Dozens More Tax Bills Filed and Posted

Following are summaries of proposed bills posted by Legislative Services:

House Bill 1354

DIGEST OF INTRODUCED BILL Enterprise zones. Provides a credit against state sales and use tax liability for certain purchases made: (1) by or on behalf of a taxpayer that owns real property in an enterprise zone; (2) from a person whose place of business is within an enterprise zone or a city in which an enterprise zone is located; and (3) for the purpose of the redevelopment or rehabilitation of a business or residence in an enterprise zone. Provides retail merchants located in an enterprise zone with an additional allowance equal to 1% of the retail merchant's sales tax liability. Provides that an individual is entitled to an adjusted gross income tax deduction equal to the amount of qualified increased enterprise zone adjusted gross income received by the individual during the taxable year (including the individual's distributive share of a pass through entity's qualified increased enterprise zone adjusted gross income). Provides a credit against state tax liability for jobs created at locations within an enterprise zone.

House Bill 1359

DIGEST OF INTRODUCED BILL Age-restricted housing programs. Allows a redevelopment commission to establish a program for age-restricted housing. Specifies the findings that the redevelopment commission must make before adopting the age-restricted housing program. Provides that all of the rights, powers, privileges, and immunities that may be exercised by a redevelopment commission in blighted, deteriorated, or deteriorating areas may be exercised by the redevelopment commission in implementing its program for age-restricted housing, including levying a special tax, issuing bonds or entering into leases, and allocating incremental property tax revenue.

House Bill 1362

DIGEST OF INTRODUCED BILL Controlled project referenda. Permits a political subdivision, for purposes of holding a local public question regarding the issuance of debt for a project, to hold a special election if there is not a primary, municipal, or general election scheduled during the year the question is first eligible to be placed on the ballot. Removes the requirement that the local public question include the total cost of the project. Requires that the local public question must include the total amount that will be borrowed for the project. Requires that the local public question must include the debt service property tax rate impact. Permits a political subdivision to adopt, at the same hearing at which the preliminary determination is made to issue bonds or enter into a lease, a resolution specifying that the local public question process applies to the issuance of the bonds or the entering into of the lease. Makes a technical correction.

House Bill 1363

DIGEST OF INTRODUCED BILL Road funding. Provides that gasoline taxes, special fuel taxes, and motor carrier fuel taxes deposited in the motor vehicle highway account (MVHA) may not be used to pay any part of the operating expenses of the bureau of motor vehicles (BMV). Removes the requirement that one- half of the amount appropriated for the state police department be deducted from the MVHA fund before making the statutory allocation to cities, towns, counties, and the department of transportation. Provides that the amount of money that the BMV may receive from the MVHA in a state fiscal year may not exceed the amount of fees collected by the BMV and deposited in the MVHA in that state fiscal year.

House Bill 1365

DIGEST OF INTRODUCED BILL Lake County innkeeper's tax. Provides that the Lake County innkeeper's tax applies to the renting or furnishing of rooms for periods of less than 30 consecutive days by the same party in the same room. Provides that an agent of the county treasurer may exercise certain powers assigned to the county treasurer under the Lake County innkeeper's tax law. Provides that 11.67% of the first $1,200,000 of revenue received from the Lake County innkeeper's tax that is not transferred to the city of Gary shall be allocated to a local matching grant fund. Specifies that money in the local matching grant fund may be distributed only for major destination events. Deletes provisions distributing a corresponding percentage of the tax to certain municipalities for convention facility marketing, sales, and public relations programs and for tourism and economic development projects. Provides that the Lake County innkeeper's tax revenue transferred to Purdue University-Calumet may be used by the university for education programs (rather than nursing education programs, under current law). Deletes the requirement that the budget of the Lake County convention and visitor bureau (bureau) must be submitted to the department of local government finance and placed on file with the county auditor. Removes requirements that the bureau may use funds under its control only for events in the county.

House Bill 1366

DIGEST OF INTRODUCED BILL Highway and street pilot program. Authorizes the department of transportation and the board of a regional transportation authority to develop a pilot program to explore alternative highway and street funding methods. Provides that money in the state highway fund may be used to pay for the pilot program.

