Bill Text: IN SB0398 | 2010 | Regular Session | Introduced
Bill Title: Homestead property taxes and sales and use taxes.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2010-01-14 - First reading: referred to Committee on Tax and Fiscal Policy [SB0398 Detail]
Download: Indiana-2010-SB0398-Introduced.html
Citations Affected: IC 4-33; IC 6-1.1; IC 6-2.5; IC 6-3-2-6;
IC 6-3.1-20; IC 6-3.5; IC 6-6; IC 6-8.1-8-3; IC 8-1.5-5-29; IC 8-9.5;
IC 10-17-9-8; IC 12-14-16-2; IC 12-20; IC 12-24-15-1; IC 13-25-4-11;
IC 14-26-8-58; IC 14-33; IC 36-1-6-2; IC 36-7; IC 36-9; IC 36-10-4-23.
Synopsis: Homestead property taxes and sales and use taxes.
Eliminates property taxes on primary residences (homesteads).
Decreases the state sales and use tax rate from 7% to 5.5%. Provides
that sales and use tax applies to transactions involving services, except
for legal services, health or mental health services (including insurance
premiums for policies covering these services), and services provided
for charitable tax exempt purposes. Deposits the increased sales and
use tax revenue in the state general fund. Provides an annual state
distribution to offset the property tax exemption for homesteads using
gross assessed values of homesteads. Reduces actual property tax
levies by the amount of the state distribution. Reduces local option
income tax rates by the part attributable to paying homestead credits,
property tax replacement credits on homesteads, or freezing levy
growth on homesteads unless the county adopts an ordinance to
allocate the revenue to the general fund of the various civil taxing units
in the county. Eliminates the right of a governmental unit, including
special benefit districts, to place a lien on a homestead. Increases the
maximum renter's deduction for income tax purposes from $3,000 to
$8,000 per taxable year. Removes references to the homestead credit
throughout the Indiana Code. Removes superseded provisions. Makes
conforming changes. Makes an ongoing appropriation.
Effective: Upon passage; July 1, 2010; January 1, 2011.
January 14, 2010, read first time and referred to Committee on Tax and Fiscal Policy.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation and to make an appropriation.
(b) Except as provided by subsections (c) and (d),
(1) Except as provided in subsection (k), one dollar ($1) of the admissions tax collected by the licensed owner for each person embarking on a gambling excursion during the quarter or admitted to a riverboat that has implemented flexible scheduling under IC 4-33-6-21 during the quarter shall be paid to:
(A) the city in which the riverboat is docked, if the city:
(i) is located in a county having a population of more than one hundred ten thousand (110,000) but less than one hundred fifteen thousand (115,000); or
(ii) is contiguous to the Ohio River and is the largest city in
the county; and
(B) the county in which the riverboat is docked, if the
riverboat is not docked in a city described in clause (A).
(2) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county in which the riverboat is docked. In the
case of a county described in subdivision (1)(B), this one dollar
($1) is in addition to the one dollar ($1) received under
subdivision (1)(B).
(3) Except as provided in subsection (k), ten cents ($0.10) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county convention and visitors bureau or
promotion fund for the county in which the riverboat is docked.
(4) Except as provided in subsection (k), fifteen cents ($0.15) of
the admissions tax collected by the licensed owner for each
person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during a quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the state fair commission, for use in any activity
that the commission is authorized to carry out under IC 15-13-3.
(5) Except as provided in subsection (k), ten cents ($0.10) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the division of mental health and addiction. The
division shall allocate at least twenty-five percent (25%) of the
funds derived from the admissions tax to the prevention and
treatment of compulsive gambling.
(6) Except as provided in subsection (k) and section 7 of this
chapter, sixty-five cents ($0.65) of the admissions tax collected by
the licensed owner for each person embarking on a gambling
excursion during the quarter or admitted to a riverboat during the
quarter that has implemented flexible scheduling under
IC 4-33-6-21 shall be paid to the Indiana horse racing commission
to be distributed as follows, in amounts determined by the Indiana
horse racing commission, for the promotion and operation of
horse racing in Indiana:
(A) To one (1) or more breed development funds established
by the Indiana horse racing commission under IC 4-31-11-10.
(B) To a racetrack that was approved by the Indiana horse
racing commission under IC 4-31. The commission may make
a grant under this clause only for purses, promotions, and
routine operations of the racetrack. No grants shall be made
for long term capital investment or construction, and no grants
shall be made before the racetrack becomes operational and is
offering a racing schedule.
(c) With respect to tax revenue collected from a riverboat located in
a historic hotel district, the treasurer of state shall quarterly pay the
following amounts:
(1) Twenty-two percent (22%) of the admissions tax collected
during the quarter shall be paid to the county treasurer of the
county in which the riverboat is docked. The county treasurer
shall distribute the money received under this subdivision as
follows:
(A) Twenty-two and seventy-five hundredths percent (22.75%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than thirty-nine thousand
six hundred (39,600) but less than forty thousand (40,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(B) Twenty-two and seventy-five hundredths percent (22.75%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than ten thousand seven
hundred (10,700) but less than twelve thousand (12,000) for
appropriation by the county fiscal body. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(C) Fifty-four and five-tenths percent (54.5%) shall be retained
by the county where the riverboat is docked for appropriation
by the county fiscal body after receiving a recommendation
from the county executive.
(2) Five percent (5%) of the admissions tax collected during the
quarter shall be paid to a town having a population of more than
two thousand two hundred (2,200) but less than three thousand
five hundred (3,500) located in a county having a population of
more than nineteen thousand three hundred (19,300) but less than
twenty thousand (20,000). At least twenty percent (20%) of the
taxes received by a town under this subdivision must be
transferred to the school corporation in which the town is located.
(3) Five percent (5%) of the admissions tax collected during the
quarter shall be paid to a town having a population of more than
three thousand five hundred (3,500) located in a county having a
population of more than nineteen thousand three hundred
(19,300) but less than twenty thousand (20,000). At least twenty
percent (20%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in which
the town is located.
(4) Twenty percent (20%) of the admissions tax collected during
the quarter shall be paid in equal amounts to each town that:
(A) is located in the county in which the riverboat docks; and
(B) contains a historic hotel.
At least twenty percent (20%) of the taxes received by a town
under this subdivision must be transferred to the school
corporation in which the town is located.
(5) Ten percent (10%) of the admissions tax collected during the
quarter shall be paid to the Orange County development
commission established under IC 36-7-11.5. At least one-third
(1/3) of the taxes paid to the Orange County development
commission under this subdivision must be transferred to the
Orange County convention and visitors bureau.
(6) Thirteen percent (13%) of the admissions tax collected during
the quarter shall be paid to the West Baden Springs historic hotel
preservation and maintenance fund established by
IC 36-7-11.5-11(b).
(7) Twenty-five percent (25%) of the admissions tax collected
during the quarter shall be paid to the Indiana economic
development corporation to be used by the corporation for the
development and implementation of a regional economic
development strategy to assist the residents of the county in which
the riverboat is located and residents of contiguous counties in
improving their quality of life and to help promote successful and
sustainable communities. The regional economic development
strategy must include goals concerning the following issues:
(A) Job creation and retention.
(B) Infrastructure, including water, wastewater, and storm
water infrastructure needs.
(C) Housing.
(D) Workforce training.
(E) Health care.
(F) Local planning.
(G) Land use.
(H) Assistance to regional economic development groups.
(I) Other regional development issues as determined by the
Indiana economic development corporation.
(d) With respect to tax revenue collected from a riverboat that
operates from a county having a population of more than four hundred
thousand (400,000) but less than seven hundred thousand (700,000),
the treasurer of state shall quarterly pay the following amounts:
(1) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the city in which the riverboat is docked.
(2) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county in which the riverboat is docked.
(3) Except as provided in subsection (k), nine cents ($0.09) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county convention and visitors bureau or
promotion fund for the county in which the riverboat is docked.
(4) Except as provided in subsection (k), one cent ($0.01) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the northwest Indiana law enforcement training center.
(5) Except as provided in subsection (k), fifteen cents ($0.15) of the admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during a quarter that has implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the state fair commission for use in any activity that the commission is authorized to carry out under IC 15-13-3.
(6) Except as provided in subsection (k), ten cents ($0.10) of the admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the division of mental health and addiction. The division shall allocate at least twenty-five percent (25%) of the funds derived from the admissions tax to the prevention and treatment of compulsive gambling.
(7) Except as provided in subsection (k) and section 7 of this chapter, sixty-five cents ($0.65) of the admissions tax collected by the licensed owner for each person embarking on a gambling excursion during the quarter or admitted to a riverboat during the quarter that has implemented flexible scheduling under IC 4-33-6-21 shall be paid to the Indiana horse racing commission to be distributed as follows, in amounts determined by the Indiana horse racing commission, for the promotion and operation of horse racing in Indiana:
(A) To one (1) or more breed development funds established by the Indiana horse racing commission under IC 4-31-11-10.
(B) To a racetrack that was approved by the Indiana horse racing commission under IC 4-31. The commission may make a grant under this clause only for purses, promotions, and routine operations of the racetrack. No grants shall be made for long term capital investment or construction, and no grants shall be made before the racetrack becomes operational and is offering a racing schedule.
(e) Money paid to a unit of local government under subsection (b)(1) through (b)(2), (c)(1) through (c)(4), or (d)(1) through (d)(2):
(1) must be paid to the fiscal officer of the unit and may be deposited in the unit's general fund or riverboat fund established under IC 36-1-8-9, or both;
(2) may not be used to reduce the unit's maximum levy under IC 6-1.1-18.5 but may be used at the discretion of the unit to reduce the property tax levy of the unit for a particular year;
(3) may be used for any legal or corporate purpose of the unit, including the pledge of money to bonds, leases, or other obligations under IC 5-1-14-4; and
(4) is considered miscellaneous revenue.
(f) Money paid by the treasurer of state under subsection (b)(3) or (d)(3) shall be:
(1) deposited in:
(A) the county convention and visitor promotion fund; or
(B) the county's general fund if the county does not have a convention and visitor promotion fund; and
(2) used only for the tourism promotion, advertising, and economic development activities of the county and community.
(g) Money received by the division of mental health and addiction under subsections (b)(5) and (d)(6):
(1) is annually appropriated to the division of mental health and addiction;
(2) shall be distributed to the division of mental health and addiction at times during each state fiscal year determined by the budget agency; and
(3) shall be used by the division of mental health and addiction for programs and facilities for the prevention and treatment of addictions to drugs, alcohol, and compulsive gambling, including the creation and maintenance of a toll free telephone line to provide the public with information about these addictions. The division shall allocate at least twenty-five percent (25%) of the money received to the prevention and treatment of compulsive gambling.
(h) This subsection applies to the following:
(1) Each entity receiving money under subsection (b).
(2) Each entity receiving money under subsection (d)(1) through (d)(2).
(3) Each entity receiving money under subsection (d)(5) through (d)(7).
The treasurer of state shall determine the total amount of money paid by the treasurer of state to an entity subject to this subsection during the state fiscal year 2002. The amount determined under this subsection is the base year revenue for each entity subject to this subsection. The treasurer of state shall certify the base year revenue determined under this subsection to each entity subject to this subsection.
(i) This subsection applies to an entity receiving money under subsection (d)(3) or (d)(4). The treasurer of state shall determine the total amount of money paid by the treasurer of state to the entity described in subsection (d)(3) during state fiscal year 2002. The amount determined under this subsection multiplied by nine-tenths (0.9) is the base year revenue for the entity described in subsection (d)(3). The amount determined under this subsection multiplied by one-tenth (0.1) is the base year revenue for the entity described in subsection (d)(4). The treasurer of state shall certify the base year revenue determined under this subsection to each entity subject to this subsection.
(j) This subsection does not apply to an entity receiving money under subsection (c). For state fiscal years beginning after June 30, 2002, the total amount of money distributed to an entity under this section during a state fiscal year may not exceed the entity's base year revenue as determined under subsection (h) or (i). If the treasurer of state determines that the total amount of money distributed to an entity under this section during a state fiscal year is less than the entity's base year revenue, the treasurer of state shall make a supplemental distribution to the entity under IC 4-33-13-5(g).
(k) This subsection does not apply to an entity receiving money under subsection (c). For state fiscal years beginning after June 30, 2002, the treasurer of state shall pay that part of the riverboat admissions taxes that:
(1) exceeds a particular entity's base year revenue; and
(2) would otherwise be due to the entity under this section;
to the state general fund instead of to the entity.
(1) The first thirty-three million dollars ($33,000,000) of tax revenues collected under this chapter shall be set aside for revenue sharing under subsection (e).
(2) Subject to subsection (c), twenty-five percent (25%) of the remaining tax revenue remitted by each licensed owner shall be paid:
(A) to the city that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of:
(i) a city described in IC 4-33-12-6(b)(1)(A); or
(ii) a city located in a county having a population of more
than four hundred thousand (400,000) but less than seven
hundred thousand (700,000); or
(B) to the county that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of a riverboat whose home dock is not in a city described in
clause (A).
(3) Subject to subsection (d), the remainder of the tax revenue
remitted by each licensed owner shall be paid to the state general
fund. In each state fiscal year, the treasurer of state shall make the
transfer required by this subdivision not later than the last
business day of the month in which the tax revenue is remitted to
the state for deposit in the state gaming fund. However, if tax
revenue is received by the state on the last business day in a
month, the treasurer of state may transfer the tax revenue to the
state general fund in the immediately following month.
(b) This subsection applies only to tax revenue remitted by an
operating agent operating a riverboat in a historic hotel district. After
funds are appropriated under section 4 of this chapter, each month the
treasurer of state shall distribute the tax revenue remitted by the
operating agent under this chapter as follows:
(1) Thirty-seven and one-half percent (37.5%) shall be paid to the
state general fund.
(2) Nineteen percent (19%) shall be paid to the West Baden
Springs historic hotel preservation and maintenance fund
established by IC 36-7-11.5-11(b). However, at any time the
balance in that fund exceeds twenty million dollars
($20,000,000), the amount described in this subdivision shall be
paid to the state general fund.
(3) Eight percent (8%) shall be paid to the Orange County
development commission established under IC 36-7-11.5.
(4) Sixteen percent (16%) shall be paid in equal amounts to each
town that is located in the county in which the riverboat docks and
contains a historic hotel. The following apply to taxes received by
a town under this subdivision:
(A) At least twenty-five percent (25%) of the taxes must be
transferred to the school corporation in which the town is
located.
(B) At least twelve and five-tenths percent (12.5%) of the
taxes must be transferred to the Orange County convention
and visitors bureau.
(5) Nine percent (9%) shall be paid to the county treasurer of the
county in which the riverboat is docked. The county treasurer
shall distribute the money received under this subdivision as
follows:
(A) Twenty-two and twenty-five hundredths percent (22.25%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than thirty-nine thousand
six hundred (39,600) but less than forty thousand (40,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(B) Twenty-two and twenty-five hundredths percent (22.25%)
shall be quarterly distributed to the county treasurer of a
county having a population of more than ten thousand seven
hundred (10,700) but less than twelve thousand (12,000) for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(C) Fifty-five and five-tenths percent (55.5%) shall be retained
by the county where the riverboat is docked for appropriation
by the county fiscal body after receiving a recommendation
from the county executive.
(6) Five percent (5%) shall be paid to a town having a population
of more than two thousand two hundred (2,200) but less than
three thousand five hundred (3,500) located in a county having a
population of more than nineteen thousand three hundred
(19,300) but less than twenty thousand (20,000). At least forty
percent (40%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in which
the town is located.
(7) Five percent (5%) shall be paid to a town having a population
of more than three thousand five hundred (3,500) located in a
county having a population of more than nineteen thousand three
hundred (19,300) but less than twenty thousand (20,000). At least
forty percent (40%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in which
the town is located.
(8) Five-tenths percent (0.5%) shall be paid to the Orange County
convention and visitors bureau.
(c) For each city and county receiving money under subsection
(a)(2), the treasurer of state shall determine the total amount of money
paid by the treasurer of state to the city or county during the state fiscal
year 2002. The amount determined is the base year revenue for the city
or county. The treasurer of state shall certify the base year revenue
determined under this subsection to the city or county. The total
amount of money distributed to a city or county under this section
during a state fiscal year may not exceed the entity's base year revenue.
For each state fiscal year, the treasurer of state shall pay that part of the
riverboat wagering taxes that:
(1) exceeds a particular city's or county's base year revenue; and
(2) would otherwise be due to the city or county under this
section;
to the state general fund instead of to the city or county.
(d) Each state fiscal year the treasurer of state shall transfer from the
tax revenue remitted to the state general fund under subsection (a)(3)
to the build Indiana fund an amount that when added to the following
may not exceed two hundred fifty million dollars ($250,000,000):
(1) Surplus lottery revenues under IC 4-30-17-3.
(2) Surplus revenue from the charity gaming enforcement fund
under IC 4-32.2-7-7.
(3) Tax revenue from pari-mutuel wagering under IC 4-31-9-3.
The treasurer of state shall make transfers on a monthly basis as needed
to meet the obligations of the build Indiana fund. If in any state fiscal
year insufficient money is transferred to the state general fund under
subsection (a)(3) to comply with this subsection, the treasurer of state
shall reduce the amount transferred to the build Indiana fund to the
amount available in the state general fund from the transfers under
subsection (a)(3) for the state fiscal year.
(e) Before August 15 of each year, the treasurer of state shall
distribute the wagering taxes set aside for revenue sharing under
subsection (a)(1) to the county treasurer of each county that does not
have a riverboat according to the ratio that the county's population
bears to the total population of the counties that do not have a
riverboat. Except as provided in subsection (h), the county auditor shall
distribute the money received by the county under this subsection as
follows:
(1) To each city located in the county according to the ratio the
city's population bears to the total population of the county.
(2) To each town located in the county according to the ratio the
town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be retained by the county.
(f) Money received by a city, town, or county under subsection (e)
or (h) may be used for any of the following purposes:
(1) To reduce the property tax levy of the city, town, or county for
a particular year (a property tax reduction under this subdivision
does not reduce the maximum levy of the city, town, or county
under IC 6-1.1-18.5).
(2) For deposit in a special fund or allocation fund created under
IC 8-22-3.5, IC 36-7-14, IC 36-7-14.5, IC 36-7-15.1, and
IC 36-7-30 to provide funding for debt repayment.
(3) To fund sewer and water projects, including storm water
management projects.
(4) For police and fire pensions.
(5) To carry out any governmental purpose for which the money
is appropriated by the fiscal body of the city, town, or county.
Money used under this subdivision does not reduce the property
tax levy of the city, town, or county for a particular year or reduce
the maximum levy of the city, town, or county under
IC 6-1.1-18.5.
(g) This subsection does not apply to an entity receiving money
under IC 4-33-12-6(c). Before September 15 of each year, the treasurer
of state shall determine the total amount of money distributed to an
entity under IC 4-33-12-6 during the preceding state fiscal year. If the
treasurer of state determines that the total amount of money distributed
to an entity under IC 4-33-12-6 during the preceding state fiscal year
was less than the entity's base year revenue (as determined under
IC 4-33-12-6), the treasurer of state shall make a supplemental
distribution to the entity from taxes collected under this chapter and
deposited into the state general fund. Except as provided in subsection
(i), the amount of an entity's supplemental distribution is equal to:
(1) the entity's base year revenue (as determined under
IC 4-33-12-6); minus
(2) the sum of (A) the total amount of money distributed to the
entity during the preceding state fiscal year under IC 4-33-12-6.
plus (B) any amounts deducted under IC 6-3.1-20-7.
(h) This subsection applies only to a county containing a consolidated city. The county auditor shall distribute the money received by the county under subsection (e) as follows:
(1) To each city, other than a consolidated city, located in the county according to the ratio that the city's population bears to the total population of the county.
(2) To each town located in the county according to the ratio that the town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are made, the remainder shall be paid in equal amounts to the consolidated city and the county.
(i) This subsection applies only to the Indiana horse racing commission. For each state fiscal year the amount of the Indiana horse racing commission's supplemental distribution under subsection (g) must be reduced by the amount required to comply with IC 4-33-12-7(a).
(1) a seller of property that is exempt under the seller's ownership; or
(2) a purchaser of property that is exempt under the purchaser's ownership;
from property taxes under IC 6-1.1-10 or IC 6-1.1-10.2.
(b) Subject to subsections (g) and (h), before filing a conveyance document with the county auditor under IC 6-1.1-5-4, all the parties to the conveyance must do the following:
(1) Complete and sign a sales disclosure form as prescribed by the department of local government finance under section 5 of this chapter. All the parties may sign one (1) form, or if all the parties do not agree on the information to be included on the completed form, each party may sign and file a separate form. For conveyance transactions involving more than two (2) parties, one (1) transferor and one (1) transferee signing the sales disclosure form is sufficient.
(2) Before filing a sales disclosure form with the county auditor, submit the sales disclosure form to the county assessor. The county assessor must review the accuracy and completeness of each sales disclosure form submitted immediately upon receipt of the form and, if the form is accurate and complete, stamp or otherwise approve the form as eligible for filing with the county
auditor and return the form to the appropriate party for filing with
the county auditor. If multiple forms are filed in a short period,
the county assessor shall process the forms as quickly as possible.
For purposes of this subdivision, a sales disclosure form is
considered to be accurate and complete if:
(A) the county assessor does not have substantial evidence
when the form is reviewed under this subdivision that
information in the form is inaccurate; and
(B) both of the following conditions are satisfied:
(i) The form contains the information required by section
5(a)(1) through 5(a)(16) of this chapter as that section
applies to the conveyance transaction, subject to the
obligation of a party to furnish or correct that information in
the manner required by and subject to the penalty provisions
of section 12 of this chapter. The form may not be rejected
for failure to contain information other than that required by
section 5(a)(1) through 5(a)(16) of this chapter.
(ii) The form is submitted to the county assessor in a format
usable to the county assessor.
(3) File the sales disclosure form with the county auditor.
(c) This subsection does not apply to a county having a
consolidated city. The auditor shall review each sales disclosure form
and process any deduction homestead exemption for which the form
serves as an application under IC 6-1.1-12-44. IC 6-1.1-10.2. The
auditor shall forward each sales disclosure form to the county assessor.
The county assessor shall verify the assessed valuation of the property
for the assessment date to which the application applies and transmit
that assessed valuation to the auditor. The county assessor shall retain
the forms for five (5) years. The county assessor shall forward the sales
disclosure form data to the department of local government finance and
the legislative services agency in an electronic format specified jointly
by the department of local government finance and the legislative
services agency. The county assessor shall forward a copy of the sales
disclosure forms to the township assessors in the county. The forms
may be used by the county assessing officials, the department of local
government finance, and the legislative services agency for the
purposes established in IC 6-1.1-4-13.6, sales ratio studies,
equalization, adoption of rules under IC 6-1.1-31-3 and IC 6-1.1-31-6,
and any other authorized purpose.
(d) In a county containing a consolidated city, the auditor shall
review each sales disclosure form and process any deduction
homestead exemption for which the form serves as an application
under IC 6-1.1-12-44. IC 6-1.1-10.2. The auditor shall forward the
sales disclosure form to the appropriate township assessor (if any). The
township assessor shall verify the assessed valuation of the property for
the assessment date to which the application applies and transmit that
assessed valuation to the auditor. The township or county assessor shall
forward the sales disclosure form to the department of local
government finance and the legislative services agency in an electronic
format specified jointly by the department of local government finance
and the legislative services agency. The forms may be used by the
county assessing officials, the county auditor, the department of local
government finance, and the legislative services agency for the
purposes established in IC 6-1.1-4-13.6, sales ratio studies,
equalization, adoption of rules under IC 6-1.1-31-3 and IC 6-1.1-31-6,
and any other authorized purpose.
(e) If a sales disclosure form includes the telephone number or
Social Security number of a party, the telephone number or and Social
Security number is are confidential.
(f) County assessing officials, county auditors, and other local
officials may not establish procedures or requirements concerning sales
disclosure forms that substantially differ from the procedures and
requirements of this chapter.
(g) Except as provided in subsection (h), a separate sales disclosure
form is required for each parcel conveyed, regardless of whether more
than one (1) parcel is conveyed under a single conveyance document.
(h) Only one (1) sales disclosure form is required for the
conveyance under a single conveyance document of two (2) or more
contiguous parcels located entirely within a single taxing district.
(1) The key number (as defined in IC 6-1.1-1-8.5) of each parcel.
(2) With respect to each parcel, whether the entire parcel is being conveyed.
(3) The address of each improved parcel.
(4) The date of the execution of the form.
(5) The date the property was transferred.
(6) Whether the transfer includes an interest in land or improvements, or both.
(7) Whether the transfer includes personal property.
(8) An estimate of the value of any personal property included in the transfer.
(9) The name, address, and telephone number of:
(A) each transferor and transferee; and
(B) the person that prepared the form.
(10) The mailing address to which the property tax
(11) The ownership interest transferred.
(12) The classification of the property (as homestead, residential, commercial, industrial, agricultural, vacant land, or other).
(13) Subject to subsection (c), the total price actually paid or required to be paid in exchange for the conveyance, whether in terms of money, property, a service, an agreement, or other consideration, but excluding tax payments and payments for legal and other services that are incidental to the conveyance.
(14) The terms of seller provided financing, such as interest rate, points, type of loan, amount of loan, and amortization period, and whether the borrower is personally liable for repayment of the loan.
(15) Any family or business relationship existing between the transferor and the transferee.
(16) A legal description of each parcel subject to the conveyance.
(17) Whether the transferee is using the form to claim
(18) If the transferee uses the form to claim the
(19) Sufficient instructions and information to permit a party to terminate a
(20) Other information as required by the department of local government finance to carry out this chapter.
If a form under this section includes the telephone number or part or all of the Social Security number of a party, the telephone number
(b) The instructions for completing the form described in subsection (a) must include the information described in IC 6-1.1-12-43(c)(1).
(c) If the conveyance includes more than one (1) parcel as described in section 3(h) of this chapter, the form:
(1) is not required to include the price referred to in subsection (a)(13) for each of the parcels subject to the conveyance; and
(2) may state a single combined price for all of those parcels.
Chapter 10.2. Homestead Exemption
Sec. 1. (a) As used in this chapter, "homestead" means an individual's principal place of residence that:
(1) is located in Indiana;
(2) the individual:
(A) owns;
(B) is buying under a contract, recorded in the county recorder's office, that provides that the individual is to pay the property taxes on the residence; or
(C) is entitled to occupy as a tenant-stockholder (as defined in 26 U.S.C. 216) of a cooperative housing corporation (as defined in 26 U.S.C. 216); and
(3) consists of:
(A) residential real property improvements, including a house or garage;
(B) a mobile home that is not assessed as real property; or
(C) a manufactured home that is not assessed as real property;
and the real estate, not exceeding one (1) acre, that immediately surrounds the dwelling.
(b) The term includes the principal place of residence of an individual even though the property is owned by an entity that is not described in subsection (a)(2)(B), if the individual residing on the property is a shareholder, partner, or member of the entity that owns the property and the property was eligible for the standard deduction under IC 6-1.1-12-37 (repealed) on March 1, 2010.
Sec. 2. Tangible property consisting of a homestead is exempt
from property taxation.
Sec. 3. (a) An individual who in a particular year either owns or
is buying a homestead under a contract that provides the
individual is to pay the property taxes on the homestead is entitled
to the exemption provided by this chapter.
(b) A taxpayer other than an individual is entitled to the
exemption provided by this chapter if the tangible property
otherwise qualifies as the individual's homestead and the individual
has a beneficial interest in the taxpayer.
(c) A trust is entitled to the exemption provided by this chapter
for real property owned by the trust and occupied by an individual
if the county auditor determines that the individual:
(1) upon verification in the body of the deed or otherwise, has
either:
(A) a beneficial interest in the trust; or
(B) the right to occupy the real property rent free under
the terms of a qualified personal residence trust created by
the individual under United States Treasury Regulation
Section 25.2702-5(c)(2);
(2) otherwise qualifies for the exemption; and
(3) would be considered the owner of the real property under
IC 6-1.1-1-9(f) or IC 6-1.1-1-9(g).
