apply to measuring the franchise tax
imposed on the privilege of transacting the business of a financial
institution in Indiana under IC 6-5.5.
(d) No other statute exempting interest paid on debt obligations of:
(1) a state or local public entity, including an agency, a
government corporation, or an authority; or
(2) a corporation or other entity leasing real or personal property
to an entity described in subdivision (1);
applies to measuring of the franchise tax imposed on financial
institutions under IC 6-5.5.
best information available to the department. The amount of the
assessment is considered a tax payment not made by the due date and
is subject to IC 6-8.1-10 concerning the imposition of penalties and
interest. The department shall send the person a notice of the proposed
assessment through the United States mail.
(c) If the person has a surety bond guaranteeing payment of the tax
for which the proposed assessment is made, the department shall
furnish a copy of the proposed assessment to the surety. The notice of
proposed assessment is prima facie evidence that the department's
claim for the unpaid tax is valid. The burden of proving that the
proposed assessment is wrong rests with the person against whom the
proposed assessment is made.
(d) The notice shall state that the person has forty-five (45) days
from the date the notice is mailed, if the notice was mailed before
January 1, 2011, and sixty (60) days from the date the notice is
mailed, if the notice was mailed after December 31, 2010, to pay the
assessment or to file a written protest. If the person files a protest and
requires a hearing on the protest, the department shall:
(1) set the hearing at the department's earliest convenient time;
and
(2) notify the person by United States mail of the time, date, and
location of the hearing.
(e) The department may hold the hearing at the location of its choice
within Indiana if that location complies with IC 6-8.1-3-8.5.
(f) No later than sixty (60) days after conducting a hearing on a
protest, or after making a decision on a protest when no hearing is
requested, the department shall issue a letter of findings and shall send
a copy of the letter through the United States mail to the person who
filed the protest and to the person's surety, if the surety was notified of
the proposed assessment under subsection (b). The department may
continue the hearing until a later date if the taxpayer presents
additional information at the hearing or the taxpayer requests an
opportunity to present additional information after the hearing.
(g) A person that disagrees with a decision in a letter of findings
may request a rehearing not more than thirty (30) days after the date on
which the letter of findings is issued by the department. The
department shall consider the request and may grant the rehearing if the
department reasonably believes that a rehearing would be in the best
interests of the taxpayer and the state.
(h) If a person disagrees with a decision in a letter of findings, the
person may appeal the decision to the tax court. However, the tax court
does not have jurisdiction to hear an appeal that is filed more than sixty
(60) days after the date on which:
(1) the letter of findings is issued by the department, if the person
does not make a timely request for a rehearing under subsection
(g) on the letter of findings; or
(2) the department issues a denial of the person's timely request
for a rehearing under subsection (g) on the letter of findings.
(i) The tax court shall hear an appeal under subsection (h) de novo
and without a jury. The tax court may do the following:
(1) Uphold or deny any part of the assessment that is appealed.
(2) Assess the court costs in a manner that the court believes to be
equitable.
(3) Enjoin the collection of a listed tax under IC 33-26-6-2.
(j) The department shall demand payment, as provided in
IC 6-8.1-8-2(a), of any part of the proposed tax assessment, interest,
and penalties that it finds owing because:
(1) the person failed to properly respond within the forty-five (45)
day period;
(2) the person requested a hearing but failed to appear at that
hearing; or
(3) after consideration of the evidence presented in the protest or
hearing, the department finds that the person still owes tax.
(k) The department shall make the demand for payment in the
manner provided in IC 6-8.1-8-2.
(l) Subsection (b) does not apply to a motor carrier fuel tax return.
claim. If the person disagrees with a part of the decision, the person
may file a protest and request a hearing with the department. The
department shall mail a copy of the decision to the person who filed
the protest. If the department allows the full amount of the refund
claim, a warrant for the payment of the claim is sufficient notice of the
decision.
(c) If the person disagrees with any part of the department's
decision, the person may appeal the decision, regardless of whether or
not the person protested the tax payment or whether or not the person
has accepted a refund. The person must file the appeal with the tax
court. The tax court does not have jurisdiction to hear a refund appeal
suit, if:
(1) the appeal is filed more than three (3) years after the date the
claim for refund was filed with the department;
(2) the appeal is filed more than ninety (90) days after the later
of the date the department mails:
(A) the decision of denial of the claim to the person; or
(B) the decision made on the protest filed under subsection
(b); or
(3) the appeal is filed both before the decision is issued and
before the one hundred eighty-first day after the date the person
files the claim for refund with the department.
(d) The tax court shall hear the appeal de novo and without a jury,
and after the hearing may order or deny any part of the appealed
refund. The court may assess the court costs in any manner that it feels
is equitable. The court may enjoin the collection of any of the listed
taxes under IC 33-26-6-2. The court may also allow a refund of taxes,
interest, and penalties that have been paid to and collected by the
department.
(e) With respect to the motor vehicle excise tax, this section applies
only to penalties and interest paid on assessments of the motor vehicle
excise tax. Any other overpayment of the motor vehicle excise tax is
subject to IC 6-6-5.
(f) If a taxpayer's federal income tax liability for a taxable year is
modified by the Internal Revenue Service, and the modification would
result in a reduction of the tax legally due, the due date by which the
taxpayer must file a claim for refund with the department is the later of:
(1) the date determined under subsection (a); or
(2) the date that is six (6) months one hundred eighty (180) days
after the date on which the taxpayer is notified of the modification
by the Internal Revenue Service.
(g) If an agreement to extend the assessment time period is entered
into under IC 6-8.1-5-2(h), the period during which a person may file
a claim for a refund under subsection (a) is extended to the same date
to which the assessment time period is extended.
(h) If a taxpayer's claim for a refund of gross retail or use tax is
based on:
(1) IC 6-2.5-4-5(c)(3); or
(2) the exemption provided by IC 6-2.5-5-5.1 for electrical
energy, natural or artificial gas, water, steam, and steam heat;
the person must file the claim with the department within one (1)
year after the date of payment.
paid to the department of state revenue, the returns 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.
(e) If the tax is paid to the department of state revenue, the amounts
received from the tax shall be paid by the end of the next succeeding
month by the treasurer of state to the county treasurer upon warrants
issued by the auditor of state. The county treasurer shall deposit the
revenue received under this chapter as provided in section 2 of this
chapter.
imposed under this chapter in each year. During each year, the county
treasurer shall transfer to Indiana University-Northwest forty-four and
thirty-three hundredths percent (44.33%) of the revenue received under
this chapter for that year to be used as follows:
(1) Seventy-five percent (75%) of the revenue received under this
subsection may be used only for the university's medical
education programs.
(2) Twenty-five percent (25%) of the revenue received under this
subsection may be used only for the university's allied health
education programs.
(d) This subsection applies to the first one million two hundred
thousand dollars ($1,200,000) of revenue received from the tax
imposed under this chapter in each year. During each year, the county
treasurer shall allocate among the cities and towns throughout the
county nine percent (9%) of the revenue received under this chapter for
that year as follows:
(1) Ten percent (10%) of the revenue covered by this subsection
shall be distributed to cities having a population of more than
ninety thousand (90,000) but less than one hundred five thousand
(105,000).