House Bill 1374

DIGEST OF INTRODUCED BILL Customer-generator facilities. Provides that a customer-generator facility that owns only definite situs property that is located in one taxing district is not subject to assessment as a public utility and shall be locally assessed. Requires the utility regulatory commission to amend the rules governing interconnection to allocate: (1) interconnection costs to a customer-generator facility; and (2) distribution system improvement costs related to interconnection to an investor-owned utility.

House Bill 1375

DIGEST OF INTRODUCED BILL Repeal of petroleum severance tax. Repeals the petroleum severance tax with respect to petroleum severed from the land after June 30, 2013. Moves civil and criminal penalties concerning the petroleum severance tax to the criminal law. Provides that the penalty provisions apply to taxes imposed on petroleum severed from the land before July 1, 2013. Provides that the penalty provisions expire July 1, 2017. Requires the treasurer of state to transfer the balance of the oil and gas fund to the oil and gas environmental fund (OGEF). Provides that certain permit fees are paid into the OGEF rather than the oil and gas fund. Provides that research and administrative expenses may be paid from the OGEF. Removes the $1,500,000 cap on the balance of the OGEF. Annually appropriates money in the OGEF.

House Bill 1390

DIGEST OF INTRODUCED BILL Fire protection territories. Specifies the factors that the department of local government finance (DLGF) shall consider when a civil taxing unit (unit) requests an increase in the unit's maximum property tax levy to meet the unit's obligations to a fire protection territory. Provides that 10 or more taxpayers may file a petition with the DLGF requesting the DLGF to reduce the maximum permissible property tax levy and the actual property tax levy for a unit that is the provider unit of a fire protection territory. Specifies the factors the DLGF shall consider if such a petition is filed. Provides that a member of the legislative body of a unit may not vote on a proposed ordinance or resolution authorizing the unit to join or establish a fire protection territory if that member is: (1) an employee of an entity that is providing services under a contract with another unit that is or is proposing to be a member of the fire protection territory; or (2) an independent contractor that is providing services under a contract with such a unit. Specifies that if a member of the legislative or fiscal body of a participating unit in a fire protection territory is an employee of another unit that is also a participating unit in the fire protection territory, or if the member is employed by a contractor of such a unit or is an independent contractor contracting with such a unit, the member: (1) may not vote on the proposed budget, property tax levy, or property tax rate of the fire protection territory, or on the salaries or benefits of employees of the fire protection territory; and (2) may not serve on any board or committee established by the participating units for purposes of governing the fire protection territory or otherwise overseeing the fire protection territory. Provides that if a legislative or fiscal body of a unit is unable to vote: (1) on a proposed ordinance or resolution authorizing the unit to join or establish a fire protection territory; or (2) on a proposed budget, property tax levy, or property tax rate of a fire protection territory or on the salaries or benefits of employees of a fire protection territory because a majority of the members of the legislative or fiscal body are prohibited from voting, the county fiscal body of the county in which the greatest percentage of the unit's assessed valuation is located shall vote on the issue for which the legislative or fiscal body is unable to vote. Specifies certain appointments that must be made to any board or committee established by participating units for purposes of governing or overseeing a fire protection territory.

House Bill 1399

DIGEST OF INTRODUCED BILL Indianapolis-Marion County issues. Provides that the consolidated law enforcement department of a county having a consolidated city is a division of the department of public safety under the direction and control of the director of public safety. Allows the mayor of a consolidated city to reduce or modify separate items of an ordinance appropriating money or levying a tax. (Under current law, the mayor may approve or veto separate items of only an ordinance appropriating money or levying a tax.) Eliminates the requirement that the city-county council approve the director and deputy director appointments of the mayor of the consolidated city. Eliminates provisions that allow the city-county council to require the capital improvement board of managers to make payments in lieu of taxes (PILOTS) for deposit in the consolidated county fund. Allows the mayor of a consolidated city to appoint two additional members to the metropolitan development commission, and eliminates the appointments of the county board of commissioners (consisting of the county treasurer, county auditor, and county assessor). Allows the controller of the consolidated city and county to allot amounts appropriated to an office, department, or agency of the consolidated city or county.