Sec. 4. IC 6-1.1-11 does not apply to claiming the exemption
provided by this chapter.
Sec. 5. (a) An individual who desires to claim the exemption
provided by this chapter must file a certified statement in
duplicate, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
homestead is located. The statement must include:
(1) the parcel number or key number of the property and the
name of the city, town, or township in which the property is
located;
(2) the name of any other location in which the applicant or
the applicant's spouse owns, is buying, or has a beneficial
interest in residential real property;
(3) the names of:
(A) the applicant and the applicant's spouse (if any):
(i) as the names appear in the records of the United
States Social Security Administration for the purposes of
the issuance of a Social Security card and Social Security
number; or
(ii) that they use as their legal names when they sign
their names on legal documents;
if the applicant is an individual; or
(B) each individual who qualifies property as a homestead
under subsection (a)(2)(B) and the individual's spouse (if
any):
(i) as the names appear in the records of the United
States Social Security Administration for the purposes of
the issuance of a Social Security card and Social Security
number; or
(ii) that they use as their legal names when they sign
their names on legal documents;
if the applicant is not an individual; and
(4) either:
(A) the last five (5) digits of the applicant's Social Security
number and the last five (5) digits of the Social Security
number of the applicant's spouse (if any); or
(B) if the applicant or the applicant's spouse (if any) do not
have a Social Security number, any of the following for
that individual:
(i) The last five (5) digits of the individual's driver's
license number.
(ii) The last five (5) digits of the individual's state
identification card number.
(iii) If the individual does not have a driver's license or
a state identification card, the last five (5) digits of a
control number that is on a document issued to the
individual by the federal government and determined by
the department of local government finance to be
acceptable.
If a form or statement provided to the county auditor under this
section, IC 6-1.1-22-8.1, or IC 6-1.1-22.5-12 includes the telephone
number or part or all of the Social Security number of a party or
other number described in subdivision (4)(B) of a party, the
telephone number and the Social Security number or other number
described in subdivision (4)(B) included are confidential. The
statement may be filed in person or by mail. If the statement is
mailed, the mailing must be postmarked on or before the last day
for filing. The statement applies for that first year and any
succeeding year for which the exemption is allowed. With respect
to real property, the statement must be completed and dated in the
calendar year for which the person desires to obtain the exemption
and filed with the county auditor on or before January 5 of the
immediately succeeding calendar year. With respect to a mobile
home that is not assessed as real property, the person must file the
statement during the twelve (12) months before March 31 of the
year for which the person desires to obtain the exemption.
(b) The certified statement referred to in subsection (a) must
contain the name of any other county and township in which the
individual owns or is buying residential real property.
Sec. 6. (a) If an individual who is receiving the exemption
provided by this chapter changes the use of the individual's
tangible property so that part or all of that tangible property no
longer qualifies for the exemption, the individual must file a
certified statement with the auditor of the county, notifying the
auditor of the change of use not later than sixty (60) days after the
date of that change.
(b) An individual who changes the use of the individual's
tangible property and fails to file the statement required by this
subsection is liable for:
(1) the amount of the property taxes for that tangible
property; plus
(2) ten percent (10%) of the amount of property taxes for
each year or part of a year for which the exemption was
unlawfully claimed.
(c) The county assessor immediately shall assess the tangible
property, and the county auditor shall determine the amount of
property taxes due and payable, plus interest, for all years for
which the tangible property did not qualify for the exemption.
Sec. 7. (a) An individual who receives the exemption provided
by this chapter in a particular year and who remains eligible for
the exemption in the following year is not required to file a
statement to apply for the exemption in the following year.
(b) An individual who receives the exemption provided by this
chapter for tangible property that is jointly held with another
owner in a particular year and remains eligible for the exemption
in the following year is not required to file a statement to reapply
for the exemption following the removal of the joint owner if:
(1) the individual is the sole owner of the property following
the death of the other joint owner; or
(2) the individual is awarded sole ownership of the property
in a divorce decree.
(c) A trust that is entitled to the exemption provided by this
chapter for tangible property owned by the trust and occupied by
an individual as a homestead in accordance with this chapter is not
required to file a statement to apply for the exemption if:
(1) the individual who occupies the tangible property receives
the exemption provided by this chapter in a particular year;
and
(2) the trust is otherwise eligible for the exemption in the
following year.
(d) The auditor of each county shall apply the exemption
provided under this chapter to each homestead that received the
exemption in the preceding year unless the auditor or assessor
determines that the tangible property is no longer eligible for the
exemption.
Sec. 8. (a) Subject to subsection (b), an exemption under this
chapter applies for an assessment date and for the property taxes
due and payable based on the assessment for that assessment date,
regardless of whether with respect to the homestead:
(1) the title is conveyed one (1) or more times; or
(2) one (1) or more contracts to purchase are entered into;
after that assessment date and on or before the next succeeding
assessment date.
(b) Subsection (a) applies:
(1) only if the tangible property and title holder or the
contract buyer on that next succeeding assessment date is
eligible for the exemption for that next succeeding assessment
date; and
(2) regardless of whether:
(A) one (1) or more grantees of title under subsection
(a)(1); or
(B) one (1) or more contract purchasers under subsection
(a)(2);
file a statement under this chapter to claim the exemption.
Sec. 9. (a) A sales disclosure form under IC 6-1.1-5.5:
(1) that is submitted:
(A) as a paper form; or
(B) electronically;
on or before December 31 of a calendar year to the county
assessor by or on behalf of the purchaser of a homestead
assessed as real property;
(2) that is accurate and complete;
(3) that is approved by the county assessor as eligible for filing
with the county auditor; and
(4) that is filed:
(A) as a paper form; or
(B) electronically;
with the county auditor by or on behalf of the purchaser;
constitutes an application for the exemption provided by this chapter with respect to property taxes first due and payable in the calendar year that immediately succeeds the calendar year in which the form was submitted.
(b) Except as provided in subsection (c), if:
(1) the county auditor receives in a calendar year a sales disclosure form that meets the requirements of subsection (a); and
(2) the homestead for which the sales disclosure form is submitted is otherwise eligible for the exemption provided by this chapter;
the county auditor shall apply the exemption provided by this chapter to the homestead for property taxes first due and payable in the calendar year for which the homestead qualifies under subsection (a) and in any later year in which the homestead remains qualified for the exemption.
(c) Subsection (b) does not apply if the county auditor, after receiving a sales disclosure form from or on behalf of a purchaser under subsection (a)(4), determines that the tangible property is ineligible for the exemption provided by this chapter.
Sec. 10. (a) The auditor of a county (referred to in this section as the "first county") with whom:
(1) an exemption statement is filed under this chapter; or
(2) a sales disclosure form is filed under this chapter;
shall immediately prepare and transmit a copy of the statement or form to the auditor of any other county (referred to in this section as the "second county") if the individual who claims the exemption or files the form owns or is buying real property located in the second county.
(b) The county auditor of the second county shall note on the copy of the statement or form whether or not the individual has claimed the exemption for the current year for a homestead located in the second county. The auditor shall then return the copy to the auditor of the first county.
Sec. 11. (a) Each year, the county auditor shall ascertain whether more than one (1) claim for the exemption provided by this chapter has been filed by the same individual.
(b) The county auditor may not grant an individual an exemption provided by this chapter if:
(1) the individual, for the same year, claims the exemption:
(A) on two (2) or more different statements;
(B) by submitting two (2) or more different sales disclosure forms; or
(C) through any combination of statements and sales disclosure forms; and
(2) as a result the exemption is claimed for more than one (1) homestead.
Sec. 12. If a property is not qualified for the exemption provided by this chapter, the county auditor shall notify the county assessor of the years for which the exemption is being denied. The county assessor shall assess the property and determine an assessed value for those years. The county auditor shall provide to the county treasurer the information needed for the treasurer to calculate the property taxes owed. The county treasurer shall prepare a property tax statement showing an amount due equal to the sum of the following:
(1) The total property taxes that, if it were not for the exemption, would have been assessed on the property in each year in which the exemption was allowed.
(2) Interest on the property taxes at the rate of fifteen percent (15%) per year.
The county treasurer shall send the statement to the address of the property with a due date that is the same as the date that the next installment of property taxes is due.
(1) can be expected to result in death; or
(2) has lasted or can be expected to last for a continuous period of at least twelve (12) months.
(b) Any individual who is sixty-five (65) years of age, is blind, or has a disability
(c) An individual with a disability making an appointment under this section shall submit proof of disability in such form and
manner as the department shall by rule prescribe. Proof that a
claimant is eligible to receive disability benefits under the federal
Social Security Act (42 U.S.C. 301 et seq.) constitutes proof of
disability for purposes of this section.
(d) An individual with a disability not covered under the federal
Social Security Act shall be examined by a physician and the
individual's status as an individual with a disability determined by
using the same standards as used by the Social Security
Administration. The costs of this examination shall be borne by the
individual.
(1) the last known address of each person liable for any property taxes or special assessment, as shown on the tax duplicate or special assessment records; or
(2) the last known address of the most recent owner shown in the transfer book.
(b) An individual who receives a deduction provided under section 1,
conformity with section 37 of this chapter.
(c) The auditor of each county shall, in a particular year, apply a
deduction provided under section 1, 9, 11, 13, 14, or 16 17.4, or 37 of
this chapter to each individual who received the deduction in the
preceding year unless the auditor determines that the individual is no
longer eligible for the deduction.
(d) An individual who receives a deduction provided under section
1, 9, 11, 13, 14, or 16 17.4, or 37 of this chapter for property that is
jointly held with another owner in a particular year and remains eligible
for the deduction in the following year is not required to file a
statement to reapply for the deduction following the removal of the
joint owner if:
(1) the individual is the sole owner of the property following the
death of the individual's spouse;
(2) the individual is the sole owner of the property following the
death of a joint owner who was not the individual's spouse; or
(3) the individual is awarded sole ownership of the property in a
divorce decree.
However, for purposes of a deduction under section 37 of this chapter,
homestead exemption under IC 6-1.1-10.2, if the removal of the joint
owner occurs before the date that a notice described in
IC 6-1.1-22-8.1(b)(9) is sent, the county auditor may, in the county
auditor's discretion, terminate the deduction exemption for assessment
dates after January 15, 2012, if the individual does not comply with the
requirement in IC 6-1.1-22-8.1(b)(9), as determined by the county
auditor, before January 1, 2013. Before the county auditor terminates
the deduction exemption because the taxpayer claiming the deduction
exemption did not comply with the requirement in
IC 6-1.1-22-8.1(b)(9) before January 1, 2013, the county auditor shall
mail notice of the proposed termination of the deduction exemption to
the last known address of each person liable for any property taxes or
special assessment, as shown on the tax duplicate or special assessment
records or the last known address of the most recent owner shown in
the transfer book.
(e) A trust entitled to a deduction under section 9, 11, 13, 14, or 16
17.4, or 37 of this chapter for real property owned by the trust and
occupied by an individual in accordance with section 17.9 of this
chapter is not required to file a statement to apply for the deduction if:
(1) the individual who occupies the real property receives a
deduction provided under section 9, 11, 13, 14, or 16 17.4, or 37
of this chapter in a particular year; and
(2) the trust remains eligible for the deduction in the following
year.
However, for purposes of a deduction under section 37 of this chapter,
homestead exemption under IC 6-1.1-10.2, the individuals that
qualify the trust for a deduction the exemption must comply with the
requirement in IC 6-1.1-22-8.1(b)(9) before January 1, 2013.
(f) A cooperative housing corporation (as defined in 26 U.S.C. 216)
that is entitled to a deduction under section 37 of this chapter
homestead exemption under IC 6-1.1-10.2 in the immediately
preceding calendar year for a homestead (as defined in section 37 of
this chapter) is not required to file a statement to apply for the
deduction exemption for the current calendar year if the cooperative
housing corporation remains eligible for the deduction exemption for
the current calendar year. However, the county auditor may, in the
county auditor's discretion, terminate the deduction exemption for
assessment dates after January 15, 2012, if the individual does not
comply with the requirement in IC 6-1.1-22-8.1(b)(9), as determined
by the county auditor, before January 1, 2013. Before the county
auditor terminates a deduction exemption because the taxpayer
claiming the deduction exemption did not comply with the requirement
in IC 6-1.1-22-8.1(b)(9) before January 1, 2013, the county auditor
shall mail notice of the proposed termination of the deduction
exemption to:
(1) the last known address of each person liable for any property
taxes or special assessment, as shown on the tax duplicate or
special assessment records; or
(2) the last known address of the most recent owner shown in the
transfer book.
(g) An individual who
(1) was eligible for a homestead credit under IC 6-1.1-20.9
(repealed) for property taxes imposed for the March 1, 2007, or
January 15, 2008, assessment date; or
(2) would have been eligible for a homestead credit under
IC 6-1.1-20.9 (repealed) for property taxes imposed for the March
1, 2008, or January 15, 2009, assessment date if IC 6-1.1-20.9 had
not been repealed;
for a deduction under section 37 of this chapter is not required to
file a statement to apply for a deduction under section 37 of this
chapter homestead exemption under IC 6-1.1-10.2 if the individual
remains eligible for the deduction exemption in the current year. An
individual who filed for a homestead credit under IC 6-1.1-20.9
(repealed) for an assessment date after March 1, 2007 (if the property
is real property), or after January 1, 2008 (if the property is personal
property), shall be treated as an individual who has filed for a
deduction under section 37 of this chapter. homestead exemption
under IC 6-1.1-10.2. However, the county auditor may, in the county
auditor's discretion, terminate the deduction exemption for assessment
dates after January 15, 2012, if the individual does not comply with the
requirement in IC 6-1.1-22-8.1(b)(9), as determined by the county
auditor, before January 1, 2013. Before the county auditor terminates
the deduction exemption because the taxpayer claiming the deduction
exemption did not comply with the requirement in
IC 6-1.1-22-8.1(b)(9) before January 1, 2013, the county auditor shall
mail notice of the proposed termination of the deduction exemption to
the last known address of each person liable for any property taxes or
special assessment, as shown on the tax duplicate or special assessment
records, or to the last known address of the most recent owner shown
in the transfer book.
(h) If a county auditor terminates a deduction homestead
exemption because the taxpayer claiming the deduction exemption did
not comply with the requirement in IC 6-1.1-22-8.1(b)(9) before
January 1, 2013, the county auditor shall reinstate the deduction
exemption if the taxpayer provides proof that the taxpayer is eligible
for the deduction exemption and is not claiming the deduction
exemption for any other property.
(i) A taxpayer described in section 37(k) of this chapter is not
required to file a statement to apply for the deduction provided by
section 37 of this chapter for a calendar year beginning after December
31, 2008, if the property owned by the taxpayer remains eligible for the
deduction for that calendar year. However, the county auditor may
terminate the deduction for assessment dates after January 15, 2012, if
the individual residing on the property owned by the taxpayer does not
comply with the requirement in IC 6-1.1-22-8.1(b)(9), as determined
by the county auditor, before January 1, 2013. Before the county
auditor terminates a deduction because the individual residing on the
property did not comply with the requirement in IC 6-1.1-22-8.1(b)(9)
before January 1, 2013, the county auditor shall mail notice of the
proposed termination of the deduction to:
(1) the last known address of each person liable for any property
taxes or special assessment, as shown on the tax duplicate or
special assessment records; or
(2) the last known address of the most recent owner shown in the
transfer book.
JANUARY 1, 2011]: Sec. 17.9. A trust is entitled to a deduction under
section 9, 11, 13, 14, or 16 or 17.4 of this chapter for real property
owned by the trust and occupied by an individual if the county auditor
determines that the individual:
(1) upon verification in the body of the deed or otherwise, has
either:
(A) a beneficial interest in the trust; or
(B) the right to occupy the real property rent free under the
terms of a qualified personal residence trust created by the
individual under United States Treasury Regulation
25.2702-5(c)(2);
(2) otherwise qualifies for the deduction; and
(3) would be considered the owner of the real property under
IC 6-1.1-1-9(f) or IC 6-1.1-1-9(g).
(b) This subsection does not apply to an application for a deduction under section 34.5 of this chapter. The department of environmental management, upon application by a property owner, shall determine whether a system or device qualifies for a deduction provided by section 31, 33, or 34 of this chapter. If the department determines that
a system or device qualifies for a deduction, it shall certify the system
or device and provide proof of the certification to the property owner.
The department shall prescribe the form and manner of the certification
process required by this subsection.
(c) This subsection does not apply to an application for a deduction
under section 34.5 of this chapter. If the department of environmental
management receives an application for certification, the department
shall determine whether the system or device qualifies for a deduction.
If the department fails to make a determination under this subsection
before December 31 of the year in which the application is received,
the system or device is considered certified.
(d) A denial of a deduction claimed under section 31, 33, 34, or 34.5
of this chapter may be appealed as provided in IC 6-1.1-15. The appeal
is limited to a review of a determination made by the township assessor
county property tax assessment board of appeals, or department of local
government finance.
(e) A person who timely files a personal property return under
IC 6-1.1-3-7(a) for an assessment year and who desires to claim the
deduction provided in section 31 of this chapter for property that is not
assessed under IC 6-1.1-7 must file the statement described in
subsection (a) during the year in which the personal property return is
filed.
(f) This subsection applies only to an application for a deduction
under section 34.5 of this chapter. The center for coal technology
research established by IC 21-47-4-1, upon receiving an application
from the owner of a building, shall determine whether the building
qualifies for a deduction under section 34.5 of this chapter. If the center
determines that a building qualifies for a deduction, the center shall
certify the building and provide proof of the certification to the owner
of the building. The center shall prescribe the form and procedure for
certification of buildings under this subsection. If the center receives
an application for certification of a building under section 34.5 of this
chapter:
(1) the center shall determine whether the building qualifies for
a deduction; and
(2) if the center fails to make a determination before December 31
of the year in which the application is received, the building is
considered certified.
(1) "benefit" refers to:
(A) a deduction under section 1,
(B) the homestead exemption under IC 6-1.1-10.2;
(2) "closing agent" means a person that closes a transaction;
(3) "customer" means an individual who obtains a loan in a transaction; and
(4) "transaction" means a single family residential:
(A) first lien purchase money mortgage transaction; or
(B) refinancing transaction.
(b) Before closing a transaction after December 31, 2004, a closing agent must provide to the customer the form referred to in subsection (c).
(c) Before June 1, 2004, the department of local government finance shall prescribe the form to be provided by closing agents to customers under subsection (b). The department shall make the form available to closing agents, county assessors, county auditors, and county treasurers in hard copy and electronic form. County assessors, county auditors, and county treasurers shall make the form available to the general public. The form must:
(1) on one (1) side:
(A) list each benefit;
(B) list the eligibility criteria for each benefit; and
(C) indicate that a new application for a deduction under section 1 of this chapter is required when residential real property is refinanced;
(2) on the other side indicate:
(A) each action by and each type of documentation from the customer required to file for each benefit; and
(B) sufficient instructions and information to permit a party to terminate a
(3) be printed in one (1) of two (2) or more colors prescribed by the department of local government finance that distinguish the form from other documents typically used in a closing referred to
in subsection (b).
(d) A closing agent:
(1) may reproduce the form referred to in subsection (c);
(2) in reproducing the form, must use a print color prescribed by
the department of local government finance; and
(3) is not responsible for the content of the form referred to in
subsection (c) and shall be held harmless by the department of
local government finance from any liability for the content of the
form.
(e) This subsection applies to a transaction that is closed after
December 31, 2009. In addition to providing the customer the form
described in subsection (c) before closing the transaction, a closing
agent shall do the following as soon as possible after the closing, and
within the time prescribed by the department of insurance under
IC 27-7-3-15.5:
(1) To the extent determinable, input the information described in
IC 27-7-3-15.5(c)(2) into the system maintained by the
department of insurance under IC 27-7-3-15.5.
(2) Submit the form described in IC 27-7-3-15.5(c) to the data
base described in IC 27-7-3-15.5(c)(2)(D).
(f) A closing agent to which this section applies shall document the
closing agent's compliance with this section with respect to each
transaction in the form of verification of compliance signed by the
customer.
(g) Subject to IC 27-7-3-15.5(d), a closing agent is subject to a civil
penalty of twenty-five dollars ($25) for each instance in which the
closing agent fails to comply with this section with respect to a
customer. The penalty:
(1) may be enforced by the state agency that has administrative
jurisdiction over the closing agent in the same manner that the
agency enforces the payment of fees or other penalties payable to
the agency; and
(2) shall be paid into:
(A) the state general fund, if the closing agent fails to comply
with subsection (b); or
(B) the home ownership education account established by
IC 5-20-1-27, if the closing agent fails to comply with
subsection (e) in a transaction that is closed after December
31, 2009.
(h) A closing agent is not liable for any other damages claimed by
a customer because of:
(1) the closing agent's mere failure to provide the appropriate
document to the customer under subsection (b); or
(2) with respect to a transaction that is closed after December 31,
2009, the closing agent's failure to input the information or submit
the form described in subsection (e).
(i) The state agency that has administrative jurisdiction over a
closing agent shall:
(1) examine the closing agent to determine compliance with this
section; and
(2) impose and collect penalties under subsection (g).
(b) The county auditor may exclude and keep separate on the tax duplicate for taxes payable in a calendar year the assessed value of tangible property that meets the following conditions:
(1) The assessed value of the property is at least nine percent (9%) of the assessed value of all tangible property subject to taxation by a taxing unit.
(2) The property is or has been part of a bankruptcy estate that is subject to protection under the federal bankruptcy code.
(3) The owner of the property has discontinued all business operations on the property.
(4) There is a high probability that the taxpayer will not pay property taxes due on the property in the following year.
(c) This section does not limit, restrict, or reduce in any way the property tax liability on the property.
(d) For each taxing unit located in the county, the county auditor may reduce for a calendar year the taxing unit's assessed value that is certified to the department of local government finance under section 1 of this chapter and used to set tax rates for the taxing unit for taxes first due and payable in the immediately succeeding calendar year. The county auditor may reduce a taxing unit's assessed value under this subsection only to enable the taxing unit to absorb the effects of reduced property tax collections in the immediately succeeding calendar year that are expected to result from any or a combination of the following:
(1) Successful appeals of the assessed value of property located in the taxing unit.
(2)
Exemptions granted for the calendar year under IC 6-1.1-12-37
or IC 6-1.1-12-44 IC 6-1.1-10.2 after the county auditor certifies
assessed value as described in this section.
(3) Deductions that result from the granting of applications for
deductions for the calendar year under IC 6-1.1-12-44 after the
county auditor certifies assessed value as described in this
section.
(4) (3) Reassessments of real property under IC 6-1.1-4-11.5.
Not later than December 31 of each year, the county auditor shall send
a certified statement, under the seal of the board of county
commissioners, to the fiscal officer of each political subdivision of the
county and to the department of local government finance. The
certified statement must list any adjustments to the amount of the
reduction under this subsection and the information submitted under
section 1 of this chapter that are necessary. The county auditor shall
keep separately on the tax duplicate the amount of any reductions made
under this subsection. The maximum amount of the reduction
authorized under this subsection is determined under subsection (e).
(e) The amount of the reduction in a taxing unit's assessed value for
a calendar year under subsection (d) may not exceed two percent (2%)
of the assessed value of tangible property subject to assessment in the
taxing unit in that calendar year.
(f) The amount of a reduction under subsection (d) may not be
offered in a proceeding before the:
(1) county property tax assessment board of appeals;
(2) Indiana board; or
(3) Indiana tax court;
as evidence that a particular parcel has been improperly assessed.
(g) In addition to the reduction under subsection (d), the county
auditor shall reduce the assessed value of each taxing unit by:
(1) the amount that would represent the deductions from
assessed value for homesteads under IC 6-1.1-12-37 and
IC 6-1.1-12-37.5 (before their repeal); and
(2) the percentage determined under subsection (h) by the
department of local government finance for the county or
counties in which the taxing unit is located.
The county auditor shall keep separately on the tax duplicate the
amount of any reductions made under this subsection.
(h) The department of local government finance shall make a
one-time determination for each county of a percentage that
represents the amount of assessed value that was deducted from
homesteads for property taxes assessed in 2010 under any of the
following:
(1) IC 6-1.1-12-9.
(2) IC 6-1.1-12-11.
(3) IC 6-1.1-12-17.4.
(4) IC 6-1.1-12-18.
(5) IC 6-1.1-12-22.
(6) IC 6-1.1-12-26.
(7) IC 6-1.1-12-29.
(8) IC 6-1.1-12-33.
(9) IC 6-1.1-12.1-4.1.
(1) information concerning the assessed valuation in the political subdivision for the next calendar year;
(2) an estimate of the taxes to be distributed to the political subdivision during the last six (6) months of the current calendar year;
(3) the current assessed valuation as shown on the abstract of charges;
(4) the average growth in assessed valuation in the political subdivision over the preceding three (3) budget years, excluding years in which a general reassessment occurs, determined according to procedures established by the department of local government finance;
(5) the amount of the political subdivision's assessed valuation reduction determined under section 0.5(d) and 0.5(g) of this chapter;
(6) for counties with taxing units that cross into or intersect with other counties, the assessed valuation as shown on the most current abstract of property; and
(7) any other information at the disposal of the county auditor that might affect the assessed value used in the budget adoption process.
(b) The estimate of taxes to be distributed shall be based on:
(1) the abstract of taxes levied and collectible for the current calendar year, less any taxes previously distributed for the calendar year; and
(2) any other information at the disposal of the county auditor which might affect the estimate.
(c) The fiscal officer of each political subdivision shall present the county auditor's statement to the proper officers of the political subdivision.
(d) Subject to subsection (e) and except as provided in subsection (f), after the county auditor sends a certified statement under subsection (a) or an amended certified statement under this subsection with respect to a political subdivision and before the department of local government finance certifies its action with respect to the political subdivision under section 16(f) of this chapter, the county auditor may amend the information concerning assessed valuation included in the earlier certified statement. The county auditor shall send a certified statement amended under this subsection, under the seal of the board of county commissioners, to:
(1) the fiscal officer of each political subdivision affected by the amendment; and
(2) the department of local government finance.
(e) Except as provided in subsection (g), before the county auditor makes an amendment under subsection (d), the county auditor must provide an opportunity for public comment on the proposed amendment at a public hearing. The county auditor must give notice of the hearing under IC 5-3-1. If the county auditor makes the amendment as a result of information provided to the county auditor by an assessor, the county auditor shall give notice of the public hearing to the assessor.
(1) the amendment under subsection (d) is proposed to correct a mathematical error made in the determination of the amount of assessed valuation included in the earlier certified statement;
(2) the amendment under subsection (d) is proposed to add to the amount of assessed valuation included in the earlier certified statement assessed valuation of omitted property discovered after the county auditor sent the earlier certified statement; or
(3) the county auditor determines that the amendment under subsection (d) will not result in an increase in the tax rate or tax rates of the political subdivision.
[EFFECTIVE JANUARY 1, 2011]: Sec. 9.9. (a) The department of
local government finance shall adjust the maximum property tax rate
levied under the statutes listed in section 9.8(a) of this chapter,
IC 20-46-3-6, or IC 20-46-6-5 in each county for property taxes first
due and payable in:
(1) 2004;
(2) the year the county first applies the deduction under
IC 6-1.1-12-41 (before its repeal), if the county first applies that
deduction for property taxes first due and payable in 2005 or
2006; and
(3) 2007, if the county does not apply the deduction under
IC 6-1.1-12-41 (before its repeal) for any year.
(b) If the county does not apply the deduction under IC 6-1.1-12-41
(before its repeal) for property taxes first due and payable in 2004, the
department shall compute the adjustment under subsection (a)(1) to
allow a levy for the fund for which the property tax rate is levied that
equals the levy that would have applied for the fund if exemptions
under IC 6-1.1-10-29(b)(2) (repealed) did not apply for the 2003
assessment date.
(c) If the county applies the deduction under IC 6-1.1-12-41 (before
its repeal) for property taxes first due and payable in 2004, the
department shall compute the adjustment under subsection (a)(1) to
allow a levy for the fund for which the property tax rate is levied that
equals the levy that would have applied for the fund if:
(1) exemptions under IC 6-1.1-10-29(b)(2) (repealed); and
(2) deductions under IC 6-1.1-12-41 (before its repeal);
did not apply for the 2003 assessment date.
