2010 Indiana Code
TITLE 6. TAXATION
ARTICLE 1.1. PROPERTY TAXES
CHAPTER 12. ASSESSED VALUE DEDUCTIONS AND DEDUCTION PROCEDURES
IC 6-1.1-12
Chapter 12. Assessed Value Deductions and Deduction
Procedures
IC 6-1.1-12-0.5
Basis for taxation after deduction
Sec. 0.5. For each year that a deduction from the assessed value
of tangible property is allowed, the assessed value remaining after
the deduction is the basis for taxation of the property.
As added by Acts 1979, P.L.52, SEC.1.
IC 6-1.1-12-0.7
Mortgage deduction; filing; appointees to act for elderly, blind, or
disabled persons
Sec. 0.7. Any individual who is sixty-five (65) years of age, is
blind, or has a disability (within the meaning of section 11 of this
chapter) may appoint an individual eighteen (18) years of age or
older to act on the individual's behalf for purposes of filing property
tax deduction statements for any deductions provided by this chapter.
If a statement is filed by an appointee, the appointee's name, address,
and telephone number must be included in the statement.
As added by Acts 1981, P.L.25, SEC.2. Amended by P.L.99-2007,
SEC.21.
IC 6-1.1-12-1
Deduction for property financed by mortgage or installment loan;
home equity line of credit
Sec. 1. (a) Each year a person who is a resident of this state may
receive a deduction from the assessed value of:
(1) mortgaged real property, an installment loan financed
mobile home that is not assessed as real property, or an
installment loan financed manufactured home that is not
assessed as real property, with the mortgage or installment loan
instrument recorded with the county recorder's office, that the
person owns;
(2) real property, a mobile home that is not assessed as real
property, or a manufactured home that is not assessed as real
property that the person is buying under a contract, with the
contract or a memorandum of the contract recorded in the
county recorder's office, which provides that the person is to
pay the property taxes on the real property, mobile home, or
manufactured home; or
(3) real property, a mobile home that is not assessed as real
property, or a manufactured home that the person owns or is
buying on a contract described in subdivision (2) on which the
person has a home equity line of credit that is recorded in the
county recorder's office.
(b) Except as provided in section 40.5 of this chapter, the total
amount of the deduction which the person may receive under this
section for a particular year is:
(1) the balance of the mortgage or contract indebtedness
(including a home equity line of credit) on the assessment date
of that year;
(2) one-half (1/2) of the assessed value of the real property,
mobile home, or manufactured home; or
(3) three thousand dollars ($3,000);
whichever is least.
(c) A person who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract which provides that
the contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section with respect to that real property, mobile
home, or manufactured home.
(d) The person must:
(1) own the real property, mobile home, or manufactured home;
or
(2) be buying the real property, mobile home, or manufactured
home under contract;
on the date the statement is filed under section 2 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.1; Acts 1981, P.L.69, SEC.1; P.L.6-1997, SEC.41;
P.L.291-2001, SEC.129; P.L.144-2008, SEC.9; P.L.81-2010, SEC.1.
IC 6-1.1-12-2 Version a
Statement to apply for mortgage deduction; information required;
delegation of signing authority only by power of attorney;
limitation on closing agent liability; county recorder
Note: This version of section effective until 7-1-2010. See also
following version of this section, effective 7-1-2010.
Sec. 2. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, for a person to qualify for the
deduction provided by section 1 of this chapter, a statement must be
filed under subsection (b) or (c).
(b) Subject to subsection (c), to apply for the deduction under
section 1 of this chapter with respect to real property, the person
recording the mortgage, contract, or memorandum of the contract
with the county recorder may file a written statement with the county
recorder containing the information described in subsection (e)(1),
(e)(2), (e)(3), (e)(4), (e)(6), (e)(7), and (e)(8). The statement must be
prepared on the form prescribed by the department of local
government finance and be signed by the property owner or contract
purchaser under the penalties of perjury. The form must have a place
for the county recorder to insert the record number and page where
the mortgage, contract, or memorandum of the contract is recorded.
Upon receipt of the form and the recording of the mortgage, contract,
or memorandum of the contract, the county recorder shall insert on
the form the record number and page where the mortgage, contract,
or memorandum of the contract is recorded and forward the
completed form to the county auditor. The county recorder may not
impose a charge for the county recorder's duties under this
subsection. The statement must be completed and dated in the
calendar year for which the person wishes to obtain the deduction
and filed with the county recorder on or before January 5 of the
immediately succeeding calendar year.
(c) With respect to:
(1) real property as an alternative to a filing under subsection
(b); or
(2) a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property;
to apply for a deduction under section 1 of this chapter, a person who
desires to claim the deduction may file a statement in duplicate, on
forms prescribed by the department of local government finance,
with the auditor of the county in which the real property, mobile
home not assessed as real property, or manufactured home not
assessed as real property is located. With respect to real property the
statement must be completed and dated in the calendar year for
which the person wishes to obtain the deduction 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 or a manufactured home that is not assessed as real
property, the statement must be filed during the twelve (12) months
before March 31 of each year for which the individual wishes to
obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. In addition to the statement required by this
subsection, a contract buyer who desires to claim the deduction must
submit a copy of the recorded contract or recorded memorandum of
the contract, which must contain a legal description sufficient to
meet the requirements of IC 6-1.1-5, with the first statement that the
buyer files under this section with respect to a particular parcel of
real property.
(d) Upon receipt of:
(1) the statement under subsection (b); or
(2) the statement under subsection (c) and the recorded contract
or recorded memorandum of the contract;
the county auditor shall assign a separate description and
identification number to the parcel of real property being sold under
the contract.
(e) The statement referred to in subsections (b) and (c) must be
verified under penalties for perjury. The statement must contain the
following information:
(1) The balance of the person's mortgage or contract
indebtedness on the assessment date of the year for which the
deduction is claimed.
(2) The assessed value of the real property, mobile home, or
manufactured home.
(3) The full name and complete residence address of the person
and of the mortgagee or contract seller.
(4) The name and residence of any assignee or bona fide owner
or holder of the mortgage or contract, if known, and if not
known, the person shall state that fact.
(5) The record number and page where the mortgage, contract,
or memorandum of the contract is recorded.
(6) A brief description of the real property, mobile home, or
manufactured home which is encumbered by the mortgage or
sold under the contract.
(7) If the person is not the sole legal or equitable owner of the
real property, mobile home, or manufactured home, the exact
share of the person's interest in it.
(8) The name of any other county in which the person has
applied for a deduction under this section and the amount of
deduction claimed in that application.
(f) The authority for signing a deduction application filed under
this section may not be delegated by the real property, mobile home,
or manufactured home owner or contract buyer to any person except
upon an executed power of attorney. The power of attorney may be
contained in the recorded mortgage, contract, or memorandum of the
contract, or in a separate instrument.
(g) A closing agent (as defined in section 43(a)(2) of this chapter)
is not liable for any damages claimed by the property owner or
contract purchaser because of:
(1) the closing agent's failure to provide the written statement
described in subsection (b);
(2) the closing agent's failure to file the written statement
described in subsection (b);
(3) any omission or inaccuracy in the written statement
described in subsection (b) that is filed with the county recorder
by the closing agent; or
(4) any determination made with respect to a property owner's
or contract purchaser's eligibility for the deduction under
section 1 of this chapter.
(h) The county recorder may not refuse to record a mortgage,
contract, or memorandum because the written statement described in
subsection (b):
(1) is not included with the mortgage, contract, or memorandum
of the contract;
(2) does not contain the signatures required by subsection (b);
(3) does not contain the information described in subsection (e);
or
(4) is otherwise incomplete or inaccurate.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.10; Acts 1980, P.L.39, SEC.2; Acts 1981, P.L.69,
SEC.2; Acts 1982, P.L.44, SEC.1; P.L.55-1988, SEC.1; P.L.3-1989,
SEC.32; P.L.291-2001, SEC.130; P.L.90-2002, SEC.106;
P.L.177-2002, SEC.1; P.L.154-2006, SEC.11; P.L.183-2007, SEC.1;
P.L.144-2008, SEC.10; P.L.75-2009, SEC.2; P.L.182-2009(ss),
SEC.108; P.L.1-2010, SEC.21.
IC 6-1.1-12-2 Version b
Statement to apply for mortgage deduction; requirements;
delegation of signing authority only by power of attorney;
limitation on closing agent liability; county recorder
Note: This version of section effective 7-1-2010. See also
preceding version of this section, effective until 7-1-2010.
Sec. 2. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, for a person to qualify for the
deduction provided by section 1 of this chapter a statement must be
filed under subsection (b) or (c). Regardless of the manner in which
a statement is filed, the mortgage, contract, or memorandum
(including a home equity line of credit) must be recorded with the
county recorder's office to qualify for a deduction under section 1 of
this chapter.
(b) Subject to subsection (c), to apply for the deduction under
section 1 of this chapter with respect to real property, the person
recording the mortgage, home equity line of credit, contract, or
memorandum of the contract with the county recorder may file a
written statement with the county recorder containing the
information described in subsection (e)(1), (e)(2), (e)(3), (e)(4),
(e)(6), (e)(7), and (e)(8). The statement must be prepared on the form
prescribed by the department of local government finance and be
signed by the property owner or contract purchaser under the
penalties of perjury. The form must have a place for the county
recorder to insert the record number and page where the mortgage,
home equity line of credit, contract, or memorandum of the contract
is recorded. Upon receipt of the form and the recording of the
mortgage, home equity line of credit, contract, or memorandum of
the contract, the county recorder shall insert on the form the record
number and page where the mortgage, home equity line of credit,
contract, or memorandum of the contract is recorded and forward the
completed form to the county auditor. The county recorder may not
impose a charge for the county recorder's duties under this
subsection. The statement must be completed and dated in the
calendar year for which the person wishes to obtain the deduction
and filed with the county recorder on or before January 5 of the
immediately succeeding calendar year.