(2) Ten percent (10%) of the revenue covered by this subsection
shall be distributed to cities having a population of more than
seventy-five thousand (75,000) but less than ninety thousand
(90,000).
(3) Ten percent (10%) of the revenue covered by this subsection
shall be distributed to cities having a population of more than
thirty-two thousand (32,000) but less than thirty-two thousand
eight hundred (32,800).
(4) Seventy percent (70%) of the revenue covered by this
subsection shall be distributed in equal amounts to each town and
each city not receiving a distribution under subdivisions (1)
through (3).
The money distributed under this subsection may be used only for
tourism and economic development projects. The county treasurer shall
make the distributions on or before December 1 of each year.
(e) This subsection applies to the first one million two hundred
thousand dollars ($1,200,000) of revenue received from the tax
imposed under this chapter in each year. During each year, the county
treasurer shall transfer to Purdue University-Calumet nine percent (9%)
of the revenue received under this chapter for that year. The money
received by Purdue University-Calumet may be used by the university
only for nursing education programs.
may be used only for the university's allied health education
programs.
(h) This subsection applies only to the distribution of revenue
received from the tax imposed under section 1 of this chapter from
hotels, motels, inns, tourist camps, tourist cabins, and other lodgings or
accommodations built or refurbished after June 30, 1993, that are
located in the largest city of the county. During each year, the county
treasurer shall transfer:
(1) seventy-five percent (75%) of the revenues under this
subsection to the department of public safety; and
(2) twenty-five percent (25%) of the revenues under this
subsection to the division of physical and economic development;
of the largest city of the county.
(i) The Lake County convention and visitor bureau shall assist the
county treasurer, as needed, with the calculation of the amounts that
must be deposited and transferred under this section.
bureau members are entitled to reimbursement for necessary expenses
incurred in the performance of their respective duties.
(l) Each bureau member, before entering the member's duties, shall
take an oath of office in the usual form, to be endorsed upon the
member's certificate of appointment and promptly filed with the clerk
of the circuit court of the county.
(m) The bureau shall meet after July 1 each year for the purpose of
organization. The bureau shall elect a chairman from its members. The
bureau shall also elect from its members a vice chairman, a secretary,
and a treasurer. The members serving in those offices shall perform the
duties pertaining to the offices. The first officers chosen shall serve
until their successors are elected and qualified. A majority of the
bureau constitutes a quorum, and the concurrence of a majority of those
present is necessary to authorize any action.
(n) If the county and one (1) or more adjoining counties desire to
establish a joint bureau, the counties shall enter into an agreement
under IC 36-1-7.
(o) Notwithstanding any other law, any bureau member appointed
as of January 1, 2007, is eligible for reappointment.
recreation, and visitors within the county.
(b) All expenses of the bureau shall be paid from funds established
by the bureau. Before September 1 December 20 of each year, the
bureau shall prepare a budget for expenditures during the following
year, taking into consideration the recommendations made by a
corporation qualified under subsection (a)(6). A budget prepared under
this section must be submitted to the department of local government
finance and placed on file with the county auditor.
(c) All money in the bureau's funds shall be deposited, held,
secured, invested, and paid in accordance with statutes relating to the
handling of public funds. The handling and expenditure of money in
the bureau's funds are subject to audit and supervision by the state
board of accounts.
under this chapter during the preceding calendar year. The report shall
be prepared before March April 15 each year and shall be made
available to the public.
(b) If in any year an entity receiving money under this chapter fails
to provide the county legislative body with sufficient information, as
reasonably requested by the county legislative body:
(1) for the county legislative body to comply with this section;
and
(2) before the date specified by the county legislative body;
the county legislative body may direct the county treasurer by
resolution to stop deposits and transfers under this chapter to the entity.
When an entity provides the information that is the subject of the
resolution, the county legislative body shall as soon as practicable
direct the county treasurer, by resolution, to resume making deposits
and transfers to the entity, including any deposits and transfers that
would otherwise have been made to the entity during the time that
deposits and transfers were stopped under this subsection. A copy of a
resolution adopted under this subsection must be distributed to the
county treasurer and the entity that is the subject of the resolution
within ten (10) business days after the resolution is adopted. The
county treasurer shall comply with a resolution adopted under this
subsection.
or
(B) involved in or promoting conventions, visitors, or
tourism.
(2) Three (3) members appointed by the executive of the third
class city having the largest population, city of Jeffersonville,
including at least one (1) member who is engaged in the lodging
business or the restaurant business. two (2) members who are:
(A) engaged in a convention, visitor, or tourism business;
or
(B) involved in or promoting conventions, visitors, or
tourism.
(3) Two (2) members appointed by the legislative body of the
town having the largest population. of Clarksville, including at
least one (1) member who is:
(A) engaged in a convention, visitor, or tourism business;
or
(B) involved in or promoting conventions, visitors, or
tourism.
(4) One (1) member Two (2) members appointed by the
executive of the Floyd County, with the smaller population.
including at least one (1) member who is:
(A) engaged in a convention, visitor, or tourism business;
or
(B) involved in or promoting conventions, visitors, or
tourism.
(5) Three (3) members appointed by the executive of the Clark
County, with the larger population, including at least one (1)
member who is engaged in the lodging business. two (2)
members who are:
(A) engaged in a convention, visitor, or tourism business;
or
(B) involved in or promoting conventions, visitors, or
tourism.
(d) The terms of office for the members of the board of managers
are for two (2) years and end as follows:
(1) For each of the following members, the term of office ends on
January 15 of each odd-numbered year:
(A) The One (1) member appointed by the less populated
county's executive of Floyd County.
(B) One (1) member appointed by the more populated county's
executive of Clark County.
(C) One (1) member appointed by each of the city executives
referred to in this section.
(2) For all other members, the terms of office end on January 15
of each even-numbered year.
The term of the second member appointed under subsection (c)(4)
by the executive of Floyd County begins January 15, 2012.
(e) At the end of the term of a member of the board of managers, the
person or body making the original appointment may reappoint a
person whose term has expired or appoint a new member for a two (2)
year term. If a vacancy occurs in the board of managers during a term,
a successor for the vacancy shall be appointed by the person or body
making the original appointment, and the successor shall serve for the
remainder of the vacated term.
(f) A member of the board of managers may be removed for cause
by the person or body making the original appointment.
(g) No more than two (2) members of the board of managers
appointed by the executive of the third class city may be of the same
political party. The two (2) members of following apply to the board
of managers appointed by the town legislative body may not be of the
same political party. No more than three (3) ) members of the board of
managers appointed by the executive of the second class city having
the largest population may be of the same political party. under this
section:
(1) If an entity is authorized to appoint three (3) members, not
more than two (2) of the members appointed by the entity
may belong to the same political party.
(2) If an entity is authorized to appoint two (2) members, the
members appointed by the entity must belong to different
political parties.
(h) Each member of the board of managers, before entering upon the
member's duties, shall take an oath of office in the usual form, to be
endorsed upon the member's certificate of appointment, which shall be
promptly filed with the clerk of the circuit court of the member's county
of residence.