(d) The department shall compute the adjustment under subsection
(a)(2) to allow a levy for the fund for which the property tax rate is
levied that equals the levy that would have applied for the fund if
deductions under IC 6-1.1-12-41 (before its repeal) did not apply for
the assessment date of the year that immediately precedes the year for
which the adjustment is made.
(e) The department shall compute the adjustment under subsection
(a)(3) to allow a levy for the fund for which the property tax rate is
levied that equals the levy that would have applied for the fund if
deductions under IC 6-1.1-12-42 (before its repeal) did not apply for
the 2006 assessment date.
find that a civil taxing unit should receive any one (1) or more of the
following types of relief:
(1) Permission to the civil taxing unit to increase its levy in excess
of the limitations established under section 3 of this chapter, if in
the judgment of the department the increase is reasonably
necessary due to increased costs of the civil taxing unit resulting
from annexation, consolidation, or other extensions of
governmental services by the civil taxing unit to additional
geographic areas or persons. With respect to annexation,
consolidation, or other extensions of governmental services in a
calendar year, if those increased costs are incurred by the civil
taxing unit in that calendar year and more than one (1)
immediately succeeding calendar year, the unit may appeal under
section 12 of this chapter for permission to increase its levy under
this subdivision based on those increased costs in any of the
following:
(A) The first calendar year in which those costs are incurred.
(B) One (1) or more of the immediately succeeding four (4)
calendar years.
(2) A levy increase may not be granted under this subdivision for
property taxes first due and payable after December 31, 2008.
Permission to the civil taxing unit 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 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 (before its repeal) or IC 6-1.1-12-42 (before
its repeal) 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 (before its repeal) 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 (before its repeal) in 2008;
divided by the sum determined under this STEP for the
calendar year immediately preceding the particular calendar
year.
STEP THREE: Divide the sum of the three (3) quotients
computed in STEP TWO by three (3).
STEP FOUR: 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 total
assessed value of all taxable property in all counties and:
(i) for a particular calendar year before 2007, the total
assessed value of property tax deductions in all counties
under IC 6-1.1-12-41 (before its repeal) or IC 6-1.1-12-42
(before its repeal) 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 all
counties under IC 6-1.1-12-42 (before its repeal) 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 (before its repeal) in 2008;
divided by the sum determined under this STEP for the
calendar year immediately preceding the particular calendar
year.
STEP FIVE: Divide the sum of the three (3) quotients computed in STEP FOUR by three (3).
STEP SIX: Divide the STEP THREE amount by the STEP FIVE amount.
The civil taxing unit may increase its levy by a percentage not greater than the percentage by which the STEP THREE amount exceeds the percentage by which the civil taxing unit may increase its levy under section 3 of this chapter based on the assessed value growth quotient determined under section 2 of this chapter.
(4) A levy increase may not be granted under this subdivision for property taxes first due and payable after December 31, 2008. Permission to the civil taxing unit 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 civil taxing unit needs the increase to pay the costs of furnishing fire protection for the civil taxing unit through a volunteer fire department. For purposes of determining a township's need for an increased levy, the local government tax control board shall not consider the amount of money borrowed under IC 36-6-6-14 during the immediately preceding calendar year. However, any increase in the amount of the civil taxing unit's levy recommended by the local government tax control board under this subdivision for the 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.
The maximum increase that the board may recommend for a
township is the levy that would result from an increase in the
township's township assistance ad valorem property tax rate of
one and sixty-seven hundredths cents ($0.0167) per one hundred
dollars ($100) of assessed valuation minus the township's ad
valorem property tax rate per one hundred dollars ($100) of
assessed valuation before the increase.
(7) 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 if:
(A) the increase has been approved by the legislative body of
the municipality with the largest population where the civil
taxing unit provides public transportation services; and
(B) the local government tax control board finds that the civil
taxing unit needs the increase to provide adequate public
transportation services.
The local government tax control board shall consider tax rates
and levies in civil taxing units of comparable population, and the
effect (if any) of a loss of federal or other funds to the civil taxing
unit that might have been used for public transportation purposes.
However, the increase that the board may recommend under this
subdivision for a civil taxing unit may not exceed the revenue that
would be raised by the civil taxing unit based on a property tax
rate of one cent ($0.01) per one hundred dollars ($100) of
assessed valuation.
(8) 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 the unit's levy in
excess of the limitations established under section 3 of this
chapter if the local government tax control board finds that:
(A) the civil taxing unit is:
(i) a county having a population of more than one hundred
forty-eight thousand (148,000) but less than one hundred
seventy thousand (170,000);
(ii) a city having a population of more than fifty-five
thousand (55,000) but less than fifty-nine thousand (59,000);
(iii) a city having a population of more than twenty-eight
thousand seven hundred (28,700) but less than twenty-nine
thousand (29,000);
(iv) a city having a population of more than fifteen thousand
four hundred (15,400) but less than sixteen thousand six
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.
of the gross assessed value of the property that is the basis for determination of property taxes for that calendar year.
(b) This subsection applies to property taxes first due and payable after 2009. Property taxes imposed after being approved by the voters in a referendum or local public question shall not be considered for purposes of calculating a person's credit under this section.
(c) This subsection applies to property taxes first due and payable after 2009. As used in this subsection, "eligible county" means only a county for which the general assembly determines in 2008 that limits to property tax liability under this chapter are expected to reduce in 2010 the aggregate property tax revenue that would otherwise be collected by all units of local government and school corporations in the county by at least twenty percent (20%). Property taxes imposed in an eligible county to pay debt service or make lease payments for bonds or leases issued or entered into before July 1, 2008, shall not be considered for purposes of calculating a person's credit under this section.
(1) identify the property in the county eligible for the credit under this chapter; and
(2) apply the credit under this chapter to the property tax liability on the identified property.
(1) except as provided in subsection (h), mail to the last known address of each person liable for any property taxes or special assessment, as shown on the tax duplicate or special assessment records, or to the last known address of the most recent owner shown in the transfer book; and
(2) transmit by written, electronic, or other means to a mortgagee maintaining an escrow account for a person who is liable for any
property taxes or special assessments, as shown on the tax
duplicate or special assessment records;
a statement in the form required under subsection (c). (b). However, for
property taxes first due and payable in 2008, the county treasurer may
choose to use a tax statement that is different from the tax statement
prescribed by the department under subsection (c). (b). If a county
chooses to use a different tax statement, the county must still transmit
(with the tax bill) the statement in either color type or black-and-white
type.
(c) (b) The department of local government finance shall prescribe
a form, subject to the approval of the state board of accounts, for the
statement under subsection (b) (a) that includes at least the following:
(1) A statement of the taxpayer's current and delinquent taxes and
special assessments.
(2) A breakdown showing the total property tax and special
assessment liability and the amount of the taxpayer's liability that
will be distributed to each taxing unit in the county.
(3) An itemized listing for each property tax levy, including:
(A) the amount of the tax rate;
(B) the entity levying the tax owed; and
(C) the dollar amount of the tax owed.
(4) Information designed to show the manner in which the taxes
and special assessments billed in the tax statement are to be used.
(5) A comparison showing any change in the assessed valuation
for the property as compared to the previous year.
(6) A comparison showing any change in the property tax and
special assessment liability for the property as compared to the
previous year. The information required under this subdivision
must identify:
(A) the amount of the taxpayer's liability distributable to each
taxing unit in which the property is located in the current year
and in the previous year; and
(B) the percentage change, if any, in the amount of the
taxpayer's liability distributable to each taxing unit in which
the property is located from the previous year to the current
year.
(7) An explanation of the following:
(A) The homestead credit and credits under IC 6-1.1-20.4,
IC 6-3.5-6-13, or another law that are available in the taxing
district where the property is located. exemption under
IC 6-1.1-10.2.
(B) All property tax deductions that are available in the taxing
district where the property is located.
(B) (C) The procedure and deadline for filing for the any
available homestead credit credits under IC 6-1.1-20.4,
IC 6-3.5-6-13, or another law exemption under IC 6-1.1-10.2
and each deduction.
(C) (D) The procedure that a taxpayer must follow to:
(i) appeal a current assessment; or
(ii) petition for the correction of an error related to the
taxpayer's property tax and special assessment liability.
(D) (E) The forms that must be filed for an appeal or a petition
described in clause (C). (D).
(F) The procedure and deadline that a taxpayer must follow
and the forms that must be used if a credit homestead
exemption or deduction has been granted for the property
and the taxpayer is no longer eligible for the credit
homestead exemption or deduction.
(E) (G) Notice that an appeal described in clause (C) (D)
requires evidence relevant to the true tax value of the
taxpayer's property as of the assessment date that is the basis
for the taxes payable on that property.
The department of local government finance shall provide the
explanation required by this subdivision to each county treasurer.
(8) A checklist that shows:
(A) the homestead credit credits under IC 6-1.1-20.4,
IC 6-3.5-6-13, or another law exemption and all property tax
deductions; and
(B) whether the each homestead credit and each property tax
deduction applies in the current statement for the property
transmitted under subsection (b). (a).
(9) This subdivision applies to any property for which the
homestead exemption or a deduction or credit is listed under
subdivision (8) if the notice required under this subdivision was
not provided to a taxpayer on a reconciling statement under
IC 6-1.1-22.5-12. The statement must include in 2010, 2011, and
2012 a notice that must be returned by the taxpayer to the county
auditor with the taxpayer's verification of the items required by
this subdivision. The notice must explain the tax consequences
and applicable penalties if a taxpayer unlawfully claims a
standard deduction under IC 6-1.1-12-37 homestead exemption
under IC 6-1.1-10.2 on:
(A) more than one (1) parcel of property; or
(B) property that is not the taxpayer's principal place of
residence or is otherwise not eligible for the standard
deduction. homestead exemption.
The notice must include a place for the taxpayer to indicate,
under penalties of perjury, for the homestead exemption and
each deduction and credit listed under subdivision (8), whether
the property is eligible for the homestead exemption or
deduction or credit listed under subdivision (8). The notice must
also include a place for each individual who qualifies the
property for a homestead exemption or deduction or credit
listed in subdivision (8) to indicate the name of the individual and
the name of the individual's spouse (if any), as the names appear
in the records of the United States Social Security Administration
for the purposes of the issuance of a Social Security card and
Social Security number (or that they use as their legal names
when they sign their names on legal documents), and either the
last five (5) digits of each individual's Social Security number or,
if an individual does not have a Social Security number, the
parcel or key numbers required from the individual under
IC 6-1.1-12-37(e)(4)(B). IC 6-1.1-10.2-5(a)(4)(B). The notice
must explain that the taxpayer must complete and return the
notice with the required information and that failure to complete
and return the notice may result in disqualification of property
for the homestead exemption and deductions and credits listed
in subdivision (8), must explain how to return the notice, and
must be on a separate form printed on paper that is a different
color than the tax statement. The notice must be prepared in the
form prescribed by the department of local government finance
and include any additional information required by the
department of local government finance. This subdivision expires
January 1, 2015.
(d) (c) The county treasurer may mail or transmit the statement one
(1) time each year at least fifteen (15) days before the date on which
the first or only installment is due. Whenever a person's tax liability for
a year is due in one (1) installment under IC 6-1.1-7-7 or section 9 of
this chapter, a statement that is mailed must include the date on which
the installment is due and denote the amount of money to be paid for
the installment. Whenever a person's tax liability is due in two (2)
installments, a statement that is mailed must contain the dates on which
the first and second installments are due and denote the amount of
money to be paid for each installment. If a statement is returned to the
county treasurer as undeliverable and the forwarding order is expired,
the county treasurer shall notify the county auditor of this fact. Upon
receipt of the county treasurer's notice, the county auditor may, at the
county auditor's discretion, treat the property as not being eligible for
any deductions under IC 6-1.1-12 or any homestead credits under
IC 6-1.1-20.4 and IC 6-3.5-6-13. the homestead exemption under
IC 6-1.1-10.2.
(e) (d) All payments of property taxes and special assessments shall
be made to the county treasurer. The county treasurer, when authorized
by the board of county commissioners, may open temporary offices for
the collection of taxes in cities and towns in the county other than the
county seat.
(f) (e) The county treasurer, county auditor, and county assessor
shall cooperate to generate the information to be included in the
statement under subsection (c). (b).
(g) (f) The information to be included in the statement under
subsection (c) (b) must be simply and clearly presented and
understandable to the average individual.
(h) (g) After December 31, 2007, a reference in a law or rule to
IC 6-1.1-22-8 (expired January 1, 2008, and repealed) shall be treated
as a reference to this section.
(h) Transmission of statements and other information under this
subsection applies in a county only if the county legislative body
adopts an authorizing ordinance. Subject to subsection (i), in a county
in which an ordinance is adopted under this subsection for property
taxes and special assessments first due and payable after 2009, a
person may direct the county treasurer and county auditor to transmit
the following to the person by electronic mail:
(1) A statement that would otherwise be sent by the county
treasurer to the person by regular mail under subsection (a)(1),
including a statement that reflects installment payment due dates
under section 9.5 or 9.7 of this chapter.
(2) A provisional tax statement that would otherwise be sent by
the county treasurer to the person by regular mail under
IC 6-1.1-22.5-6.
(3) A reconciling tax statement that would otherwise be sent by
the county treasurer to the person by regular mail under any of
the following:
(A) Section 9 of this chapter.
(B) Section 9.7 of this chapter.
(C) IC 6-1.1-22.5-12, including a statement that reflects
installment payment due dates under IC 6-1.1-22.5-18.5.
(4) A statement that would otherwise be sent by the county
auditor to the person by regular mail under IC 6-1.1-17-3(b).
(5) Any other information that:
(A) concerns the property taxes or special assessments; and
(B) would otherwise be sent:
(i) by the county treasurer or the county auditor to the
person by regular mail; and
(ii) before the last date the property taxes or special
assessments may be paid without becoming delinquent.
(i) For property with respect to which more than one (1) person is
liable for property taxes and special assessments, subsection (h)
applies only if all the persons liable for property taxes and special
assessments designate the electronic mail address for only one (1)
individual authorized to receive the statements and other information
referred to in subsection (h).
(j) Before 2010, the department of local government finance shall
create a form to be used to implement subsection (h). The county
treasurer and county auditor shall:
(1) make the form created under this subsection available to the
public;
(2) transmit a statement or other information by electronic mail
under subsection (h) to a person who, at least thirty (30) days
before the anticipated general mailing date of the statement or
other information, files the form created under this subsection:
(A) with the county treasurer; or
(B) with the county auditor; and
(3) publicize the availability of the electronic mail option under
this subsection through appropriate media in a manner
reasonably designed to reach members of the public.
(k) The form referred to in subsection (j) must:
(1) explain that a form filed as described in subsection (j)(2)
remains in effect until the person files a replacement form to:
(A) change the person's electronic mail address; or
(B) terminate the electronic mail option under subsection (h);
and
(2) allow a person to do at least the following with respect to the
electronic mail option under subsection (h):
(A) Exercise the option.
(B) Change the person's electronic mail address.
(C) Terminate the option.
(D) For a person other than an individual, designate the
electronic mail address for only one (1) individual authorized
to receive the statements and other information referred to in
subsection (h).
(E) For property with respect to which more than one (1)
person is liable for property taxes and special assessments,
designate the electronic mail address for only one (1)
individual authorized to receive the statements and other
information referred to in subsection (h).
(l) The form created under subsection (j) is considered filed with the
county treasurer or the county auditor on the postmark date. If the
postmark is missing or illegible, the postmark is considered to be one
(1) day before the date of receipt of the form by the county treasurer
or the county auditor.
(m) The county treasurer shall maintain a record that shows at least
the following:
(1) Each person to whom a statement or other information is
transmitted by electronic mail under this section.
(2) The information included in the statement.
(3) Whether the person received the statement.
(b) Subsection (a) does not apply if any of the following apply to the property taxes assessed for the year under this article:
(1) Subsection (c).
(2) Subsection (d).
(3) IC 6-1.1-7-7.
(c) A county council may adopt an ordinance to require a person to pay the person's property tax liability in one (1) installment, if the tax
liability for a particular year is less than twenty-five dollars ($25). If the
county council has adopted such an ordinance, then whenever a tax
statement mailed under section 8.1 of this chapter shows that the
person's property tax liability for a year is less than twenty-five dollars
($25) for the property covered by that statement, the tax liability for
that year is due in one (1) installment on May 10 of that year.
(d) If the county treasurer receives a copy of an appeal petition
under IC 6-1.1-18.5-12(d) before the county treasurer mails or
transmits statements under section 8.1 of this chapter, the county
treasurer may:
(1) mail or transmit the statements without regard to the pendency
of the appeal and, if the resolution of the appeal by the department
of local government finance results in changes in levies, mail or
transmit reconciling statements under subsection (e); or
(2) delay the mailing or transmission of statements under section
8.1 of this chapter so that:
(A) the due date of the first installment that would otherwise
be due under subsection (a) is delayed by not more than sixty
(60) days; and
(B) all statements reflect any changes in levies that result from
the resolution of the appeal by the department of local
government finance.
(e) A reconciling statement under subsection (d)(1) must indicate:
(1) the total amount due for the year;
(2) the total amount of the installments paid that did not reflect
the resolution of the appeal under IC 6-1.1-18.5-12(d) by the
department of local government finance;
(3) if the amount under subdivision (1) exceeds the amount under
subdivision (2), the adjusted amount that is payable by the
taxpayer:
(A) as a final reconciliation of all amounts due for the year;
and
(B) not later than
(i) November 10; or
(ii) the date or dates established under section 9.5 of this
chapter; and
(4) if the amount under subdivision (2) exceeds the amount under
subdivision (1), that the taxpayer may claim a refund of the excess
under IC 6-1.1-26.
(f) If property taxes are not paid on or before the due date, the
penalties prescribed in IC 6-1.1-37-10 shall be added to the delinquent
taxes.
(g) Notwithstanding any other law, a property tax liability of less than five dollars ($5) is increased to five dollars ($5). The difference between the actual liability and the five dollar ($5) amount that appears on the statement is a statement processing charge. The statement processing charge is considered a part of the tax liability.
(h) This subsection applies only if a statement for payment of property taxes and special assessments by electronic mail is transmitted to a person under section 8.1(h) of this chapter. 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 statement in the manner required by section 8.1(a) of this chapter for persons who do not opt to receive statements by electronic mail. The due date for the property taxes and special assessments under a statement mailed to a person under this subsection is the due date indicated in the statement transmitted to the person by electronic mail.
(i) In a county in which an authorizing ordinance is adopted under section 8.1(h) of this chapter, a person may direct the county treasurer to transmit a reconciling statement under subsection (d)(1) by electronic mail under section 8.1(h) of this chapter.
(1) all special assessments levied against the tract, including the land under an improvement or appurtenance described in IC 6-1.1-2-4(b); and
(2) all subsequent penalties and costs resulting from the special assessments.
However, a lien may not be acquired after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2. The lien attaches on the installment due date of the year for which the special assessments are certified for collection. The lien is not affected by any sale or transfer of the tract, including the land under an improvement or appurtenance described in IC 6-1.1-2-4(b), and including the sale, exchange, or lease of the tract under IC 36-1-11.
(b) The lien of the political subdivision for special assessments, penalties, and costs continues for ten (10) years from May 10 of the year in which special assessments first become due. However, if any proceeding is instituted to enforce the lien within the ten (10) year period, the limitation is extended, if necessary, to permit the termination of the proceeding.
(c) The lien of the state inures to political subdivisions that impose the special assessments on which the lien is based, and the lien is superior to all other liens except the lien of the state for property taxes.
(d) A political subdivision described in subsection (c) may institute a civil suit against a person or an entity liable for delinquent special assessments. The political subdivision may, after obtaining a judgment, collect:
(1) delinquent special assessments;
(2) penalties due to the delinquency; and
(3) costs and expenses incurred in collecting the delinquent special assessments, including reasonable attorney's fees and court costs approved by a court with jurisdiction.
(1) be on a form prescribed by the department of local government finance;
(2) except as provided in emergency rules adopted under section 20 of this chapter and subsection (b):
(A) for property taxes billed using a provisional statement under section 6 of this chapter, indicate tax liability in the amount of not more than one hundred percent (100%) 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 as prescribed by the department of local government finance; 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 because the county did not complete the abstract of the property, assessments, taxes, deductions, and exemptions for taxes payable in (insert year) in each taxing district before March 16, (insert year). The statement is due to be paid in installments on __________ (insert date) and ________ (insert date). The statement is based on ______ percent (___%) (insert percentage) of your tax liability for taxes payable in ______ (insert year), subject to adjustment to the tax liability as prescribed by the department of local government finance and adjustment for any new construction on your property or any damage to your property. 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) indicate liability 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) include:
(A) a checklist that shows:
(i)
(ii) whether
(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
(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
(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.
(b) Each county auditor that makes a determination that property was not eligible for a standard deduction under IC 6-1.1-12-37 (repealed),
(c) Each county auditor shall establish a nonreverting fund. Upon collection of the adjustment in tax due (and any interest and penalties on that amount) after the termination of a deduction or credit as specified in subsection (b), the county treasurer shall deposit that amount in the nonreverting fund. Any part of the amount that is not collected by the due date shall be placed on the tax duplicate for the affected property and collected in the same manner as other property taxes. The adjustment in tax due (and any interest and penalties on that amount) after the termination of a deduction or credit as specified in subsection (b) shall be deposited in the nonreverting fund only in the first year in which that amount is collected.
(d) The amount to be deposited in the nonreverting fund includes
adjustments in the tax due as a result of the termination of deductions
or credits available only for property that satisfies the eligibility for a
standard deduction under IC 6-1.1-12-37 (repealed), or a homestead
credit under IC 6-1.1-20.9 (repealed), or a homestead exemption
under IC 6-1.1-10.2, including the following:
(1) Supplemental deductions under IC 6-1.1-12-37.5 (repealed).
(2) Homestead credits under IC 6-1.1-20.4 (repealed),
IC 6-3.5-1.1-26 (repealed), IC 6-3.5-6-13 (repealed),
IC 6-3.5-6-32 (repealed), IC 6-3.5-7-13.1 (repealed), or
IC 6-3.5-7-26 (repealed), or any other law.
(3) Credit for excessive property taxes under IC 6-1.1-20.6-7.5
(repealed) or IC 6-1.1-20.6-8.5 (repealed).
(4) Homestead exemption under IC 6-1.1-10.2.
Any amount paid that exceeds the amount required to be deposited in
the nonreverting fund shall be distributed as property taxes.
(e) Money in the nonreverting fund shall be treated as miscellaneous
revenue. Distributions shall be made from the nonreverting fund
established under this section upon appropriation by the county fiscal
body and shall be made only for the following purposes:
(1) Fees and other costs incurred by the county auditor to discover
property that is eligible for a standard deduction under
IC 6-1.1-12-37 (repealed), or a homestead credit under
IC 6-1.1-20.9 (repealed), or a homestead exemption under
IC 6-1.1-10.4.
(2) Other expenses of the office of the county auditor.
(3) The cost of preparing, sending, and processing notices
described in IC 6-1.1-22-8.1(b)(9) and checklists or notices
described in IC 6-1.1-22.5-12(d).
The amount of deposits in a reverting fund, the balance of a
nonreverting fund, and expenditures from a reverting fund may not be
considered in establishing the budget of the office of the county auditor
or in setting property tax levies that will be used in any part to fund the
office of the county auditor.
(1) an assessment is made or increased after the date or dates on which the taxes for the year for which the assessment is made were originally due;
(2) the assessment upon which a taxpayer has been paying taxes under IC 6-1.1-15-10(a)(1) or IC 6-1.1-15-10(a)(2) while a petition for review or a judicial proceeding has been pending is
less than the assessment that results from the final determination
of the petition for review or judicial proceeding; or
(3) the collection of certain ad valorem property taxes has been
enjoined under IC 33-26-6-2, and under the final determination of
the petition for judicial review the taxpayer is liable for at least
part of those taxes.
(b) Except as provided in subsections (c) and (g), a taxpayer shall
pay interest on the taxes the taxpayer is required to pay as a result of an
action or a determination described in subsection (a) at the rate of ten
percent (10%) per year from the original due date or dates for those
taxes to:
(1) the date of payment; or
(2) the date on which penalties for the late payment of a tax
installment may be charged under subsection (e) or (f);
whichever occurs first.
(c) Except as provided in subsection (g), a taxpayer shall pay
interest on the taxes the taxpayer is ultimately required to pay in excess
of the amount that the taxpayer is required to pay under
IC 6-1.1-15-10(a)(1) while a petition for review or a judicial
proceeding has been pending at the overpayment rate established under
Section 6621(c)(1) of the Internal Revenue Code in effect on the
original due date or dates for those taxes from the original due date or
dates for those taxes to:
(1) the date of payment; or
(2) the date on which penalties for the late payment of a tax
installment may be charged under subsection (e) or (f);
whichever occurs first.
(d) With respect to an action or determination described in
subsection (a), the taxpayer shall pay the taxes resulting from that
action or determination and the interest prescribed under subsection (b)
or (c) on or before:
(1) the next May 10; or
(2) the next November 10;
whichever occurs first.
(e) A taxpayer shall, to the extent that the penalty is not waived
under section 10.5 or 10.7 of this chapter, begin paying the penalty
prescribed in section 10 of this chapter on the day after the date for
payment prescribed in subsection (d) if:
(1) the taxpayer has not paid the amount of taxes resulting from
the action or determination; and
(2) the taxpayer either:
(A) received notice of the taxes the taxpayer is required to pay
as a result of the action or determination at least thirty (30)
days before the date for payment; or
(B) voluntarily signed and filed an assessment return for the
taxes.
(f) If subsection (e) does not apply, a taxpayer who has not paid the
amount of taxes resulting from the action or determination shall, to the
extent that the penalty is not waived under section 10.5 or 10.7 of this
chapter, begin paying the penalty prescribed in section 10 of this
chapter on:
(1) the next May 10 which follows the date for payment
prescribed in subsection (d); or
(2) the next November 10 which follows the date for payment
prescribed in subsection (d);
whichever occurs first.
(g) A taxpayer is not subject to the payment of interest on real
property assessments under subsection (b) or (c) if:
(1) an assessment is made or increased after the date or dates on
which the taxes for the year for which the assessment is made
were due;
(2) the assessment or the assessment increase is made as the result
of error or neglect by the assessor or by any other official
involved with the assessment of property or the collection of
property taxes; and
(3) the assessment:
(A) would have been made on the normal assessment date if
the error or neglect had not occurred; or
(B) increase would have been included in the assessment on
the normal annual assessment date if the error or neglect had
not occurred.
(1) If:
(A) an installment of real property taxes is completely paid on or before the date thirty (30) days after the due date; and
(B) the taxpayer is not liable for delinquent property taxes first due and payable in a previous installment for the same parcel;
the amount of the penalty is equal to five percent (5%) of the
amount of delinquent taxes.
(2) If:
(A) an installment of personal property taxes is completely
paid on or before the date thirty (30) days after the due date;
and
(B) the taxpayer is not liable for delinquent property taxes first
due and payable in a previous installment for a personal
property tax return for property in the same taxing district;
the amount of the penalty is equal to five percent (5%) of the
amount of delinquent taxes.
(3) If subdivision (1) or (2) does not apply, the amount of the
penalty is equal to ten percent (10%) of the amount of delinquent
taxes.
(b) With respect to property taxes due in two (2) equal installments
under IC 6-1.1-22-9(a), on the day immediately following the due dates
of the first and second installments in each year following the year of
the initial delinquency, an additional penalty equal to ten percent (10%)
of any taxes remaining unpaid shall be added. With respect to property
taxes due in installments under IC 6-1.1-22-9.5, an additional penalty
equal to ten percent (10%) of any taxes remaining unpaid shall be
added on the day immediately following each date that succeeds the
last installment due date by:
(1) six (6) months; or
(2) a multiple of six (6) months.
(c) The penalties under subsection (b) are imposed only on the
principal amount of the delinquent taxes.