House Bill 1401

DIGEST OF INTRODUCED BILL Approval of public library budgets. Provides that a public library in Lake County is not required to have its budget and tax levy approved by a city or town council or by the county council, if the public library's budget does not increase by a percentage greater than the percentage that is used to increase the maximum property tax levies of local taxing units in counties other than Lake County. Deletes a reference to public libraries in a statute that no longer applies to public libraries.

House Bill 1405

DIGEST OF INTRODUCED BILL Redemption of real property sold in a tax sale. Reduces the percentage of the minimum bid that a person redeeming real property sold at a tax sale must pay: (1) from 110% to 105% of the minimum bid for which the real property was offered for sale, if the real property is redeemed within six months after the date of sale; or (2) from 115% to 110% of the minimum bid for which the real property was offered for sale, if the real property is redeemed more than six months after the date of sale.

House Bill 1412

DIGEST OF INTRODUCED BILL Economic development. Requires the Indiana economic development corporation to award an EDGE+ bonus to taxpayers who are subject to the federal medical device excise tax and create or retain jobs in Indiana. Makes technical corrections.

House Bill 1414

DIGEST OF INTRODUCED BILL Indiana new markets jobs act. Establishes a new markets job growth credit against state tax liability for investments made by a taxpayer in a qualified community development entity that then uses the proceeds of the investment to make investments in certain qualified active low income community businesses located in Indiana. Specifies that the tax credit is equal to an applicable percentage multiplied by the purchase price of the qualified investment. Requires a qualified community development entity to pay a nonrefundable application fee of $5,000 for each qualified equity investment that the qualified community development entity seeks to have approved by the Indiana economic development corporation (IEDC). Requires the IEDC to limit the monetary amount of qualified equity investments to an amount necessary to limit the claiming of the tax credit to not more than $20,000,000 in any state fiscal year (based on the anticipated use of the tax credits without regard to the potential for taxpayers to carry forward tax credits to later tax years). Provides that the IEDC is required to issue letter rulings requested by taxpayers, similar to private letter rulings issued by the Internal Revenue Service at the federal level, regarding the Indiana new markets tax credit. Makes an appropriation.

House Bill 1416

DIGEST OF INTRODUCED BILL Tax credit for family caregivers. Provides that if a taxpayer has income of less than $50,000, the taxpayer is eligible for an income tax credit for expenses incurred in providing care to an elderly family member who: (1) has the same principal place of abode as the taxpayer; (2) has income of less than $30,000; and (3) is not receiving long term care services under certain programs. Specifies that the amount of the credit is equal to 50% of the expenses incurred by the taxpayer in providing care to such eligible family members during the taxable year. Provides that the maximum credit amount is $500. Specifies that a taxpayer is not entitled to a refund, carryback, or carryforward of any credit.

House Bill 1418

DIGEST OF INTRODUCED BILL Income tax rate reduction. Reduces the individual adjusted gross income tax rate by 10% over two years. Provides that the rate reductions occur on July 1, 2013, and July 1, 2014.

House Bill 1419

DIGEST OF INTRODUCED BILL Personal exemptions. Doubles the exemption amounts for the following: (1) The taxpayer, or the taxpayer and the taxpayer's spouse in the case of a married couple filing a joint return. (2) A taxpayer's dependents. (3) Taxpayers who are at least 65 years of age or blind. (4) The spouse of the taxpayer, if a separate return is made by the taxpayer, the spouse has no gross income, and the spouse is not the dependent of any other taxpayer. (5) Dependent children who are under the age of 19 or students under the age of 24. (6) Taxpayers who are at least 65 years of age and have adjusted gross income of less than $40,000.