(c) With respect to:
(1) real property as an alternative to a filing under subsection
(b); or
(2) a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property;
to apply for a deduction under section 1 of this chapter, a person who
desires to claim the deduction may file a statement in duplicate, on
forms prescribed by the department of local government finance,
with the auditor of the county in which the real property, mobile
home not assessed as real property, or manufactured home not
assessed as real property is located. With respect to real property the
statement must be completed and dated in the calendar year for
which the person wishes to obtain the deduction 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 or a manufactured home that is not assessed as real
property, the statement must be filed during the twelve (12) months
before March 31 of each year for which the individual wishes to
obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. In addition to the statement required by this
subsection, a contract buyer who desires to claim the deduction must
submit a copy of the recorded contract or recorded memorandum of
the contract, which must contain a legal description sufficient to
meet the requirements of IC 6-1.1-5, with the first statement that the
buyer files under this section with respect to a particular parcel of
real property.
(d) Upon receipt of:
(1) the statement under subsection (b); or
(2) the statement under subsection (c) and the recorded contract
or recorded memorandum of the contract;
the county auditor shall assign a separate description and
identification number to the parcel of real property being sold under
the contract.
(e) The statement referred to in subsections (b) and (c) must be
verified under penalties for perjury. The statement must contain the
following information:
(1) The balance of the person's mortgage, home equity line of
credit, or contract indebtedness that is recorded in the county
recorder's office on the assessment date of the year for which
the deduction is claimed.
(2) The assessed value of the real property, mobile home, or
manufactured home.
(3) The full name and complete residence address of the person
and of the mortgagee or contract seller.
(4) The name and residence of any assignee or bona fide owner
or holder of the mortgage, home equity line of credit, or
contract, if known, and if not known, the person shall state that
fact.
(5) The record number and page where the mortgage, contract,
or memorandum of the contract is recorded.
(6) A brief description of the real property, mobile home, or
manufactured home which is encumbered by the mortgage or
home equity line of credit or sold under the contract.
(7) If the person is not the sole legal or equitable owner of the
real property, mobile home, or manufactured home, the exact
share of the person's interest in it.
(8) The name of any other county in which the person has
applied for a deduction under this section and the amount of
deduction claimed in that application.
(f) The authority for signing a deduction application filed under
this section may not be delegated by the real property, mobile home,
or manufactured home owner or contract buyer to any person except
upon an executed power of attorney. The power of attorney may be
contained in the recorded mortgage, contract, or memorandum of the
contract, or in a separate instrument.
(g) A closing agent (as defined in section 43(a)(2) of this chapter)
is not liable for any damages claimed by the property owner or
contract purchaser because of:
(1) the closing agent's failure to provide the written statement
described in subsection (b);
(2) the closing agent's failure to file the written statement
described in subsection (b);
(3) any omission or inaccuracy in the written statement
described in subsection (b) that is filed with the county recorder
by the closing agent; or
(4) any determination made with respect to a property owner's
or contract purchaser's eligibility for the deduction under
section 1 of this chapter.
(h) The county recorder may not refuse to record a mortgage,
contract, or memorandum because the written statement described in
subsection (b):
(1) is not included with the mortgage, home equity line of
credit, contract, or memorandum of the contract;
(2) does not contain the signatures required by subsection (b);
(3) does not contain the information described in subsection (e);
or
(4) is otherwise incomplete or inaccurate.
(i) The form prescribed by the department of local government
finance under subsection (b) and the instructions for the form must
both include a statement:
(1) that explains that a person is not entitled to a deduction
under section 1 of this chapter unless the person has a balance
on the person's mortgage or contract indebtedness that is
recorded in the county recorder's office (including any home
equity line of credit that is recorded in the county recorder's
office) that is the basis for the deduction; and
(2) that specifies the penalties for perjury.
(j) The department of local government finance shall develop a
notice:
(1) that must be displayed in a place accessible to the public in
the office of each county auditor;
(2) that includes the information described in subsection (i); and
(3) that explains that the form prescribed by the department of
local government finance to claim the deduction under section
1 of this chapter must be signed by the property owner or
contract purchaser under the penalties of perjury.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.10; Acts 1980, P.L.39, SEC.2; Acts 1981, P.L.69,
SEC.2; Acts 1982, P.L.44, SEC.1; P.L.55-1988, SEC.1; P.L.3-1989,
SEC.32; P.L.291-2001, SEC.130; P.L.90-2002, SEC.106;
P.L.177-2002, SEC.1; P.L.154-2006, SEC.11; P.L.183-2007, SEC.1;
P.L.144-2008, SEC.10; P.L.75-2009, SEC.2; P.L.182-2009(ss),
SEC.108; P.L.1-2010, SEC.21; P.L.81-2010, SEC.2.
IC 6-1.1-12-3
Claim of deduction for property financed by mortgage or
installment loan by member of armed forces
Sec. 3. An individual may claim the deduction provided by
section 1 of this chapter for the assessment date in a year in the
manner prescribed in section 4 of this chapter if during the filing
period prescribed in section 2 of this chapter that applies to the
assessment date the individual was:
(1) a member of the United States armed forces; and
(2) away from the county of his residence as a result of military
service.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.3; P.L.144-2008, SEC.11.
IC 6-1.1-12-4
Procedure for claim by member of armed forces
Sec. 4. (a) An individual who satisfies the requirements of section
3 of this chapter may file a claim for a deduction, or deductions,
provided by section 1 of this chapter during the year following the
year in which the individual is discharged from military service. The
individual shall file the claim, on the forms prescribed for claiming
a deduction under section 2 of this chapter, with the auditor of the
county in which the real property is located. The claim shall specify
the particular year, or years, for which the deduction is claimed. The
individual shall attach to the claim an affidavit which states the facts
concerning the individual's absence as a member of the United States
armed forces.
(b) The county property tax assessment board of appeals shall
examine the individual's claim and shall determine the amount of
deduction, or deductions, the individual is entitled to and the year, or
years, for which deductions are due. Based on the board's
determination, the county auditor shall calculate the excess taxes
paid by the individual and shall refund the excess to the individual
from funds not otherwise appropriated. The county auditor shall
issue, and the county treasurer shall pay, a warrant for the amount,
if any, to which the individual is entitled.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.4; P.L.55-1988, SEC.2; P.L.6-1997, SEC.43;
P.L.154-2006, SEC.12; P.L.144-2008, SEC.12.
IC 6-1.1-12-5
Mortgage or contract deductions; members of armed forces;
amount of deduction without claim
Sec. 5. A county auditor shall determine the amount of the
deduction provided by section 1 of this chapter that an individual is
entitled to and shall make an allowance for the deduction without a
claim being filed if:
(1) the county auditor determines that the individual satisfies
the requirements of section 3 of this chapter; and
(2) the individual is a resident of, and the real property is
located in, the county that the auditor serves.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.5.
IC 6-1.1-12-6
Mortgage or contract deductions; transmission of application to
second county
Sec. 6. (a) The auditor of a county (referred to in this section as
the "first county") with whom a deduction application is filed under
section 2 of this chapter shall immediately prepare and transmit a
copy of the application to the auditor of any other county (referred
to in this section as the "second county") if:
(1) the residence of the applicant is located in the second
county; or
(2) the applicant has applied for a deduction under section 2 of
this chapter in the second county.
(b) The county property tax assessment board of appeals of the
second county shall note on the copy of the application either:
(1) the amount of the deduction provided under section 1 of this
chapter that has been granted in the second county; or
(2) that no deduction application has been filed under section 2
of this chapter in the second county.
The board shall then return the copy to the auditor of the first county.
(c) The county property tax assessment board of appeals of the
first county shall then take appropriate action on the application. The
board may not grant a deduction provided under section 1 of this
chapter in an amount which will exceed the difference between the
amount granted in any other county and the maximum amount
permitted the applicant under section 1 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.6; P.L.6-1997, SEC.44.
IC 6-1.1-12-7
Mortgage or contract deductions; granting
Sec. 7. Each year, the county auditor shall ascertain if more than
one (1) application has been filed by the same person. The county
auditor shall take appropriate action to grant the deductions provided
under section 1 of this chapter in amounts that do not exceed the
maximum allowed each person under section 1 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.7; P.L.6-1997, SEC.45.
IC 6-1.1-12-8
Repealed
(Repealed by P.L.98-2000, SEC.30.)
IC 6-1.1-12-9 Version a
Deduction for person 65 or older; limitations; surviving spouse;
contract purchaser; common ownership
Note: This version of section effective until 3-25-2010. See also
following version of this section, effective 3-25-2010.
Sec. 9. (a) An individual may obtain a deduction from the
assessed value of the individual's real property, or mobile home or
manufactured home which is not assessed as real property, if:
(1) the individual is at least sixty-five (65) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the combined adjusted gross income (as defined in Section
62 of the Internal Revenue Code) of:
(A) the individual and the individual's spouse; or
(B) the individual and all other individuals with whom:
(i) the individual shares ownership; or
(ii) the individual is purchasing the property under a
contract;
as joint tenants or tenants in common;
for the calendar year preceding the year in which the deduction
is claimed did not exceed twenty-five thousand dollars
($25,000);
(3) the individual has owned the real property, mobile home, or
manufactured home for at least one (1) year before claiming the
deduction; or the individual has been buying the real property,
mobile home, or manufactured home under a contract that
provides that the individual is to pay the property taxes on the
real property, mobile home, or manufactured home for at least
one (1) year before claiming the deduction, and the contract or
a memorandum of the contract is recorded in the county
recorder's office;
(4) the individual and any individuals covered by subdivision
(2)(B) reside on the real property, mobile home, or
manufactured home;
(5) the assessed value of the real property, mobile home, or
manufactured home does not exceed one hundred eighty-two
thousand four hundred thirty dollars ($182,430);
(6) the individual receives no other property tax deduction for
the year in which the deduction is claimed, except the
deductions provided by sections 1, 37, and 38 of this chapter;
and
(7) the person:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 10.1 of this
chapter is filed.
(b) Except as provided in subsection (h), in the case of real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the real property; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(c) Except as provided in subsection (h) and section 40.5 of this
chapter, in the case of a mobile home that is not assessed as real
property or a manufactured home which is not assessed as real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the mobile home or
manufactured home; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(d) An individual may not be denied the deduction provided under
this section because the individual is absent from the real property,
mobile home, or manufactured home while in a nursing home or
hospital.
(e) For purposes of this section, if real property, a mobile home,
or a manufactured home is owned by:
(1) tenants by the entirety;
(2) joint tenants; or
(3) tenants in common;
only one (1) deduction may be allowed. However, the age
requirement is satisfied if any one (1) of the tenants is at least
sixty-five (65) years of age.