(d) If the department of local government finance determines that
an emergency has occurred which precludes the mailing of the tax
statement in any county at the time set forth in IC 6-1.1-22-8.1, the
department shall establish by order a new date on which the installment
of taxes in that county is due and no installment is delinquent if paid by
the date so established.
(e) If any due date falls on a Saturday, a Sunday, a national legal
holiday recognized by the federal government, or a statewide holiday,
the act that must be performed by that date is timely if performed by
the next succeeding day that is not a Saturday, a Sunday, or one (1) of
those holidays.
(f) Subject to subsections (g) and (h), a payment to the county
treasurer is considered to have been paid by the due date if the payment
is:
(1) received on or before the due date by the county treasurer or
a collecting agent appointed by the county treasurer;
(2) deposited in United States first class mail:
(A) properly addressed to the principal office of the county treasurer;
(B) with sufficient postage; and
(C) postmarked by the United States Postal Service as mailed on or before the due date;
(3) deposited with a nationally recognized express parcel carrier and is:
(A) properly addressed to the principal office of the county treasurer; and
(B) verified by the express parcel carrier as:
(i) paid in full for final delivery; and
(ii) received by the express parcel carrier on or before the due date;
(4) deposited to be mailed through United States registered mail, United States certified mail, or United States certificate of mailing:
(A) properly addressed to the principal office of the county treasurer;
(B) with sufficient postage; and
(C) with a date of registration, certification, or certificate, as evidenced by any record authenticated by the United States Postal Service, on or before the due date; or
(5) made by an electronic funds transfer and the taxpayer's bank account is charged on or before the due date.
For purposes of this subsection, "postmarked" does not mean the date printed by a postage meter that affixes postage to the envelope or package containing a payment.
(g) If a payment is mailed through the United States mail and is physically received after the due date without a legible correct postmark, the person who mailed the payment is considered to have made the payment on or before the due date if the person can show by reasonable evidence that the payment was deposited in the United States mail on or before the due date.
(h) If a payment is sent via the United States mail or a nationally recognized express parcel carrier but is not received by the designated recipient, the person who sent the payment is considered to have made the payment on or before the due date if the person:
(1) can show by reasonable evidence that the payment was deposited in the United States mail, or with the express parcel carrier, on or before the due date; and
(2) makes a duplicate payment within thirty (30) days after the
date the person is notified that the payment was not received.
(1) selling at retail as described in IC 6-2.5-4-1;
(2) making a wholesale sale as described in IC 6-2.5-4-2; or
(3) a transaction described in any other section of IC 6-2.5-4.
(b) "Retail unitary transaction" means a unitary transaction that is also a retail transaction.
(1) the seller's cost of the property sold;
(2) the cost of materials used, labor or service cost, interest, losses, all costs of transportation to the seller, all taxes imposed on the seller, and any other expense of the seller;
(3) charges by the seller for any services necessary to complete the sale;
(4) delivery charges; or
(5) consideration received by the seller from a third party if:
(A) the seller actually receives consideration from a party other than the purchaser and the consideration is directly related to a price reduction or discount on the sale;
(B) the seller has an obligation to pass the price reduction or discount through to the purchaser;
(C) the amount of the consideration attributable to the sale is fixed and determinable by the seller at the time of the sale of the item to the purchaser; and
(D) the price reduction or discount is identified as a third party price reduction or discount on the invoice received by the purchaser or on a coupon, certificate, or other documentation presented by the purchaser.
For purposes of subdivision (4), delivery charges are charges by the seller for preparation and delivery of the property to a location designated by the purchaser of property, including but not limited to transportation, shipping, postage, handling, crating, and packing.
(b) "Gross retail income" does not include that part of the gross
receipts attributable to:
(1) the value of any tangible personal property received in a like
kind exchange in the retail transaction, if the value of the property
given in exchange is separately stated on the invoice, bill of sale,
or similar document given to the purchaser;
(2) the receipts received in a retail transaction which constitute
interest or finance charges or insurance premiums on either a
promissory note or an installment sales contract;
(3) discounts, including cash, terms, or coupons that are not
reimbursed by a third party that are allowed by a seller and taken
by a purchaser on a sale;
(4) interest, financing, and carrying charges from credit extended
on the sale of personal property or services if the amount is
separately stated on the invoice, bill of sale, or similar document
given to the purchaser; or
(5) any taxes legally imposed directly on the consumer that are
separately stated on the invoice, bill of sale, or similar document
given to the purchaser. or
(6) installation charges that are separately stated on the invoice,
bill of sale, or similar document given to the purchaser.
(c) A public utility's or a power subsidiary's gross retail income
includes all gross retail income received by the public utility or power
subsidiary, including any minimum charge, flat charge, membership
fee, or any other form of charge or billing.
(b) The person who acquires property or receive a service in a retail transaction is liable for the tax on the transaction and, except as otherwise provided in this chapter, shall pay the tax to the retail merchant as a separate added amount to the consideration in the transaction. The retail merchant shall collect the tax as agent for the state.
retail unitary transaction and is imposed at the following rates:
STATE
GROSS RETAIL INCOME
GROSS
FROM THE
RETAIL
RETAIL UNITARY
TAX
TRANSACTION
$ 0
less than $0.08
$ 0.01
at least $ 0.08 but less than $0.21
$ 0.02
at least $ 0.21 but less than $0.36
$ 0.03
at least $ 0.36 but less than $0.51
$ 0.04
at least $ 0.51 but less than $0.64
$ 0.05
at least $ 0.64 but less than $0.79
$ 0.06
at least $ 0.79 but less than $0.93
$ 0.07
at least $ 0.93 but less than $1.07
STATE
GROSS RETAIL INCOME
GROSS
FROM THE
RETAIL
RETAIL UNITARY
TAX
TRANSACTION
$ 0
less than $0.09
$ 0.01
at least $ 0.09 but less than $0.27
$ 0.02
at least $ 0.27 but less than $0.45
$ 0.03
at least $ 0.45 but less than $0.63
$ 0.04
at least $ 0.63 but less than $0.81
$ 0.05
at least $ 0.81 but less than $1.00
$ 0.06
at least $ 1.00 but less than $1.18
On a retail unitary transaction in which the gross retail income received
by the retail merchant is one dollar and seven cents ($1.07) eighteen
cents ($1.18) or more, the state gross retail tax is seven five and
one-half percent (7%) (5.5%) of that gross retail income.
(b) If the tax computed under subsection (a) results in a fraction of
one-half cent ($0.005) or more, the amount of the tax shall be rounded
to the next additional cent.
(1) The exercise of any right or power of ownership over tangible personal property.
(2) The employment of a service for its intended purpose.
(b) As used in this chapter, "storage" means the keeping or retention of tangible personal property in Indiana for any purpose except the subsequent use of that property solely outside Indiana.
(c) As used in this chapter, "a retail merchant engaged in business
in Indiana" includes any retail merchant who makes retail transactions
in which a person acquires personal property or services for use,
storage, or consumption in Indiana and who:
(1) maintains an office, place of distribution, sales location,
sample location, warehouse, storage place, or other place of
business which is located in Indiana and which the retail
merchant maintains, occupies, or uses, either permanently or
temporarily, either directly or indirectly, and either by the retail
merchant or through a representative, agent, or subsidiary;
(2) maintains a representative, agent, salesman, salesperson,
canvasser, or solicitor who, while operating in Indiana under the
authority of and on behalf of the retail merchant or a subsidiary of
the retail merchant, sells, delivers, installs, repairs, assembles,
sets up, accepts returns of, bills, invoices, or takes orders for sales
of tangible personal property or services to be used, stored, or
consumed in Indiana;
(3) is otherwise required to register as a retail merchant under
IC 6-2.5-8-1; or
(4) may be required by the state to collect tax under this article to
the extent allowed under the Constitution of the United States and
federal law.
(d) Notwithstanding any other provision of this section, tangible or
intangible property that is:
(1) owned or leased by a person that has contracted with a
commercial printer for printing; and
(2) located at the premises of the commercial printer;
shall not be considered to be, or to create, an office, a place of
distribution, a sales location, a sample location, a warehouse, a storage
place, or other place of business maintained, occupied, or used in any
way by the person. A commercial printer with which a person has
contracted for printing shall not be considered to be in any way a
representative, an agent, a salesman, salesperson, a canvasser, or a
solicitor for the person.
(b) The use tax is also imposed on the storage, use, or consumption of a vehicle, an aircraft, or a watercraft, if the vehicle, aircraft, or
watercraft:
(1) is acquired in a transaction that is an isolated or occasional
sale; and
(2) is required to be titled, licensed, or registered by this state for
use in Indiana.
(c) The use tax is imposed on the addition of tangible personal
property to a structure or facility and services used for an addition of
tangible personal property to a structure or facility, if, after its
addition, the property becomes part of the real estate on which the
structure or facility is located. However, the use tax does not apply to
additions of tangible personal property described in this subsection, if:
(1) the state gross retail or use tax has been previously imposed
on the sale or use of that property; or
(2) the ultimate purchaser or recipient of that property or service
would have been exempt from the state gross retail and use taxes
if that purchaser or recipient had directly purchased the property
or service from the supplier for addition to the structure or
facility.
(d) The use tax is imposed on a person who:
(1) manufactures, fabricates, or assembles tangible personal
property from materials either within or outside Indiana; and
(2) uses, stores, distributes, or consumes tangible personal
property in Indiana.
(e) Notwithstanding any other provision of this section, the use tax
is not imposed on the keeping, retaining, or exercising of any right or
power over tangible personal property, if:
(1) the property is delivered into Indiana by or for the purchaser
of the property;
(2) the property is delivered in Indiana for the sole purpose of
being processed, printed, fabricated, or manufactured into,
attached to, or incorporated into other tangible personal property;
and
(3) the property is subsequently transported out of state for use
solely outside Indiana.
(f) As used in this subsection, "prepurchase evaluation" means an
examination of an aircraft by a potential purchaser for the purpose of
obtaining information relevant to the potential purchase of the aircraft.
Notwithstanding any other provision of this section, the use tax is not
imposed on the keeping, retaining, or exercising of any right or power
over an aircraft, if:
(1) the aircraft is titled, registered, or based (as defined in
IC 6-6-6.5-1(m)) in another state or country;
(2) the aircraft is delivered to Indiana by or for a nonresident owner or purchaser of the aircraft;
(3) the aircraft is delivered to Indiana for the sole purpose of being repaired, refurbished, remanufactured, or subjected to a prepurchase evaluation; and
(4) after completion of the repair, refurbishment, remanufacture, or prepurchase evaluation, the aircraft is transported to a destination outside Indiana.
(1) the property or service was acquired in a retail transaction in Indiana and the state gross retail tax has been paid on the acquisition of that property or service; or
(2) the property or service was acquired in a transaction that is wholly or partially exempt from the state gross retail tax under any part of IC 6-2.5-5, except IC 6-2.5-5-24(b), and the property or service is being used, stored, or consumed for the purpose for which it was exempted.
(b) If a person issues a state gross retail or use tax exemption certificate for the acquisition of tangible personal property or a service and subsequently uses, stores, or consumes that property or service for a nonexempt purpose, then the person shall pay the use tax.
(b) The person who uses, stores, or consumes the tangible personal property or uses the service acquired in a retail transaction is personally liable for the use tax.
(c) The person liable for the use tax shall pay the tax to the retail merchant from whom the person acquired the property or service, and the retail merchant shall collect the tax as an agent for the state, if the
retail merchant is engaged in business in Indiana or if the retail
merchant has departmental permission to collect the tax. In all other
cases, the person shall pay the use tax to the department.
(d) Notwithstanding subsection (c), a person liable for the use tax
imposed in respect to a vehicle, watercraft, or aircraft under section
2(b) of this chapter shall pay the tax:
(1) to the titling agency when the person applies for a title for the
vehicle or the watercraft;
(2) to the registering agency when the person registers the
aircraft; or
(3) to the registering agency when the person registers the
watercraft because it is a United States Coast Guard documented
vessel;
unless the person presents proof to the agency that the use tax or state
gross retail tax has already been paid with respect to the purchase of
the vehicle, watercraft, or aircraft or proof that the taxes are
inapplicable because of an exemption under this article.
(e) At the time a person pays the use tax for the purchase of a
vehicle to a titling agency pursuant to subsection (d), the titling agency
shall compute the tax due based on the presumption that the sale price
was the average selling price for that vehicle, as determined under a
used vehicle buying guide to be chosen by the titling agency. However,
the titling agency shall compute the tax due based on the actual sale
price of the vehicle if the buyer, at the time the buyer pays the tax to the
titling agency, presents documentation to the titling agency sufficient
to rebut the presumption set forth in this subsection and to establish the
actual selling price of the vehicle.
(1) acquired the property for storage, use, or consumption in Indiana; and
(2) received the service in Indiana.
However, the person or the retail merchant can produce evidence to rebut that presumption.
(b) A retail merchant is not required to produce evidence of nontaxability under subsection (a) if the retail merchant receives from the person who acquired the property or service an exemption certificate which certifies, in the form prescribed by the department, that the acquisition is exempt from the use tax.
(c) A retail merchant that sells tangible personal property or a service to a person that purchases the tangible personal property or service for use or consumption in providing public transportation under IC 6-2.5-5-27 may verify the exemption by obtaining the person's:
(1) name;
(2) address; and
(3) motor carrier number, United States Department of Transportation number, or any other identifying number authorized by the department.
The person engaged in public transportation shall provide a signature to affirm under penalties of perjury that the information provided to the retail merchant is correct and that the tangible personal property or service is being purchased for an exempt purpose.
(b) If the department assesses the use tax against a person for the person's storage, use, or consumption of tangible personal property or use of a service in Indiana, and if the person has already paid the use tax in relation to that property or service to a retail merchant who is registered under IC 6-2.5-6, to the department, or, in the case of a vehicle or aircraft, to the proper state agency, then the person may avoid paying the use tax to the department if
(b) A person is engaged in selling at retail when, in the ordinary course of
(1) The person:
(A) acquires tangible personal property for the purpose of resale; and
(2) The person performs a service for consideration.
(c) For purposes of determining what constitutes selling at retail, it does not matter whether:
(1) the property is transferred or the service is performed in the same form as when it was acquired;
(2) the property is transferred or the service is performed alone or in conjunction with other property or services; or
(3) the property is transferred or the service is performed conditionally or otherwise.
(d) Notwithstanding subsection (b), a person is not selling at retail if
(e) The gross retail income received from selling at retail is only taxable under this article to the extent that the income represents
(f) Notwithstanding subsection (e):
(1) in the case of retail sales of gasoline (as defined in IC 6-6-1.1-103) and special fuel (as defined in IC 6-6-2.5-22), the gross retail income received from selling at retail is the total sales price of the gasoline or special fuel minus the part of that price attributable to tax imposed under IC 6-6-1.1, IC 6-6-2.5, or Section 4041(a) or Section 4081 of the Internal Revenue Code; and
(2) in the case of retail sales of cigarettes (as defined in IC 6-7-1-2), the gross retail income received from selling at retail is the total sales price of the cigarettes, including the tax imposed under IC 6-7-1.
retail merchant making a retail transaction when he the person is
making wholesale sales.
(b) For purposes of this section, a person is making wholesale sales
when he: the person:
(1) sells tangible personal property, other than capital assets or
depreciable property, to a person who purchases the property for
the purpose of reselling it without changing its form;
(2) sells tangible personal property to a person who purchases the
property for direct consumption as a material in the direct
production of other tangible personal property produced by the
person in his the person's business of manufacturing, processing,
refining, repairing, mining, agriculture, or horticulture;
(3) sells tangible personal property to a person who purchases the
property for incorporation as a material or integral part of tangible
personal property produced by the person in his the person's
business of manufacturing, assembling, constructing, refining, or
processing;
(4) sells drugs, medical or dental preparations, or other similar
materials to a person who purchases the materials for direct
consumption in professional use by a physician, hospital,
embalmer, funeral director, or tonsorial parlor;
(5) sells tangible personal property to a person who purchases the
property for direct consumption in his the person's business of
industrial cleaning; or
(6) sells tangible personal property to a person who purchases the
property for direct consumption in the person's business in the
direct rendering of public utility service.
(c) Notwithstanding any provision of this article, a person is not
making a retail transaction when he:
(1) acquires tangible personal property owned by another person;
(2) provides industrial processing or servicing, including
enameling or plating, on the property; and
(3) transfers the property back to the owner to be sold by that
owner either in the same form or as a part of other tangible
personal property produced by that owner in his business of
manufacturing, assembling, constructing, refining, or processing.
for the use of those public utilities.
(b) A power subsidiary or a person engaged as a public utility is a
retail merchant making a retail transaction when the subsidiary or
person furnishes or sells electrical energy, natural or artificial gas,
water, steam, or steam heating service to a person for commercial or
domestic consumption.
(c) Notwithstanding subsection (b), a power subsidiary or a person
engaged as a public utility is not a retail merchant making a retail
transaction in any of the following transactions:
(1) The power subsidiary or person provides, installs, constructs,
services, or removes tangible personal property which is used in
connection with the furnishing of the services or commodities
listed in subsection (b).
(2) (1) The power subsidiary or person sells the services or
commodities listed in subsection (b) to another public utility or
power subsidiary described in this section or a person described
in section 6 of this chapter.
(3) (2) The power subsidiary or person sells the services or
commodities listed in subsection (b) to a person for use in
manufacturing, mining, production, refining, oil extraction,
mineral extraction, irrigation, agriculture, or horticulture.
However, this exclusion for sales of the services and commodities
only applies if the services are consumed as an essential and
integral part of an integrated process that produces tangible
personal property and those sales are separately metered for the
excepted uses listed in this subdivision, or if those sales are not
separately metered but are predominately used by the purchaser
for the excepted uses listed in this subdivision.
(4) (3) The power subsidiary or person sells the services or
commodities listed in subsection (b) and all the following
conditions are satisfied:
(A) The services or commodities are sold to a business that
after June 30, 2004:
(i) relocates all or part of its operations to a facility; or
(ii) expands all or part of its operations in a facility;
located in a military base (as defined in IC 36-7-30-1(c)), a
military base reuse area established under IC 36-7-30, the part
of an economic development area established under
IC 36-7-14.5-12.5 that is or formerly was a military base (as
defined in IC 36-7-30-1(c)), a military base recovery site
designated under IC 6-3.1-11.5, or a qualified military base
enhancement area established under IC 36-7-34.
(B) The business uses the services or commodities in the facility described in clause (A) not later than five (5) years after the operations that are relocated to the facility or expanded in the facility commence.
(C) The sales of the services or commodities are separately metered for use by the relocated or expanded operations.
(D) In the case of a business that uses the services or commodities in a qualified military base enhancement area established under IC 36-7-34-4(1), the business must satisfy at least one (1) of the following criteria:
(i) The business is a participant in the technology transfer program conducted by the qualified military base (as defined in IC 36-7-34-3).
(ii) The business is a United States Department of Defense contractor.
(iii) The business and the qualified military base have a mutually beneficial relationship evidenced by a memorandum of understanding between the business and the United States Department of Defense.
(E) In the case of a business that uses the services or commodities in a qualified military base enhancement area established under IC 36-7-34-4(2), the business must satisfy at least one (1) of the following criteria:
(i) The business is a participant in the technology transfer program conducted by the qualified military base (as defined in IC 36-7-34-3).
(ii) The business and the qualified military base have a mutually beneficial relationship evidenced by a memorandum of understanding between the business and the qualified military base (as defined in IC 36-7-34-3).
However, this subdivision does not apply to a business that substantially reduces or ceases its operations at another location in Indiana in order to relocate its operations in an area described in this subdivision, unless the department determines that the business had existing operations in the area described in this subdivision and that the operations relocated to the area are an expansion of the business's operations in the area.
30, 2006, and before July 1, 2009, through home energy
assistance (as defined in IC 6-2.5-5-16.5).
(1) furnishes or sells an intrastate telecommunication service; and
(2) receives gross retail income from billings or statements rendered to customers.
(b) Notwithstanding subsection (a), a person is not a retail merchant making a retail transaction when:
(1) the person furnishes or sells telecommunication services to another person described in this section or in section 5 of this chapter;
(2) the person furnishes telecommunications services to another person who is providing prepaid calling services or prepaid wireless calling services in a retail transaction to customers who access the services through the use of
(A) prepaid telephone calling card or the reauthorization of a prepaid telephone calling card; or
(B) prepaid telephone authorization number or the reauthorization of a prepaid telephone authorization number; or
(3) the person furnishes intrastate mobile telecommunications service (as defined in IC 6-8.1-15-7) to a customer with a place of primary use that is not located in Indiana (as determined under IC 6-8.1-15).
(c) Subject to IC 6-2.5-12 and IC 6-8.1-15, and notwithstanding subsections (a) and (b), if charges for telecommunication services, ancillary services, Internet access, audio services, or video services that are not taxable under this article are aggregated with and not separately stated from charges subject to taxation under this article, the charges for nontaxable telecommunication services, ancillary services, Internet access, audio services, or video services are subject to taxation unless the service provider can reasonably identify the charges not subject to the tax from the service provider's books and records kept in the regular course of business.
retail merchant making a retail transaction:
(1) when the person sells tangible personal property which: or
services;
(1) (2) when the tangible personal property is to be added to a
structure or facility or the service is used to add tangible
personal property to a structure or facility by the purchaser;
and
(2) (3) after its the addition to the structure or facility, the
tangible personal property would become a part of the real
estate on which the structure or facility is located.
(b) Notwithstanding subsection (a), a transaction described in
subsection (a) is not a retail transaction if the ultimate purchaser or
recipient of the property to be added to the structure or facility would
be exempt from the state gross retail and use taxes if that purchaser or
recipient had directly purchased the property from the supplier for
addition to the structure or facility.
(b) A person is a retail merchant making a retail transaction when the person sells any tangible personal property which has been rented or leased in the regular course of the person's rental or leasing business.
(b)
(b) Transactions involving tangible personal property other than a new motor vehicle are exempt from the state gross retail tax if the person acquiring the property acquires it for resale, rental, or leasing in the ordinary course of the person's business without changing the form of the property.
(c) The following transactions involving a new motor vehicle are exempt from the state gross retail tax:
(1) A transaction in which a person that has a franchise in effect at the time of the transaction for the vehicle trade name, trade or service mark, or related characteristics acquires a new motor vehicle for resale, rental, or leasing in the ordinary course of the person's business.
(2) A transaction in which a person that is a franchisee appointed by a manufacturer or converter manufacturer licensed under IC 9-23 acquires a new motor vehicle that has at least one (1) trade name, service mark, or related characteristic as a result of modification or further manufacture by the manufacturer or converter manufacturer for resale, rental, or leasing in the ordinary course of the person's business.
(3) A transaction in which a person acquires a new motor vehicle for rental or leasing in the ordinary course of the person's business.
(d) The rental or leasing of accommodations to a promoter by a political subdivision (including a capital improvement board) or the state fair commission is not exempt from the state gross retail tax, if the rental or leasing of the property by the promoter is exempt under
(e) This subsection applies only to aircraft acquired after June 30, 2008. Except as provided in subsection (h), a transaction in which a person acquires an aircraft for rental or leasing in the ordinary course of the person's business is not exempt from the state gross retail tax unless the person establishes, under guidelines adopted by the department in the manner provided in IC 4-22-2-37.1 for the adoption of emergency rules, that the annual amount of the gross lease revenue derived from leasing or rental of the aircraft, which may include revenue from related party transactions, is equal to or greater than seven and five-tenths percent (7.5%) of the:
(1) book value of the aircraft, as published in the Vref Aircraft
Value Reference guide for the aircraft; or
(2) net acquisition price for the aircraft.
If a person acquires an aircraft below the Vref Aircraft Value
Reference guide book value, the person may appeal to the department
for a lower lease or rental threshold equal to the actual acquisition price
paid if the person demonstrates that the transaction was completed in
a commercially reasonable manner based on the aircraft's age,
condition, and equipment. The department may request the person to
submit to the department supporting documents showing the aircraft is
available for general public lease or rental, copies of business and
aircraft insurance policies, and other documents that assist the
department in determining if an aircraft is exempt from the state gross
retail tax.
(f) A person is required to meet the requirements of subsection (e)
until the earlier of the date the aircraft has generated sales tax on leases
or rental income that is equal to the amount of the original sales tax
exemption or the elapse of thirteen (13) years. If the aircraft is sold by
the person before meeting the requirements of this section and before
the sale the aircraft was exempt from gross retail tax under subsection
(e), the sale of the aircraft shall not result in the assessment or
collection of gross retail tax for the period from the date of acquisition
to the date of sale by the person.
(g) The person is required to remit the gross retail tax on taxable
lease and rental transactions no matter how long the aircraft is used for
lease and rental.
(h) This subsection applies only to aircraft acquired after December
31, 2007. A transaction in which a person acquires an aircraft to rent
or lease the aircraft to another person for predominant use in public
transportation by the other person or by an affiliate of the other person
is exempt from the state gross retail tax. The department may not
require a person to meet the revenue threshold in subsection (e) with
respect to the person's leasing or rental of the aircraft to receive or
maintain the exemption. To maintain the exemption provided under
this subsection, the department may require the person to submit only
annual reports showing that the aircraft is predominantly used to
provide public transportation.
(i) The exemptions allowed under subsections (e) and (h) apply
regardless of the relationship, if any, between the person or lessor and
the lessee or renter of the aircraft.
"private benefit or gain" does not include reasonable compensation
paid to an employee for work or services actually performed.
(b) Sales of food, and food ingredients, and delivery of food or
food ingredients are exempt from the state gross retail tax if:
(1) the seller meets the filing requirements under subsection (d)
and is any of the following:
(A) A fraternity, a sorority, or a student cooperative housing
organization that is connected with and under the supervision
of a postsecondary educational institution if no part of its
income is used for the private benefit or gain of any member,
trustee, shareholder, employee, or associate.
(B) Any:
(i) institution;
(ii) trust;
(iii) group;
(iv) united fund;
(v) affiliated agency of a united fund;
(vi) nonprofit corporation;
(vii) cemetery association; or
(viii) organization;
that is organized and operated exclusively for religious,
charitable, scientific, literary, educational, or civic purposes if
no part of its income is used for the private benefit or gain of
any member, trustee, shareholder, employee, or associate.
(C) A group, an organization, or a nonprofit corporation that
is organized and operated for fraternal or social purposes, or
as a business league or association, and not for the private
benefit or gain of any member, trustee, shareholder, employee,
or associate.
(D) A:
(i) hospital licensed by the state department of health;
(ii) shared hospital services organization exempt from
federal income taxation by Section 501(c)(3) or 501(e) of
the Internal Revenue Code;
(iii) labor union;
(iv) church;
(v) monastery;
(vi) convent;
(vii) school that is a part of the Indiana public school
system;
(viii) parochial school regularly maintained by a recognized
religious denomination; or
(ix) trust created for the purpose of paying pensions to members of a particular profession or business who created the trust for the purpose of paying pensions to each other;
if the taxpayer is not organized or operated for private profit or gain;
(2) the purchaser is a person confined to
(3) the seller delivers the food and food ingredients to the purchaser; and
(4) the delivery is prescribed as medically necessary by a physician licensed to practice medicine in Indiana.
(c) Sales of food,
(d) To obtain the exemption provided by this section, a taxpayer must file an application for exemption with the department:
(1) before January 1, 2003, under IC 6-2.1-3-19 (repealed); or
(2) not later than one hundred twenty (120) days after the taxpayer's formation.
In addition, the taxpayer must file an annual report with the department on or before the fifteenth day of the fifth month following the close of each taxable year. If a taxpayer fails to file the report, the department shall notify the taxpayer of the failure. If within sixty (60) days after receiving such notice the taxpayer does not provide the report, the taxpayer's exemption shall be canceled. However, the department may reinstate the taxpayer's exemption if the taxpayer shows by petition that the failure was due to excusable neglect.
(1) a registered pharmacist makes the sale upon the prescription of a practitioner who is licensed to practice medicine in Indiana; or
(2) the licensed practitioner makes the sale of the food,
if:
(1) the seller is an organization that is described in section
21(b)(1) of this chapter;
(2) the organization makes the sale to make money to carry on a
not-for-profit purpose; and
(3) the organization does not make those sales during more than
thirty (30) days in a calendar year.