House Bill 1425

DIGEST OF INTRODUCED BILL Property tax exemption. Provides that in the case of a ministry that: (1) is exempt from federal income taxes; (2) owns an eligible property; (3) acquired the eligible property after the 2012 assessment date; and (4) redeemed the eligible property after it was sold for delinquent taxes in 2012; the ministry is not required to pay any property taxes, penalties, or interest with respect to the parcel for the March 1, 2012, assessment date if the taxpayer submits an exemption application for the parcel before September 1, 2013, and demonstrates that the parcel would have qualified for an exemption if an exemption application had been filed in a timely manner. Provides that the ministry is entitled to a refund for any back taxes, penalties, and interest paid with respect to the eligible property or for any amount paid to redeem the eligible property.

House Bill 1434

DIGEST OF INTRODUCED BILL Motor vehicle excise tax. Changes the calculation of tax reductions, credits, and refunds relating to the acquisition, trade, sale, or loss of a vehicle or a change in the owner's name that changes the owner's annual registration date. Requires the calculations to reference the days elapsed in a registration year rather than months. Applies the new methodology to the computation of certain credits and adjustments to the county motor vehicle excise surtax.

House Bill 1437

DIGEST OF INTRODUCED BILL Income tax credit for student loan borrowers. Provides a credit against an individual's adjusted gross income tax liability during the first 10 consecutive years after the individual is first required to begin repayment of a student loan if the individual is employed in a qualifying occupation.

House Bill 1449

DIGEST OF INTRODUCED BILL Township assistance tax rate. Separates the township assistance levy from the township's general fund levy, and provides for a levy based on a rate calculation that must be used to determine a township assistance levy after 2013. Specifies that the township assistance levy may not exceed the amount that would be raised by a tax rate equal to: (1) the 2013 statewide average township assistance property tax rate multiplied by eight; multiplied by (2) the school complexity index for the largest school corporation in the township. Provides that for a township that has a 2013 township assistance tax rate above this calculated maximum rate, the change is phased in over two years. Provides that if the calculated maximum rate for a township for 2014 is greater than or equal to the 2013 rate, the assessed value growth quotient (AVGQ) applies for 2014 and thereafter. Provides that for other townships, the AVGQ applies after 2015, after the new rate is fully phased in. Permits a township to increase the township assistance levy only if there is a corresponding reduction in the township's general fund levy. Specifies that if the township is located in a county for which a local option income tax for property tax levy freeze purposes is first imposed or increased, the township assistance fund levy remains the same for that year.

House Bill 1452

DIGEST OF INTRODUCED BILL Utility facilitation of job creation. Provides that when a political subdivision performs a public work, a public utility that provides utility service to the political subdivision: (1) shall grant all necessary rights-of-way to the political subdivision at no charge; and (2) may not impose connection fees for utility service provided to the public work. Provides that when a political subdivision grants a job creation incentive for a project that reduces a person's property tax liability, the public utility that provides utility service to the project shall reduce, directly or in the form of a credit, the rates and charges imposed for the utility service in proportion to the reduction in the person's property tax liability.

House Bill 1454

DIGEST OF INTRODUCED BILL Local government rainy day funds. Removes a provision allowing a political subdivision to transfer not more than 10% of its annual budget to its rainy day fund. Provides that unused and unencumbered funds from any fiscal year and certain specified sources may be transferred to the rainy day fund at any time. Provides that unobligated cash balances from any fiscal year and sources not specified by statute may be transferred to the rainy day fund if the amount of the transfer is specified in an ordinance or resolution establishing the rainy day fund and the transfer is not more than 10% of the political subdivision's annual budget.

House Bill 1456

DIGEST OF INTRODUCED BILL New employee tax credit. Provides a tax credit against state tax liability each taxable year for a small business that hires a veteran, an individual who is at least 50 years of age, or an individual who has been totally unemployed for each of the 26 weeks preceding the hiring date. Specifies that the amount of the credit is $1,000 for each qualified individual the employer hires during the taxable year.

House Bill 1459

DIGEST OF INTRODUCED BILL Income tax credit. Provides an income tax credit for charitable contributions to school corporations. Provides that the credit is equal to 50% of the charitable contribution, but may not exceed: (1) $100 for a single individual return; (2) $200 for a joint return; or (3) the lesser of 10% of a corporation's adjusted gross income tax liability or $1,000 for a corporate return.