(f) A surviving spouse is entitled to the deduction provided by this
section if:
(1) the surviving spouse is at least sixty (60) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the surviving spouse's deceased husband or wife was at least
sixty-five (65) years of age at the time of a death;
(3) the surviving spouse has not remarried; and
(4) the surviving spouse satisfies the requirements prescribed in
subsection (a)(2) through (a)(7).
(g) An individual who has sold real property to another person
under a contract that provides that the contract buyer is to pay the
property taxes on the real property may not claim the deduction
provided under this section against that real property.
(h) In the case of tenants covered by subsection (a)(2)(B), if all of
the tenants are not at least sixty-five (65) years of age, the deduction
allowed under this section shall be reduced by an amount equal to the
deduction multiplied by a fraction. The numerator of the fraction is
the number of tenants who are not at least sixty-five (65) years of
age, and the denominator is the total number of tenants.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1978,
P.L.33, SEC.1; Acts 1979, P.L.54, SEC.1; Acts 1980, P.L.39, SEC.9;
Acts 1981, P.L.25, SEC.3; Acts 1982, P.L.45, SEC.1; P.L.24-1986,
SEC.14; P.L.60-1986, SEC.1; P.L.332-1989(ss), SEC.6;
P.L.41-1992, SEC.1; P.L.48-1996, SEC.1; P.L.6-1997, SEC.46;
P.L.155-1999, SEC.1; P.L.291-2001, SEC.131; P.L.272-2003,
SEC.1; P.L.20-2004, SEC.1; P.L.219-2007, SEC.25; P.L.144-2008,
SEC.13; P.L.1-2010, SEC.22.
IC 6-1.1-12-9 Version b
contract purchaser; common ownership
Deduction for person 65 or older; limitations; surviving spouse;
Sec. 9. (a) An individual may obtain a deduction from the
assessed value of the individual's real property, or mobile home or
manufactured home which is not assessed as real property, if:
(1) the individual is at least sixty-five (65) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the combined adjusted gross income (as defined in Section
62 of the Internal Revenue Code) of:
(A) the individual and the individual's spouse; or
(B) the individual and all other individuals with whom:
(i) the individual shares ownership; or
(ii) the individual is purchasing the property under a
contract;
as joint tenants or tenants in common;
for the calendar year preceding the year in which the deduction
is claimed did not exceed twenty-five thousand dollars
($25,000);
(3) the individual has owned the real property, mobile home, or
manufactured home for at least one (1) year before claiming the
deduction; or the individual has been buying the real property,
mobile home, or manufactured home under a contract that
provides that the individual is to pay the property taxes on the
real property, mobile home, or manufactured home for at least
one (1) year before claiming the deduction, and the contract or
a memorandum of the contract is recorded in the county
recorder's office;
(4) the individual and any individuals covered by subdivision
(2)(B) reside on the real property, mobile home, or
manufactured home;
(5) the assessed value of the real property, mobile home, or
manufactured home does not exceed one hundred eighty-two
thousand four hundred thirty dollars ($182,430);
(6) the individual receives no other property tax deduction for
the year in which the deduction is claimed, except the
deductions provided by sections 1, 37, (for assessment dates
after February 28, 2008) 37.5, and 38 of this chapter; and
(7) the person:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 10.1 of this
chapter is filed.
(b) Except as provided in subsection (h), in the case of real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the real property; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(c) Except as provided in subsection (h) and section 40.5 of this
chapter, in the case of a mobile home that is not assessed as real
property or a manufactured home which is not assessed as real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the mobile home or
manufactured home; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(d) An individual may not be denied the deduction provided under
this section because the individual is absent from the real property,
mobile home, or manufactured home while in a nursing home or
hospital.
(e) For purposes of this section, if real property, a mobile home,
or a manufactured home is owned by:
(1) tenants by the entirety;
(2) joint tenants; or
(3) tenants in common;
only one (1) deduction may be allowed. However, the age
requirement is satisfied if any one (1) of the tenants is at least
sixty-five (65) years of age.
(f) A surviving spouse is entitled to the deduction provided by this
section if:
(1) the surviving spouse is at least sixty (60) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the surviving spouse's deceased husband or wife was at least
sixty-five (65) years of age at the time of a death;
(3) the surviving spouse has not remarried; and
(4) the surviving spouse satisfies the requirements prescribed in
subsection (a)(2) through (a)(7).
(g) An individual who has sold real property to another person
under a contract that provides that the contract buyer is to pay the
property taxes on the real property may not claim the deduction
provided under this section against that real property.
(h) In the case of tenants covered by subsection (a)(2)(B), if all of
the tenants are not at least sixty-five (65) years of age, the deduction
allowed under this section shall be reduced by an amount equal to the
deduction multiplied by a fraction. The numerator of the fraction is
the number of tenants who are not at least sixty-five (65) years of
age, and the denominator is the total number of tenants.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1978,
P.L.33, SEC.1; Acts 1979, P.L.54, SEC.1; Acts 1980, P.L.39, SEC.9;
Acts 1981, P.L.25, SEC.3; Acts 1982, P.L.45, SEC.1; P.L.24-1986,
SEC.14; P.L.60-1986, SEC.1; P.L.332-1989(ss), SEC.6;
P.L.41-1992, SEC.1; P.L.48-1996, SEC.1; P.L.6-1997, SEC.46;
P.L.155-1999, SEC.1; P.L.291-2001, SEC.131; P.L.272-2003,
SEC.1; P.L.20-2004, SEC.1; P.L.219-2007, SEC.25; P.L.144-2008,
SEC.13; P.L.1-2010, SEC.22; P.L.113-2010, SEC.23.
IC 6-1.1-12-9.1
Repealed
(Repealed by Acts 1980, P.L.39, SEC.11.)
IC 6-1.1-12-10
Repealed
(Repealed by Acts 1980, P.L.40, SEC.2.)
IC 6-1.1-12-10.1
Persons over 65 or surviving spouse; filing claim
Sec. 10.1. (a) Except as provided in section 17.8 of this chapter
and subject to section 45 of this chapter, an individual who desires
to claim the deduction provided by section 9 of this chapter must file
a sworn statement, on forms prescribed by the department of local
government finance, with the auditor of the county in which the real
property, mobile home, or manufactured home is located. With
respect to real property, the statement must be filed during the year
for which the individual wishes to obtain the deduction. With respect
to a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property, the
statement must be filed during the twelve (12) months before March
31 of each year for which the individual wishes to obtain the
deduction. The statement may be filed in person or by mail. If
mailed, the mailing must be postmarked on or before the last day for
filing.
(b) The statement referred to in subsection (a) shall be in affidavit
form or require verification under penalties of perjury. The statement
must be filed in duplicate if the applicant owns, or is buying under
a contract, real property, a mobile home, or a manufactured home
subject to assessment in more than one (1) county or in more than
one (1) taxing district in the same county. The statement shall
contain:
(1) the source and exact amount of gross income received by the
individual and the individual's spouse during the preceding
calendar year;
(2) the description and assessed value of the real property,
mobile home, or manufactured home;
(3) the individual's full name and complete residence address;
(4) the record number and page where the contract or
memorandum of the contract is recorded if the individual is
buying the real property, mobile home, or manufactured home
on contract; and
(5) any additional information which the department of local
government finance may require.
(c) In order to substantiate the deduction statement, the applicant
shall submit for inspection by the county auditor a copy of the
applicant's and a copy of the applicant's spouse's income tax returns
for the preceding calendar year. If either was not required to file an
income tax return, the applicant shall subscribe to that fact in the
deduction statement.
As added by Acts 1980, P.L.40, SEC.1. Amended by Acts 1982,
P.L.44, SEC.2; Acts 1982, P.L.45, SEC.2; P.L.55-1988, SEC.3;
P.L.291-2001, SEC.132; P.L.90-2002, SEC.107; P.L.154-2006,
SEC.13; P.L.183-2007, SEC.2; P.L.144-2008, SEC.14.
IC 6-1.1-12-11
Deduction for blind or disabled person; limitations; contract
purchaser
Sec. 11. (a) Except as provided in section 40.5 of this chapter, an
individual may have the sum of twelve thousand four hundred eighty
dollars ($12,480) deducted from the assessed value of real property,
mobile home not assessed as real property, or manufactured home
not assessed as real property that the individual owns, or that the
individual is buying under a contract that provides that the individual
is to pay property taxes on the real property, mobile home, or
manufactured home, if the contract or a memorandum of the contract
is recorded in the county recorder's office, and if:
(1) the individual is blind or the individual has a disability;
(2) the real property, mobile home, or manufactured home is
principally used and occupied by the individual as the
individual's residence;
(3) the individual's taxable gross income for the calendar year
preceding the year in which the deduction is claimed did not
exceed seventeen thousand dollars ($17,000); and
(4) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 12 of this chapter
is filed.
(b) For purposes of this section, taxable gross income does not
include income which is not taxed under the federal income tax laws.
(c) For purposes of this section, "blind" has the same meaning as
the definition contained in IC 12-7-2-21(1).
(d) For purposes of this section, "individual with a disability"
means a person unable to engage in any substantial gainful activity
by reason of a medically determinable physical or mental impairment
which:
(1) can be expected to result in death; or
(2) has lasted or can be expected to last for a continuous period
of not less than twelve (12) months.
(e) An individual with a disability filing a claim 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.) shall constitute proof of disability for
purposes of this section.
(f) 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
claimant.
(g) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.55, SEC.2; Acts 1981, P.L.25, SEC.4; Acts 1982, P.L.45, SEC.3;
P.L.332-1989(ss), SEC.7; P.L.49-1990, SEC.1; P.L.2-1992, SEC.57;
P.L.48-1996, SEC.2; P.L.6-1997, SEC.47; P.L.291-2001, SEC.133;
P.L.20-2004, SEC.2; P.L.99-2007, SEC.22; P.L.144-2008, SEC.15;
P.L.1-2010, SEC.23.
IC 6-1.1-12-12
SEC.4; P.L.41-1987, SEC.4; P.L.55-1988, SEC.4; P.L.2-1992,
SEC.58; P.L.4-1993, SEC.9; P.L.5-1993, SEC.21; P.L.291-2001,
SEC.134; P.L.90-2002, SEC.108; P.L.177-2002, SEC.2;
P.L.141-2006, SEC.9; P.L.145-2006, SEC.16; P.L.154-2006,
SEC.14; P.L.1-2007, SEC.40; P.L.183-2007, SEC.3; P.L.144-2008,
SEC.16; P.L.146-2008, SEC.108; P.L.1-2009, SEC.29.