(b) Sales of tangible personal property or services are exempt from
the state gross retail tax, if:
(1) the seller is an organization described in section 21(b)(1) of
this chapter;
(2) the seller is not operated predominantly for social purposes;
(3) the property or service sold is designed and intended
primarily either for the organization's educational, cultural, or
religious purposes, or for improvement of the work skills or
professional qualifications of the organization's members; and
(4) the property or service sold is not designed or intended
primarily for use in carrying on a private or proprietary business.
(c) The exemption provided by this section does not apply to an
accredited college or university's sales of books, stationery,
haberdashery, supplies, or other property or noneducational services.
(1) Preventive care.
(2) Inpatient and outpatient hospital and physician care.
(3) Diagnostic laboratory care.
(4) Diagnostic and therapeutic radiological services.
(5) Emergency care.
(6) Mental health services.
(7) Services for alcohol and drug abuse.
(8) Dental services.
(9) Vision services.
(10) Long term rehabilitation treatment.
(11) Home health services.
(b) Sales of insurance coverage that will pay for services listed in subsection (a) are exempt from the state gross retail and use tax.
(1) has rooms, lodgings, and accommodations located in a hotel, motel, inn, tourist camp, tourist cabin, gymnasium, hall, coliseum, or other place where rooms, lodgings, or accommodations are regularly furnished for consideration; and
(2) is operated by a political subdivision (including a capital improvement board established under IC 36-10-8 or IC 36-10-9) or the state fair commission.
This section does not exempt from the state gross retail tax the renting of accommodations by a political subdivision or the state fair commission to a promoter or an exhibitor.
(1)
(2) the retail merchant's total gross retail income from taxable transactions made during the reporting period.
The amount determined under this section is the retail merchant's state gross retail and use tax liability regardless of the amount of tax the
retail merchant actually collects.
(1) the amount of that gross retail income; multiplied by
(2) the retail merchant's "income exclusion ratio" for the tax year which contains the reporting period.
(b) A retail merchant's "income exclusion ratio" for a particular tax year equals a fraction, the numerator of which is the retail merchant's estimated total gross retail income for the tax year from unitary retail transactions which produce gross retail income of less than
(c) In order to minimize a retail merchant's recordkeeping requirements, the department shall prescribe a procedure for determining the retail merchant's income exclusion ratio for a tax year, based on a period of time, not to exceed fifteen (15) consecutive days, during the first quarter of the retail merchant's tax year. However, the period of time may be changed if the change is requested by the retail merchant because of the retail merchant's peculiar accounting procedures or marketing factors. In addition, if a retail merchant has multiple sales locations or diverse types of sales, the department shall permit the retail merchant to determine the ratio on the basis of a representative sampling of the locations and types of sales.
(1) resulted from retail transactions in which the retail merchant did not collect the state gross retail or use tax from the purchaser;
(2) resulted from retail transactions on which the retail merchant
has previously paid the state gross retail or use tax liability to the
department; and
(3) were written off as an uncollectible debt for federal tax
purposes under Section 166 of the Internal Revenue Code during
the particular reporting period.
(b) If a retail merchant deducts a receivable under subsection (a)
and subsequently collects all or part of that receivable, then the retail
merchant shall, subject to subsection (d)(6), include the amount
collected as part of the retail merchant's gross retail income from retail
transactions for the particular reporting period in which the retail
merchant makes the collection.
(c) This subsection applies only to retail transactions occurring after
June 30, 2007. December 31, 2006. As used in this subsection,
"affiliated group" means any combination of the following:
(1) An affiliated group within the meaning provided in Section
1504 of the Internal Revenue Code (except that the ownership
percentage in Section 1504(a)(2) of the Internal Revenue Code
shall be determined using fifty percent (50%) instead of eighty
percent (80%)) or a relationship described in Section 267(b)(11)
of the Internal Revenue Code.
(2) Two (2) or more partnerships (as defined in IC 6-3-1-19),
including limited liability companies and limited liability
partnerships, that have the same degree of mutual ownership as
an affiliated group described in subdivision (1), as determined
under the rules adopted by the department.
The right to a deduction under this section is not assignable to an
individual or entity that is not part of the same affiliated group as the
assignor.
(d) The following provisions apply to a deduction for a receivable
treated as uncollectible debt under subsection (a):
(1) The deduction does not include interest.
(2) The amount of the deduction shall be determined in the
manner provided by Section 166 of the Internal Revenue Code for
bad debts but shall be adjusted to exclude:
(A) financing charges or interest;
(B) sales or use taxes charged on the purchase price;
(C) uncollectible amounts on property that remain in the
possession of the seller or a service that is not delivered until
the full purchase price is paid;
(D) expenses incurred in attempting to collect any debt; and
(E) repossessed property.
(3) The deduction shall be claimed on the return for the period
during which the receivable is written off as uncollectible in the
claimant's books and records and is eligible to be deducted for
federal income tax purposes. For purposes of this subdivision, a
claimant who is not required to file federal income tax returns
may deduct an uncollectible receivable on a return filed for the
period in which the receivable is written off as uncollectible in the
claimant's books and records and would be eligible for a bad debt
deduction for federal income tax purposes if the claimant were
required to file a federal income tax return.
(4) If the amount of uncollectible receivables claimed as a
deduction by a retail merchant for a particular reporting period
exceeds the amount of the retail merchant's taxable sales for that
reporting period, the retail merchant may file a refund claim
under IC 6-8.1-9. However, the deadline for the refund claim shall
be measured from the due date of the return for the reporting
period on which the deduction for the uncollectible receivables
could first be claimed.
(5) If a retail merchant's filing responsibilities have been assumed
by a certified service provider (as defined in IC 6-2.5-11-2), the
certified service provider may claim, on behalf of the retail
merchant, any deduction or refund for uncollectible receivables
provided by this section. The certified service provider must
credit or refund the full amount of any deduction or refund
received to the retail merchant.
(6) For purposes of reporting a payment received on a previously
claimed uncollectible receivable, any payments made on a debt or
account shall be applied first proportionally to the taxable price
of the property or service and the state gross retail tax or use tax
thereon, and secondly to interest, service charges, and any other
charges.
(7) A retail merchant claiming a deduction for an uncollectible
receivable may allocate that receivable among the states that are
members of the streamlined sales and use tax agreement if the
books and records of the retail merchant support that allocation.
collection allowance.
(b) The allowance equals a percentage of the retail merchant's state
gross retail and use tax liability accrued during a calendar year,
specified as follows:
(1) Seventy-three Ninety-three hundredths percent (0.73%),
(0.93%) if the retail merchant's state gross retail and use tax
liability accrued during the state fiscal year ending on June 30 of
the immediately preceding calendar year did not exceed sixty
thousand dollars ($60,000).
(2) Fifty-three Sixty-seven hundredths percent (0.53%), (0.67%),
if the retail merchant's state gross retail and use tax liability
accrued during the state fiscal year ending on June 30 of the
immediately preceding calendar year:
(A) was greater than sixty thousand dollars ($60,000); and
(B) did not exceed six hundred thousand dollars ($600,000).
(3) Twenty-six Thirty-three hundredths percent (0.26%),
(0.33%), if the retail merchant's state gross retail and use tax
liability accrued during the state fiscal year ending on June 30 of
the immediately preceding calendar year was greater than six
hundred thousand dollars ($600,000).
(c) A retail merchant described in IC 6-2.5-4-5 or IC 6-2.5-4-6 is not
entitled to the allowance provided by this section.
(1) the price per unit before the addition of state and federal taxes; multiplied by
(2)
The retail merchant shall collect the state gross retail tax prescribed in this section even if the transaction is exempt from taxation under IC 6-2.5-5.
(b) With respect to the sale of special fuel or kerosene which is dispensed from a metered pump, unless the purchaser provides an exemption certificate in accordance with IC 6-2.5-8-8, a retail merchant shall collect, for each unit of special fuel or kerosene sold, state gross retail tax in an amount equal to the product, rounded to the nearest one-tenth of one cent ($0.001), of:
(1) the price per unit before the addition of state and federal taxes;
multiplied by
(2) seven five and one-half percent (7%). (5.5%).
Unless the exemption certificate is provided, the retail merchant shall
collect the state gross retail tax prescribed in this section even if the
transaction is exempt from taxation under IC 6-2.5-5.
(1) The total number of gallons of gasoline sold from a metered pump during the period covered by the report.
(2) The total amount of money received from the sale of gasoline described in subdivision (1) during the period covered by the report.
(3) That portion of the amount described in subdivision (2) which represents state and federal taxes imposed under this article, IC 6-6-1.1, or Section 4081 of the Internal Revenue Code.
(4) The total number of gallons of special fuel sold from a metered pump during the period covered by the report.
(5) The total amount of money received from the sale of special fuel during the period covered by the report.
(6) That portion of the amount described in subdivision (5) that represents state and federal taxes imposed under this article, IC 6-6-2.5, or Section 4041 of the Internal Revenue Code.
(7) The total number of gallons of E85 sold from a metered pump during the period covered by the report.
(b) Concurrently with filing the report, the retail merchant shall remit the state gross retail tax in an amount which equals
(c) A retail merchant is entitled to deduct from the amount of state gross retail tax required to be remitted under subsection (b) the amount
determined under STEP THREE of the following formula:
STEP ONE: Determine:
(A) the sum of the prepayment amounts made during the
period covered by the retail merchant's report; minus
(B) the sum of prepayment amounts collected by the retail
merchant, in the merchant's capacity as a qualified distributor,
during the period covered by the retail merchant's report.
STEP TWO: Subject to subsections (d) and (f), for qualified
reporting periods beginning after June 30, 2009, and ending
before July 1, 2020, determine the product of:
(A) eighteen cents ($0.18); multiplied by
(B) the number of gallons of E85 sold at retail by the retail
merchant during the period covered by the retail merchant's
report.
STEP THREE: Add the amounts determined under STEPS ONE
and TWO.
For purposes of this section, a prepayment of the gross retail tax is
presumed to occur on the date on which it is invoiced.
(d) The total amount of deductions allowed under subsection (c)
STEP TWO may not exceed the amount of money that the budget
agency determines is available in the retail merchant E85 deduction
reimbursement fund established under IC 15-15-12-30.5 for the
deductions for all retail merchants in a particular qualified reporting
period. A retail merchant is not required to apply for an allocation of
deductions under subsection (c) STEP TWO. Before August 1 of each
year, the budget agency shall estimate whether the amount of
deductions from the immediately preceding qualified reporting period
that are subject to reimbursement under IC 15-15-12-30.5(f) and the
deductions expected to be reported under subsection (c) STEP TWO
for the qualified reporting periods beginning after December 31 and
ending before April 1 of the following year will exceed the amount of
money available in the retail merchant E85 deduction reimbursement
fund for the deductions. If the budget agency determines that the
amount of money in the retail merchant E85 deduction reimbursement
fund is insufficient to cover the amount of the deductions expected to
be reported, the budget agency shall publish in the Indiana Register a
notice that the deduction program under subsection (c) STEP TWO is
suspended with respect to the qualified reporting periods occurring in
the following calendar year and that no deductions will be granted for
retail transactions occurring in the qualified reporting periods occurring
in the following calendar year.
(e) As used in this section, "qualified reporting period" refers to a
reporting period beginning after December 31 and ending before April
1 of each year.
(f) The budget agency may suspend the deduction program under
subsection (c) STEP TWO for a particular year at any time during a
qualified reporting period if the budget agency determines that the
amount of money in the retail merchant E85 deduction reimbursement
fund and the amount of money that will be transferred to the fund on
July 1 will not be sufficient to reimburse the deductions expected to
occur before the deduction program for the year ends on March 31. The
budget agency shall immediately provide notice to the participating
retail merchants of the decision to suspend the deduction program for
that year.
(b) Upon receiving the application and fee, the department may issue a manufacturer's or wholesaler's certificate for each place of business listed on the application. Each certificate shall contain a serial number and the location of the place of business for which it is issued.
(b) Upon receiving the application, the department may issue an exempt organization certificate containing a serial number and the principal location of the exempt organization.
(b) The department shall deposit those collections in the following manner:
(1)
(2)
(3)
(4)
Chapter 14. Homestead Property Tax Replacement Distributions
Sec. 1. (a) Before July 1, 2010, and before July 1 each year thereafter, the department of local government finance shall determine for each county a homestead property tax replacement amount for the following year.
(b) A county's homestead property tax replacement amount is the result of the following:
STEP ONE: Determine the amount of net property taxes that would be first due and payable in the determination year in the county on all homesteads (as defined in IC 6-1.1-10.2-1). This determination shall be made as if:
(A) homesteads were subject to assessment for ad valorem property taxes in the determination year;
(B) the assessed value deductions provided by IC 6-1.1-12-37 and IC 6-1.1-12-37.5 (before their repeal) were still in effect; and
(C) the homestead circuit breaker credit under IC 6-1.1-20.6-7.5 were still applicable.
STEP TWO: Determine:
(A) the STEP ONE amount; multiplied by
(B) one (1) minus the percentage determined under IC 6-1.1-17-0.5(h) for the county; multiplied by
(C) the county's assessed value growth quotient determined under IC 6-1.1-18.5-2 for property taxes first due and payable in the determination year.
(c) Before August 2 each year, the department of local
government finance shall certify in writing to each county auditor
the amount of the county's certified homestead property tax
replacement amount for the following year. Each taxing unit in a
county is entitled to receive its allocation of the certified homestead
property tax replacement amount based on the amount that each
taxing unit would have received in property taxes on homesteads
if:
(1) homesteads were subject to assessment for ad valorem
property taxes in the determination year;
(2) the assessed value deductions provided by IC 6-1.1-12-37
and IC 6-1.1-12-37.5 (before their repeal) were still in effect;
and
(3) the homestead circuit breaker credit under
IC 6-1.1-20.6-7.5 were still applicable.
(d) The department of local government finance shall reduce
each taxing unit's actual property tax levy for the year of the
distribution by the amount of the certified homestead property tax
replacement allocation to the taxing unit for that year.
Sec. 2. A taxing unit shall treat the amount certified for a year
as revenue for the purpose of fixing the taxing unit's budget for
that budget year.
Sec. 3. Each distribution under this chapter shall be made by the
auditor of state to the appropriate county treasurer. The
distribution for a year shall be made to the county treasurer in two
(2) equal installments. The first installment shall be made on the
first business day in May each year. The second installment shall
be made on the first business day in November each year. The
county auditor shall credit each installment to each taxing unit in
the county at the same time and in the same manner as property
taxes are credited.
Sec. 4. A taxing unit shall treat revenue received under this
chapter as property tax revenue. A taxing unit shall credit the
revenue received to all funds and accounts in the same proportion
as property taxes are credited to each fund or account.
Sec. 5. There is appropriated from the state general fund the
amount necessary to provide distributions under this chapter each
year.
income (as defined in IC 6-3-1-3.5(a)), the lesser of:
(1) the amount of rent paid by the individual with respect to the
dwelling during the taxable year; or
(2) three eight thousand dollars ($3,000). ($8,000).
(b) Notwithstanding subsection (a), a husband and wife filing a joint
adjusted gross income tax return for a particular taxable year may not
claim a deduction under this section of more than three eight thousand
dollars ($3,000). ($8,000).
(c) The deduction provided by this section does not apply to an
individual who rents a dwelling that is exempt from Indiana property
tax.
(d) For purposes of this section, a "dwelling" includes a single
family dwelling and unit of a multi-family dwelling.
"Adjusted gross income" has the same definition that the term is given in IC 6-3-1-3.5(a), except that in the case of a county taxpayer who is not a resident of a county that has imposed the county adjusted gross income tax, the term includes only adjusted gross income derived from the taxpayer's principal place of business or employment.
"Apartment complex" means real property consisting of at least five (5) units that are regularly used to rent or otherwise furnish residential accommodations for periods of at least thirty (30) days.
"Civil taxing unit" means any entity having the power to impose ad valorem property taxes except a school corporation. The term does not include a solid waste management district that is not entitled to a distribution under section 1.3 of this chapter. However, in the case of a consolidated city, the term "civil taxing unit" includes the consolidated city and all special taxing districts, all special service districts, and all entities whose budgets and property tax levies are subject to review under IC 36-3-6-9.
"County council" includes the city-county council of a consolidated city.
"County taxpayer" as it relates to a county for a year means any individual:
(1) who resides in that county on the date specified in section 16 of this chapter; or
(2) who maintains the taxpayer's principal place of business or employment in that county on the date specified in section 16 of this chapter and who does not on that same date reside in another county in which the county adjusted gross income tax, the county
option income tax, or the county economic development income
tax is in effect.
"Department" refers to the Indiana department of state revenue.
"Homestead" has the meaning set forth in IC 6-1.1-12-37.
"Nonresident county taxpayer" as it relates to a county for a year
means any county taxpayer for that county for that year who is not a
resident county taxpayer of that county for that year.
"Qualified residential property" refers to any either of the
following:
(1) An apartment complex.
(2) A homestead.
(3) (2) Residential rental property.
"Resident county taxpayer" as it relates to a county for a year means
any county taxpayer who resides in that county on the date specified in
section 16 of this chapter.
"Residential rental property" means real property consisting of not
more than four (4) units that are regularly used to rent or otherwise
furnish residential accommodations for periods of at least thirty (30)
days.
"School corporation" means any public school corporation
established under Indiana law.
(b) A tax rate under this section may be imposed in increments of five hundredths of one percent (0.05%) as determined by the county council. A tax rate under this section may not exceed one percent (1%).
(c) 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.
(d) If a county 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.
(e) A tax rate under this section may be imposed, increased, decreased, or rescinded by a county council at the same time and in the same manner that the county council may impose or increase a tax rate under section 24 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 council:
(1) Except as provided in subsection (j), 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 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
(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.
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) (3) 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);
(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) 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.
(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.
"Adjusted gross income" has the same definition that the term is given in IC 6-3-1-3.5. However, in the case of a county taxpayer who is not treated as a resident county taxpayer of a county, the term includes only adjusted gross income derived from the taxpayer's principal place of business or employment.
"Apartment complex" means real property consisting of at least five (5) units that are regularly used to rent or otherwise furnish residential accommodations for periods of at least thirty (30) days.
"Civil taxing unit" means any entity, except a school corporation, that has the power to impose ad valorem property taxes. The term does not include a solid waste management district that is not entitled to a distribution under section 1.3 of this chapter. However, in the case of a county in which a consolidated city is located, the consolidated city, the county, all special taxing districts, special service districts, included towns (as defined in IC 36-3-1-7), and all other political subdivisions except townships, excluded cities (as defined in IC 36-3-1-7), and school corporations shall be deemed to comprise one (1) civil taxing unit whose fiscal body is the fiscal body of the consolidated city.
"County income tax council" means a council established by section 2 of this chapter.
"County taxpayer", as it relates to a particular county, means any individual:
(1) who resides in that county on the date specified in section 20 of this chapter; or
(2) who maintains the taxpayer's principal place of business or employment in that county on the date specified in section 20 of this chapter and who does not reside on that same date in another county in which the county option income tax, the county adjusted income tax, or the county economic development income tax is in effect.
"Department" refers to the Indiana department of state revenue.
"Fiscal body" has the same definition that the term is given in IC 36-1-2-6.
"Qualified residential property" refers to
(1) An apartment complex.
"Resident county taxpayer", as it relates to a particular county, means any county taxpayer who resides in that county on the date specified in section 20 of this chapter.
"Residential rental property" means real property consisting of not more than four (4) units that are regularly used to rent or otherwise furnish residential accommodations for periods of at least thirty (30) days.
"School corporation" has the same definition that the term is given in IC 6-1.1-1-16.
(b) Using procedures described in this chapter, a county income tax council may adopt ordinances to:
(1) impose the county option income tax in its county;
(2) subject to section 12 of this chapter, rescind the county option income tax in its county;
(3) increase the county option income tax rate for the county;
(4) freeze the county option income tax rate for its county; or
(c) An ordinance adopted in a particular year under this chapter to impose or rescind the county option income tax or to increase its tax rate is effective July 1 of that year.
(1) cease distributing proposed ordinances of those types for the rest of the year; and
(2) withdraw from the membership any other of those types of proposed ordinances.
Any votes subsequently received by the auditor of the county on proposed ordinances of those types during that same year are void.
(b) The county income tax council may not vote on, nor may the auditor of the county distribute to the members of the county income tax council, any proposed ordinance during a year, if previously during that same year the auditor of the county received and distributed to the members of the county income tax council a proposed ordinance whose passage would have substantially the same effect.
(1) the amount, if any, specified by the county fiscal body for a particular calendar year under subsection
(2) the amount of an additional tax rate imposed under section 27, 28, 29, 30, 31, 32, or 33 of this chapter.
The county auditor shall distribute amounts retained under this subsection to the county.
(1) The amount of revenue that is to be distributed as distributive shares during that month; multiplied by
(2) A fraction. The numerator of the fraction equals the allocation amount for the civil taxing unit for the calendar year in which the month falls. The denominator of the fraction equals the sum of the allocation amounts of all the civil taxing units of the county for the calendar year in which the month falls.
(1) The amount to be distributed as distributive shares during that month; multiplied by
(2) A fraction. The numerator of the fraction equals the budget of that civil taxing unit for that calendar year. The denominator of the fraction equals the aggregate budgets of all civil taxing units of that county for that calendar year.
attributable to a tax rate imposed under section 30, 31, or 32 of this
chapter) to the payment of bonds or lease rentals to finance a qualified
economic development tax project under IC 36-7-27 in that county or
in any other county if the county fiscal body determines that the project
will promote significant opportunities for the gainful employment or
retention of employment of the county's residents.
(b) Notwithstanding section
(1) For the calendar year beginning January 1, 1995, calculate the total amount of revenues that are to be distributed as distributive shares during that month multiplied by the following factor:
Center Township .0251
Decatur Township .00217
Franklin Township .0023
Lawrence Township .01177
Perry Township .01130
Pike Township .01865
Warren Township .01359
Washington Township .01346
Wayne Township .01307
Lawrence-City .00858
Beech Grove .00845
Southport .00025
Speedway .00722
Indianapolis/Marion County .86409
(2) Notwithstanding subdivision (1), for the calendar year beginning January 1, 1995, the distributive shares for each civil taxing unit in a county containing a consolidated city shall be not less than the following:
Center Township $1,898,145
Decatur Township $164,103
Franklin Township $173,934
Lawrence Township $890,086
Perry Township $854,544
Pike Township $1,410,375
Warren Township $1,027,721
Washington Township $1,017,890
Wayne Township $988,397
Lawrence-City $648,848
Beech Grove $639,017
Southport $18,906
Speedway $546,000
(3) For each year after 1995, calculate the total amount of revenues that are to be distributed as distributive shares during that month as follows:
STEP ONE: Determine the total amount of revenues that were distributed as distributive shares during that month in calendar year 1995.
STEP TWO: Determine the total amount of revenue that the department has certified as distributive shares for that month under section 17 of this chapter for the calendar year.
STEP THREE: Subtract the STEP ONE result from the STEP TWO result.
STEP FOUR: If the STEP THREE result is less than or equal to zero (0), multiply the STEP TWO result by the ratio established under subdivision (1).
STEP FIVE: Determine the ratio of:
(A) the maximum permissible property tax levy under IC 6-1.1-18.5 for each civil taxing unit for the calendar year in which the month falls, plus, for a county, the welfare allocation amount; divided by
(B) the sum of the maximum permissible property tax levies under IC 6-1.1-18.5 for all civil taxing units of the county during the calendar year in which the month falls, and an amount equal to the welfare allocation amount.
STEP SIX: If the STEP THREE result is greater than zero (0), the STEP ONE amount shall be distributed by multiplying the STEP ONE amount by the ratio established under subdivision (1).
STEP SEVEN: For each taxing unit determine the STEP FIVE ratio multiplied by the STEP TWO amount.
STEP EIGHT: For each civil taxing unit determine the difference between the STEP SEVEN amount minus the product of the STEP ONE amount multiplied by the ratio established under subdivision (1). The STEP THREE excess shall be distributed as provided in STEP NINE only to the civil taxing units that have a STEP EIGHT difference greater than or equal to zero (0).
STEP NINE: For the civil taxing units qualifying for a distribution under STEP EIGHT, each civil taxing unit's share equals the STEP THREE excess multiplied by the ratio of:
(A) the maximum permissible property tax levy under IC 6-1.1-18.5 for the qualifying civil taxing unit during the calendar year in which the month falls, plus, for a county, an amount equal to the welfare allocation amount; divided by
(B) the sum of the maximum permissible property tax levies under IC 6-1.1-18.5 for all qualifying civil taxing units of the county during the calendar year in which the month falls, and an amount equal to the welfare allocation amount.
(c) The welfare allocation amount is an amount equal to the sum of the property taxes imposed by the county in 1999 for the county's welfare fund and welfare administration fund and the property taxes imposed by the county in 2008 for the county's county medical assistance to wards fund, family and children's fund, children's psychiatric residential treatment services fund, county hospital care for the indigent fund, children with special health care needs county fund, plus, in the case of Marion County, thirty-five million dollars ($35,000,000).
(b) In determining the amount of distributive shares a civil taxing unit is entitled to receive under section
(c) The distributive shares to be allocated and distributed under this chapter:
(1) shall be treated by each civil taxing unit as additional revenue for the purpose of fixing the civil taxing unit's budget for the budget year during which the distributive shares are to be distributed to the civil taxing unit; and
(2) may be used for any lawful purpose of the civil taxing unit.
(d) In the case of a civil taxing unit that includes a consolidated city, its fiscal body may distribute any revenue it receives under this chapter to any governmental entity located in its county except an excluded city, a township, or a school corporation.
(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 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 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), 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
(2) the tax revenue received by the county treasurer under this
section.
STEP FOUR: For distributions in 2009 and thereafter, the result
of this STEP is zero (0). For distribution to the county for deposit
in the county children's psychiatric residential treatment services
fund before 2009, determine the result of:
(1) the quotient of:
(A) the amount determined under STEP THREE of
IC 6-3.5-1.5-1(a) in the preceding year; divided by
(B) the STEP ONE amount; multiplied by
(2) the tax revenue received by the county treasurer under this
section.
STEP FIVE: For distribution to the county for community mental
health center purposes, determine the result of:
(1) the quotient of:
(A) the amount determined under STEP FOUR of
IC 6-3.5-1.5-1(a) in the preceding year; divided by
(B) the STEP ONE amount; multiplied by
(2) the tax revenue received by the county treasurer under this
section.
Except as provided in subsection (m), (l), the county treasurer shall
distribute the portion of the certified distribution that is attributable to
a tax rate under this section as specified in this section. The county
treasurer shall make the distributions under this subsection at the same
time that distributions are made to civil taxing units under section 18
of this chapter.
(h) Notwithstanding sections 12 and 12.5 of this chapter, a county
income tax council may not decrease or rescind a tax rate imposed
under this chapter.
(i) 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; or
(2) the maximum permissible property tax levy under STEP
EIGHT of IC 6-1.1-18.5-3(b).
(j) The tax levy under this section shall not be considered for
purposes of computing 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 for purposes of the credit under
IC 6-1.1-20.6.
(k) A distribution under this section shall be treated as a part of the
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) (l) 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), (n), 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), (n), in the
case of a county not containing a consolidated city.
(n) (m) A pledge of county option income taxes does not apply to
revenue attributable to a tax rate under this section.
(o) (n) 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) (o) Notwithstanding any other provision, a tax rate imposed
under this section may not exceed one percent (1%).
(q) (p) A county income tax 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) (q) 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.
(s) (r) 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 additional tax rate under this
section.
(b) A tax rate under this section may be imposed in increments of five hundredths of one percent (0.05%) as determined by the county income tax council. A tax rate under this section may not exceed one percent (1%).
(c) 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.
(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 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
qualified 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
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 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) (2) 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) (3) 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 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 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); 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.
(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.