(i) A person may not be appointed as a member who has not been
a resident of one (1) of the two (2) counties for a period of two (2)
years immediately preceding the person's appointment.
(j) A member may receive no salary but is entitled to reimbursement
for any expenses necessarily incurred in the performance of the
member's duties.
the board of managers is subject to IC 5-14-1.5 and IC 5-14-3.
thousand seven hundred (28,700) but less than twenty-nine
thousand (29,000);
for the community development corporation's use in tourism,
recreation, and economic development activities.
(4) Ten percent (10%) shall be distributed to Historic
Prophetstown to be used by Historic Prophetstown for carrying
out its purposes.
(5) Ten percent (10%) shall be distributed to the Wabash River
Enhancement Corporation to assist the Wabash River
Enhancement Corporation in carrying out its purposes. Money
distributed under this subdivision may not be used to pay any:
(A) employee salaries; or
(B) other ongoing administrative or operating costs;
of the Wabash River Enhancement Corporation.
(c) An advisory commission consisting of the following members is
established:
(1) The director of the department of natural resources or the
director's designee.
(2) The public finance director or the public finance director's
designee.
(3) A member appointed by the Native American Indian affairs
commission.
(4) A member appointed by Historic Prophetstown.
(5) A member appointed by the community development
corporation described in subsection (b)(3).
(6) A member appointed by the Wabash River Enhancement
Corporation.
(7) A member appointed by the commission.
(8) A member appointed by the county fiscal body.
(9) A member appointed by the town board of the town of
Battleground.
(10) A member appointed by the mayor of the city of Lafayette.
(11) A member appointed by the mayor of the city of West
Lafayette.
(d) The following apply to the advisory commission:
(1) The governor shall appoint a member of the advisory
commission as chairman of the advisory commission.
(2) Six (6) members of the advisory commission constitute a
quorum. The affirmative votes of at least six (6) advisory
commission members are necessary for the advisory commission
to take official action other than to adjourn or to meet to hear
reports or testimony.
section 7(c) of this chapter.
(b) In a county in which a commission has been established
under section 9 of this chapter, the county auditor shall issue a
warrant directing the county treasurer to transfer money from the
county promotion fund to the commission's treasurer if the
commission submits a written request for the transfer.
(c) Money in a county promotion fund, or money transferred
from such a fund under subsection (b), may be expended only to
promote and encourage conventions, visitors, tourism, and
economic development within the county. Expenditures that may
be made under this subsection include expenditures for advertising,
promotional activities, trade shows, special events, and recreation,
and expenditures that are authorized by IC 6-3.5-7-13.1 with
respect to the county's economic development income tax fund.
affiliated with the same political party.
(6) Each member must reside in the county.
(7) The executive of the largest municipality of the county
shall appoint a number of members equal to:
(A) the total number of members of the commission;
multiplied by
(B) a fraction:
(i) the numerator of which is equal to the population of
the largest municipality in the county; and
(ii) the denominator of which is equal to the total
population of the county;
rounded to the nearest whole number. The county executive
shall determine who appoints the members of the commission
not appointed by the executive of the largest municipality of
the county.
(c) All terms of office of commission members begin on January
1. Initial appointments must be for staggered terms, with
subsequent appointments for two (2) year terms. A member whose
term expires may be reappointed to serve another term. If a
vacancy occurs, the appointing authority shall appoint a qualified
person to serve for the remainder of the term. If an initial
appointment is not made by February 1 or a vacancy is not filled
within thirty (30) days after the vacancy occurs, the commission
shall appoint a member by majority vote.
(d) A member of the commission may be removed for cause by
the member's appointing authority.
(e) Members of the commission may not receive a salary.
However, commission members are entitled to reimbursement for
necessary expenses incurred in the performance of their respective
duties.
(f) Each commission member, before entering the member's
duties, shall take an oath of office in the usual form, to be endorsed
upon the member's certificate of appointment and promptly filed
with the clerk of the circuit court of the county.
(g) The commission shall meet after January 1 each year for the
purpose of organization. The commission shall elect one (1) of its
members president, another vice president, another secretary, and
another treasurer. The members elected to those offices shall
perform the duties pertaining to the offices. The first officers
chosen shall serve from the date of their election until their
successors are elected and qualified. A majority of the commission
constitutes a quorum, and the concurrence of a majority of the
commission is necessary to authorize any action.
of accounts.
type if the applicant:
(1) is seeking a renewal and the applicant has not paid all the
property taxes under IC 6-1.1 and the innkeeper's tax under IC 6-9
that are due currently;
(2) is seeking a transfer and the applicant has not paid all the
property taxes under IC 6-1.1 and innkeeper's tax under IC 6-9 for
the assessment periods during which the transferor held the
permit; or
(3) is on the most recent tax warrant list supplied to the
commission by the department of state revenue.
(b) The commission shall issue, renew, or transfer a permit that the
commission denied under subsection (a) when the appropriate one (1)
of the following occurs:
(1) The person, if seeking a renewal, provides to the commission
a statement from the county treasurer of the county in which the
property of the applicant was assessed indicating that all the
property taxes under IC 6-1.1 and, in a county where the county
treasurer collects the innkeeper's tax, the innkeeper's tax under
IC 6-9 that were delinquent have been paid.
(2) The person, if seeking a transfer of ownership, provides to the
commission a statement from the county treasurer of the county
in which the property of the transferor was assessed indicating
that all the property taxes under IC 6-1.1 and, in a county where
the county treasurer collects the innkeeper's tax, the innkeeper's
tax under IC 6-9 have been paid for the assessment periods during
which the transferor held the permit.
(3) The person provides to the commission a statement from the
commissioner of the department of state revenue indicating that
the person's delinquent tax liability tax warrant has been
satisfied, including any delinquency in innkeeper's tax if the state
collects the innkeeper's tax for the county in which the person
seeks the permit.
(4) The commission receives a notice from the commissioner of
the department of state revenue under IC 6-8.1-8-2(k).
(c) An applicant may not be considered delinquent in the payment
of listed taxes if the applicant has filed a proper protest under
IC 6-8.1-5-1 contesting the remittance of those taxes. The applicant
shall be considered delinquent in the payment of those taxes if the
applicant does not remit the taxes owed to the state department of
revenue after a final determination on the protest is made by the
department of state revenue.
(d) (c) The commission may require that an applicant for the
issuance, renewal, or transfer of a wholesaler's, retailer's, or dealer's, or
other permit of any type furnish proof of the payment of a listed tax (as
defined by IC 6-8.1-1-1), tax warrant, or taxes imposed by IC 6-1.1.
The commission shall allow the applicant to certify, under the penalties
for perjury, that the applicant is not delinquent in filing returns or
remitting taxes.
charity care program operated by the hospital and how to apply for
charity care. The notice must be in appropriate languages if possible.
The notice must also be conspicuously posted in the following areas:
(1) The general waiting area.
(2) The waiting area for emergency services.
(3) The business office.