Blind persons; filing claim; proof of blindness; contents of
application
Sec. 12. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, a person who desires to claim
the deduction provided in section 11 of this chapter must file an
application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the real
property, mobile home not assessed as real property, or manufactured
home not assessed as real property is located. With respect to real
property, the application must be filed during the year for which the
individual wishes to obtain the deduction. With respect to a mobile
home that is not assessed as real property or a manufactured home
that is not assessed as real property, the application must be filed
during the twelve (12) months before March 31 of each year for
which the individual wishes to obtain the deduction. The application
may be filed in person or by mail. If mailed, the mailing must be
postmarked on or before the last day for filing.
(b) Proof of blindness may be supported by:
(1) the records of the division of family resources or the
division of disability and rehabilitative services; or
(2) the written statement of a physician who is licensed by this
state and skilled in the diseases of the eye or of a licensed
optometrist.
(c) The application required by this section must contain the
record number and page where the contract or memorandum of the
contract is recorded if the individual is buying the real property,
mobile home, or manufactured home on a contract that provides that
the individual is to pay property taxes on the real property, mobile
home, or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.12; Acts 1982, P.L.44, SEC.3; Acts 1982, P.L.45,
IC 6-1.1-12-13
Deduction for veteran with partial disability; limitations; surviving
spouse; contract purchaser
Sec. 13. (a) Except as provided in section 40.5 of this chapter, an
individual may have twenty-four thousand nine hundred sixty dollars
($24,960) deducted from the assessed value of the taxable tangible
property that the individual owns, or real property, a mobile home
not assessed as real property, or a manufactured home not assessed
as real property that the individual is buying under a contract that
provides that the individual is to pay property taxes on the real
property, mobile home, or manufactured home, if the contract or a
memorandum of the contract is recorded in the county recorder's
office and if:
(1) the individual served in the military or naval forces of the
United States during any of its wars;
(2) the individual received an honorable discharge;
(3) the individual has a disability with a service connected
disability of ten percent (10%) or more;
(4) the individual's disability is evidenced by:
(A) a pension certificate, an award of compensation, or a
disability compensation check issued by the United States
Department of Veterans Affairs; or
(B) a certificate of eligibility issued to the individual by the
Indiana department of veterans' affairs after the Indiana
department of veterans' affairs has determined that the
individual's disability qualifies the individual to receive a
deduction under this section; and
(5) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 15 of this chapter
is filed.
(b) The surviving spouse of an individual may receive the
deduction provided by this section if the individual would qualify for
the deduction if the individual were alive.
(c) One who receives the deduction provided by this section may
not receive the deduction provided by section 16 of this chapter.
However, the individual may receive any other property tax
deduction which the individual is entitled to by law.
(d) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.5.) As
amended by Acts 1982, P.L.45, SEC.5; P.L.68-1983, SEC.1;
P.L.60-1985, SEC.1; P.L.1-1990, SEC.68; P.L.6-1997, SEC.48;
P.L.123-1999, SEC.1; P.L.291-2001, SEC.135; P.L.20-2004, SEC.3;
P.L.99-2007, SEC.23; P.L.144-2008, SEC.17; P.L.1-2010, SEC.24.
IC 6-1.1-12-14
Deduction for totally disabled veteran or veteran age 62 and
partially disabled; surviving spouse; contract purchaser
Sec. 14. (a) Except as provided in subsection (c) and except as
provided in section 40.5 of this chapter, an individual may have the
sum of twelve thousand four hundred eighty dollars ($12,480)
deducted from the assessed value of the tangible property that the
individual owns (or the real property, mobile home not assessed as
real property, or manufactured home not assessed as real property
that the individual is buying under a contract that provides that the
individual is to pay property taxes on the real property, mobile home,
or manufactured home if the contract or a memorandum of the
contract is recorded in the county recorder's office) if:
(1) the individual served in the military or naval forces of the
United States for at least ninety (90) days;
(2) the individual received an honorable discharge;
(3) the individual either:
(A) has a total disability; or
(B) is at least sixty-two (62) years old and has a disability of
at least ten percent (10%);
(4) the individual's disability is evidenced by:
(A) a pension certificate or an award of compensation issued
by the United States Department of Veterans Affairs; or
(B) a certificate of eligibility issued to the individual by the
Indiana department of veterans' affairs after the Indiana
department of veterans' affairs has determined that the
individual's disability qualifies the individual to receive a
deduction under this section; and
(5) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 15 of this chapter
is filed.
(b) Except as provided in subsection (c), the surviving spouse of
an individual may receive the deduction provided by this section if
the individual would qualify for the deduction if the individual were
alive.
(c) No one is entitled to the deduction provided by this section if
the assessed value of the individual's tangible property, as shown by
the tax duplicate, exceeds one hundred forty-three thousand one
hundred sixty dollars ($143,160).
(d) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.6.) As
amended by Acts 1982, P.L.45, SEC.6; P.L.68-1983, SEC.2;
P.L.60-1985, SEC.2; P.L.332-1989(ss), SEC.8; P.L.1-1990, SEC.69;
P.L.48-1996, SEC.3; P.L.6-1997, SEC.49; P.L.123-1999, SEC.3;
P.L.291-2001, SEC.136; P.L.272-2003, SEC.2; P.L.20-2004, SEC.4;
P.L.219-2007, SEC.26; P.L.99-2007, SEC.24; P.L.144-2008,
SEC.18; P.L.3-2008, SEC.35; P.L.1-2009, SEC.30.
IC 6-1.1-12-15
Claim by veteran; guardianship; contract purchaser
Sec. 15. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, an individual who desires to
claim the deduction provided by section 13 or section 14 of this
chapter must file a statement with the auditor of the county in which
the individual resides. With respect to real property, the statement
must be filed during the year for which the individual wishes to
obtain the deduction. With respect to a mobile home that is not
assessed as real property or a manufactured home that is not assessed
as real property, the statement must be filed during the twelve (12)
months before March 31 of each year for which the individual wishes
to obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. The statement shall contain a sworn declaration that
the individual is entitled to the deduction.
(b) In addition to the statement, the individual shall submit to the
county auditor for the auditor's inspection:
(1) a pension certificate, an award of compensation, or a
disability compensation check issued by the United States
Department of Veterans Affairs if the individual claims the
deduction provided by section 13 of this chapter;
(2) a pension certificate or an award of compensation issued by
the United States Department of Veterans Affairs if the
individual claims the deduction provided by section 14 of this
chapter; or
(3) the appropriate certificate of eligibility issued to the
individual by the Indiana department of veterans' affairs if the
individual claims the deduction provided by section 13 or 14 of
this chapter.
(c) If the individual claiming the deduction is under guardianship,
the guardian shall file the statement required by this section.
(d) If the individual claiming a deduction under section 13 or 14
of this chapter is buying real property, a mobile home not assessed
as real property, or a manufactured home not assessed as real
property under a contract that provides that the individual is to pay
property taxes for the real estate, mobile home, or manufactured
home, the statement required by this section must contain the record
number and page where the contract or memorandum of the contract
is recorded.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.13; Acts 1982, P.L.44, SEC.4; Acts 1982, P.L.45,
SEC.7; P.L.55-1988, SEC.5; P.L.1-1990, SEC.70; P.L.123-1999,
SEC.5; P.L.291-2001, SEC.137; P.L.177-2002, SEC.3;
P.L.154-2006, SEC.15; P.L.183-2007, SEC.4; P.L.144-2008,
SEC.19.
IC 6-1.1-12-16
Deduction for surviving spouse of veteran; limitations; contract
purchaser
Sec. 16. (a) Except as provided in section 40.5 of this chapter, a
surviving spouse may have the sum of eighteen thousand seven
hundred twenty dollars ($18,720) deducted from the assessed value
of his or her tangible property, or real property, mobile home not
assessed as real property, or manufactured home not assessed as real
property that the surviving spouse is buying under a contract that
provides that the surviving spouse is to pay property taxes on the real
property, mobile home, or manufactured home, if the contract or a
memorandum of the contract is recorded in the county recorder's
office, and if:
(1) the deceased spouse served in the military or naval forces of
the United States before November 12, 1918;
(2) the deceased spouse received an honorable discharge; and
(3) the surviving spouse:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 17 of this chapter
is filed.
(b) A surviving spouse who receives the deduction provided by
this section may not receive the deduction provided by section 13 of
this chapter. However, he or she may receive any other deduction
which he or she is entitled to by law.
(c) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.7.) As
amended by Acts 1978, P.L.33, SEC.2; Acts 1982, P.L.45, SEC.8;
P.L.6-1997, SEC.50; P.L.291-2001, SEC.138; P.L.20-2004, SEC.5;
P.L.144-2008, SEC.20; P.L.1-2009, SEC.31.
IC 6-1.1-12-17
Claim by surviving spouse of veteran
Sec. 17. Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, a surviving spouse who desires
to claim the deduction provided by section 16 of this chapter must
file a statement with the auditor of the county in which the surviving
spouse resides. With respect to real property, the statement must be
filed during the year for which the surviving spouse wishes to obtain
the deduction. With respect to a mobile home that is not assessed as
real property or a manufactured home that is not assessed as real
property, the statement must be filed during the twelve (12) months
before March 31 of each year for which the individual wishes to
obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. The statement shall contain:
(1) a sworn statement that the surviving spouse is entitled to the
deduction; and
(2) the record number and page where the contract or
memorandum of the contract is recorded, if the individual is
buying the real property on a contract that provides that the
individual is to pay property taxes on the real property.
In addition to the statement, the surviving spouse shall submit to the
county auditor for the auditor's inspection a letter or certificate from
the United States Department of Veterans Affairs establishing the
service of the deceased spouse in the military or naval forces of the
United States before November 12, 1918.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.8.) As
amended by Acts 1979, P.L.56, SEC.14; Acts 1982, P.L.44, SEC.5;
Acts 1982, P.L.45, SEC.9; P.L.55-1988, SEC.6; P.L.1-1990, SEC.71;
P.L.177-2002, SEC.4; P.L.154-2006, SEC.16; P.L.183-2007, SEC.5;
P.L.144-2008, SEC.21.