(1) the county income tax council (as defined in IC 6-3.5-6-1) if the county option income tax is in effect on March 31 of the year the county economic development income tax is imposed;
(2) the county council if the county adjusted gross income tax is in effect on March 31 of the year the county economic development tax is imposed; or
(3) the county income tax council or the county council, whichever acts first, for a county not covered by subdivision (1) or (2).
To impose the county economic development income tax, a county income tax council shall use the procedures set forth in IC 6-3.5-6 concerning the imposition of the county option income tax.
(b) Except as provided in subsections (c), (g), (k), (p), and (r) and section 28 of this chapter, the county economic development income tax may be imposed at a rate of:
(1) one-tenth percent (0.1%);
(2) two-tenths percent (0.2%);
(3) twenty-five hundredths percent (0.25%);
(4) three-tenths percent (0.3%);
(5) thirty-five hundredths percent (0.35%);
(6) four-tenths percent (0.4%);
(7) forty-five hundredths percent (0.45%); or
(8) five-tenths percent (0.5%);
on the adjusted gross income of county taxpayers.
(c) Except as provided in subsection (h), (i), (j), (k), (l), (m), (n), (o), (p), (s), (v), (w), (x), or (y), the county economic development income tax rate plus the county adjusted gross income tax rate, if any, that are in effect on January 1 of a year may not exceed one and twenty-five hundredths percent (1.25%). Except as provided in subsection (g), (p), (r), (t), (u), (w), (x), or (y), the county economic development tax rate plus the county option income tax rate, if any, that are in effect on January 1 of a year may not exceed one percent (1%).
(d) To impose, increase, decrease, or rescind the county economic development income tax, the appropriate body must, after March 31 but before August 1 of a year, adopt an ordinance. The ordinance to impose the tax must substantially state the following:
"The ________ County _________ imposes the county economic development income tax on the county taxpayers of _________ County. The county economic development income tax is imposed at a rate of _________ percent (____%) on the county taxpayers of the county. This tax takes effect October 1 of this year.".
(e) Any ordinance adopted under this chapter takes effect October 1 of the year the ordinance is adopted.
(f) The auditor of a county shall record all votes taken on ordinances presented for a vote under the authority of this chapter and shall, not
more than ten (10) days after the vote, send a certified copy of the
results to the commissioner of the department by certified mail.
(g) This subsection applies to a county having a population of more
than one hundred forty-eight thousand (148,000) but less than one
hundred seventy thousand (170,000). Except as provided in subsection
(p), in addition to the rates permitted by subsection (b), the:
(1) county economic development income tax may be imposed at
a rate of:
(A) fifteen-hundredths percent (0.15%);
(B) two-tenths percent (0.2%); or
(C) twenty-five hundredths percent (0.25%); and
(2) county economic development income tax rate plus the county
option income tax rate that are in effect on January 1 of a year
may equal up to one and twenty-five hundredths percent (1.25%);
if the county income tax council makes a determination to impose rates
under this subsection and section 22 of this chapter.
(h) For a county having a population of more than forty-one
thousand (41,000) but less than forty-three thousand (43,000), except
as provided in subsection (p), the county economic development
income tax rate plus the county adjusted gross income tax rate that are
in effect on January 1 of a year may not exceed one and thirty-five
hundredths percent (1.35%) if the county has imposed the county
adjusted gross income tax at a rate of one and one-tenth percent (1.1%)
under IC 6-3.5-1.1-2.5.
(i) For a county having a population of more than thirteen thousand
five hundred (13,500) but less than fourteen thousand (14,000), except
as provided in subsection (p), the county economic development
income tax rate plus the county adjusted gross income tax rate that are
in effect on January 1 of a year may not exceed one and fifty-five
hundredths percent (1.55%).
(j) For a county having a population of more than seventy-one
thousand (71,000) but less than seventy-one thousand four hundred
(71,400), except as provided in subsection (p), the county economic
development income tax rate plus the county adjusted gross income tax
rate that are in effect on January 1 of a year may not exceed one and
five-tenths percent (1.5%).
(k) This subsection applies to a county having a population of more
than twenty-seven thousand four hundred (27,400) but less than
twenty-seven thousand five hundred (27,500). Except as provided in
subsection (p), in addition to the rates permitted under subsection (b):
(1) the county economic development income tax may be imposed
at a rate of twenty-five hundredths percent (0.25%); and
(2) the sum of the county economic development income tax rate and the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%);
if the county council makes a determination to impose rates under this subsection and section 22.5 of this chapter.
(l) For a county having a population of more than twenty-nine thousand (29,000) but less than thirty thousand (30,000), except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%).
(m) For:
(1) a county having a population of more than one hundred eighty-two thousand seven hundred ninety (182,790) but less than two hundred thousand (200,000); or
(2) a county having a population of more than forty-five thousand (45,000) but less than forty-five thousand nine hundred (45,900);
except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%).
(n) For a county having a population of more than six thousand (6,000) but less than eight thousand (8,000), except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%).
(o) This subsection applies to a county having a population of more than thirty-nine thousand (39,000) but less than thirty-nine thousand six hundred (39,600). Except as provided in subsection (p), in addition to the rates permitted under subsection (b):
(1) the county economic development income tax may be imposed at a rate of twenty-five hundredths percent (0.25%); and
(2) the sum of the county economic development income tax rate and:
(A) the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%); or
(B) the county option income tax rate that are in effect on January 1 of a year may not exceed one and twenty-five hundredths percent (1.25%);
if the county council makes a determination to impose rates under this
subsection and section 24 of this chapter.
(p) In addition:
(1) the county economic development income tax may be imposed
at a rate that exceeds by not more than twenty-five hundredths
percent (0.25%) the maximum rate that would otherwise apply
under this section; and
(2) the:
(A) county economic development income tax; and
(B) county option income tax or county adjusted gross income
tax;
may be imposed at combined rates that exceed by not more than
twenty-five hundredths percent (0.25%) the maximum combined
rates that would otherwise apply under this section.
However, the additional rate imposed under this subsection may not
exceed the amount necessary to mitigate the increased ad valorem
property taxes on homesteads (as defined in IC 6-1.1-20.9-1 before
January 1, 2009, or IC 6-1.1-12-37 after December 31, 2008) or
residential property (as defined in section 26 of this chapter), as
appropriate under the ordinance adopted by the adopting body in the
county, resulting from the deduction of the assessed value of inventory
in the county under IC 6-1.1-12-41 (before its repeal) or
IC 6-1.1-12-42 (before its repeal) or from the exclusion in 2008 of
inventory from the definition of personal property in IC 6-1.1-1-11.
(q) If the county economic development income tax is imposed as
authorized under subsection (p) at a rate that exceeds the maximum
rate that would otherwise apply under this section, the certified
distribution must be used for the purpose provided in section 25(e) or
26 of this chapter to the extent that the certified distribution results
from the difference between:
(1) the actual county economic development tax rate; and
(2) the maximum rate that would otherwise apply under this
section.
(r) This subsection applies only to a county described in section 27
of this chapter. Except as provided in subsection (p), in addition to the
rates permitted by subsection (b), the:
(1) county economic development income tax may be imposed at
a rate of twenty-five hundredths percent (0.25%); and
(2) county economic development income tax rate plus the county
option income tax rate that are in effect on January 1 of a year
may equal up to one and twenty-five hundredths percent (1.25%);
if the county council makes a determination to impose rates under this
subsection and section 27 of this chapter.
(s) Except as provided in subsection (p), the county economic development income tax rate plus the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%) if the county has imposed the county adjusted gross income tax under IC 6-3.5-1.1-3.3.
(t) This subsection applies to Howard County. Except as provided in subsection (p), the sum of the county economic development income tax rate and the county option income tax rate that are in effect on January 1 of a year may not exceed one and twenty-five hundredths percent (1.25%).
(u) This subsection applies to Scott County. Except as provided in subsection (p), the sum of the county economic development income tax rate and the county option income tax rate that are in effect on January 1 of a year may not exceed one and twenty-five hundredths percent (1.25%).
(v) This subsection applies to Jasper County. Except as provided in subsection (p), the sum of the county economic development income tax rate and the county adjusted gross income tax rate that are in effect on January 1 of a year may not exceed one and five-tenths percent (1.5%).
(w) An additional county economic development income tax rate imposed under section 28 of this chapter may not be considered in calculating any limit under this section on the sum of:
(1) the county economic development income tax rate plus the county adjusted gross income tax rate; or
(2) the county economic development tax rate plus the county option income tax rate.
(x) The income tax rate limits imposed by subsection (c) or (y) or any other provision of this chapter do not apply to:
(1) a county adjusted gross income tax rate imposed under IC 6-3.5-1.1-24, IC 6-3.5-1.1-25, or IC 6-3.5-1.1-26; or
(2) a county option income tax rate imposed under IC 6-3.5-6-30, IC 6-3.5-6-31, or IC 6-3.5-6-32.
For purposes of computing the maximum combined income tax rate under subsection (c) or (y) or any other provision of this chapter that may be imposed in a county under IC 6-3.5-1.1, IC 6-3.5-6, and this chapter, a county's county adjusted gross income tax rate or county option income tax rate for a particular year does not include the county adjusted gross income tax rate imposed under IC 6-3.5-1.1-24, IC 6-3.5-1.1-25, or IC 6-3.5-1.1-26 or the county option income tax rate imposed under IC 6-3.5-6-30, IC 6-3.5-6-31, or IC 6-3.5-6-32.
(y) This subsection applies to Monroe County. Except as provided
in subsection (p), if an ordinance is adopted under IC 6-3.5-6-33, the
sum of the county economic development income tax rate and the
county option income tax rate that are in effect on January 1 of a year
may not exceed one and twenty-five hundredths percent (1.25%).
(b) Before August 2 of each calendar year, the budget agency shall certify to the county auditor of each adopting county the sum of the amount of county economic development income tax revenue that the budget agency determines has been:
(1) received from that county for a taxable year ending before the calendar year in which the determination is made; and
(2) reported on an annual return or amended return processed by the department in the state fiscal year ending before July 1 of the calendar year in which the determination is made;
as adjusted for refunds of county economic development income tax made in the state fiscal year plus the amount of interest in the county's account that has been accrued and has not been included in a certification made in a preceding year. The amount certified is the county's certified distribution, which shall be distributed on the dates specified in section 16 of this chapter for the following calendar year.
(c) The amount certified under subsection (b) shall be adjusted under subsections (d), (e), (f), and (g).
(1) the amount reported on individual income tax returns processed by the department during the previous fiscal year;
(2) adjustments for over distributions in prior years;
(3) adjustments for clerical or mathematical errors in prior years;
(4) adjustments for tax rate changes; and
(5) the amount of excess account balances to be distributed under
(d) The budget agency shall certify an amount less than the amount determined under subsection (b) if the budget agency determines that the reduced distribution is necessary to offset overpayments made in a calendar year before the calendar year of the distribution. The budget agency may reduce the amount of the certified distribution over several
calendar years so that any overpayments are offset over several years
rather than in one (1) lump sum.
(e) The budget agency shall adjust the certified distribution of a
county to correct for any clerical or mathematical errors made in any
previous certification under this section. The budget agency may
reduce the amount of the certified distribution over several calendar
years so that any adjustment under this subsection is offset over several
years rather than in one (1) lump sum.
(f) The budget agency shall adjust the certified distribution of a
county to provide the county with the distribution required under
section 16(b) of this chapter.
(g) The budget agency shall adjust the certified distribution of a
county to provide the county with the amount of any tax increase
imposed under section 25 or 26 of this chapter to provide additional
homestead credits as provided in those provisions.
(h) (g) This subsection applies to a county that:
(1) initially imposed the county economic development income
tax; or
(2) increases the county economic development income rate;
under this chapter in the same calendar year in which the budget
agency makes a certification under this section. The budget agency
shall adjust the certified distribution of a county to provide for a
distribution in the immediately following calendar year and in each
calendar year thereafter. The budget agency shall provide for a full
transition to certification of distributions as provided in subsection
(b)(1) through (b)(2) in the manner provided in subsection (d).
(b) Except as provided in subsections (c) and (h) and
(1) The amount of the certified distribution for that month; multiplied by
(2) A fraction. The numerator of the fraction equals the sum of:
(A) total property taxes that are first due and payable to the
county, city, or town during the calendar year in which the
month falls; plus
(B) for a county, the welfare allocation amount.
The denominator of the fraction equals the sum of the total
property taxes that are first due and payable to the county and all
cities and towns of the county during the calendar year in which
the month falls, plus the welfare allocation amount. The welfare
allocation amount is an amount equal to the sum of the property
taxes imposed by the county in 1999 for the county's welfare fund
and welfare administration fund and, if the county received a
certified distribution under this chapter in 2008, the property
taxes imposed by the county in 2008 for the county's county
medical assistance to wards fund, family and children's fund,
children's psychiatric residential treatment services fund, county
hospital care for the indigent fund, and children with special
health care needs county fund.
(c) This subsection applies to a county council or county income tax
council that imposes a tax under this chapter after June 1, 1992. The
body imposing the tax may adopt an ordinance before July 1 of a year
to provide for the distribution of certified distributions under this
subsection instead of a distribution under subsection (b). The following
apply if an ordinance is adopted under this subsection:
(1) The ordinance is effective January 1 of the following year.
(2) Except as provided in sections 25 and section 26 of this
chapter, the amount of the certified distribution that the county
and each city and town in the county is entitled to receive during
May and November of each year equals the product of:
(A) the amount of the certified distribution for the month;
multiplied by
(B) a fraction. For a city or town, the numerator of the fraction
equals the population of the city or the town. For a county, the
numerator of the fraction equals the population of the part of
the county that is not located in a city or town. The
denominator of the fraction equals the sum of the population
of all cities and towns located in the county and the population
of the part of the county that is not located in a city or town.
(3) The ordinance may be made irrevocable for the duration of
specified lease rental or debt service payments.
(d) The body imposing the tax may not adopt an ordinance under
subsection (c) if, before the adoption of the proposed ordinance, any of
the following have pledged the county economic development income
tax for any purpose permitted by IC 5-1-14 or any other statute:
(1) The county.
(2) A city or town in the county.
(3) A commission, a board, a department, or an authority that is authorized by statute to pledge the county economic development income tax.
(e) The department of local government finance shall provide each county auditor with the fractional amount of the certified distribution that the county and each city or town in the county is entitled to receive under this section.
(f) Money received by a county, city, or town under this section shall be deposited in the unit's economic development income tax fund.
(g) Except as provided in subsection (b)(2)(B), in determining the fractional amount of the certified distribution the county and its cities and towns are entitled to receive under subsection (b) during a calendar year, the department of local government finance shall consider only property taxes imposed on tangible property subject to assessment in that county.
(h) In a county having a consolidated city, only the consolidated city is entitled to the certified distribution, subject to the requirements of sections 15
(b)
(1) By a county, city, or town for economic development projects, for paying, notwithstanding any other law, under a written agreement all or a part of the interest owed by a private developer or user on a loan extended by a financial institution or other lender to the developer or user if the proceeds of the loan are or are to be used to finance an economic development project, for the retirement of bonds under section 14 of this chapter for economic development projects, for leases under section 21 of
this chapter, or for leases or bonds entered into or issued prior to
the date the economic development income tax was imposed if
the purpose of the lease or bonds would have qualified as a
purpose under this chapter at the time the lease was entered into
or the bonds were issued.
(2) By a county, city, or town for:
(A) the construction or acquisition of, or remedial action with
respect to, a capital project for which the unit is empowered to
issue general obligation bonds or establish a fund under any
statute listed in IC 6-1.1-18.5-9.8;
(B) the retirement of bonds issued under any provision of
Indiana law for a capital project;
(C) the payment of lease rentals under any statute for a capital
project;
(D) contract payments to a nonprofit corporation whose
primary corporate purpose is to assist government in planning
and implementing economic development projects;
(E) operating expenses of a governmental entity that plans or
implements economic development projects;
(F) to the extent not otherwise allowed under this chapter,
funding substance removal or remedial action in a designated
unit; or
(G) funding of a revolving fund established under
IC 5-1-14-14.
(3) By a county, city, or town for any lawful purpose for which
money in any of its other funds may be used.
(4) By a city or county described in IC 36-7.5-2-3(b) for making
transfers required by IC 36-7.5-4-2. If the county economic
development income tax rate is increased after April 30, 2005, in
a county having a population of more than one hundred forty-five
thousand (145,000) but less than one hundred forty-eight
thousand (148,000), the first three million five hundred thousand
dollars ($3,500,000) of the tax revenue that results each year from
the tax rate increase shall be used by the county or by eligible
municipalities (as defined in IC 36-7.5-1-11.3) in the county only
to make the county's transfer required by IC 36-7.5-4-2. The first
three million five hundred thousand dollars ($3,500,000) of the
tax revenue that results each year from the tax rate increase shall
be paid by the county treasurer to the treasurer of the northwest
Indiana regional development authority under IC 36-7.5-4-2
before certified distributions are made to the county or any cities
or towns in the county under this chapter from the tax revenue
that results each year from the tax rate increase. If a county having
a population of more than one hundred forty-five thousand
(145,000) but less than one hundred forty-eight thousand
(148,000) ceases to be a member of the northwest Indiana
regional development authority under IC 36-7.5 but two (2) or
more municipalities in the county have become members of the
northwest Indiana regional development authority as authorized
by IC 36-7.5-2-3(i), the county treasurer shall continue to transfer
the three million five hundred thousand dollars ($3,500,000) to
the treasurer of the northwest Indiana regional development
authority under IC 36-7.5-4-2 before certified distributions are
made to the county or any cities or towns in the county. In a
county having a population of more than one hundred forty-five
thousand (145,000) but less than one hundred forty-eight
thousand (148,000), all of the tax revenue that results each year
from the tax rate increase that is in excess of the first three million
five hundred thousand dollars ($3,500,000) that results each year
from the tax rate increase must be used by the county and cities
and towns in the county for homestead credits under subdivision
(5).
(5) This subdivision applies only in a county having a population
of more than one hundred forty-five thousand (145,000) but less
than one hundred forty-eight thousand (148,000). All of the tax
revenue that results each year from a tax rate increase described
in subdivision (4) that is in excess of the first three million five
hundred thousand dollars ($3,500,000) that results each year from
the tax rate increase must be used by the county and cities and
towns in the county for homestead credits under this subdivision.
The following apply to homestead credits provided under this
subdivision:
(A) The homestead credits must be applied uniformly to
provide a homestead credit for homesteads in the county, city,
or town.
(B) The homestead credits shall be treated for all purposes as
property tax levies.
(C) 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.
(D) The department of local government finance shall
determine the homestead credit percentage for a particular
year based on the amount of county economic development
income tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(6) This subdivision applies only in a county having a population
of more than four hundred thousand (400,000) but less than seven
hundred thousand (700,000). A county or a city or town in the
county may use county economic development income tax
revenue to provide homestead credits in the county, city, or town.
The following apply to homestead credits provided under this
subdivision:
(A) The county, city, or town fiscal body must adopt an
ordinance authorizing the homestead credits. The ordinance
must:
(i) be adopted before September 1 of a year to apply to
property taxes first due and payable in the following year;
and
(ii) specify the amount of county economic development
income tax revenue that will be used to provide homestead
credits in the following year.
(B) A county, city, or town fiscal body that adopts an
ordinance under this subdivision must forward a copy of the
ordinance to the county auditor and the department of local
government finance not more than thirty (30) days after the
ordinance is adopted.
(C) The homestead credits must be applied uniformly to
increase the homestead credit under IC 6-1.1-20.9 for
homesteads in the county, city, or town (for property taxes first
due and payable before January 1, 2009) or to provide a
homestead credit for homesteads in the county, city, or town
(for property taxes first due and payable after December 31,
2008).
(D) The homestead credits shall be treated for all purposes as
property tax levies.
(E) 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.
(F) The department of local government finance shall
determine the homestead credit percentage for a particular
year based on the amount of county economic development
income tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(7) (5) For a regional venture capital fund established under
section 13.5 of this chapter or a local venture capital fund
established under section 13.6 of this chapter.
(8) (6) This subdivision applies only to a county:
(A) that has a population of more than one hundred ten
thousand (110,000) but less than one hundred fifteen thousand
(115,000); and
(B) in which:
(i) the county fiscal body has adopted an ordinance under
IC 36-7.5-2-3(e) providing that the county is joining the
northwest Indiana regional development authority; and
(ii) the fiscal body of the city described in IC 36-7.5-2-3(e)
has adopted an ordinance under IC 36-7.5-2-3(e) providing
that the city is joining the development authority.
Revenue from the county economic development income tax may
be used by a county or a city described in this subdivision for
making transfers required by IC 36-7.5-4-2. In addition, if the
county economic development income tax rate is increased after
June 30, 2006, in the county, the first three million five hundred
thousand dollars ($3,500,000) of the tax revenue that results each
year from the tax rate increase shall be used by the county only to
make the county's transfer required by IC 36-7.5-4-2. The first
three million five hundred thousand dollars ($3,500,000) of the
tax revenue that results each year from the tax rate increase shall
be paid by the county treasurer to the treasurer of the northwest
Indiana regional development authority under IC 36-7.5-4-2
before certified distributions are made to the county or any cities
or towns in the county under this chapter from the tax revenue
that results each year from the tax rate increase. All of the tax
revenue that results each year from the tax rate increase that is in
excess of the first three million five hundred thousand dollars
($3,500,000) that results each year from the tax rate increase must
be used by the county and cities and towns in the county for
homestead credits under subdivision (9).
(9) This subdivision applies only to a county described in
subdivision (8). All of the tax revenue that results each year from
a tax rate increase described in subdivision (8) that is in excess of
the first three million five hundred thousand dollars ($3,500,000)
that results each year from the tax rate increase must be used by
the county and cities and towns in the county for homestead
credits under this subdivision. The following apply to homestead
credits provided under this subdivision:
(A) The homestead credits must be applied uniformly to
provide a homestead credit for homesteads in the county, city,
or town.
(B) The homestead credits shall be treated for all purposes as
property tax levies.
(C) 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.
(D) The department of local government finance shall
determine the homestead credit percentage for a particular
year based on the amount of county economic development
income tax revenue that will be used under this subdivision to
provide homestead credits in that year.
(c) As used in this section, an economic development project is any
project that:
(1) the county, city, or town determines will:
(A) promote significant opportunities for the gainful
employment of its citizens;
(B) attract a major new business enterprise to the unit; or
(C) retain or expand a significant business enterprise within
the unit; and
(2) involves an expenditure for:
(A) the acquisition of land;
(B) interests in land;
(C) site improvements;
(D) infrastructure improvements;
(E) buildings;
(F) structures;
(G) rehabilitation, renovation, and enlargement of buildings
and structures;
(H) machinery;
(I) equipment;
(J) furnishings;
(K) facilities;
(L) administrative expenses associated with such a project,
including contract payments authorized under subsection
(b)(2)(D);
(M) operating expenses authorized under subsection (b)(2)(E);
or
(N) to the extent not otherwise allowed under this chapter,
substance removal or remedial action in a designated unit;
or any combination of these.
(d) If there are bonds outstanding that have been issued under section 14 of this chapter or leases in effect under section 21 of this chapter, a county, city, or town may not expend money from its economic development income tax fund for a purpose authorized under subsection (b)(3) in a manner that would adversely affect owners of the outstanding bonds or payment of any lease rentals due.
(1) adopt a capital improvement plan specifying the uses of the revenues to be received under this chapter; or
(2) designate the county or a city or town in the county as the recipient of all or a part of its share of the distribution.
(b) If a designation is made under subsection (a)(2), the county treasurer shall transfer the share or part of the share to the designated unit unless that unit does not have a capital improvement plan.
(c) A county, city, or town that fails to adopt a capital improvement plan may not receive:
(1) its fractional amount of the certified distribution; or
(2) any amount designated under subsection (a)(2);
for the year or years in which the unit does not have a plan. The county treasurer shall retain the certified distribution and any designated distribution for such a unit in a separate account until the unit adopts a plan. Interest on the separate account becomes part of the account. If a unit fails to adopt a plan for a period of three (3) years, then the balance in the separate account shall be distributed to the other units in the county based on property taxes first due and payable to the units during the calendar year in which the three (3) year period expires.
(d) A capital improvement plan must include the following components:
(1) Identification and general description of each project that would be funded by the county economic development income tax.
(2) The estimated total cost of the project.
(3) Identification of all sources of funds expected to be used for each project.
(4) The planning, development, and construction schedule of each project.
(e) A capital improvement plan:
(1) must encompass a period of no less than two (2) years; and
(2) must incorporate projects the cost of which is at least seventy-five percent (75%) of the fractional amount certified distribution expected to be received by the county, city, or town in that period of time.
(f) In making a designation under subsection (a)(2), the executive must specify the purpose and duration of the designation. If the designation is made to provide for the payment of lease rentals or bond payments, the executive may specify that the designation and its duration are irrevocable.
(b) This subsection applies to a county having a population of more than one hundred forty-five thousand (145,000) but less than one hundred forty-eight thousand (148,000). Notwithstanding section 11 of this chapter, the initial certified distribution certified for a county under section 11 of this chapter shall be distributed to the county treasurer from the account established for the county under section 10 of this chapter according to the following schedule during the eighteen (18) month period beginning on July 1 of the year in which the county initially adopts an ordinance under section 2 of this chapter:
(1) One-fourth (1/4) on October 1 of the year in which the ordinance was adopted.
(2) One-fourth (1/4) on January 1 of the calendar year following the year in which the ordinance was adopted.
(3) One-fourth (1/4) on May 1 of the calendar year following the year in which the ordinance was adopted.
(4) One-fourth (1/4) on November 1 of the calendar year following the year in which the ordinance was adopted.
The county auditor and county treasurer shall distribute amounts received under this subsection to a county and each city or town in the county in the same proportions as are set forth in section 12 of this chapter. Certified distributions made to the county treasurer for calendar years following the eighteen (18) month period described in this subsection shall be made as provided in subsection (a).
under section 10 of this chapter.
(d) (c) All distributions from an account established under section
10 of this chapter shall be made by warrants issued by the auditor of
state to the treasurer of state ordering the appropriate payments.
(b) The following definitions apply throughout this section:
(1) "Adopt" includes amend.
(2) "Adopting entity" means
(c) An adopting entity may adopt an ordinance to provide for the use of the certified distribution described in section 16(c) of this chapter (as that provision was in effect before January 1, 2011) for the purpose provided in subsection (e). An adopting entity that adopts an ordinance under this subsection shall use the procedures set forth in IC 6-3.5-6 concerning the adoption of an ordinance for the imposition of the county option income tax. An ordinance must be adopted under this subsection after January 1, 2006, and before June 1, 2006, or, in a year following 2006, after March 31 but before August 1 of a calendar
year. The ordinance may provide for an additional rate under section
5(p) of this chapter. An ordinance adopted under this subsection:
(1) first applies to the certified distribution described in section
16(c) of this chapter (as that provision was in effect before
January 1, 2011) made in the later of the calendar year that
immediately succeeds the calendar year in which the ordinance is
adopted or calendar year 2007; and
(2) must specify that the certified distribution must be used to
provide for one (1) of the following, as determined by the
adopting entity:
(A) Uniformly applied homestead credits as provided in
subsection (f).
(B) (A) Uniformly applied residential credits as provided in
subsection (g). (f).
(C) Allocated homestead credits as provided in subsection (i).
(D) (B) Allocated residential credits as provided in subsection
(j). (h).
An ordinance adopted under this subsection may be combined with an
ordinance adopted under section 25 of this chapter.
(d) If an ordinance is adopted under subsection (c), the percentage
of the certified distribution specified in the ordinance for use for the
purpose provided in subsection (e) shall be:
(1) retained by the county auditor under subsection (k); (i); and
(2) used for the purpose provided in subsection (e) instead of the
purposes specified in the capital improvement plans adopted
under section 15 of this chapter.