(4) Any other area that the hospital considers an appropriate area
in which to provide notice of a charity care program.
the department of state revenue indicating that the person's
tax warrant has been satisfied; or
(2) the department receives a notice from the commissioner of
the department of state revenue under IC 6-8.1-8-2(k).
notified by the department of state revenue that an individual is on the
most recent tax warrant list, the department may shall not grant an
initial standard license to the individual until:
(1) the individual provides the department with a statement from
the department of state revenue indicating that the individual's
delinquent tax liability tax warrant has been satisfied; or
(2) the department receives a notice from the commissioner of the
department of state revenue under IC 6-8.1-8-2(k).
JULY 1, 2011]: Sec. 8.1. (a) This section does not apply to a school
corporation that elects to adopt a budget under IC 6-1.1-17-5.6, unless
a resolution adopted under IC 6-1.1-17-5.6(d) by the governing body
of the school corporation is in effect.
(b) Before a governing body may collect property taxes for a capital
projects fund in a particular year, the governing body must:
(1) after January 1; and
(2) not later than September 20; November 1;
of the immediately preceding year, hold a public hearing on a proposed
or amended plan and pass a resolution to adopt the proposed or
amended plan.
advances from the federal government was the only option
available to obtain sufficient funds to pay benefits when the
balance in the fund is depleted.
(3) Alternative methods of replenishing the fund may reduce
the costs of providing unemployment benefits and employers'
cost of doing business in Indiana.
(4) Funds representing revenues received from any
unemployment obligation assessment that may be authorized
and any income from the investment of those funds are not
state property.
(b) The purpose of this chapter is to provide appropriate
methods through which the state may continue the unemployment
compensation program at the lowest possible cost to the state and
employers in the state.
Sec. 2. As used in this chapter, "authority" means the Indiana
finance authority established by IC 4-4-11-4.
Sec. 3. As used in this chapter, "bond" means any type of
revenue obligation, including a bond, note, certificate, or other
instrument.
Sec. 4. As used in this chapter, "bond administrative expenses"
means expenses incurred to administer bonds issued under this
chapter, including fees for paying agents, trustees, and attorneys,
and for other professional services necessary to ensure compliance
with applicable state or federal law.
Sec. 5. As used in this chapter, "bond obligations" means the
principal of a bond and any premium and interest on a bond issued
under this chapter, together with any amount owed under a related
credit agreement.
Sec. 6. As used in this chapter, "credit agreement" means a loan
agreement, a revolving credit agreement, an agreement
establishing a line of credit, a letter of credit, an interest rate swap
agreement, an interest rate lock agreement, a currency swap
agreement, a forward payment conversion agreement, an
agreement to provide payments based on levels of or changes in
interest rates or currency exchange rates, an agreement to
exchange cash flows or a series of payments, an option, put, or call
to hedge payment, currency, interest rate, or other exposure, or
another agreement that enhances the marketability, security, or
creditworthiness of a bond issued under this chapter.
Sec. 7. An amount owed by the authority under a credit
agreement must be payable from and secured by a pledge of
revenues received from the department.
or to any person for any purpose other than resale, irrespective of
quantity or amount or the number of sales.
(e) "Sell at retail", "sale at retail", and "retail sales" shall mean and
include any transfer of title to cigarettes for a valuable consideration
made in the ordinary course of trade or usual conduct of the seller's
business to the purchaser for consummation or use.
(f) "Sell at wholesale", "sale at wholesale", and "wholesale sales"
shall mean and include any transfer of title to cigarettes for a valuable
consideration made in the ordinary course of trade or usual conduct of
a distributor's business.
(g) "Basic cost of cigarettes" shall mean the invoice cost of
cigarettes to the retailer or distributor, as the case may be, or the
replacement cost of cigarettes to the retailer or distributor, as the case
may be, within thirty (30) days prior to the date of sale, in the quantity
last purchased, whichever is the lower, less all trade discounts and
customary discounts for cash, plus the cost at full face value of any
stamps which may be required by IC 6-7-1, if not included by the
manufacturer in his selling price to the distributor.
(h) "Department" shall mean the alcohol and tobacco commission
or its duly authorized assistants and employees.
(i) "Cost to the retailer" shall mean the basic cost of cigarettes to the
retailer, plus the cost of doing business by the retailer as evidenced by
the standards and methods of accounting regularly employed by him in
his allocation of overhead costs and expenses paid or incurred and must
include without limitation labor (including salaries of executives and
officers), rent, depreciation, selling costs, maintenance of equipment,
delivery costs, all types of licenses, taxes, insurance, and advertising;
however, any retailer who, in connection with the retailer's purchase,
receives not only the discounts ordinarily allowed upon purchases by
a retailer, but also, in whole or in part, discounts ordinarily allowed on
purchases by a distributor shall, in determining costs to the retailer
pursuant to this section, add the cost to the distributor, as defined in
paragraph (j), to the basic cost of cigarettes to said retailer as well as
the cost of doing business by the retailer. In the absence of proof of a
lesser or higher cost of doing business by the retailer making the sale,
the cost of doing business by the retailer shall be presumed to be eight
ten percent (8%) (10%) of the basic cost of cigarettes to the retailer.
In the absence of proof of a lesser or higher cost of doing business, the
cost of doing business by the retailer, who in connection with the
retailer's purchase receives not only the discounts ordinarily allowed
upon purchases by a retailer, but also, in whole or in part, the discounts
ordinarily allowed upon purchases by a distributor, shall be presumed
to be eight ten percent (8%) (10%) of the sum of the basic cost of
cigarettes plus the cost of doing business by the distributor.
(j) "Cost to the distributor" shall mean the basic cost of cigarettes to
the distributor, plus the cost of doing business by the distributor as
evidenced by the standards and methods of accounting regularly
employed by him in his allocation of overhead costs and expenses, paid
or incurred, and must include without limitation labor costs (including
salaries of executives and officers), rent, depreciation, selling costs,
maintenance of equipment, delivery costs, all types of licenses, taxes,
insurance, and advertising. In the absence of proof of a lesser or higher
cost of doing business by the distributor making the sale, the cost of
doing business by the wholesaler shall be presumed to be four percent
(4%) of the basic cost of cigarettes to the distributor, plus cartage to the
retail outlet, if performed or paid for by the distributor, which cartage
cost, in the absence of proof of a lesser or higher cost, shall be deemed
to be one-half of one percent (0.5%) of the basic cost of cigarettes to
the distributor.
(k) "Registration certificate" refers to the registration certificate
issued to cigarette distributors by the department of state revenue under
IC 6-7-1-16.
located in Indiana; or
(2) the person:
(A) contracts with debtors who are residents of Indiana; or
(B) solicits business from residents of Indiana by
advertisements or other communications sent or delivered
through any of the following means:
(i) Mail.
(ii) Personal delivery.
(iii) Telephone.
(iv) Radio.
(v) Television.
(vi) The Internet or other electronic communications.
(vii) Any other means of communication.
(b) The director may request evidence of compliance with this
section at:
(1) the time of application;
(2) the time of renewal of a license; or
(3) any other time considered necessary by the director.