House Bill 1462

DIGEST OF INTRODUCED BILL Economic development. Permits a venture capital investment tax credit that has been certified by the Indiana economic development corporation to be applied against tax liability when the qualified investment capital is provided regardless of whether the total amount of tax credits applied by all taxpayers in a particular calendar year exceeds $12,500,000. Permits the Indiana economic development corporation to designate an applicant rural county as a rural entrepreneurship area development incentives area. Provides for the distribution of adjusted gross income taxes annually paid by employees working in an area for a new business and by the new business itself to the rural county for the development of new business opportunities in the rural county, including transfers to local or regional venture capital funds. Limits the amount that may be distributed to a particular county in any year to $500,000.

House Bill 1471

DIGEST OF INTRODUCED BILL Sales tax refunds in disaster areas. Provides that a person who is the owner of a building that is located in a county declared a disaster area under federal law and that is damaged or destroyed as a result of a disaster occurring after December 31, 2011, is entitled to a refund of the state sales and use tax paid on the purchase of building materials that: (1) are used to repair the building or to construct a new building to replace the damaged or destroyed building; and (2) are purchased after the occurrence of the disaster by the owner of the building or by a contractor that is under contract with the owner.

House Bill 1472

DIGEST OF INTRODUCED BILL Jackson County adjusted gross income tax. Extends the period during which Jackson County may impose the county adjusted gross income tax (CAGIT) at a rate of 1.1% to obtain additional revenue for the operation and maintenance of a jail and juvenile detention center until December 31, 2023. (Current law terminates the period during which the 1.1% CAGIT rate may be imposed in Jackson County on July 1, 2011.)

House Bill 1479

DIGEST OF INTRODUCED BILL Administration of county income taxes. Provides that county income tax revenue deposited in a county's account within the state general fund is held by the state in trust for the county. Requires the department of state revenue to record and track the amount of county income tax that is received from county taxpayers (either through withholding or directly from a county taxpayer) of each county for a particular taxable year. Provides that in January of each year, the budget agency shall make a supplemental distribution of county income tax revenue to a county. Specifies that the amount of the supplemental distribution is equal to the amount of county income tax revenue that is received from county taxpayers for a taxable year but that was not included in a certified distribution previously made to the county for that taxable year.

House Bill 1491

DIGEST OF INTRODUCED BILL Property tax appeal deadlines. Increases the time that a property taxpayer has to appeal an assessment or a county or township official's action with respect to certain select deductions to the county property tax assessment board of appeals (PTABOA) from 45 days to 90 days from the date the taxpayer receives notice of the assessment or other relevant action. Reduces the time after a taxpayer gives notice of an appeal that a county PTABOA has: (1) to schedule a hearing on the taxpayer's appeal (reduced from 120 days to 60 days); (2) to hold a hearing on the taxpayer's appeal (reduced from 180 days to 90 days); and (3) to issue a determination on the taxpayer's appeal (reduced from 120 days to 60 days).

House Bill 1492

DIGEST OF INTRODUCED BILL Property tax abatements for certain buildings. Allows a designating body to specify characteristics of buildings to which the term "eligible vacant building" applies when granting a property tax deduction for the occupation of an eligible vacant building in an economic revitalization area. Extends the maximum term for which a property tax deduction for occupation of an eligible vacant building is normally allowed from two years to 10 years. Allows an alternative abatement schedule to be used for a deduction allowed for occupation of an eligible vacant building. Provides a new deduction for a property owner that a designating body determines is likely to vacate a building without the property tax deduction and thus create an eligible vacant building.

House Bill 1496

DIGEST OF INTRODUCED BILL Rural entrepreneurship areas. Permits a rural county, with the approval of the Indiana economic development corporation (IEDC), to designate the county as a rural entrepreneurship area development incentives area (area). Provides for the transfer of adjusted gross income taxes annually paid by employees working in an area for a new business, and by the new business itself, to the rural county for the development of new business opportunities in the rural county. Limits the amount that may be transferred in any year to $500,000. Makes an annual appropriation.