IC 6-1.1-12-17.4
Deduction for World War I veteran; limitations; tenants by the
entirety; contract purchaser
Sec. 17.4. (a) Except as provided in section 40.5 of this chapter,
a World War I veteran who is a resident of Indiana is entitled to have
the sum of eighteen thousand seven hundred twenty dollars ($18,720)
deducted from the assessed valuation of the real property (including
a mobile home that is assessed as real property), mobile home that is
not assessed as real property, or manufactured home that is not
assessed as real property the veteran owns or is buying under a
contract that requires the veteran to pay property taxes on the real
property, if the contract or a memorandum of the contract is recorded
in the county recorder's office, if:
(1) the real property, mobile home, or manufactured home is the
veteran's principal residence;
(2) the assessed valuation of the real property, mobile home, or
manufactured home does not exceed two hundred six thousand
five hundred dollars ($206,500);
(3) the veteran owns the real property, mobile home, or
manufactured home for at least one (1) year before claiming the
deduction; and
(4) the veteran:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 17.5 of this
chapter is filed.
(b) An individual may not be denied the deduction provided by
this section because the individual is absent from the individual's
principal residence while in a nursing home or hospital.
(c) For purposes of this section, if real property, a mobile home,
or a manufactured home is owned by a husband and wife as tenants
by the entirety, only one (1) deduction may be allowed under this
section. However, the deduction provided in this section applies if
either spouse satisfies the requirements prescribed in subsection (a).
(d) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section with respect to that real property, mobile
home, or manufactured home.
(Formerly: Acts 1975, P.L.52, SEC.1.) As amended by Acts 1978,
P.L.33, SEC.3; Acts 1981, P.L.25, SEC.5; Acts 1982, P.L.45,
SEC.10; P.L.332-1989(ss), SEC.9; P.L.48-1996, SEC.4; P.L.6-1997,
SEC.51; P.L.291-2001, SEC.139; P.L.272-2003, SEC.3;
P.L.20-2004, SEC.6; P.L.219-2007, SEC.27; P.L.144-2008, SEC.22;
P.L.1-2009, SEC.32.
IC 6-1.1-12-17.5
Claim by World War I veteran
Sec. 17.5. (a) Except as provided in section 17.8 of this chapter
and subject to section 45 of this chapter, a veteran who desires to
claim the deduction provided in section 17.4 of this chapter must file
a sworn statement, on forms prescribed by the department of local
government finance, with the auditor of the county in which the real
property, mobile home, or manufactured home is assessed. With
respect to real property, the veteran must file the statement during the
year for which the veteran wishes to obtain the deduction. With
respect to a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property, the
statement must be filed during the twelve (12) months before March
31 of each year for which the individual wishes to obtain the
deduction. The statement may be filed in person or by mail. If
mailed, the mailing must be postmarked on or before the last day for
filing.
(b) The statement required under this section shall be in affidavit
form or require verification under penalties of perjury. The statement
shall be filed in duplicate if the veteran has, or is buying under a
contract, real property in more than one (1) county or in more than
one (1) taxing district in the same county. The statement shall
contain:
(1) a description and the assessed value of the real property,
mobile home, or manufactured home;
(2) the veteran's full name and complete residence address;
(3) the record number and page where the contract or
memorandum of the contract is recorded, if the individual is
buying the real property, mobile home, or manufactured home
on a contract that provides that the individual is to pay property
taxes on the real property, mobile home, or manufactured home;
and
(4) any additional information which the department of local
government finance may require.
(Formerly: Acts 1975, P.L.52, SEC.2.) As amended by Acts 1978,
P.L.33, SEC.4; Acts 1979, P.L.56, SEC.15; Acts 1982, P.L.44,
SEC.6; Acts 1982, P.L.45, SEC.11; P.L.69-1983, SEC.1;
P.L.55-1988, SEC.7; P.L.291-2001, SEC.140; P.L.90-2002,
SEC.109; P.L.177-2002, SEC.5; P.L.154-2006, SEC.17;
P.L.183-2007, SEC.6; P.L.144-2008, SEC.23.
IC 6-1.1-12-17.8
Automatic carryover of deductions; termination of standard
deduction by county auditor; jointly held property, trusts, and
cooperative housing corporations
Sec. 17.8. (a) An individual who receives a deduction provided
under section 1, 9, 11, 13, 14, 16, 17.4, or 37 of this chapter in a
particular year and who remains eligible for the deduction in the
following year is not required to file a statement to apply for the
deduction in the following year. However, for purposes of a
deduction under section 37 of this chapter, the county auditor may,
in the county auditor's discretion, terminate the deduction 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 because the taxpayer claiming the
deduction 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.
(b) An individual who receives a deduction provided under
section 1, 9, 11, 13, 14, 16, or 17.4 of this chapter in a particular year
and who becomes ineligible for the deduction in the following year
shall notify the auditor of the county in which the real property,
mobile home, or manufactured home for which the individual claims
the deduction is located of the individual's ineligibility in the year in
which the individual becomes ineligible. An individual who becomes
ineligible for a deduction under section 37 of this chapter shall notify
the county auditor of the county in which the property is located in
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, 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, 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, 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 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 because the taxpayer claiming the
deduction 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 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, 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, 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, the individuals that qualify the trust for a deduction 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 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 for the current calendar year if the
cooperative housing corporation remains eligible for the deduction
for the current calendar year. However, the county auditor may, in
the county auditor's discretion, terminate the deduction 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 because the taxpayer claiming the
deduction 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.
(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;
is not required to file a statement to apply for a deduction under
section 37 of this chapter if the individual remains eligible for the
deduction 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. However, the county auditor may, in the county
auditor's discretion, terminate the deduction 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 because the taxpayer claiming the deduction 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 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 because the
taxpayer claiming the deduction 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 if the taxpayer provides proof that the
taxpayer is eligible for the deduction and is not claiming the
deduction 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.
As added by Acts 1982, P.L.44, SEC.7. Amended by P.L.125-1999,
SEC.1; P.L.291-2001, SEC.141; P.L.154-2006, SEC.18;
P.L.95-2007, SEC.1; P.L.144-2008, SEC.24; P.L.87-2009, SEC.2;
P.L.182-2009(ss), SEC.109.
IC 6-1.1-12-17.9
Trust eligibility for certain deductions; requirements
Sec. 17.9. A trust is entitled to a deduction under section 9, 11,
13, 14, 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).
As added by P.L.95-2007, SEC.2. Amended by P.L.101-2008, SEC.2.
IC 6-1.1-12-18
Deduction for rehabilitated residential real property; limitations
Sec. 18. (a) If the assessed value of residential real property
described in subsection (d) is increased because it has been
rehabilitated, the owner may have deducted from the assessed value
of the property an amount not to exceed the lesser of:
(1) the total increase in assessed value resulting from the
rehabilitation; or
(2) eighteen thousand seven hundred twenty dollars ($18,720)
per rehabilitated dwelling unit.
The owner is entitled to this deduction annually for a five (5) year
period.
(b) For purposes of this section, the term "rehabilitation" means
significant repairs, replacements, or improvements to an existing
structure which are intended to increase the livability, utility, safety,
or value of the property under rules adopted by the department of
local government finance.
(c) For the purposes of this section, the term "owner" or "property
owner" includes any person who has the legal obligation, or has
otherwise assumed the obligation, to pay the real property taxes on
the rehabilitated property.
(d) The deduction provided by this section applies only:
(1) for the rehabilitation of residential real property which is
located within this state and which is described in one (1) of the
following classifications:
(A) A single family dwelling if before rehabilitation the
assessed value (excluding any exemptions or deductions) of
the improvements does not exceed thirty-seven thousand
four hundred forty dollars ($37,440).
(B) A two (2) family dwelling if before rehabilitation the
assessed value (excluding exemptions or deductions) of the
improvements does not exceed forty-nine thousand nine
hundred twenty dollars ($49,920).
(C) A dwelling with more than two (2) family units if before
rehabilitation the assessed value (excluding any exemptions
or deductions) of the improvements does not exceed
eighteen thousand seven hundred twenty dollars ($18,720)
per dwelling unit; and
(2) if the property owner:
(A) owns the residential real property; or
(B) is buying the residential real property under contract;
on the assessment date of the year in which an application must
be filed under section 20 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1977,
P.L.2, SEC.21; Acts 1977, P.L.67, SEC.1; P.L.6-1997, SEC.52;
P.L.129-2001, SEC.2; P.L.90-2002, SEC.110; P.L.20-2004, SEC.7;
P.L.144-2008, SEC.25.
IC 6-1.1-12-19
Rehabilitated residential property; duration of deduction
Sec. 19. The deduction from assessed value provided by section
18 of this chapter is first available in the year in which the increase
in assessed value resulting from the rehabilitation occurs and shall
continue for the following four (4) years. In the sixth (6th) year, the
county auditor shall add the amount of the deduction to the assessed
value of the real property. A general reassessment of real property
which occurs within the five (5) year period of the deduction does
not affect the amount of the deduction.
(Formerly: Acts 1975, P.L.47, SEC.1.)
IC 6-1.1-12-20
amended by Acts 1977, P.L.2, SEC.22; Acts 1979, P.L.56, SEC.16;
P.L.90-2002, SEC.111; P.L.154-2006, SEC.19; P.L.144-2008,
SEC.26; P.L.146-2008, SEC.109; P.L.1-2009, SEC.33.
Claim for deduction for rehabilitated residential real property
Sec. 20. (a) A property owner who desires to obtain the deduction
provided by section 18 of this chapter must file a certified deduction
application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
rehabilitated property is located. The application may be filed in
person or by mail. If mailed, the mailing must be postmarked on or
before the last day for filing. Except as provided in subsection (b)
and subject to section 45 of this chapter, the application must be filed
in the year in which the addition to assessed value is made.
(b) If notice of the addition to assessed value for any year is not
given to the property owner before December 1 of that year, the
application required by this section may be filed not later than thirty
(30) days after the date such a notice is mailed to the property owner
at the address shown on the records of the township or county
assessor.
(c) The application required by this section shall contain the
following information:
(1) A description of the property for which a deduction is
claimed in sufficient detail to afford identification.
(2) Statements of the ownership of the property.
(3) The assessed value of the improvements on the property
before rehabilitation.
(4) The number of dwelling units on the property.