(c) For purposes of subsection (b), evidence of compliance with this
section may include:
(1) criminal background checks, including a national criminal
history background check (as defined in IC 10-13-3-12) by the
Federal Bureau of Investigation for any individual described in
section 5(b)(2) or 5(b)(3) of this chapter;
(2) credit histories; and
(3) other background checks considered necessary by the director.
If the director requests a national criminal history background check
under subdivision (1) for an individual described in that subdivision,
the director shall require the individual to submit fingerprints to the
department or to the state police department, as appropriate, at the time
evidence of compliance is requested under subsection (b). The
individual to whom the request is made shall pay any fees or costs
associated with the fingerprints and the national criminal history
background check. The national criminal history background check
may be used by the director to determine the individual's compliance
with this section. The director or the department may not release the
results of the national criminal history background check to any private
entity.
(d) The fee for a license or renewal shall be fixed by the department
under IC 28-11-3-5 and shall be nonrefundable. The department may
impose a fee under IC 28-11-3-5 for each day that a renewal fee and
any related documents that are required to be submitted with the
renewal are delinquent.
(e) If a person knowingly acts as a debt management company in
violation of this chapter, any agreement the person has made under this
chapter is void and the debtor under the agreement is not obligated to
pay any fees. If the debtor has paid any amounts to the person, the
debtor, or the department on behalf of the debtor, may recover the
payment from the person that violated this section.
(f) A license issued under this section:
(1) is not assignable or transferable; and
(2) must be renewed every year in the manner prescribed by the
director of the department.
The director of the department shall prescribe the form of the renewal
application. In order to be accepted for processing, a renewal
application must be accompanied by the license renewal fee imposed
under subsection (d) and all information and documents requested by
the director of the department.
(g) If the department of state revenue notifies the department
that a person is on the most recent tax warrant list, the department
shall not issue or renew the person's license until:
(1) the person provides to the department a statement from
the department of state revenue that the person's tax warrant
has been satisfied; or
(2) the department receives a notice from the commissioner of
the department of state revenue under IC 6-8.1-8-2(k).
The workforce of a municipality or county may perform a public
work described in subsection (a) only if:
(1) the workforce, through demonstrated skills, training, or
expertise, is capable of performing the public work; and
(2) for a public work project under subsection (a) whose cost
is estimated to be more than one hundred thousand dollars
($100,000), the board:
(A) publishes a notice under IC 5-3-1 that:
(i) describes the public work that the board intends to
perform with its own workforce; and
(ii) sets forth the projected cost of each component of the
public work as described in subsection (a); and
(B) determines at a public meeting that it is in the public
interest to perform the public work with the board's own
workforce.
A public work project performed by a board's own workforce must
be inspected and accepted as complete in the same manner as a
public work project performed under a contract awarded after
receiving bids.
(b) (c) When the project involves the rental of equipment with an
operator furnished by the owner, or the installation or application of
materials by the supplier of the materials, the project is considered to
be a public work project and subject to this chapter. However, an
annual contract may be awarded for equipment rental and materials to
be installed or applied during a calendar or fiscal year if the proposed
project or projects are described in the bid specifications.
(c) (d) A board of aviation commissioners or an airport authority
board may purchase or lease materials in the manner provided in
IC 5-22 and perform any public work by means of its own workforce
and owned or leased equipment, in the construction, maintenance, and
repair of any airport roadway, runway, taxiway, or aircraft parking
apron whenever the cost of that public work project is estimated to be
less than one hundred fifty thousand dollars ($50,000). ($150,000).
(d) (e) Municipal and county hospitals must comply with this
chapter for all contracts for public work that are financed in whole or
in part with cumulative building fund revenue, as provided in section
1(c) of this chapter. However, if the cost of the public work is
estimated to be less than fifty thousand dollars ($50,000), as reflected
in the board minutes, the hospital board may have the public work done
without receiving bids, by purchasing the materials and performing the
work by means of its own workforce and owned or leased equipment.
(e) (f) If a public works project involves a structure, an
improvement, or a facility under the control of a department (as defined
in IC 4-3-19-2(2)), the department may not artificially divide the
project to bring any part of the project under this section.
ADVISORY. A municipal plan commission shall adopt a
comprehensive plan, as provided for under the 500 series of the
advisory planning law, for the development of the municipality. For
comprehensive plans adopted after July 1, 1999, if:
(1) the municipality provides municipal services to the contiguous
unincorporated area; or
(2) the municipal plan commission obtains the approval of the
county legislative body of each affected county;
the municipal plan commission may provide in the comprehensive plan
for the development of the contiguous unincorporated area, designated
by the commission, that is outside the corporate boundaries of the
municipality, and that, in the judgment of the commission, bears
reasonable relation to the development of the municipality. For
purposes of this section, participation of a municipality in a fire
protection territory established under IC 36-8-19 that includes
unincorporated areas contiguous to the municipality may not be
treated as providing municipal services to the contiguous
unincorporated areas.
(b) ADVISORY. Except as limited by the boundaries of
unincorporated areas subject to the jurisdiction of other municipal plan
commissions, an area designated under this section may include any
part of the contiguous unincorporated area within two (2) miles from
the corporate boundaries of the municipality. If, however, the corporate
boundaries of the municipality or the boundaries of that contiguous
unincorporated area include any part of the public waters or shoreline
of a lake (which lies wholly within Indiana), the designated area may
also include:
(1) any part of those public waters and shoreline of the lake; and
(2) any land area within two thousand five hundred (2,500) feet
from that shoreline.
(c) ADVISORY. Before exercising their rights, powers, and duties
of the advisory planning law with respect to an area designated under
this section, a municipal plan commission must file, with the recorder
of the county in which the municipality is located, a description or map
defining the limits of that area. If the commission revises the limits, it
shall file, with the recorder, a revised description or map defining those
revised limits.
(d) ADVISORY. If any part of the contiguous unincorporated area
within the potential jurisdiction of a municipal plan commission is also
within the potential jurisdiction of another municipal plan commission,
the first municipal plan commission may exercise territorial jurisdiction
over that part of the area within the potential jurisdiction of both
municipal plan commissions that equals the product obtained by
multiplying a fraction, the numerator of which is the area within the
corporate boundaries of that municipality and the denominator of
which is the total area within the corporate boundaries of both
municipalities times the area within the potential jurisdiction of both
municipal plan commissions. Furthermore, this commission may
exercise territorial jurisdiction within those boundaries, enclosing an
area reasonably compact and regular in shape, that the municipal plan
commission first acting designates.
(e) ADVISORY. If the legislative body of a county adopts a
comprehensive plan and ordinance covering the unincorporated areas
of the county, a municipal plan commission may not exercise
jurisdiction, as provided in this section, over any part of that
unincorporated area unless it is authorized by ordinance of the
legislative body of the county. This ordinance may be initiated by the
county legislative body or by petition duly signed and presented to the
county auditor by:
(1) not less than fifty (50) property owners residing in the area
involved in the petition;
(2) the county plan commission; or
(3) the municipal plan commission.