House Bill 1499

DIGEST OF INTRODUCED BILL County income taxes. Provides that a county's certified distribution of county adjusted gross income tax, county option income tax, or county economic development income tax is based on the amount of county tax received by the state from county taxpayers of that county, regardless of whether the amount received has been reported on a return or amended return processed by the department of state revenue.

House Bill 1504

DIGEST OF INTRODUCED BILL Expenses of property tax appeals. Provides that a county may adopt an ordinance establishing a county property tax appeals defense fund for the purpose of paying expenses incurred by a county in litigating and resolving property tax disputes. Allows a county to adopt an ordinance authorizing the retention by the county of a percentage, not to exceed five percent, of the property taxes, penalties, and interest for which a taxpayer is determined to be liable after a property tax appeal is final or settled.

House Bill 1507

DIGEST OF INTRODUCED BILL Payment in lieu of taxes for Burns Harbor. Authorizes the City of Portage (City) to impose a payment in lieu of taxes (PILOT) against the Port of Indiana-Burns Harbor (Port) and any other owner of exempt property that is located at the Port. Establishes the maximum PILOT to be the property taxes that would be imposed on the property if the property were not exempt from property taxes. Provides that the revenue from the PILOT may be used for any general fund purpose of the City.

House Bill 1516

DIGEST OF INTRODUCED BILL Tax credit for donations to schools. Expands the credit against adjusted gross income tax available under current law for charitable contributions to colleges and universities to include charitable contributions to a school, public or private, that offers instruction at any grade from kindergarten through grade 12.

House Bill 1521

DIGEST OF INTRODUCED BILL Tax increment funds. Provides that projects financed after June 30, 2013, by various tax increments must be located within the area in which the tax increment is realized.

House Bill 1522

DIGEST OF INTRODUCED BILL Homestead benefits for property sold by contract. Provides that property being sold under an installment contract does not qualify for various homestead property tax benefits unless the installment contract satisfies certain requirements, including that the contract transfer legal title and ownership of the property to the buyer once the buyer pays the contract price. Provides that a seller of real property, a mobile home, or a manufactured home that sells the property using a qualified installment contract may not claim the homestead deduction for that property. Provides that a contract for the sale of real property (excluding mobile homes and manufactured homes) that is entered into after May 31, 2013, must specify the total contract price for the sale of the real property in order to qualify for homestead property tax benefits. Consolidates duplicate provisions setting conditions for granting of deductions for homestead property being sold under an installment contract into a single Indiana Code section.

House Bill 1528

DIGEST OF INTRODUCED BILL Assessment of agricultural land. Provides that for purposes of the 2013 and 2014 assessment dates, the statewide agricultural land base rate value per acre used to determine the value of agricultural land is $1,200.

House Bill 1530

DIGEST OF INTRODUCED BILL Exemption of personal property. Provides that, beginning with the March 1, 2014, assessment date, a taxpayer is entitled to an exemption for the taxpayer's new personal property located in a county, unless the county council adopts an ordinance specifying that the exemption does not apply to that particular county. Limits the exemption to the first $100,000 of a taxpayer's new personal property located in the county.

House Bill 1532

DIGEST OF INTRODUCED BILL Marion County fire consolidation. Provides that on a date set by the mayor of the consolidated city and not later than January 1, 2015, the fire departments of all of the following are consolidated into the fire department of the consolidated city: (1) The townships in the county having the consolidated city. (2) A fire protection territory in the county having the consolidated city. Authorizes the consolidation of an excluded city's fire department into the fire department of the consolidated city if: (1) the legislative body of the excluded city, after approval by the executive of the excluded city, adopts an ordinance approving the consolidation; and (2) the legislative body of the consolidated city adopts an ordinance, approved by the mayor of the consolidated city, approving the consolidation. Specifies that the consolidated fire department is a division of the department of public safety. Provides that the maximum property tax levy of a consolidated city for property taxes first due and payable in 2014 shall be increased by an amount equal to the combined maximum property tax levies for property taxes first due and payable in 2013 for fire protection and related services of each entity that has a fire department consolidated into the fire department of the consolidated city. Provides for a corresponding decrease in the maximum property tax levies of these consolidating entities. Provides that for three years after a consolidation of a fire department, the consolidated city may levy a tax above the maximum property tax levy for the fire special service district in each township or excluded city that is necessary to phase out borrowing for fire and emergency services.