(e) If an ordinance is adopted under subsection (c), the adopting
entity shall use the certified distribution described in section 16(c) of
this chapter (as that provision was in effect before January 1, 2011)
to
(1) increase:
(A) if the ordinance grants a credit described in subsection
(c)(2)(A) or (c)(2)(C), the homestead credit allowed in the
county under IC 6-1.1-20.9 for a year; or
(B) if the ordinance grants a credit described in subsection
(c)(2)(B) or (c)(2)(D), the property tax replacement credit
allowed in the county under IC 6-1.1-21-5 for a year for the
residential property;
for property taxes first due and payable before January 1, 2009;
or
(2) provide,
(A) if the ordinance grants a credit described in subsection
(c)(2)(A) or (c)(2)(C), a homestead credit for homesteads; or
(B) if the ordinance grants a credit described in subsection
(c)(2)(A) or (c)(2)(B), or (c)(2)(D), a property tax replacement
credit for residential property for property taxes first due and
payable after December 31, 2008,
to offset the effect on homesteads or residential property as applicable,
in the county resulting from the statewide deduction for inventory
under IC 6-1.1-12-42 (before its repeal) or from the exclusion in 2008
of inventory from the definition of personal property in IC 6-1.1-1-11.
The amount of a residential property tax replacement credit granted
under this section may not be considered in computing the amount of
any homestead credit to which the residential property may be entitled
under IC 6-1.1-20.9 (before its repeal) or another law other than
IC 6-1.1-20.6.
(f) If the imposing entity specifies the application of uniform
homestead credits under subsection (c)(2)(A), the county auditor shall,
for each calendar year in which a homestead credit percentage is
authorized under this section, determine:
(1) the amount of the certified distribution that is available to
provide a homestead credit percentage under this section for the
year;
(2) the amount of uniformly applied homestead credits for the
year in the county that equals the amount determined under
subdivision (1); and
(3) the percentage of homestead credit under this section that
equates to the amount of homestead credits determined under
subdivision (2).
(g) (f) If the imposing entity specifies the application of uniform
residential credits under subsection (c)(2)(B), (c)(2)(A), the county
auditor shall determine for each calendar year: in which a homestead
credit percentage is authorized under this section:
(1) the amount of the certified distribution that is available to
provide a residential property tax replacement credit percentage
for the year;
(2) the amount of uniformly applied residential property tax
replacement credits for the year in the county that equals the
amount determined under subdivision (1); and
(3) the percentage of residential property tax replacement credit
under this section that equates to the amount of residential
property tax replacement credits determined under subdivision
(2).
(h) (g) The percentage of homestead credit determined by the
county auditor under subsection (f) or the percentage of residential
property tax replacement credit determined by the county auditor under
subsection (g) (f) applies uniformly in the county in the calendar year
for which the percentage is determined.
(i) If the imposing entity specifies the application of allocated
homestead credits under subsection (c)(2)(C), the county auditor shall,
for each calendar year in which a homestead credit is authorized under
this section, determine:
(1) the amount of the certified distribution that is available to
provide a homestead credit under this section for the year; and
(2) except as provided in subsection (l), a percentage of
homestead credit for each taxing district in the county that
allocates to the taxing district an amount of homestead credits that
bears the same proportion to the amount determined under
subdivision (1) that the amount of inventory assessed value
deducted under IC 6-1.1-12-42 in the taxing district for the
assessment date in 2006 bears to the total inventory assessed
value deducted under IC 6-1.1-12-42 in the county for the
assessment date in 2006.
(j) (h) If the imposing entity specifies the application of allocated
residential property tax replacement credits under subsection (c)(2)(D),
(c)(2)(B), the county auditor shall determine for each calendar year in
which a residential property tax replacement credit is authorized under
this section:
(1) the amount of the certified distribution that is available to
provide a residential property tax replacement credit under this
section for the year; and
(2) except as provided in subsection (l), (j), a percentage of
residential property tax replacement credit for each taxing district
in the county that allocates to the taxing district an amount of
residential property tax replacement credits that bears the same
proportion to the amount determined under subdivision (1) that
the amount of inventory assessed value deducted under
IC 6-1.1-12-42 (repealed) in the taxing district for the assessment
date in 2006 bears to the total inventory assessed value deducted
under IC 6-1.1-12-42 (repealed) in the county for the assessment
date in 2006.
(k) (i) The county auditor shall retain from the payments of the
county's certified distribution an amount equal to the revenue lost, if
any, due to the homestead credit or residential property tax replacement
credit provided under this section within the county. The money shall
be distributed to the civil taxing units and school corporations of the
county:
(1) as if the money were from property tax collections; and
(2) in such a manner that no civil taxing unit or school
corporation will suffer a net revenue loss because of the
allowance of a homestead credit or residential property tax
replacement credit under this section.
(l) (j) Subject to the approval of the imposing entity, the county
auditor may adjust the increased percentage of
(1) homestead credit determined under subsection (i)(2) if the
county auditor determines that the adjustment is necessary to
achieve an equitable reduction of property taxes among the
homesteads in the county; or
(2) residential property tax replacement credit determined under
subsection (j)(2) (h)(2) if the county auditor determines that the
adjustment is necessary to achieve an equitable reduction of
property taxes among the residential property in the county.
(b) A person who owns a vehicle and who is entitled to a property tax deduction under IC 6-1.1-12-13, IC 6-1.1-12-14, or IC 6-1.1-12-16
(c)
Year of
Manufacture I II III IV V
1st $12 $36 $50 $50 $66
2nd 12 30 50 50 57
3rd 12 27 42 50 50
4th 12 24 33 50 50
5th 12 18 24 48 50
6th 12 12 18 36 50
7th 12 12 12 24 42
8th 12 12 12 18 24
9th 12 12 12 12 12
10th 12 12 12 12 12
and thereafter
Year of
Manufacture VI VII VIII IX X
1st $84 $103 $123 $150 $172
2nd 74 92 110 134 149
3rd 63 77 93 115 130
4th 52 64 78 98 112
5th 50 52 64 82 96
6th 50 50 50 65 79
7th 49 50 50 52 65
8th 30 40 50 50 53
9th 18 21 34 40 50
10th 12 12 12 12 12
and thereafter
Year of
Manufacture XI XII XIII XIV XV
1st $207 $250 $300 $350 $406
2nd 179 217 260 304 353
3rd 156 189 225 265 307
4th 135 163 184 228 257
5th 115 139 150 195 210
6th 94 114 121 160 169
7th 78 94 96 132 134
8th 64 65 65 91 91
9th 50 50 50 50 50
10th 21 26 30 36 42
and thereafter
Year of
Manufacture XVI XVII
1st $469 $532
2nd 407 461
3rd 355 398
4th 306 347
5th 261 296
6th 214 242
7th 177 192
8th 129 129
9th 63 63
10th 49 50
and thereafter.
(d) Every vehicle shall be taxed as a vehicle in its first year of manufacture throughout the calendar year in which vehicles of that make and model are first offered for sale in Indiana, except that a vehicle of a make and model first offered for sale in Indiana after August 1 of any year shall continue to be taxed as a vehicle in its first year of manufacture until the end of the calendar year following the year in which it is first offered for sale. Thereafter, the vehicle shall be considered to have aged one (1) year as of January 1 of each year.
(1) the classification of the recreational vehicle or truck camper under section 12 of this chapter; and
(2) the age of the recreational vehicle or truck camper.
(b) If a person who owns a recreational vehicle or truck camper is entitled to an ad valorem property tax assessed valuation deduction under IC 6-1.1-12-13, IC 6-1.1-12-14, or IC 6-1.1-12-16
(c) The tax schedule for each class of recreational vehicles and truck campers is as follows:
Year of
Manufacture I II III IV V
1st $15 $36 $50 $59 $103
2nd 12 31 43 51 91
3rd 12 26 35 41 75
4th 12 20 28 38 62
5th 12 15 20 34 53
6th 12 12 15 26 41
7th 12 12 12 16 32
8th 12 12 12 13 21
9th 12 12 12 12 13
10th 12 12 12 12 12
and thereafter
Year of
Manufacture VI VII VIII
1st $164 $241 $346
2nd 148 212 302
3rd 131 185 261
4th 110 161 223
5th 89 131 191
6th 68 108 155
7th 53 86 126
8th 36 71 97
9th 23 35 48
10th 12 12 17
and thereafter
Year of
Manufacture IX X XI XII
1st $470 $667 $879 $1,045
2nd 412 572 763 907
3rd 360 507 658 782
4th 307 407 574 682
5th 253 341 489 581
6th 204 279 400 475
7th 163 224 317 377
8th 116 154 214 254
9th 55 70 104 123
10th 25 33 46 55
and thereafter
Year of
Manufacture XIII XIV XV XVI XVII
1st $1,235 $1,425 $1,615 $1,805 $2,375
2nd 1,072 1,236 1,401 1,566 2,060
3rd 924 1,066 1,208 1,350 1,777
4th 806 929 1,053 1,177 1,549
5th 687 793 898 1,004 1,321
6th 562 648 734 821 1,080
7th 445 514 582 651 856
8th 300 346 392 439 577
9th 146 168 190 213 280
10th 64 74 84 94 123
and thereafter.
(d) Each recreational vehicle or truck camper shall be taxed as a recreational vehicle or truck camper in its first year of manufacture throughout the calendar year in which a recreational vehicle or truck camper of that make and model is first offered for sale in Indiana. However, a recreational vehicle or truck camper of a make and model first offered for sale in Indiana after August 1 of any year continues to be taxed as a recreational vehicle or truck camper in its first year of manufacture until the end of the calendar year following the year in which it is first offered for sale. Thereafter, the recreational vehicle or truck camper shall be considered to have aged one (1) year as of January 1 of each year.
(b) A sheriff shall sell property to satisfy a tax warrant in a manner that is reasonably likely to bring the highest net proceeds from the sale after deducting the expenses of the offer to sell and sale. A sheriff may engage an auctioneer to advertise a sale and to conduct a public auction, unless the person being levied files an objection with the clerk
of the circuit or superior court having the tax warrant within five (5)
days of the day that the sheriff informs the person of the person's right
to object. The advertising conducted by the auctioneer is in addition to
any other notice required by law, and shall include a detailed
description of the property to be sold. When an auctioneer is engaged
under this subsection and the auctioneer files a verified claim with the
clerk of the circuit or superior court with whom the tax warrant is filed,
the sheriff may pay the reasonable fee and reasonable expenses of the
auctioneer from the gross proceeds of the sale before other expenses
and the judgment arising from the tax warrant are paid. As used in this
section, "auctioneer" means an auctioneer licensed under IC 25-6.1.
(c) The sheriff shall deposit all amounts that the sheriff collects
under this section, including partial payments, into a special trust
account for judgments collected that arose from tax warrants. On or
before the fifth day of each month, the sheriff shall disburse the money
in the tax warrant judgment lien trust account in the following order:
(1) The sheriff shall pay the department the part of the collections
that represents taxes, interest, and penalties.
(2) The sheriff shall pay the county treasurer and the clerk of the
circuit or superior court the part of the collections that represents
their assessed costs.
(3) Except as provided in subdivisions (4) and (5), the sheriff
shall keep the part of the collections that represents the ten
percent (10%) collection fee added under section 2(b) of this
chapter.
(4) If the sheriff has entered a salary contract under
IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
the part of the collections that represents the ten percent (10%)
collection fee added under section 2(b) of this chapter.
(5) If the sheriff has not entered into a salary contract under
IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
the part of the collections that:
(A) represents the ten percent (10%) collection fee added
under section 2(b) of this chapter; and
(B) would, if kept by the sheriff, result in the total amount of
the sheriff's annual compensation exceeding the maximum
amount allowed under IC 36-2-13-17.
The department shall establish the procedure for the disbursement of
partial payments so that the intent of this section is carried out.
(d) After the period described in subsection (a) has passed, the
sheriff shall return the tax warrant to the department. However, if the
department determines that:
(1) at the end of this period the sheriff is in the process of collecting the judgment arising from a tax warrant in periodic payments of sufficient size that the judgment will be fully paid within one (1) year after the date the judgment was filed; and
(2) the sheriff's electronic data base regarding tax warrants is compatible with the department's data base;
the sheriff may keep the tax warrant and continue collections.
(e) Notwithstanding any other provision of this chapter, the department may order a sheriff to return a tax warrant at any time, if the department feels that action is necessary to protect the interests of the state.
(f) This subsection applies only to the sheriff of a county having a consolidated city or a second class city. In such a county, the ten percent (10%) collection fee added under section 2(b) of this chapter shall be divided as follows:
(1) Subject to subsection (g), the sheriff may retain forty thousand dollars ($40,000), plus one-fifth (1/5) of any fees exceeding that forty thousand dollar ($40,000) amount.
(2) Two-fifths (2/5) of any fees exceeding that forty thousand dollar ($40,000) amount shall be deposited in the sheriff's department's pension trust fund.
(3) Two-fifths (2/5) of any fees exceeding that forty thousand dollar ($40,000) amount shall be deposited in the county general fund.
(g) If an amount of the collection fee added under section 2(b) of this chapter would, if retained by the sheriff under subsection (f)(1), cause the total amount of the sheriff's annual compensation to exceed the maximum amount allowed under IC 36-2-13-17, the sheriff shall instead deposit the amount in the county general fund.
(h) Money deposited into a county general fund under subsections (c)(5) and (g) must be used as follows:
(1) To reduce any unfunded liability of a sheriff's pension trust plan established for the county's sheriff's department.
(2) Any amounts remaining after complying with subdivision (1) must be applied to the costs incurred to operate the county's sheriff's department.
(b) Fees assessed against real property under this chapter constitute a lien against the property assessed. However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2. The lien is superior to all other liens except tax liens. Except as provided in subsections (c) and (d), the lien attaches when notice of the lien is filed in the county recorder's office under section 30 of this chapter.
(c) A fee is not enforceable as a lien against a subsequent owner of property unless the lien for the fee was recorded with the county recorder before the conveyance to the subsequent owner. If property is conveyed before a lien is filed, the department shall notify the person who owned the property at the time the fee became payable. The notice must inform the person that payment, including penalty fees for delinquencies, is due not more than fifteen (15) days after the date of the notice. If payment is not received within one hundred eighty (180) days after the date of the notice, the amount due may be expensed as a bad debt loss.
(d) A lien attaches against real property occupied by someone other than the owner only if the department notifies the owner within twenty (20) days after the time the user fees became sixty (60) days delinquent. However, the department must give notice to the owner only if the owner has given the department written notice of the address to which to send notice.
(e) The department shall release:
(1) liens filed with the county recorder after the recorded date of conveyance of the property; and
(2) delinquent fees incurred by the seller;
upon receipt of a verified demand in writing from the purchaser. The demand must state that the delinquent fees were not incurred by the purchaser as a user, lessee, or previous owner and that the purchaser has not been paid by the seller for the delinquent fees.
shall be against the site value of the lands only.
(b) The commission shall annually prepare a schedule which
describes each tract of land in the district that it determines to be
benefited by the automated transit system, and states the percentage of
the total benefit that is received by each tract of land. In order to
prepare this schedule, the commission shall appoint three (3)
disinterested persons, who are licensed real estate brokers or appraisers
licensed under IC 25-34.1 who are residents of Indiana, as appraisers
to make an examination of the property within the improvement
district. One (1) of the persons appointed under this subsection must
reside not more than fifty (50) miles from the property. Upon request
from the appraisers, the commission may retain or employ qualified
personnel to render any necessary technical or consulting assistance,
and may supply the appraisers with any information available or
obtainable which will assist in making the assessment. Upon such
examination, such appraisers shall make an assessment of all special
benefits and damages, if any, which will accrue from the construction
and operation of the automated transit system, as to each parcel of real
estate. All property within the district (or owned or operated by the
district), except common green areas, shall be conclusively presumed
to be benefited by the existence of the district to the extent determined
under this section as its assessed benefit. A copy of the roll of all
owners of real estate, signed by all three (3) appraisers, showing the
assessment of benefits and damages, if any, shall be filed by the
appraisers with the commission not less than thirty (30) days after their
appointment, unless the commission shall extend the time.
(c) Promptly after the filing of an assessment, the commission shall
cause a notice to be mailed, by United States mail, first class postage
prepaid, to each owner of real estate to be assessed. The notices shall
be deposited in the mail twenty-one (21) days before the hearing date,
shall set forth the amount of the proposed assessment, shall state that
the proposed assessments on each parcel of real estate in the district are
on file and can be seen in the office of the commission, and shall set
forth the date when the commission will, at its office, receive written
remonstrances against the assessment on the parcel and hear all owners
of real estate assessed who have filed written remonstrances prior to
the date fixed for the hearing. It shall be sufficient if the notices to the
owners are addressed as the names and addresses appear upon the tax
duplicates in the records of the county auditor.
(d) At the time so fixed in such notice, the commission shall hear all
owners of real estate assessed who have filed written remonstrances
prior to the date of the hearing. The hearing may be continued from
time to time as long as may be necessary to hear such owners.
(e) The commission shall complete such assessment roll by
rendering its decision by increasing, or decreasing, or by confirming
each assessment by setting opposite each name, parcel and appraisers'
assessment, the amount of the assessment as determined by the
commission. If the total of the assessments exceeds the amount needed,
the commission shall further make pro rata reduction in each
assessment. The signing of such roll by a majority of the commission
members and the delivery thereof to the fiscal officer of the city shall
constitute a final and conclusive determination of the benefits or
damages, if any, assessed. However, any owner who had previously
filed a written remonstrance as provided in this section with the board
or any owner whose assessment was increased above the amount fixed
by the appraisers, whether he the owner filed such a written
remonstrance or not, may appeal. Such appeal shall be taken as
provided in IC 34-13-6, and shall proceed to trial, hearing, and final
judgment in the manner and with the effect as provided in IC 34-13-6
as to all parties.
(f) If the final determination of the commission results in the total
funds being inadequate to cover the cost of the improvement, the
deficiency may be supplied by other sources as provided in this
chapter.
(g) Each assessment shall be a lien on the real estate assessed,
second only to taxes levied on such property. However, a lien may not
be imposed after December 31, 2010, on property that is a
homestead exempt from property taxes under IC 6-1.1-10.2.
(h) The commission shall annually transmit to the county auditor the
schedule of assessment of benefits. The county auditor shall enter the
assessment of benefits on the tax duplicates, and the county treasurer
shall collect and enforce the amount of the assessed benefit in the same
manner as property taxes are entered, collected, and enforced.
(i) The county treasurer charged with the duty of collecting such
taxes shall, between the first and tenth days of each month, notify the
commission of the amount of such special taxes collected during the
preceding month, and upon the date of notification above referred to
such county treasurer shall credit the amount so collected to a fund of
such district to be designated as the "____________________
Automated Transit District Fund", and such fund shall be used and
expended for no other purpose than as stated in this section. The
commission shall have full, complete, and exclusive authority to
expend for and on behalf of the district all sums of money thus realized.
The commission may, by resolution, authorize and make temporary
loans in anticipation of the collection of the special benefit taxes
actually levied and in the course of collection under this section, which
loans shall mature and be paid within the year in which made, and shall
bear interest payable at the maturity of the loan. Such temporary loans
shall be evidenced by warrants.
(b) The level of care must be as consistent as possible with:
(1) the care category of the facility in which the member is placed;
(2) the rules of the Indiana health facilities council adopted under IC 16-28; and
(3) the applicable code of the federal government covering reimbursement from the United States Department of Veterans' Affairs or another department of the federal government.
(c) The liability created for the costs of maintenance of a member constitutes a lien upon the real property of the member, if the lien is recorded as provided in this chapter. However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2. The lien has priority over all liens subsequently acquired.
SECTION 38, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JANUARY 1, 2011]: Sec. 10. (a) As used in this section, "relative"
includes only the parent, stepparent, child, stepchild, sibling,
stepsibling, grandparent, stepgrandparent, grandchild, or
stepgrandchild of a township assistance applicant.
(b) If an applicant who applies for township assistance or a member
of the applicant's household has a relative living in the township who
is able to assist the applicant or member of the applicant's household,
the township trustee shall, as administrator of township assistance and
before granting aid a second time, ask the relative to help the applicant
or member of the applicant's household, either with material relief or
by furnishing employment.
(c) A township trustee may not use township assistance funds to pay
the cost of an applicant's shelter with a relative who is the applicant's
landlord if the applicant lives in:
(1) the same household as the relative; or
(2) housing separate from the relative and either:
(A) the housing is unencumbered by mortgage; or
(B) the housing has not been previously rented by the relative
to a different tenant at reasonable market rates for at least six
(6) months.
(d) If shelter payments are made to a relative of a township
assistance applicant on behalf of the applicant or a member of the
applicant's household, the trustee may file a lien against the relative's
real property, for the amount of township shelter assistance granted.
However, a lien may not be filed after December 31, 2010, on
property that is a homestead exempt from property taxes under
IC 6-1.1-10.2.
under subdivision (1).
(b) A county fiscal body may not increase the percentage credit
allowed for homesteads in such a manner that more than eight percent
(8%) is added to the percentage established under IC 6-1.1-20.9-2(d).
(c) The increase in the homestead credit percentage must be uniform
for all homesteads in a county.
(d) In an ordinance that increases the homestead credit percentage,
the county fiscal body may provide for a series of increases or
decreases to take place for each of a group of succeeding calendar
years.
(e) (b) An ordinance may be adopted under this section after
January 1 but before June 1 of a calendar year.
(f) (c) An ordinance adopted under this section takes effect January
1 of the next calendar year.
(g) (d) An ordinance adopted under this section for a county is not
applicable for a year if on January 1 of that year the county option
income tax is not in effect.
(1) To satisfy the requirements of section 43 of this chapter.
FOLLOWS [EFFECTIVE JANUARY 1, 2011]: Sec. 11. After a
response is initiated under:
(1) section 9 of this chapter; or
(2) IC 13-24-1;
the state may impose a lien on the property on which the response is
undertaken. However, a lien may not be imposed after December
31, 2010, on property that is a homestead exempt from property
taxes under IC 6-1.1-10.2. The lien may secure the payment to the
state of an amount of money equal to the amount expended from the
fund under section 1(a)(3) of this chapter to finance the response.
(b) The surveyor charged with the construction of the work shall keep in the surveyor's office a complete copy of the assessments that may, upon demand, be examined by any interested person.
(c) An owner of land assessed for benefits who desires to transfer the property free and clear of the lien for the assessment may deposit with the county treasurer the full amount of the benefits assessed against the tract or parcel of land. When the surveyor has made the final computation to the county auditor, the treasurer shall pay to the person paying the assessment the surplus, if any, over the actual assessment. Whenever the owner of a tract or parcel of land has paid to the treasurer and the treasurer's books show the payment, the lien for the assessment on the tract or parcel of land is automatically canceled.
property, the board of directors shall prepare an assessment roll from
the appraisers' report as approved by the court. The assessment roll
consists of the following:
(1) A description of each parcel of real property exceptionally
benefited.
(2) The name of the owner as listed on the tax duplicate or
described in the appraisers' report as approved by the court.
(3) The amount of the assessment.
(b) The assessment roll shall be distributed as follows:
(1) One (1) copy shall be recorded in the office of the recorder of
each county in which real property exceptionally benefited is
located.
(2) One (1) copy shall be filed with the auditor of each county in
which land of a district exceptionally benefited is located.
(3) One (1) copy shall be kept on file in the office of the district.
(c) Assessments for exceptional benefits are a lien upon each parcel
of real property against which the exceptional benefits are assessed
from the date that the assessment is approved by the court. However,
a lien may not be imposed after December 31, 2010, on property
that is a homestead exempt from property taxes under
IC 6-1.1-10.2.
(b) The county auditor shall place the amount, together with interest and penalty, upon the tax duplicate to be collected as state and county taxes are collected at the next date for the semiannual payment of taxes. If the assessment, interest, and penalty are not paid at that time, the real property is subject to sale as is provided by statute for the sale of real property on which there are delinquent taxes. Upon the sale the proceeds shall be prorated equally among the assessment and any delinquent taxes. A sale for a delinquent tax or delinquent assessment
does not extinguish the assessment.
(1) ten thousand dollars ($10,000) for real property that:
(A) contains one (1) or more occupied or unoccupied single or double family dwellings or the appurtenances or additions to those dwellings; or
(B) is unimproved; or
(2) twenty thousand dollars ($20,000) for all other real property not described in subdivision (1).
(b) The municipal corporation may issue a bill to the owner of the real property for the costs incurred by the municipal corporation in bringing the property into compliance with the ordinance, including administrative costs and removal costs.
(c) A bill issued under subsection (b) is delinquent if the owner of the real property fails to pay the bill within thirty (30) days after the date of the issuance of the bill.
(d) Whenever a municipal corporation determines it necessary, the officer charged with the collection of fees and penalties for the municipal corporation shall prepare:
(1) a list of delinquent fees and penalties that are enforceable under this section, including:
(A) the name or names of the owner or owners of each lot or parcel of real property on which fees are delinquent;
(B) a description of the premises, as shown on the records of the county auditor; and
(C) the amount of the delinquent fees and the penalty; or
(2) an instrument for each lot or parcel of real property on which the fees are delinquent.
(e) The officer shall record a copy of each list or each instrument with the county recorder, who shall charge a fee for recording the list or instrument under the fee schedule established in IC 36-2-7-10.
(f) The amount of a lien shall be placed on the tax duplicate by the auditor. The total amount, including any accrued interest, shall be collected in the same manner as delinquent taxes are collected and shall be disbursed to the general fund of the municipal corporation.
(g) A fee is not enforceable as a lien against a subsequent owner of property unless the lien for the fee was recorded with the county recorder before conveyance to the subsequent owner. If the property is conveyed before the lien is recorded, the municipal corporation shall notify the person who owned the property at the time the fee became payable. The notice must inform the person that payment, including penalty fees for delinquencies, is due not later than fifteen (15) days after the date of the notice. If payment is not received within one hundred eighty (180) days after the date of the notice, the amount due may be considered a bad debt loss.
(h) The municipal corporation shall release:
(1) liens filed with the county recorder after the recorded date of conveyance of the property; and
(2) delinquent fees incurred by the seller;
upon receipt of a written demand from the purchaser or a representative of the title insurance company or the title insurance company's agent that issued a title insurance policy to the purchaser. The demand must state that the delinquent fees were not incurred by the purchaser as a user, lessee, or previous owner and that the purchaser has not been paid by the seller for the delinquent fees.
(i) The county auditor shall remove the fees, penalties, and service charges that were not recorded before a recorded conveyance to a subsequent owner upon receipt of a copy of the written demand under subsection (h).
becomes due and payable.
(b) On the date a structural building permit is issued for the
development of property on which the impact fee is assessed, the unit
acquires a lien on the real property for which the permit is issued.
However, a lien may not be imposed after December 31, 2010, on
property that is a homestead exempt from property taxes under
IC 6-1.1-10.2. For a phased development, the amount of the lien may
not exceed the prorated portion of the impact fee due and payable in
one (1) or more installments at the time the structural building permit
is issued.
(c) A lien acquired by a unit under this section is not affected by a
sale or transfer of the real property subject to the lien, including the
sale, exchange, or lease of the real property under IC 36-1-11.
(d) A lien acquired by a unit under this section continues for ten
(10) years after the impact fee or the prorated portion of the impact fee
becomes due and payable. However, if an action to enforce the lien is
filed within the ten (10) year period, the lien continues until the
termination of the proceeding.
(e) A holder of a lien of record on any real property on which an
impact fee is delinquent may pay the delinquent impact fee and any
penalties and costs. The amount paid by the lien holder is an additional
lien on the real property in favor of the lien holder and is collectible in
the same manner as the original lien.
(f) If a person pays an impact fee assessed against any real property,
the person is entitled to a receipt for the payment that is:
(1) on a form prescribed by the impact fee ordinance; and
(2) issued by a person designated in the impact fee ordinance.
(b) The allocation fund established under section 39(b) of this chapter for the allocation area for a program adopted under section 45 of this chapter may be used only for purposes related to the accomplishment of the program, including the following:
(1) The construction, rehabilitation, or repair of residential units
within the allocation area.
(2) The construction, reconstruction, or repair of any
infrastructure (including streets, sidewalks, and sewers) within or
serving the allocation area.
(3) The acquisition of real property and interests in real property
within the allocation area.
(4) The demolition of real property within the allocation area.
(5) The provision of financial assistance to enable individuals and
families to purchase or lease residential units within the allocation
area. However, financial assistance may be provided only to those
individuals and families whose income is at or below the county's
median income for individuals and families, respectively.