Before final action on the ordinance by the county legislative body, the
county plan commission must hold an advertised public hearing as
required for other actions of the county plan commission under the
advisory planning law. Upon the passage of the ordinance by the
county legislative body and the subsequent acceptance of jurisdiction
by the municipal plan commission, the municipal plan commission
shall exercise the same rights, powers, and duties conferred in this
section exclusively with respect to the contiguous unincorporated area.
The jurisdiction of a municipal plan commission, as authorized under
this subsection, may be terminated by ordinance at the discretion of the
legislative body of the county, but only if the county has adopted a
comprehensive plan for that area that is as comprehensive in scope and
subject matter as that in effect by municipal ordinance.
(f) ADVISORY. Each municipal plan commission in a municipality
located in a county having:
(1) a population of less than ninety-five thousand (95,000); and
(2) a county plan commission that has adopted, in accord with the
advisory planning law, a comprehensive plan and ordinance
covering the unincorporated areas of the county;
may, at any time, after filing notice with the county recorder and the
county plan commission, exercise or reject territorial jurisdiction over
any part of the area within two (2) miles of the corporate boundaries of
that municipality and within that county, whether or not that
commission has previously exercised that jurisdiction, if the
municipality is providing municipal services to the area. Within sixty
(60) days after receipt of that notice, the county plan commission and
the county legislative body shall have the county comprehensive plan
and ordinance revised to reflect the decision of the municipal plan
commission exercising the option provided for in this subsection. If the
municipality is not providing municipal services to the area, the
municipal plan commission must obtain the approval of the county
legislative body of each affected county before exercising jurisdiction.
(g) AREA. Wherever in the area planning law authority is conferred
to establish a comprehensive plan or an ordinance for its enforcement,
the authority applies everywhere:
(1) within the county that is outside the municipalities; and
(2) within each participating municipality.
(h) ADVISORY_AREA. Whenever a new town is incorporated in
a county having a county plan commission or an area plan commission,
that plan commission and its board of zoning appeals shall continue to
exercise territorial jurisdiction within the town until the effective date
of a town ordinance:
(1) establishing an advisory plan commission under section
202(a) of this chapter; or
(2) adopting the area planning law under section 202(b) or 204 of
this chapter.
Beginning on that effective date, the planning and zoning functions of
the town shall be exercised under the advisory planning law or area
planning law, as the case may be.
percent (14%) over a one (1) year period occurring within
the four (4) calendar years preceding the calendar year in
which the application of the county or municipality is filed
with the advisory commission on industrial development.
(B) That, as reported by the Indiana department of
workforce development, the unemployment rate of the
county or municipality was at least ten and four-tenths
percent (10.4%) for any calendar month occurring in the
calendar year preceding the calendar year in which the
application of the county or municipality is filed with the
advisory commission on industrial development.
(2) That the proposed district contains a site that is suitable
for revitalization under this chapter and satisfies the following
requirements:
(A) The site contains a vacated industrial building
consisting of at least one million three hundred thousand
(1,300,000) square feet of space.
(B) The vacated industrial building described by clause (A)
contains at least eighty thousand (80,000) square feet of
office space.
(C) The site contains a reinforced concrete pad suitable for
expanding the vacated industrial building by at least two
hundred thousand (200,000) square feet.
(D) The site is serviced by a water treatment facility
capable of treating all of the effluent discharged from the
site.
(E) The site consists of at least one hundred twenty (120)
acres of land.
(c) The legislative body of a county or municipality may not
adopt an ordinance designating a district under section 10.5 of this
chapter unless the legislative body makes the following findings of
fact:
(1) That the county or municipality governed by the legislative
body satisfies each of the following requirements:
(A) That, as reported by the Indiana Real Estate Markets
Report, the average selling price of homes located in the
county or municipality has declined by at least fourteen
percent (14%) over a one (1) year period occurring within
the four (4) calendar years preceding the calendar year in
which the proposed ordinance is adopted.
(B) That, as reported by the Indiana department of
workforce development, the unemployment rate of the
county or municipality was at least ten and four-tenths
percent (10.4%) for any calendar month occurring in the
calendar year preceding the calendar year in which the
proposed ordinance is adopted.
(2) That the proposed district contains a site that is suitable
for revitalization under this chapter and satisfies the following
requirements:
(A) The site contains a vacated industrial building
consisting of at least one million three hundred thousand
(1,300,000) square feet of space.
(B) The vacated industrial building described by clause (A)
contains at least eighty thousand (80,000) square feet of
office space.
(C) The site contains a reinforced concrete pad suitable for
expanding the vacated industrial building by at least two
hundred thousand (200,000) square feet.
(D) The site is serviced by a water treatment facility
capable of treating all of the effluent discharged from the
site.
(E) The site consists of at least one hundred twenty (120)
acres of land.
(d) An advisory commission on industrial development or a
legislative body that designates a district under this chapter shall
include a copy of the findings made under subsection (b) or (c)
when sending a copy of the resolution or ordinance designating the
district to the budget agency for its approval.
(e) The budget agency may not approve the designation of a
district until the budget agency confirms the findings of fact
submitted under this section. If a resolution or ordinance is
submitted to the budget agency without the findings of fact
required by this section, the time in which the budget agency must
take action on the resolution or ordinance as set forth in sections
10.5, 12, and 12.1 of this chapter is tolled until the findings of fact
are submitted to the budget agency.
considered in relation to the original resolution or plan and the
purposes of this chapter; and
(B) the resolution or plan, with the proposed amendment,
conforms to the comprehensive plan for the unit; and
(C) except as provided by subsection (f), if the amendment
enlarges the boundaries of the area, the existing area does not
generate sufficient revenue to meet the financial obligations of
the original project;
the commission shall cause to be prepared the data described in
subsection (b).
(b) After making a finding under subsection (a), the commission
shall cause to be prepared:
(1) maps and plats showing:
(A) the boundaries of the area in which property would be
acquired for, or otherwise affected by, the establishment of a
redevelopment project area or the amendment of the resolution
or plan for an existing area;
(B) the location of the various parcels of property, streets,
alleys, and other features affecting the acquisition, clearance,
remediation, replatting, replanning, rezoning, or
redevelopment of the area, indicating any parcels of property
to be excluded from the acquisition or otherwise excluded
from the effects of the establishment of the redevelopment
project area or the amendment of the resolution or plan for an
existing area; and
(C) the parts of the area acquired, if any, that are to be devoted
to public ways, levees, sewerage, parks, playgrounds, and
other public purposes under the redevelopment plan;
(2) lists of the owners of the various parcels of property proposed
to be acquired for, or otherwise affected by, the establishment of
an area or the amendment of the resolution or plan for an existing
area; and
(3) an estimate of the costs, if any, to be incurred for the
acquisition and redevelopment of property.
(c) This subsection applies to the initial establishment of a
redevelopment project area. After completion of the data required by
subsection (b), the redevelopment commission shall adopt a resolution
declaring that:
(1) the area needing redevelopment is a menace to the social and
economic interest of the unit and its inhabitants;
(2) it will be of public utility and benefit to acquire the area and
redevelop it under this chapter; and
project area is located; or
(4) otherwise benefit the people of Indiana by increasing
opportunities for employment in Indiana and strengthening the
economy of Indiana.
FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 39.3. (a) As used
in this section, "depreciable personal property" refers to:
(1) all of the designated taxpayer's depreciable personal property
that is located in the allocation area; and
(2) all other depreciable property located and taxable on the
designated taxpayer's site of operations within the allocation area.
(b) As used in this section, "designated taxpayer" means any
taxpayer designated by the commission in a declaratory resolution
adopted or amended under section 15 or 17.5 of this chapter, and with
respect to which the commission finds that taxes to be derived from the
depreciable personal property in the allocation area, in excess of the
taxes attributable to the base assessed value of that personal property,
are needed to pay debt service or to provide security for bonds issued
under section 25.1 of this chapter or to make payments or to provide
security on leases payable under section 25.2 of this chapter in order to
provide local public improvements for a particular allocation area.
However, a commission may not designate a taxpayer after June 30,
1992, unless the commission also finds that:
(1) the taxpayer's property in the allocation area will consist
primarily of industrial, manufacturing, warehousing, research and
development, processing, distribution, or transportation related
projects or regulated amusement devices (as defined in
IC 22-12-1-19.1) and related improvements; and
(2) the taxpayer's property in the allocation area will not consist
primarily of retail, commercial, or residential projects, other than
an amusement park or tourism industry project.
(c) The allocation provision of a declaratory resolution may modify
the definition of "property taxes" under section 39(a) of this chapter to
include taxes imposed under IC 6-1.1 on the depreciable personal
property located and taxable on the site of operations of the designated
taxpayers in accordance with the procedures and limitations set forth
in this section and section 39 of this chapter. If such a modification is
included in the resolution, for purposes of section 39 of this chapter the
term "base assessed value" with respect to the depreciable personal
property means the net assessed value of all the depreciable personal
property as finally determined for the assessment date immediately
preceding:
(1) the effective date of the modification, for modifications
adopted before July 1, 1995; and
(2) the adoption date of the modification for modifications
adopted after June 30, 1995;
as adjusted under section 39(h) of this chapter.
amending the plan for the economic development area. However, the
enlargement of any boundary in the economic development area must
be approved by the unit's legislative body. and a boundary may not be
enlarged unless:
(1) the existing area does not generate sufficient revenue to meet
the financial obligations of the original project; or
(2) the Indiana economic development corporation has, in the
manner provided by section 15(f) of this chapter, made a finding
approving the enlargement of the boundary.
amendment of the resolution or plan for an existing area;
(B) the location of the various parcels of property, public
ways, and other features affecting the acquisition, clearance,
replatting, replanning, rezoning, or redevelopment of the area
or areas, indicating any parcels of property to be excluded
from the acquisition or otherwise excluded from the effects of
the establishment of the redevelopment project area or the
amendment of the resolution or plan for an existing area; and
(C) the parts of the area acquired that are to be devoted to
public ways, levees, sewerage, parks, playgrounds, and other
public purposes;
(2) lists of the owners of the various parcels of property proposed
to be acquired for, or otherwise affected by, the establishment of
an area or the amendment of the resolution or plan for an existing
area; and
(3) an estimate of the costs, if any, to be incurred for the
acquisition and redevelopment of property.
(c) This subsection applies to the initial establishment of a
redevelopment project area or urban renewal area. After completion of
the data required by subsection (b), the commission shall adopt a
resolution declaring that:
(1) the area needing redevelopment is a detriment to the social or
economic interests of the consolidated city and its inhabitants;
(2) it will be of public utility and benefit to acquire the area and
redevelop it under this chapter; and
(3) the area is designated as a redevelopment project area for
purposes of this chapter.
The resolution must state the general boundaries of the redevelopment
project area and identify the interests in real or personal property, if
any, that the department proposes to acquire in the area.
(d) This subsection applies to the amendment of the resolution or
plan for an existing redevelopment project area or urban renewal area.
After completion of the data required by subsection (b), the
redevelopment commission shall adopt a resolution declaring that:
(1) except as provided by subsection (f), if the amendment
enlarges the boundaries of the area, the existing area does not
generate sufficient revenue to meet the financial obligations of the
original project;
(2) (1) it will be of public utility and benefit to amend the
resolution or plan for the area; and
(3) (2) any additional area to be acquired under the amendment is
designated as part of the existing redevelopment project area or
urban renewal area for purposes of this chapter.
The resolution must state the general boundaries of the redevelopment
project area or urban renewal area, including any changes made to
those boundaries by the amendment, and describe the activities that the
department is permitted to take under the amendment, with any
designated exceptions.
(e) For the purpose of adopting a resolution under subsection (c) or
(d), it is sufficient to describe the boundaries of the redevelopment
project area by its location in relation to public ways or streams, or
otherwise, as determined by the commission. Property proposed for
acquisition may be described by street numbers or location.
(f) The commission is not required to make the finding and
declaration described in subsections (a)(4)(C) and (d)(1) concerning
the enlargement of the boundaries of an existing redevelopment project
area or urban renewal area if, before the adoption of the resolution
under subsection (d), the Indiana economic development corporation
issues a finding approving the enlargement of the boundaries. Before
issuing a finding under this subsection, the Indiana economic
development corporation must consider whether the enlargement of the
boundaries will:
(1) lead to increased investment in Indiana;
(2) foster job creation or job retention in Indiana;
(3) have a positive impact on the unit in which the area is located;
or
(4) otherwise benefit the people of Indiana by increasing
opportunities for employment in Indiana and strengthening the
economy of Indiana.
chapter.
(b) The legislative body may covenant to adopt an ordinance to
increase its tax rate under the county option income tax or any other
revenues at the time it is necessary to raise funds to pay any amounts
payable under section 17 or 17.1 of this chapter.
(c) The commission may pledge revenues received or to be received
from any source legally available to it for the purposes of this chapter
in any amount to pay amounts payable under section 17 or 17.1 of this
chapter.
(d) The pledge or the covenant under this section may be for the life
of the bonds issued under section 17 of this chapter, the term of a lease
entered into under section 17.1 of this chapter, or for a shorter period
as determined by the legislative body. Money pledged by the legislative
body under this section shall be considered revenues or other money
available to the commission under sections 17 through 17.1 of this
chapter.
(e) The general assembly covenants not to impair this pledge or
covenant so long as any bonds issued under section 17 of this chapter
are outstanding or as long as any lease entered into under section 17.1
of this chapter is still in effect. The pledge or covenant shall be
enforced as provided in IC 5-1-14-4.
devices (as defined in IC 22-12-1-19.1) and related
improvements; and
(3) the taxpayer's property in the allocation area will not consist
primarily of retail, commercial, or residential projects, other than
an amusement park or tourism industry project.
For purposes of subdivision (3), a convention center hotel project is not
considered a retail, commercial, or residential project.