House Bill 1535

DIGEST OF INTRODUCED BILL Administrative rules oversight committee. Reduces the membership of the administrative rules oversight committee (committee) from eight legislative members to four legislative members plus the governor or the governor's designee. Sets forth procedures for the appointment of: (1) legislative members of the committee; and (2) the committee chair; to more closely align to the actual schedule of appointments made before the election of the one hundred eighteenth general assembly. Permits members to participate in committee meetings from remote locations if at least three members are physically present at the place where the meeting is held. Changes the function of the committee from reviewing citizen complaints concerning state agency actions to reviewing rules proposed by certain state agencies. Provides that the committee's review applies to the proposed rules of the same state agencies subject to the committee's oversight under current law. Provides that the committee's review must occur at the same time that the proposed rules are being reviewed by the attorney general. Permits the committee to recommend that the governor approve or disapprove a proposed rule.

House Bill 1540

DIGEST OF INTRODUCED BILL Public transportation corporations. Authorizes the following funding sources for public transportation corporations: (1) The county adjusted gross income tax. (2) The county option income tax. (3) The county economic development income tax. (4) The local option income tax imposed for public safety purposes. (5) A $10 city registration fee on passenger cars and trucks having a declared gross weight of less than 11,000 pounds. (6) A referendum tax levy.

House Bill 1541

DIGEST OF INTRODUCED BILL Various tax matters. Repeals the automatic taxpayer refund. Reduces the individual income tax rate from 3.4% to 3.06% over three years. Provides that the inheritance tax does not apply to property interests transferred by decedents whose deaths occur after December 31, 2017. Specifies that certain definitions apply after the elimination of the inheritance tax for purposes of the Indiana estate tax and the Indiana generation-skipping transfer tax. Provides that the inheritance tax replacement amount is calculated in the same manner that it was calculated between 1997 and 2012. (Current law provides that a county is not eligible for a replacement amount unless it receives a replacement amount for inheritance tax collections in state fiscal year 2011-2012.) Phases out inheritance tax replacement amount distributions from 2013 to 2017.

House Bill 1542

DIGEST OF INTRODUCED BILL Inheritance tax. Provides that the inheritance tax does not apply to property interests transferred by decedents whose deaths occur after December 31, 2017. Specifies that certain definitions apply after the elimination of the inheritance tax for purposes of the Indiana estate tax and the Indiana generation-skipping transfer tax. Provides that the inheritance tax replacement amount is calculated in the same manner that it was calculated between 1997 and 2012. (Current law provides that a county is not eligible for a replacement amount unless it receives a replacement amount for inheritance tax collections in state fiscal year 2011-2012.) Phases out inheritance tax replacement amount distributions from 2013 to 2017.

House Bill 1543

DIGEST OF INTRODUCED BILL Use tax nexus and collection. Provides that for purposes of the Indiana sales and use tax law, a "retail merchant engaged in business in Indiana" includes any retail merchant who: (1) makes retail transactions in which a person acquires personal property or taxable services for use, storage, or consumption in Indiana; and (2) enters into an arrangement with any person, other than a common carrier, to facilitate the retail merchant's delivery of property to customers in Indiana by allowing customers to pick up property sold by the retail merchant at a place of business maintained by the person in Indiana. Specifies that a retail merchant may be required to collect and remit sales or use taxes if the retail merchant conducts activities in Indiana on behalf of the retail merchant that are significantly associated with the retail merchant's ability to establish and maintain a market in Indiana. Provides that a retail merchant is presumed to be engaged in business in Indiana if an affiliate of the retail merchant has substantial nexus in Indiana and certain additional conditions are satisfied. Provides that a retail merchant is presumed to be engaged in business in Indiana if the retail merchant enters into an agreement with one or more residents of Indiana under which the resident directly or indirectly refers potential customers to the retail merchant, if the cumulative gross receipts from the sales by the retail merchant to customers in Indiana who are referred to the retail merchant by all residents is greater than $10,000 during the preceding 12 months. Permits the presumptions to be rebutted. Specifies that the use tax nexus provisions apply to transactions that occur after June 30, 2013.