(5) The number of dwelling units rehabilitated.
(6) The increase in assessed value resulting from the
rehabilitation.
(7) The amount of deduction claimed.
(d) A deduction application filed under this section is applicable
for the year in which the increase in assessed value occurs and for
the immediately following four (4) years without any additional
application being filed.
(e) On verification of an application by the assessor of the
township in which the property is located, or the county assessor if
there is no township assessor for the township, the county auditor
shall make the deduction.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.53, SEC.1.) As
IC 6-1.1-12-21
Rehabilitated real property; reassessment; notice of deductions
required
Sec. 21. When real property is reassessed because it has been
rehabilitated, the assessing official who, or the county property tax
assessment board of appeals which, makes the reassessment shall
give the owner notice of the property tax deductions provided by
sections 18 and 22 of this chapter. The official or county property tax
assessment board of appeals shall attach the notice to the
reassessment notice required by IC 6-1.1-4-22.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1977,
P.L.67, SEC.2; P.L.6-1997, SEC.53.
IC 6-1.1-12-22
SEC.27.
Deduction for rehabilitated property; limitations
Sec. 22. (a) If the assessed value of property is increased because
it has been rehabilitated and the owner has paid at least ten thousand
dollars ($10,000) for the rehabilitation, the owner is entitled to have
deducted from the assessed value of the property an amount equal to
fifty percent (50%) of the increase in assessed value resulting from
the rehabilitation. The owner is entitled to this deduction annually
for a five (5) year period. However, the maximum deduction which
a property owner may receive under this section for a particular year
is:
(1) one hundred twenty-four thousand eight hundred dollars
($124,800) for a single family dwelling unit; or
(2) three hundred thousand dollars ($300,000) for any other
type of property.
(b) For purposes of this section, the term "property" means a
building or structure which was erected at least fifty (50) years
before the date of application for the deduction provided by this
section. The term "property" does not include land.
(c) For purposes of this section, the term "rehabilitation" means
significant repairs, replacements, or improvements to an existing
structure that are intended to increase the livability, utility, safety, or
value of the property under rules adopted by the department of local
government finance.
(d) The deduction provided by this section applies only if the
property owner:
(1) owns the property; or
(2) is buying the property under contract;
on the assessment date of the year in which an application must be
filed under section 24 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by P.L.54-1997,
SEC.1; P.L.6-1997, SEC.54; P.L.2-1998, SEC.18; P.L.129-2001,
SEC.3; P.L.90-2002, SEC.112; P.L.20-2004, SEC.8; P.L.144-2008,
IC 6-1.1-12-23
Rehabilitated property; duration of deduction
Sec. 23. The deduction from assessed value provided by section
22 of this chapter is first available after the first assessment date
following the rehabilitation and shall continue for the taxes first due
and payable in the following five (5) years. In the sixth (6th) year,
the county auditor shall add the amount of the deduction to the
assessed value of the property. Any general reassessment of real
property which occurs within the five (5) year period of the
deduction does not affect the amount of the deduction.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by P.L.129-2001,
SEC.4.
IC 6-1.1-12-24
Claim for deduction for rehabilitated property
Sec. 24. (a) A property owner who desires to obtain the deduction
provided by section 22 of this chapter must file a certified deduction
application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the
property is located. The application may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. Except as provided in subsection (b) and subject to
section 45 of this chapter, the application must be filed in the year in
which the addition to assessed valuation is made.
(b) If notice of the addition to assessed valuation for any year is
not given to the property owner before December 1 of that year, the
application required by this section may be filed not later than thirty
(30) days after the date such a notice is mailed to the property owner
at the address shown on the records of the township or county
assessor.
(c) The application required by this section shall contain the
following information:
(1) The name of the property owner.
(2) A description of the property for which a deduction is
claimed in sufficient detail to afford identification.
(3) The assessed value of the improvements on the property
before rehabilitation.
(4) The increase in the assessed value of improvements
resulting from the rehabilitation.
(5) The amount of deduction claimed.
(d) A deduction application filed under this section is applicable
for the year in which the addition to assessed value is made and in
the immediate following four (4) years without any additional
application being filed.
(e) On verification of the correctness of an application by the
assessor of the township in which the property is located, or the
county assessor if there is no township assessor for the township, the
county auditor shall make the deduction.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.53, SEC.2.) As
amended by Acts 1979, P.L.56, SEC.17; P.L.90-2002, SEC.113;
P.L.154-2006, SEC.20; P.L.144-2008, SEC.28; P.L.146-2008,
SEC.110; P.L.1-2009, SEC.34; P.L.113-2010, SEC.24.
IC 6-1.1-12-25
Rehabilitated property; electing either IC 6-1.1-12-18 or
IC 6-1.1-12-22 deduction
Sec. 25. For repairs or improvements made to a particular building
or structure, a person may receive either the deduction provided by
section 18 of this chapter or the deduction provided by section 22 of
this chapter. He may not receive deductions under both sections for
the repairs or improvements.
(Formerly: Acts 1975, P.L.47, SEC.1.)
IC 6-1.1-12-25.5
Rehabilitated property; deductions; denial; appeal
Sec. 25.5. If a deduction applied for under section 20 or 24 of this
chapter is not granted in full, the county auditor shall notify the
applicant by mail. A taxpayer may appeal a ruling that wholly or
partially denies a deduction claimed under section 20 or 24 of this
chapter in the same manner that appeals may be taken under
IC 6-1.1-15.
As added by P.L.70-1983, SEC.1.
IC 6-1.1-12-26
Solar energy heating or cooling system
Sec. 26. (a) The owner of real property, or a mobile home which
is not assessed as real property, which is equipped with a solar
energy heating or cooling system may have deducted annually from
the assessed value of the real property or mobile home an amount
which is equal to the out-of-pocket expenditures by the owner (or a
previous owner) of the real property or mobile home for:
(1) the components; and
(2) the labor involved in installing the components;
that are unique to the system and that are needed to collect, store, or
distribute solar energy.
(b) The tangible property to which subsection (a) applies includes
a solar thermal air system and any solar energy heating or cooling
system used for:
(1) domestic hot water or space heat, or both, including pool
heating; or
(2) preheating for an industrial process.
(c) Subsection (a) does not apply to tangible property that would
not be subject to assessment and taxation under this article if this
section did not apply.
(d) For purposes of subsection (a), proof of out-of-pocket
expenditures may be demonstrated by invoices or other evidence of
a purchase and installation, as determined under rules or guidelines
prescribed by the department of local government finance.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1977,
P.L.68, SEC.1; Acts 1979, P.L.56, SEC.1; P.L.90-2002, SEC.114;
P.L.113-2010, SEC.25.
IC 6-1.1-12-27
Repealed
(Repealed by Acts 1980, P.L.40, SEC.4.)
IC 6-1.1-12-27.1
Claim for deduction for solar energy heating or cooling system
Sec. 27.1. Except as provided in sections 36 and 44 of this chapter
and subject to section 45 of this chapter, a person who desires to
claim the deduction provided by section 26 of 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 real property or mobile home is subject to
assessment. With respect to real property, the person must file the
statement during the year for which the person desires to obtain the
deduction. Except as provided in sections 36 and 44 of this chapter
and subject to section 45 of this chapter, with respect to a mobile
home which is not assessed as real property, the person must file the
statement during the twelve (12) months before March 31 of each
year for which the person desires to obtain the deduction. The person
must:
(1) own the real property, mobile home, or manufactured home;
or
(2) be buying the real property, mobile home, or manufactured
home under contract;
on the date the statement is filed under this section. The statement
may be filed in person or by mail. If mailed, the mailing must be
postmarked on or before the last day for filing. On verification of the
statement by the assessor of the township in which the real property
or mobile home is subject to assessment, or the county assessor if
there is no township assessor for the township, the county auditor
shall allow the deduction.
As added by Acts 1980, P.L.40, SEC.3. Amended by P.L.43-1984,
SEC.1; P.L.55-1988, SEC.8; P.L.90-2002, SEC.115; P.L.183-2007,
SEC.7; P.L.144-2008, SEC.29; P.L.146-2008, SEC.111; P.L.1-2009,
SEC.35; P.L.113-2010, SEC.26.
IC 6-1.1-12-28
Repealed
(Repealed by Acts 1979, P.L.52, SEC.5.)
IC 6-1.1-12-28.5
Resource recovery system; prerequisites for deduction; definitions
Sec. 28.5. (a) For purposes of this section:
(1) "Hazardous waste" has the meaning set forth in
IC 13-11-2-99(a) and includes a waste determined to be a
hazardous waste under IC 13-22-2-3(b).
(2) "Resource recovery system" means tangible property
directly used to dispose of solid waste or hazardous waste by
converting it into energy or other useful products.
(3) "Solid waste" has the meaning set forth in IC 13-11-2-205(a)
but does not include dead animals or any animal solid or
semisolid wastes.
(b) Except as provided in this section, the owner of a resource
recovery system is entitled to an annual deduction in an amount
equal to ninety-five percent (95%) of the assessed value of the
system if:
(1) the system was certified by the department of environmental
management for the 1993 assessment year or a prior assessment
year; and
(2) the owner filed a timely application for the deduction for the
1993 assessment year.
For purposes of this section, a system includes tangible property that
replaced tangible property in the system after the certification by the
department of environmental management.
(c) The owner of a resource recovery system that is directly used
to dispose of hazardous waste is not entitled to the deduction
provided by this section for a particular assessment year if during
that assessment year the owner:
(1) is convicted of any violation under IC 13-7-13-3 (repealed),
IC 13-7-13-4 (repealed), or a criminal statute under IC 13; or
(2) is subject to an order or a consent decree with respect to
property located in Indiana based upon a violation of a federal
or state rule, regulation, or statute governing the treatment,
storage, or disposal of hazardous wastes that had a major or
moderate potential for harm.
(d) The certification of a resource recovery system by the
department of environmental management for the 1993 assessment
year or a prior assessment year is valid through the 1997 assessment
year so long as the property is used as a resource recovery system. If
the property is no longer used for the purpose for which the property
was used when the property was certified, the owner of the property
shall notify the county auditor. However, the deduction from the
assessed value of the system is:
(1) ninety-five percent (95%) for the 1994 assessment year;
(2) ninety percent (90%) for the 1995 assessment year;
(3) seventy-five percent (75%) for the 1996 assessment year;
and
(4) sixty percent (60%) for the 1997 assessment year.