(6) The provision of financial assistance to neighborhood
development corporations to permit them to provide financial
assistance for the purposes described in subdivision (5).
(7) For property taxes first due and payable before January 1,
2009, providing each taxpayer in the allocation area a credit for
property tax replacement as determined under subsections (c) and
(d). However, the commission may provide this credit only if the
municipal legislative body (in the case of a redevelopment
commission established by a municipality) or the county
executive (in the case of a redevelopment commission established
by a county) establishes the credit by ordinance adopted in the
year before the year in which the credit is provided.
(c) The maximum credit that may be provided under subsection
(b)(7) to a taxpayer in a taxing district that contains all or part of an
allocation area established for a program adopted under section 45 of
this chapter shall be determined as follows:
STEP ONE: Determine that part of the sum of the amounts
described in IC 6-1.1-21-2(g)(1)(A) and IC 6-1.1-21-2(g)(2)
through IC 6-1.1-21-2(g)(5) (before their repeal) that is
attributable to the taxing district.
STEP TWO: Divide:
(A) that part of each county's eligible property tax replacement
amount (as defined in IC 6-1.1-21-2) (before its repeal) for
that year as determined under IC 6-1.1-21-4(a)(1) (before its
repeal) that is attributable to the taxing district; by
(B) the amount determined under STEP ONE.
STEP THREE: Multiply:
(A) the STEP TWO quotient; by
(B) the taxpayer's taxes (as defined in IC 6-1.1-21-2) (before
its repeal) levied in the taxing district allocated to the
allocation fund, including the amount that would have been
allocated but for the credit.
(d) The commission may determine to grant to taxpayers in an
allocation area from its allocation fund a credit under this section, as
calculated under subsection (c). Except as provided in subsection (g),
One-half (1/2) of the credit shall be applied to each installment of taxes
(as defined in IC 6-1.1-21-2) (before its repeal) that under
IC 6-1.1-22-9 are due and payable in a year. The commission must
provide for the credit annually by a resolution and must find in the
resolution the following:
(1) That the money to be collected and deposited in the allocation
fund, based upon historical collection rates, after granting the
credit will equal the amounts payable for contractual obligations
from the fund, plus ten percent (10%) of those amounts.
(2) If bonds payable from the fund are outstanding, that there is
a debt service reserve for the bonds that at least equals the amount
of the credit to be granted.
(3) If bonds of a lessor under section 25.2 of this chapter or under
IC 36-1-10 are outstanding and if lease rentals are payable from
the fund, that there is a debt service reserve for those bonds that
at least equals the amount of the credit to be granted.
If the tax increment is insufficient to grant the credit in full, the
commission may grant the credit in part, prorated among all taxpayers.
(e) Notwithstanding section 39(b) of this chapter, the allocation
fund established under section 39(b) of this chapter for the allocation
area for a program adopted under section 45 of this chapter may only
be used to do one (1) or more of the following:
(1) Accomplish one (1) or more of the actions set forth in section
39(b)(2)(A) through 39(b)(2)(H) and 39(b)(2)(J) of this chapter
for property that is residential in nature.
(2) Reimburse the county or municipality for expenditures made
by the county or municipality in order to accomplish the housing
program in that allocation area.
The allocation fund may not be used for operating expenses of the
commission.
(f) Notwithstanding section 39(b) of this chapter, the commission
shall, relative to the allocation fund established under section 39(b) of
this chapter for an allocation area for a program adopted under section
45 of this chapter, do the following before July 15 of each year:
(1) Determine the amount, if any, by which the assessed value of
the taxable property in the allocation area for the most recent
assessment date minus the base assessed value, when multiplied
by the estimated tax rate of the allocation area, will exceed the
amount of assessed value needed to produce the property taxes
necessary:
(A) to make, when due, principal and interest payments on
bonds described in section 39(b)(2) of this chapter;
(B) to pay the amount necessary for other purposes described
in section 39(b)(2) of this chapter; and
(C) to reimburse the county or municipality for anticipated
expenditures described in subsection (e)(2).
(2) Provide a written notice to the county auditor, the fiscal body
of the county or municipality that established the department of
redevelopment, and the officers who are authorized to fix budgets,
tax rates, and tax levies under IC 6-1.1-17-5 for each of the other
taxing units that is wholly or partly located within the allocation
area. The notice must:
(A) state the amount, if any, of excess property taxes that the
commission has determined may be paid to the respective
taxing units in the manner prescribed in section 39(b)(1) of
this chapter; or
(B) state that the commission has determined that there is no
excess assessed value that may be allocated to the respective
taxing units in the manner prescribed in subdivision (1).
The county auditor shall allocate to the respective taxing units the
amount, if any, of excess assessed value determined by the
commission.
(g) This subsection applies to an allocation area only to the extent
that the net assessed value of property that is assessed as residential
property under the rules of the department of local government finance
is not included in the base assessed value. If property tax installments
with respect to a homestead (as defined in IC 6-1.1-12-37) are due in
installments established by the department of local government finance
under IC 6-1.1-22-9.5, each taxpayer subject to those installments in an
allocation area is entitled to an additional credit under subsection (d)
for the taxes (as defined in IC 6-1.1-21-2) (before its repeal) due in
installments. The credit shall be applied in the same proportion to each
installment of taxes (as defined in IC 6-1.1-21-2) (before its repeal).
the net assessed value of all of the land as finally determined for the
assessment date immediately preceding the effective date of the
allocation provision, as adjusted under section 26(g) of this chapter.
However, "base assessed value" does not include the value of real
property improvements to the land.
(b) The special fund established under section 26(b) of this chapter
for the allocation area for a program adopted under section 32 of this
chapter may be used only for purposes related to the accomplishment
of the program, including the following:
(1) The construction, rehabilitation, or repair of residential units
within the allocation area.
(2) The construction, reconstruction, or repair of infrastructure
(such as streets, sidewalks, and sewers) within or serving the
allocation area.
(3) The acquisition of real property and interests in real property
within the allocation area.
(4) The demolition of real property within the allocation area.
(5) To provide financial assistance to enable individuals and
families to purchase or lease residential units within the allocation
area. However, financial assistance may be provided only to those
individuals and families whose income is at or below the county's
median income for individuals and families, respectively.
(6) To provide financial assistance to neighborhood development
corporations to permit them to provide financial assistance for the
purposes described in subdivision (5).
(7) For property taxes first due and payable before 2009, to
provide each taxpayer in the allocation area a credit for property
tax replacement as determined under subsections (c) and (d).
However, this credit may be provided by the commission only if
the city-county legislative body establishes the credit by
ordinance adopted in the year before the year in which the credit
is provided.
(c) The maximum credit that may be provided under subsection
(b)(7) to a taxpayer in a taxing district that contains all or part of an
allocation area established for a program adopted under section 32 of
this chapter shall be determined as follows:
STEP ONE: Determine that part of the sum of the amounts
described in IC 6-1.1-21-2(g)(1)(A) and IC 6-1.1-21-2(g)(2)
through IC 6-1.1-21-2(g)(5) (before their repeal) that is
attributable to the taxing district.
STEP TWO: Divide:
(A) that part of each county's eligible property tax replacement
amount (as defined in IC 6-1.1-21-2 before its repeal) for that
year as determined under IC 6-1.1-21-4(a)(1) (before its
repeal) that is attributable to the taxing district; by
(B) the amount determined under STEP ONE.
STEP THREE: Multiply:
(A) the STEP TWO quotient; by
(B) the taxpayer's taxes (as defined in IC 6-1.1-21-2) (before
its repeal) levied in the taxing district allocated to the
allocation fund, including the amount that would have been
allocated but for the credit.
(d) Except as provided in subsection (g), The commission may
determine to grant to taxpayers in an allocation area from its allocation
fund a credit under this section, as calculated under subsection (c), by
applying one-half (1/2) of the credit to each installment of taxes (as
defined in IC 6-1.1-21-2) (before its repeal) that under IC 6-1.1-22-9
are due and payable in a year. Except as provided in subsection (g),
One-half (1/2) of the credit shall be applied to each installment of taxes
(as defined in IC 6-1.1-21-2 before its repeal). The commission must
provide for the credit annually by a resolution and must find in the
resolution the following:
(1) That the money to be collected and deposited in the allocation
fund, based upon historical collection rates, after granting the
credit will equal the amounts payable for contractual obligations
from the fund, plus ten percent (10%) of those amounts.
(2) If bonds payable from the fund are outstanding, that there is
a debt service reserve for the bonds that at least equals the amount
of the credit to be granted.
(3) If bonds of a lessor under section 17.1 of this chapter or under
IC 36-1-10 are outstanding and if lease rentals are payable from
the fund, that there is a debt service reserve for those bonds that
at least equals the amount of the credit to be granted.
If the tax increment is insufficient to grant the credit in full, the
commission may grant the credit in part, prorated among all taxpayers.
(e) Notwithstanding section 26(b) of this chapter, the special fund
established under section 26(b) of this chapter for the allocation area
for a program adopted under section 32 of this chapter may only be
used to do one (1) or more of the following:
(1) Accomplish one (1) or more of the actions set forth in section
26(b)(2)(A) through 26(b)(2)(H) of this chapter.
(2) Reimburse the consolidated city for expenditures made by the
city in order to accomplish the housing program in that allocation
area.
The special fund may not be used for operating expenses of the commission.
(f) Notwithstanding section 26(b) of this chapter, the commission shall, relative to the special fund established under section 26(b) of this chapter for an allocation area for a program adopted under section 32 of this chapter, do the following before July 15 of each year:
(1) Determine the amount, if any, by which the assessed value of the taxable property in the allocation area, when multiplied by the estimated tax rate of the allocation area, will exceed the amount of assessed value needed to produce the property taxes necessary:
(A) to make, when due, principal and interest payments on bonds described in section 26(b)(2) of this chapter;
(B) to pay the amount necessary for other purposes described in section 26(b)(2) of this chapter; and
(C) to reimburse the consolidated city for anticipated expenditures described in subsection (e)(2).
(2) Provide a written notice to the county auditor, the legislative body of the consolidated city, and the officers who are authorized to fix budgets, tax rates, and tax levies under IC 6-1.1-17-5 for each of the other taxing units that is wholly or partly located within the allocation area. The notice must:
(A) state the amount, if any, of excess assessed value that the commission has determined may be allocated to the respective taxing units in the manner prescribed in section 26(b)(1) of this chapter; or
(B) state that the commission has determined that there is no excess assessed value that may be allocated to the respective taxing units in the manner prescribed in section 26(b)(1) of this chapter.
The county auditor shall allocate to the respective taxing units the amount, if any, of excess assessed value determined by the commission.
taxes (as defined in IC 6-1.1-21-2).
(b) Promptly after determining the proposed assessment for each parcel, the board shall mail notice to each owner of property to be assessed. This notice must:
(1) set forth the amount of the proposed assessment;
(2) state that the proposed assessment on each parcel of real property in the economic improvement district is on file and can be seen in the board's office;
(3) state the time and place where written remonstrances against the assessment may be filed;
(4) set forth the time and place where the board will hear any owner of assessed real property who has filed a remonstrance before the hearing date; and
(5) state that the board, after hearing evidence, may increase or decrease, or leave unchanged, the assessment on any parcel.
(c) The notices must be deposited in the mail twenty (20) days before the hearing date. The notices to the owners must be addressed as the names and addresses appear on the tax duplicates and the records of the county auditor.
(d) At the time fixed in the notice, the board shall hear any owner of assessed real property who has filed a written remonstrance before the date of the hearing. The hearing may be continued from time to time as long as is necessary to hear the owners.
(e) The board shall render its decision by increasing, decreasing, or confirming each assessment by setting opposite each name, parcel, and proposed assessment, the amount of the assessment as determined by the board. However, if the total of the assessments exceeds the amount
needed, the board shall make a prorated reduction in each assessment.
(f) Except as provided in section 13 of this chapter, the signing of
the assessment schedule by a majority of the members of the board and
the delivery of the schedule to the county auditor constitute a final and
conclusive determination of the benefits that are assessed.
(g) Each economic improvement district assessment is:
(1) included within the definition of property taxation under
IC 6-1.1-1-14; and
(2) a lien on the real property that is assessed in the economic
improvement district.
However, a lien may not be imposed after December 31, 2010, on
property that is a homestead exempt from property taxes under
IC 6-1.1-10.2. The general assembly finds that an economic
improvement district assessment is a property tax levied for the general
public welfare.
(h) An economic improvement district assessment paid by a
property owner is a property tax for the purposes of applying Section
164 of the Internal Revenue Code to the determination of adjusted
gross income. However, an economic improvement district assessment
paid by a property owner is not eligible for a credit under IC 6-1.1,
IC 6-3.5, or any other law.
(i) The board shall certify to the county auditor the schedule of
assessments of benefits.
(b) In order to perfect a lien arising under subsection (a), the district must file notice of the lien in the office of the county recorder. At least thirty (30) days before filing notice of the lien in the office of the county recorder, the district must provide by certified mail to:
(1) the owner of the real property that would be subject to the lien, at the owner's last known address; or
(2) the tenant or other person having control of the real property that would be subject to the lien, at the last known address of the tenant or other person, if the owner of record cannot be identified;
a written notice of the date on which the district intends to impose a lien under subsection (a). The district shall also provide the county recorder with a copy of the written notice required by this subsection.
(c) When a notice of a lien arising under subsection (a) is presented to the county recorder for filing, the county recorder shall enter the lien appropriately in the entry book and in the miscellaneous record. The entries made under this subsection must show the following:
(1) The date of filing.
(2) The book and page number or instrument number.
(3) The name of the person named in the notice.
(4) A legal description of the property if appropriate.
(5) A serial number or other identifying number given in the notice.
(d) After a notice of a lien is filed with the county recorder under subsection (c), the district shall provide notice of the filing of the lien by certified mail to:
(1) the owner of the property that is subject to the lien, at the owner's last known address; or
(2) the tenant or other person having control of the property that is subject to the lien, at the last known address of the tenant or other person, if the owner of record cannot be identified.
(e) Subject to subsection (f), when a certificate of discharge of a lien arising under this section is:
(1) issued by the board or its designated representative; and
(2) presented for filing in the office of the county recorder;
the county recorder shall record the certificate of discharge as a release of the lien.
(f) To be recorded under subsection (e), the certificate must refer to the county recorder's book and page number or instrument number under which the lien was recorded.
(g) When recording a release of a lien under subsection (e), the county recorder shall inscribe, in the margin of each entry made to record the lien under subsection (d), a reference to the place where the release is recorded.
(h) Upon:
(1) the recording of the certificate of discharge as a release under subsection (e); and
(2) the inscribing of the references to the release under this section;
a certificate of discharge of a lien arising under subsection (a) operates as a full discharge and satisfaction of the lien unless the references to the release inscribed under subsection (e) specifically note the release
as a partial lien release.
(i) A lien created under subsection (a) continues until the earlier of
the following:
(1) The full discharge and satisfaction of the lien.
(2) The expiration of a twenty (20) year period from the date of
the creation of the lien, unless an action to foreclose the lien is
pending.
(b) The works board shall prepare and file an assessment roll, setting forth the assessments against each lot and parcel of real property to be assessed, based upon:
(1) the cost of the lighting for the full period of one (1) year and for that part of a year the system may be operated between the time of its completion and the beginning of the next calendar year; and
(2) in the case of a system of ornamental lighting, the costs of installing the system.
The preparation and filing of the assessment roll and all proceedings for its adoption and confirmation, notices to property owners, certifying the roll to the county treasurer, and all other proceedings in connection with the roll must be according to the statutes regarding public improvements in municipalities.
(c) The first assessment made against each lot or parcel of real property is a lien on that lot or parcel, from the time of the final acceptance of the electrical system by the municipality. However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2. The lien covers the cost of lighting for the part of the calendar year following acceptance of the system, the cost of lighting for the next full calendar year, and, in the case of a system of ornamental lighting, the cost of installing the system.
(d) After the first assessment is made, a lien attaches upon March 1 of each year without further certification to the county treasurer, for the amount of the lighting cost for the succeeding calendar year and in
the same proportions per front foot as fixed by the original assessment
roll.
(e) Assessments made under this section shall be paid in the same
manner as taxes are paid, at the regular tax paying periods following
the adoption of the assessment roll. An assessment not paid at the time
fixed by statute is subject to and may be collected according to the
statutes regarding delinquent taxes, and all property upon which an
assessment is a lien is subject to proceedings for the collection of taxes.
(f) The lien of an assessment under this section has equal priority
with all other assessment liens and is superior to all other liens except
liens for taxes.
(b) A fee is not enforceable as a lien against a subsequent owner of property unless the lien for the fee was recorded with the county recorder before the conveyance to the subsequent owner. If the property is conveyed before the lien can be filed, the municipality shall notify the person who owned the property at the time the fee became payable. The notice must inform the person that payment, including penalty fees for delinquencies, is due not more than fifteen (15) days after the date of the notice. If payment is not received within one hundred eighty (180) days after the date of the notice, the amount due may be expensed as a bad debt loss.
(c) A lien attaches against real property occupied by someone other than the owner only if the utility notified the owner within twenty (20) days after the time the utility fees became sixty (60) days delinquent. However, the utility is required to give notice to the owner only if the owner has given the general office of the utility written notice of the address to which the owner's notice is to be sent.
(d) The municipality shall release:
(1) liens filed with the county recorder after the recorded date of conveyance of the property; and
(2) delinquent fees incurred by the seller;
upon receipt of a verified demand in writing from the purchaser. The demand must state that the delinquent fees were not incurred by the purchaser as a user, lessee, or previous owner, and that the purchaser has not been paid by the seller for the delinquent fees.
(b) The board may change fees from time to time. The fees, together with the taxes levied under this chapter, must at all times be sufficient to produce revenues sufficient to pay operation, maintenance, and administrative expenses, to pay the principal and interest on bonds as they become due and payable, and to provide money for the revolving fund authorized by this chapter.
(c) Fees may not be established until a public hearing has been held at which all the users of the sewage works and owners of property served or to be served by the works, including interested parties, have had an opportunity to be heard concerning the proposed fees. After introduction of the resolution fixing fees, and before they are finally adopted, notice of the hearing setting forth the proposed schedule of fees shall be given by publication in accordance with IC 5-3-1. After the hearing, the resolution establishing fees, either as originally introduced or as amended, shall be passed and put into effect. However, fees related to property that is subject to full taxation do not take effect until they have been approved by ordinance of the municipal legislative body or, in the case of a district described in section 3(b)(2) of this chapter, under section 11.3 of this chapter.
(d) A copy of the schedule of the fees shall be kept on file in the office of the board and must be open to inspection by all interested parties. The fees established for any class of users or property served shall be extended to cover any additional premises thereafter served that fall within the same class, without the necessity of hearing or notice.
(e) A change of fees may be made in the same manner as fees were originally established. However, if a change is made substantially pro rata for all classes of service, hearing or notice is not required, but approval of the change by ordinance of the municipal legislative body is required, and, in the case of a district described in section 3(b)(2) of this chapter, approval under section 11.3 of this chapter is required.
(f) If a fee established is not paid within thirty (30) days after it is due, the amount, together with a penalty of ten percent (10%) and a reasonable attorney's fee, may be recovered by the board from the delinquent user or owner of the property served in a civil action in the name of the municipality.
(g) Fees assessed against real property under this section also constitute a lien against the property assessed. However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2. The lien attaches at the time of the filing of the notice of lien in the county recorder's office. The lien is superior to all other liens except tax liens, and shall be enforced and foreclosed in the same manner as is provided for liens under IC 36-9-23-33 and IC 36-9-23-34.
(h) A fee assessed against real property under this section constitutes a lien against the property assessed only when the fee is delinquent for no more than three (3) years from the day after the fee is due.
(i) In addition to the penalties under subsections (f) and (g) and section 11.5 of this chapter, a delinquent user may not discharge water into the public sewers and may have the property disconnected from the public sewers.
(j) The authority to establish a user fee under this section includes fees to recover the cost of construction of sewage works from industrial users as defined and required under federal statute or rule. Any industrial users' cost recovery fees may become a lien upon the real property and shall be collected in the manner provided by law. In addition, the imposition of the fees, the use of the amounts collected, and the criteria for the fees must be consistent with the regulations of the federal Environmental Protection Agency.
(k) The authority to establish a user fee under this section includes fees to recover the costs associated with providing financial assistance under section 42 of this chapter. A fee that is:
(1) established under this subsection or any other law; and
(2) used to provide financial assistance under section 42 of this chapter;
is considered just and equitable if the project for which the financial
assistance is provided otherwise complies with the requirements of this
chapter.
(b) The board may fix the fees for waste collection on the basis of a schedule of charges for each classification of residence or building in use in the solid waste collection service district, and may fix the fees for waste disposal on the basis of a schedule of charges for each classification of residence or building in use in the waste disposal district. These classifications of residences and buildings shall be based on:
(1) weight or volume of the refuse received;
(2) the average number of containers or bags of refuse received;
(3) the relative difficulty associated with the disposal of the waste received; or
(4) any combination of these criteria or any other criteria the board determines to be logically related to the service.
(c) The collection of the fees authorized by this section may be effectuated through a periodic billing system or through a charge appearing on the semiannual property tax statement of the affected property owner.
(d) If the fees are not paid when due (by the affected property owner), a lien is created upon the property benefited by the collection and disposal of waste. However, a lien may not be created after December 31, 2010, upon property that is a homestead exempt from property taxes under IC 6-1.1-10.2. When the property is sold at a tax sale under the procedures provided by statute, the amount of the purchase price attributable to the waste charge lien reverts to the consolidated city.
(e) The board may exercise reasonable discretion in adopting differing schedules of fees, based upon variations in the cost of furnishing the services included within this chapter to various classes of owners of property, the distance of the property benefited from the facility, or any other variations the board determines to be logically related to the cost of the service.
(f) Fees shall be established only after a public hearing before the
board at which all persons using facilities or owning property benefited
by waste collection and disposal, and others interested, have had
opportunity to be heard by the board concerning the proposed fees.
After adoption of the resolution fixing fees and before the resolution
takes effect, public notice of the hearing, setting forth the schedule of
fees, shall be given. The hearing may be adjourned from time to time.
After the hearing, the resolution establishing fees, either as originally
passed or as amended, shall be passed and put into effect. A copy of the
schedule of fees so established shall be kept on file in the office of the
board and shall be kept open to inspection by all persons interested.
The fees established shall be extended to cover any additional territory
later served that falls within the same class, without the necessity of
any hearing or notice. Any change or readjustment of fees may be made
in the same manner as they were originally established.
(g) An action to contest the validity of the fees adopted or the
procedure by which they were adopted must be brought within thirty
(30) days following the adoption of the fees.
(h) Fees imposed under this chapter may be used, together with any
other revenues, to pay the cost of facilities for waste disposal, waste
collection, the operation and maintenance of facilities, cost incurred
under put or pay contracts, charges that may be pledged to the payment
of principal of and interest on waste disposal district or revenue bonds,
or amounts required by put or pay contracts.
(i) Before any fee established by the board for waste collection or
disposal may take effect, the city-county legislative body must by
ordinance approve, reject, or modify the fee.
(1) the construction, maintenance, or repair of an improvement; or
(2) the taking of lands for any purpose of the unit.
However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2.
(b) The lien is established when the assessments are certified to the disbursing officer for collection. The unit may bring a foreclosure action to enforce the lien against a person who defaults in payment of the assessment.
repeal in 1993) is a lien on the real property assessed. However, a lien
may not be imposed after December 31, 2010, on property that is
a homestead exempt from property taxes under IC 6-1.1-10.2. This
lien is second in priority only to taxes levied on the property.
(b) When costs are assessed, they become a lien upon the property to the same extent, are enforceable in the same manner, and have the same rights to payment by installments and appeal as are provided for street and sidewalk improvements ordered by the works board. However, a lien may not be imposed after December 31, 2010, on property that is a homestead exempt from property taxes under IC 6-1.1-10.2.
(c) If a majority of the resident freeholders affected by the proposed improvement remonstrate in writing against the improvement, the board may, after giving ten (10) days' notice to the remonstrators, petition the circuit court to specifically order the improvement. If at the hearing on the petition the board establishes the public necessity of the proposed improvement and demonstrates that the benefits will equal the assessments against the separate lots or parcels of land, the order shall be made.
(d) If land along one (1) side of a parkway, pleasure driveway, or boulevard is owned by the city or used by it for park purposes, one-half (1/2) of the cost of the improvements under this section, as well as any part of the other one-half (1/2) of the cost of the improvements that cannot be met by special assessments against abutting property, is considered to be benefits accruing to all of the property, real and personal, not exempt from taxation under this chapter and located within the boundaries of the district. The cost shall be paid out of the
proceeds of the bonds of the taxing district that are issued and sold for
those purposes. Payment shall be made as provided in sections 35 and
37 of this chapter.
(e) The board may provide for the rough grading of a parkway,
pleasure driveway, or boulevard at the same time as the acquisition of
the property or after the property, or a necessary part of it, has already
been secured under section 21 of this chapter.
(f) The board may change and fix the grade of a boulevard, park
boulevard, public driveway, or public ground under its control to the
same extent as the works board of the city may change and fix the
grade of a public way or public place within the city.
; (10)IN0398.1.115. --> SECTION 115. THE FOLLOWING ARE REPEALED [EFFECTIVE JANUARY 1, 2011]: IC 6-1.1-12-9; IC 6-1.1-12-10.1; IC 6-1.1-12-11; IC 6-1.1-12-12; IC 6-1.1-12-17.4; IC 6-1.1-12-17.5; IC 6-1.1-12-37; IC 6-1.1-12-37.5; IC 6-1.1-12-41; IC 6-1.1-12-42; IC 6-1.1-12-44; IC 6-1.1-20.4; IC 6-1.1-20.6-8.5; IC 6-1.1-22-9.5; IC 6-1.1-37-10.5; IC 6-2.5-4-3; IC 6-2.5-4-4; IC 6-2.5-4-11; IC 6-2.5-4-13; IC 6-2.5-4-14; IC 6-2.5-5-16.5; IC 6-3.1-20; IC 6-3.5-6-13; IC 6-3.5-7-25; IC 6-3.5-7-25.5.
(b) If an ordinance is adopted under subsection (a), the revenue from that part of the rate that is continued under this SECTION shall be allocated among all the funds of all the taxing units in the county that receive property tax revenue as though the revenue were property tax revenue.
(c) Before August 2, 2010, the budget agency shall calculate for each county a revised county adjusted gross income tax rate, county option income tax rate, and county economic development income tax rate for purposes of IC 6-3.5. The revised rate is the rate in effect on July 1, 2010, reduced by the part of the rate that is not continued by the county as permitted by subsection (a). The revised rate takes effect October 1, 2010, and continues until it is changed by the county.
(d) This SECTION expires December 31, 2011.
(1) the furnishing of public utility, telephone, or cable television services and commodities by retail merchants described in IC 6-2.5-4-5, IC 6-2.5-4-6, and IC 6-2.5-4-11, all as amended by this act; or
(2) a transaction in which services are delivered before July 1, 2010, and after June 30, 2010, by a retail merchant;
shall be considered as having occurred after June 30, 2010, to the extent that delivery of the property or services constituting selling at retail is made after that date to the purchaser or to the place of delivery designated by the purchaser. However, a transaction shall be considered as having occurred before July 1, 2010, to the extent that the agreement of the parties to the transaction is entered into before July 1, 2010, and payment for the property or services furnished in the transaction is made before July 1, 2010, notwithstanding the delivery of the property or services after June 30, 2010.
(b) With respect to a transaction:
(1) constituting the furnishing of public utility, telephone, or cable television services and commodities by retail merchants described in IC 6-2.5-4-5, IC 6-2.5-4-6, and IC 6-2.5-4-11, all as amended by this act; or
(2) in which services are delivered before July 1, 2010, and after June 30, 2010, by a retail merchant;
only transactions for which the charges are collected on original statements and billings dated after June 30, 2010, shall be considered as having occurred after June 30, 2010.
(c) This SECTION expires July 1, 2011.