House Bill 1544

DIGEST OF INTRODUCED BILL Various tax matters. Permits a county, city, or town to authorize a 100% property tax deduction for all personal property or, alternatively, to grant a tax credit for all property taxes imposed on all personal property in the county, city, or town. Defines the term "common areas" for purposes of the circuit breaker credit law. Amends the law regarding economic revitalization areas to: (1) allow a designating body to establish an abatement schedule in all cases (current law allows designating bodies to establish an alternative abatement schedule); (2) provide that an abatement schedule approved for a particular taxpayer before July 1, 2013, remains in effect until the abatement schedule expires under the terms of the resolution approving the taxpayer's statement of benefits; (3) repeal a statute authorizing enhanced abatements; and (4) remove references to deadline dates that have already passed. Imposes a Class C felony penalty for sale, purchase, installation, transfer, or possession of an automated sales suppression device ("zapper") or phantom-ware.

House Bill 1545

DIGEST OF INTRODUCED BILL Tax credits. Makes numerous changes to the administration of the Hoosier business investment tax credit, the headquarters relocation tax credit, and the venture capital investment tax credit. Repeals the military base recovery tax credit, the military base investment cost credit, the capital investment tax credit, the coal combustion product tax credit, and the Hoosier alternative fuel vehicle manufacturer tax credit. Repeals the following tax incentives concerning airport development zones: (1) qualified employee deductions; (2) credits for qualified increased employment expenditures; (3) loan interest credits; (4) neighborhood assistance credits; and (5) investment cost credits.

House Bill 1546

DIGEST OF INTRODUCED BILL Tax administration. Makes numerous changes concerning the administration of the state gross retail tax, the adjusted gross income tax, the inheritance tax, the commercial vehicle excise tax, tax collection, penalties and refunds, and the registering and plating of certain commercial vehicles. Restores provisions repealed in 2012 concerning the deduction and credits provided to retail merchants with respect to prepaid sales taxes on gasoline and special fuel. Authorizes the disclosure of taxpayer information to a member of the general assembly or an employee of the house of representatives or the senate if the member or employee is acting on behalf of the taxpayer and certain conditions are met. Repeals obsolete provisions in the commercial vehicle excise tax law.

House Bill 1547

DIGEST OF INTRODUCED BILL Indiana college graduate employment credit. Provides a nonrefundable adjusted gross income tax credit of up to $1,000 for a taxpayer who: (1) graduates from an Indiana institution of higher education after December 31, 2013; and (2) resides and is employed in Indiana for any part of a taxable year. Provides that the amount of the credit for a taxable year is based on the number of months in which the taxpayer resides and is employed in Indiana. Provides that a taxpayer's eligibility for the credit ends when the taxpayer: (1) has received the credit for 10 consecutive years; or (2) no longer resides or remains employed in Indiana; whichever occurs first.

House Bill 1553

DIGEST OF INTRODUCED BILL Tax incentives for new employees. Provides a tax credit against state tax liability to a small business for hiring a sufficient number of new employees after December 31, 2012, and before January 1, 2016: (1) who are receiving unemployment benefits or have exhausted their unemployment benefits; or (2) who are former members of the armed services of the United States or the National Guard.

House Bill 1556

DIGEST OF INTRODUCED BILL Redevelopment commissions and brownfields. Provides that in a county other than Marion County, funds of a redevelopment commission, including property tax proceeds allocated from a tax increment finance (TIF) allocation area, may be used to pay the costs of environmental remediation of a brownfield located in an allocation area. Specifies that a redevelopment commission in a county other than Marion County may adopt a resolution: (1) providing that any increase in the net assessed value of residential property in an allocation area is not part of the base assessed value of the allocation area; and (2) requiring that any property taxes allocated to the redevelopment commission from such an increase in the net assessed value of residential property may be used only to pay the costs of environmental remediation of a brownfield within the allocation area.