Notwithstanding this section as it existed before 1995, for the 1994
assessment year, the portion of any tangible property comprising a
resource recovery system that was assessed and first deducted for the
1994 assessment year may not be deducted for property taxes first
due and payable in 1995 or later.
(e) In order to qualify for a deduction under this section, the
person who desires to claim the deduction must file an application
with the county auditor after February 28 and before May 16 of the
current assessment year. An application must be filed in each year
for which the person desires to obtain the deduction. The application
may be filed in person or by mail. If mailed, the mailing must be
postmarked on or before the last day for filing. If the application is
not filed before the applicable deadline under this subsection, the
deduction is waived. The application must be filed on a form
prescribed by the department of local government finance. The
application for a resource recovery system deduction must include:
(1) a certification by the department of environmental
management for the 1993 assessment year or a prior assessment
year as described in subsection (d); or
(2) the certification by the department of environmental
management for the 1993 assessment year as described in
subsection (g).
Beginning with the 1995 assessment year a person must also file an
itemized list of all property on which a deduction is claimed. The list
must include the date of purchase of the property and the cost to
acquire the property.
(f) Before July 1, 1995, the department of environmental
management shall transfer all the applications, records, or other
material the department has with respect to resource recovery system
deductions under this section for the 1993 and 1994 assessment
years. The township assessor, or the county assessor if there is no
township assessor for the township, shall verify each deduction
application filed under this section and the county auditor shall
determine the deduction. The county auditor shall send to the
department of local government finance a copy of each deduction
application. The county auditor shall notify the county property tax
assessment board of appeals of all deductions allowed under this
section. A denial of a deduction claimed under this subsection 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, the county
assessor, or the county auditor.
(g) Notwithstanding subsection (d), the certification for the 1993
assessment year of a resource recovery system in regard to which a
political subdivision is liable for the payment of the property taxes
remains valid at the ninety-five percent (95%) deduction level
allowed before 1994 as long as the political subdivision remains
liable for the payment of the property taxes on the system.
As added by Acts 1979, P.L.52, SEC.2. Amended by P.L.61-1985,
SEC.1; P.L.19-1986, SEC.6; P.L.25-1995, SEC.15; P.L.1-1996,
SEC.38; P.L.6-1997, SEC.55; P.L.198-2001, SEC.34; P.L.137-2007,
SEC.2; P.L.146-2008, SEC.112.
IC 6-1.1-12-28.6
Repealed
(Repealed by P.L.69-1983, SEC.12.)
IC 6-1.1-12-29
Wind power device; definition
Sec. 29. (a) For purposes of this section, "wind power device"
means a device, such as a windmill or a wind turbine, that is
designed to utilize the kinetic energy of moving air to provide
mechanical energy or to produce electricity.
(b) The owner of real property, or a mobile home that is not
assessed as real property, that is equipped with a wind power device
is entitled to an annual property tax deduction. The amount of the
deduction equals the remainder of (1) the assessed value of the real
property or mobile home with the wind power device included,
minus (2) the assessed value of the real property or mobile home
without the wind power device.
As added by Acts 1979, P.L.56, SEC.3.
IC 6-1.1-12-30
Claim for deduction for wind power device
Sec. 30. Except as provided in sections 36 and 44 of this chapter
and subject to section 45 of this chapter, a person who desires to
claim the deduction provided by section 29 of 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 real property or mobile home is subject to
assessment. With respect to real property, the person must file the
statement during the year for which the person desires to obtain the
deduction. With respect to a mobile home which is not assessed as
real property, the person must file the statement during the twelve
(12) months before March 31 of each year for which the person
desires to obtain the deduction. The person must:
(1) own the real property, mobile home, or manufactured home;
or
(2) be buying the real property, mobile home, or manufactured
home under contract;
on the date the statement is filed under this section. On verification
of the statement by the assessor of the township in which the real
property or mobile home is subject to assessment, or the county
assessor if there is no township assessor for the township, the county
auditor shall allow the deduction.
As added by Acts 1979, P.L.56, SEC.4. Amended by P.L.43-1984,
SEC.2; P.L.90-2002, SEC.116; P.L.154-2006, SEC.21;
P.L.183-2007, SEC.8; P.L.144-2008, SEC.30; P.L.146-2008,
SEC.113; P.L.1-2009, SEC.36.
IC 6-1.1-12-31
Deduction for coal conversion system; limitations
Sec. 31. (a) For purposes of this section, "coal conversion system"
means tangible property directly used to convert coal into a gaseous
or liquid fuel or char. This definition includes coal liquification,
gasification, pyrolysis, and a fluid bed combustion system designed
for pollution control.
(b) For each calendar year which begins after December 31, 1979,
and before January 1, 1988, the owner of a coal conversion system
which is used to process coal is entitled to a deduction from the
assessed value of the system. The amount of the deduction for a
particular calendar year equals the product of (1) ninety-five percent
(95%) of the assessed value of the system, multiplied by (2) a
fraction. The numerator of the fraction is the amount of Indiana coal
converted by the system during the immediately preceding calendar
year and the denominator of the fraction is the total amount of coal
converted by the system during the immediately preceding calendar
year.
(c) The deduction provided by this section applies only if the
property owner:
(1) owns the property; or
(2) is buying the property under contract;
on the assessment date for which the deduction applies.
As added by Acts 1980, P.L.41, SEC.1. Amended by Acts 1981,
P.L.70, SEC.1; P.L.24-1984, SEC.4; P.L.144-2008, SEC.31.
IC 6-1.1-12-32
Repealed
(Repealed by P.L.69-1983, SEC.12.)
IC 6-1.1-12-33
Deduction for hydroelectric power device; limitations
Sec. 33. (a) For purposes of this section "hydroelectric power
device" means a device which is installed after December 31, 1981,
and is designed to utilize the kinetic power of moving water to
provide mechanical energy or to produce electricity.
(b) The owner of real property, or a mobile home that is not
assessed as real property, that is equipped with a hydroelectric power
device is annually entitled to a property tax deduction. The amount
of the deduction equals the remainder of:
(1) the assessed value of the real property or mobile home with
the hydroelectric power device; minus
(2) the assessed value of the real property or mobile home
without the hydroelectric power device.
(c) The deduction provided by this section applies only if the
property owner:
(1) owns the real property or mobile home; or
(2) is buying the real property or mobile home under contract;
on the date the statement is filed under section 35.5 of this chapter.
As added by Acts 1981, P.L.71, SEC.1. Amended by P.L.144-2008,
SEC.32.
IC 6-1.1-12-34
Deduction for geothermal energy heating or cooling device;
limitations
Sec. 34. (a) For purposes of this section, "geothermal energy
heating or cooling device" means a device that is installed after
December 31, 1981, and is designed to utilize the natural heat from
the earth to provide hot water, produce electricity, or generate
heating or cooling.
(b) The owner of real property, or a mobile home that is not
assessed as real property, that is equipped with a geothermal energy
heating or cooling device is annually entitled to a property tax
deduction. The amount of the deduction equals the remainder of: (1)
the assessed value of the real property or mobile home with the
geothermal heating or cooling device; minus (2) the assessed value
of the real property or mobile home without the geothermal heating
or cooling device.
(c) The deduction provided by this section applies only if the
property owner:
(1) owns the real property or mobile home; or
(2) is buying the real property or mobile home under contract;
on the date the statement is filed under section 35.5 of this chapter.
As added by Acts 1981, P.L.71, SEC.2. Amended by P.L.144-2008,
SEC.33.
IC 6-1.1-12-34.5
Deduction for use of coal combustion products; limitations
Sec. 34.5. (a) As used in this section, "coal combustion product"
has the meaning set forth in IC 6-1.1-44-1.
(b) As used in this section, "qualified building" means a building
designed and constructed to systematically use qualified materials
throughout the building.
(c) For purposes of this section, building materials are "qualified
materials" if at least sixty percent (60%) of the materials' dry weight
consists of coal combustion products.
(d) The owner of a qualified building, as determined by the center
for coal technology research, is entitled to a property tax deduction
for not more than three (3) years. The amount of the deduction equals
the product of:
(1) the assessed value of the qualified building; multiplied by
(2) five percent (5%).
(e) The deduction provided by this section applies only if the
building owner:
(1) owns the building; or
(2) is buying the building under contract;
on the assessment date for which the deduction applies.
As added by P.L.214-2005, SEC.11. Amended by P.L.144-2008,
SEC.34.
IC 6-1.1-12-35
Repealed
(Repealed by P.L.198-2001, SEC.122.)
IC 6-1.1-12-35.5
Claims for deductions related to coal, hydroelectric, and
geothermal; involvement of department of environmental
management and center for coal technology research; appeals
Sec. 35.5. (a) Except as provided in section 36 or 44 of this
chapter and subject to section 45 of this chapter, a person who
desires to claim the deduction provided by section 31, 33, 34, or 34.5
of this chapter must file a certified statement in duplicate, on forms
prescribed by the department of local government finance, and proof
of certification under subsection (b) or (f) with the auditor of the
county in which the property for which the deduction is claimed is
subject to assessment. Except as provided in subsection (e), with
respect to property that is not assessed under IC 6-1.1-7, the person
must file the statement during the year for which the person wishes
to obtain the deduction. The person must file the statement in each
year for which the person desires to obtain the deduction. With
respect to a property which is assessed under IC 6-1.1-7, the person
must file the statement during the twelve (12) months before March
31 of each year for which the person desires to obtain the deduction.
The statement may be filed in person or by mail. If mailed, the
mailing must be postmarked on or before the last day for filing. On
verification of the statement by the assessor of the township in which
the property for which the deduction is claimed is subject to
assessment, or the county assessor if there is no township assessor
for the township, the county auditor shall allow the deduction.
(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.
As added by P.L.198-2001, SEC.36. Amended by P.L.214-2005,
SEC.12; P.L.154-2006, SEC.22; P.L.2-2007, SEC.114;
P.L.183-2007, SEC.9; P.L.144-2008, SEC.35; P.L.146-2008,
SEC.114; P.L.1-2009, SEC.37.
IC 6-1.1-12-36
Deductions; eligibility for following year
Sec. 36. (a) A person who receives a deduction provided under
section 26, 29, 33, 34, 34.5, or 38 of this chapter for a particular year
and who remains eligible for the deduction for the following year is
not required to file a statement to apply for the deduction for the
following year.