(c) The allocation provision of a declaratory resolution may modify
the definition of "property taxes" under section 26(a) of this chapter to
include taxes imposed under IC 6-1.1 on the depreciable personal
property of designated taxpayers in accordance with the procedures and
limitations set forth in this section and section 26 of this chapter. If
such a modification is included in the resolution, for purposes of
section 26 of this chapter the term "base assessed value" with respect
to the depreciable personal property of designated taxpayers means the
net assessed value of the depreciable personal property as finally
determined for the assessment date immediately preceding:
(1) the effective date of the modification, for modifications
adopted before July 1, 1995; and
(2) the adoption date of the modification for modifications
adopted after June 30, 1995;
as adjusted under section 26(h) of this chapter.
private enterprise without resort to the powers allowed under this
section and sections 28 and 30 of this chapter because of:
(A) lack of local public improvement;
(B) existence of improvements or conditions that lower the
value of the land below that of nearby land;
(C) multiple ownership of land; or
(D) other similar conditions;
(3) the public health and welfare will be benefited by
accomplishment of the plan for the economic development area;
(4) the accomplishment of the plan for the economic development
area will be a public utility and benefit as measured by:
(A) attraction or retention of permanent jobs;
(B) increase in the property tax base;
(C) improved diversity of the economic base; or
(D) other similar public benefits; and
(5) the plan for the economic development area conforms to the
comprehensive plan of development for the consolidated city.
(c) The determination that a geographic area is an economic
development area must be approved by the city-county legislative body.
The approval may be given either before or after judicial review is
requested. The requirement that the city-county legislative body
approve economic development areas does not prevent the commission
from amending the plan for the economic development area. However,
the enlargement of any boundary in the economic development area
must be approved by the city-county legislative body, and a boundary
may not be enlarged unless:
(1) the existing area does not generate sufficient revenue to meet
the financial obligations of the original project; or
(2) the Indiana economic development corporation has, in the
manner provided by section 8(f) of this chapter, made a finding
approving the enlargement of the boundary.
to the base assessed value of that personal property, are needed to
pay debt service for bonds issued under section 45 of this chapter
to make payments on leases payable under section 46 of this
chapter in order to provide local public improvements for a
particular allocation area;
(2) the taxpayer's property in the allocation area will consist
primarily of industrial, manufacturing, warehousing, research and
development, processing, distribution, or transportation related
projects or regulated amusement devices (as defined in
IC 22-12-1-19.1) and related improvements; and
(3) the taxpayer's property in the allocation area will not consist
primarily of retail, commercial, or residential projects, other than
an amusement park or tourism industry project.
(c) The allocation provision of a declaratory resolution may modify
the definition of "property taxes" under section 53(a) of this chapter to
include taxes imposed under IC 6-1.1 on the depreciable personal
property of designated taxpayers in accordance with the procedures and
limitations set forth in this section and section 53 of this chapter. If
such a modification is included in the resolution, for purposes of
section 53 of this chapter, the term "base assessed value" with respect
to the depreciable personal property of designated taxpayers means the
net assessed value of the depreciable personal property as finally
determined for the assessment date immediately preceding the adoption
date of the modification as adjusted under section 53(h) of this chapter.
from each county and each municipality is equal to the following:
(1) Except as provided in subdivision (2), the amount that
would be distributed to the county or the municipality as certified
distributions of county economic development income tax
revenue raised from a county economic development income tax
rate of five-hundredths of one percent (0.05%) in the county.
(2) In the case of a county or municipality that becomes a
member of a development authority after June 30, 2011, and
before July 1, 2013, the amount that would be distributed to
the county or municipality as certified distributions of county
economic development income tax revenue raised from a
county economic development income tax rate of twenty-five
thousandths of one percent (0.025%) in the county.
(c) Notwithstanding subsection (b), if the additional county
economic development income tax under IC 6-3.5-7-28 is in effect in
a county, the obligations of the county and each municipality in the
county under this section are satisfied by the transfer to the
development fund of all county economic development income tax
revenue derived from the additional tax and deposited in the county
regional development authority fund.
(d) The following apply to the transfers required by this section:
(1) The transfers shall be made without appropriation by the fiscal
body of the county or the fiscal body of the municipality.
(2) Except as provided in subdivision (3), the fiscal officer of
each county and each municipality that is a member of the
development authority shall transfer twenty-five percent (25%) of
the total transfers due for the year before the last business day of
January, April, July, and October of each year.
(3) County economic development income tax revenue derived
from the additional county economic development income tax
under IC 6-3.5-7-28 must be transferred to the development fund
not more than thirty (30) days after being deposited in the county
regional development fund.
(4) This subdivision does not apply to a county in which the
additional county economic development income tax under
IC 6-3.5-7-28 has been imposed or to any municipality in the
county. The transfers required by this section may be made from
any local revenue (other than property tax revenue) of the county
or municipality, including excise tax revenue, income tax
revenue, local option tax revenue, riverboat tax revenue,
distributions, incentive payments, or money deposited in the
county's or municipality's local major moves construction fund
under IC 8-14-16.
levies, expenditure levels, service levels, and annual debt
service payments.
(C) The estimated effect of the proposed reorganization to
other units in the county in the following years and to local
option income taxes, excise taxes, and property tax circuit
breaker credits.
(D) A description of the planned services and staffing levels
to be provided in the proposed fire protection territory.
(E) A description of any capital improvements to be
provided in the proposed fire protection territory.
(2) Hold at least one (1) additional public hearing before
adopting an ordinance or a resolution to form a territory to
receive public comment on the proposed ordinance or
resolution.
The legislative body must give notice of the hearings under
IC 5-3-1.
(b) In addition to the information required by IC 36-8-19-6(b),
the notice required under that section must include the proposed
levies and tax rates for each participating unit.
(c) This SECTION expires June 30, 2012.
that would have been payable from the county's family and
children's fund if IC 12-19-7 had not been repealed by
P.L.146-2008; minus
(B) the sum of:
(i) the unencumbered balance on December 31, 2008, of
the county's family and children's fund; plus
(ii) any delinquent property tax payments and other
amounts collected by the county after December 31,
2008, that would have been deposited in the county's
family and children's fund if IC 12-19-7 had not been
repealed by P.L.146-2008.
(2) The amount of the property tax levy imposed by the
county in 2009 under SECTION 823(e) of P.L.146-2008.
(e) The amount of a property tax levy imposed by the county
under this SECTION may not exceed the difference determined
under subsection (d).
(f) Property taxes collected from a property tax levy imposed by
the county under this SECTION shall be deposited in the county
general fund.
(g) This SECTION expires June 30, 2012.
determining the civil taxing unit's maximum permissible property
tax levy for property taxes first due and payable after 2012.
(e) This SECTION expires January 1, 2014.
federal income tax exemptions and the eligibility of nonprofit
entities for Indiana property tax exemptions.
(6) Whether property tax credits and deductions for
residential property to which the seller of the property was
entitled should be transferred to the buyer in the year of the
sale if the property is determined to be exempt for the year
following the year of the sale.
(7) Issues related to Medicaid fraud.
(8) Issues related to the earned income tax credit.
(b) Before November 1, 2011, the commission on state tax and
financing policy shall report its findings and any recommendations
concerning the study topics described in subsection (a) in a final
report to the legislative council in an electronic format under
IC 5-14-6.
(c) This SECTION expires January 1, 2012.