January 28, 2011
HOUSE BILL No. 1091
_____
DIGEST OF HB 1091
(Updated January 25, 2011 11:36 am - DI 77)
Citations Affected: IC 6-2.5.
Synopsis: Exempt farm drainage components from sales tax. Provides
that a component of a farm drainage system is exempt from sales tax
if a farmer acquires the component. Provides that equipment used to
install, repair, or maintain a farm drainage system is exempt from sales
tax if the equipment is acquired by a farmer.
Effective: July 1, 2011.
January 5, 2011, read first time and referred to Committee on Agriculture and Rural
Development.
January 25, 2011, amended, reported _ Do Pass.
January 27, 2011, recommitted to Committee on Ways and Means pursuant to Rule 127.
January 28, 2011
First Regular Session 117th General Assembly (2011)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
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Additions: Whenever a new statutory provision is being enacted (or a new constitutional
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NEW will appear in that style type in the introductory clause of each SECTION that adds
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HOUSE BILL No. 1091
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 6-2.5-5-45; (11)HB1091.2.1. -->
SECTION 1. IC 6-2.5-5-45 IS ADDED TO THE INDIANA CODE
AS A
NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1, 2011]:
Sec. 45. (a) As used in this section, "farm drainage
system" means a system of drainage tubing, drainage tiles, and
related control systems designed to facilitate the drainage of
agricultural land.
(b) Transactions involving a component of a farm drainage
system are exempt from the state gross retail tax if the person
acquiring the component is engaged in the business of agriculture.
(c) Transactions involving equipment used to install, repair, or
maintain farm drainage systems are exempt from the state gross
retail tax if the person acquiring the equipment is engaged in the
business of agriculture.