(b) A person who receives a deduction provided under section 26,
29, 33, 34, 34.5, or 38 of this chapter for a particular year and who
becomes ineligible for the deduction for the following year shall
notify the auditor of the county in which the real property or mobile
home for which the person received the deduction is located of the
person's ineligibility before March 31 of the year for which the
person becomes ineligible.
(c) The auditor of each county shall, in a particular year, apply a
deduction provided under section 26, 29, 33, 34, 34.5, or 38 of this
chapter to each person who received the deduction in the preceding
year unless the auditor determines that the person is no longer
eligible for the deduction.
As added by P.L.43-1984, SEC.4. Amended by P.L.41-1992, SEC.2;
P.L.10-1997, SEC.12; P.L.214-2005, SEC.13.
IC 6-1.1-12-37
Standard deduction for homesteads; amount; statement to apply
for deduction; notice to county auditor of ineligibility for
deduction; limitations on deduction; homestead property data base
Sec. 37. (a) The following definitions apply throughout this
section:
(1) "Dwelling" means any of the following:
(A) Residential real property improvements that an
individual uses as the individual's residence, including a
house or garage.
(B) A mobile home that is not assessed as real property that
an individual uses as the individual's residence.
(C) A manufactured home that is not assessed as real
property that an individual uses as the individual's residence.
(2) "Homestead" means an individual's principal place of
residence:
(A) that is located in Indiana;
(B) that:
(i) the individual owns;
(ii) the individual 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;
(iii) the individual 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); or
(iv) is a residence described in section 17.9 of this chapter
that is owned by a trust if the individual is an individual
described in section 17.9 of this chapter; and
(C) that consists of a dwelling and the real estate, not
exceeding one (1) acre, that immediately surrounds that
dwelling.
Except as provided in subsection (k), the term does not include
property owned by a corporation, partnership, limited liability
company, or other entity not described in this subdivision.
(b) Each year a homestead is eligible for a standard deduction
from the assessed value of the homestead for an assessment date. The
deduction provided by this section applies to property taxes first due
and payable for an assessment date only if an individual has an
interest in the homestead described in subsection (a)(2)(B) on:
(1) the assessment date; or
(2) any date in the same year after an assessment date that a
statement is filed under subsection (e) or section 44 of this
chapter, if the property consists of real property.
Subject to subsection (c), the auditor of the county shall record and
make the deduction for the individual or entity qualifying for the
deduction.
(c) Except as provided in section 40.5 of this chapter, the total
amount of the deduction that a person may receive under this section
for a particular year is the lesser of:
(1) sixty percent (60%) of the assessed value of the real
property, mobile home not assessed as real property, or
manufactured home not assessed as real property; or
(2) forty-five thousand dollars ($45,000).
(d) A person who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section with respect to that real property, mobile
home, or manufactured home.
(e) Except as provided in sections 17.8 and 44 of this chapter and
subject to section 45 of this chapter, an individual who desires to
claim the deduction provided by this section 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 deduction 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 deduction 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 deduction.
(f) If an individual who is receiving the deduction provided by
this section or who otherwise qualifies property for a deduction
under this section:
(1) changes the use of the individual's property so that part or
all of the property no longer qualifies for the deduction under
this section; or
(2) is no longer eligible for a deduction under this section on
another parcel of property because:
(A) the individual would otherwise receive the benefit of
more than one (1) deduction under this chapter; or
(B) the individual maintains the individual's principal place
of residence with another individual who receives a
deduction under this section;
the individual must file a certified statement with the auditor of the
county, notifying the auditor of the change of use, not more than
sixty (60) days after the date of that change. An individual who fails
to file the statement required by this subsection is liable for any
additional taxes that would have been due on the property if the
individual had filed the statement as required by this subsection plus
a civil penalty equal to ten percent (10%) of the additional taxes due.
The civil penalty imposed under this subsection is in addition to any
interest and penalties for a delinquent payment that might otherwise
be due. One percent (1%) of the total civil penalty collected under
this subsection shall be transferred by the county to the department
of local government finance for use by the department in establishing
and maintaining the homestead property data base under subsection
(i) and, to the extent there is money remaining, for any other
purposes of the department. This amount becomes part of the
property tax liability for purposes of this article.
(g) The department of local government finance shall adopt rules
or guidelines concerning the application for a deduction under this
section.
(h) This subsection does not apply to property in the first year for
which a deduction is claimed under this section if the sole reason that
a deduction is claimed on other property is that the individual or
married couple maintained a principal residence at the other property
on March 1 in the same year in which an application for a deduction
is filed under this section or, if the application is for a homestead that
is assessed as personal property, on March 1 in the immediately
preceding year and the individual or married couple is moving the
individual's or married couple's principal residence to the property
that is the subject of the application. The county auditor may not
grant an individual or a married couple a deduction under this section
if:
(1) the individual or married couple, for the same year, claims
the deduction on two (2) or more different applications for the
deduction; and
(2) the applications claim the deduction for different property.
(i) The department of local government finance shall provide
secure access to county auditors to a homestead property data base
that includes access to the homestead owner's name and the numbers
required from the homestead owner under subsection (e)(4) for the
sole purpose of verifying whether an owner is wrongly claiming a
deduction under this chapter or a credit under IC 6-1.1-20.4,
IC 6-1.1-20.6, or IC 6-3.5.
(j) The department of local government finance shall work with
county auditors to develop procedures to determine whether a
property owner that is claiming a standard deduction or homestead
credit is not eligible for the standard deduction or homestead credit
because the property owner's principal place of residence is outside
Indiana.
(k) As used in this section, "homestead" includes property that
satisfies each of the following requirements:
(1) The property is located in Indiana and consists of a dwelling
and the real estate, not exceeding one (1) acre, that immediately
surrounds that dwelling.
(2) The property is the principal place of residence of an
individual.
(3) The property is owned by an entity that is not described in
subsection (a)(2)(B).
(4) The individual residing on the property is a shareholder,
partner, or member of the entity that owns the property.
(5) The property was eligible for the standard deduction under
this section on March 1, 2009.
(l) If a county auditor terminates a deduction for property
described in subsection (k) with respect to property taxes that are:
(1) imposed for an assessment date in 2009; and
(2) first due and payable in 2010;
on the grounds that the property is not owned by an entity described
in subsection (a)(2)(B), the county auditor shall reinstate the
deduction if the taxpayer provides proof that the property is eligible
for the deduction in accordance with subsection (k) and that the
individual residing on the property is not claiming the deduction for
any other property.
(m) For assessments dates after 2009, the term "homestead"
includes:
(1) a deck or patio;
(2) a gazebo; or
(3) another residential yard structure, as defined in rules
adopted by the department of local government finance (other
than a swimming pool);
that is assessed as real property and attached to the dwelling.
As added by P.L.332-1989(ss), SEC.10. Amended by
P.L.240-1991(ss2), SEC.47; P.L.6-1997, SEC.57; P.L.291-2001,
SEC.142; P.L.192-2002(ss), SEC.32; P.L.162-2006, SEC.1;
P.L.224-2007, SEC.3; P.L.146-2008, SEC.115; P.L.1-2009, SEC.38;
P.L.87-2009, SEC.3; P.L.182-2009(ss), SEC.110; P.L.113-2010,
SEC.27.
IC 6-1.1-12-37.5
Supplemental deduction for homesteads
Sec. 37.5. (a) A person who is entitled to a standard deduction
from the assessed value of property under section 37 of this chapter
is also entitled to receive a supplemental deduction from the assessed
value of the homestead to which the standard deduction applies after
the application of the standard deduction but before the application
of any other deduction, exemption, or credit for which the person is
eligible.
(b) The amount of the deduction under this section is equal to the
sum of the following:
(1) Thirty-five percent (35%) of the assessed value determined
under subsection (a) that is not more than six hundred thousand
dollars ($600,000).
(2) Twenty-five percent (25%) of the assessed value determined
under subsection (a) that is more than six hundred thousand
dollars ($600,000).
(c) The auditor of the county shall record and make the deduction
for the person qualifying for the deduction.
(d) The deduction granted under this section shall not be
considered in applying section 40.5 of this chapter to the deductions
applicable to property. Section 40.5 of this chapter does not apply to
the deduction granted under this section.
As added by P.L.146-2008, SEC.116.
IC 6-1.1-12-38
Deduction for improvements to comply with fertilizer storage
rules; prerequisites for filing limitations
Sec. 38. (a) A person is entitled to a deduction from the assessed
value of the person's property in an amount equal to the difference
between:
(1) the assessed value of the person's property, including the
assessed value of the improvements made to comply with the
fertilizer storage rules adopted by the state chemist under
IC 15-16-2-44 and the pesticide storage rules adopted by the
state chemist under IC 15-16-4-52; minus
(2) the assessed value of the person's property, excluding the
assessed value of the improvements made to comply with the
fertilizer storage rules adopted by the state chemist under
IC 15-16-2-44 and the pesticide storage rules adopted by the
state chemist under IC 15-16-4-52.
(b) To obtain the deduction under this section, a person 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 property is subject to assessment. In addition to
the certified statement, the person must file a certification by the
state chemist listing the improvements that were made to comply
with the fertilizer storage rules adopted under IC 15-16-2-44 and the
pesticide storage rules adopted by the state chemist under
IC 15-16-4-52. Subject to section 45 of this chapter, the statement
and certification must be filed during the year preceding the year the
deduction will first be applied. Upon the verification of the statement
and certification by the assessor of the township in which the
property is subject to assessment, or the county assessor if there is no
township assessor for the township, the county auditor shall allow
the deduction.
(c) The deduction provided by this section applies only if the
person:
(1) owns the property; or
(2) is buying the property under contract;
on the assessment date for which the deduction applies.
As added by P.L.41-1992, SEC.3. Amended by P.L.90-2002,
SEC.117; P.L.154-2006, SEC.23; P.L.144-2008, SEC.36;
P.L.2-2008, SEC.22; P.L.146-2008, SEC.117; P.L.1-2009, SEC.39.
IC 6-1.1-12-39
Person not qualified for exemption purchasing exempt property
under contract for sale; entitlement to deduction
Sec. 39. (a) A person who is:
(1) purchasing property under a contract that does not require
the buyer to pay property taxes on the property; and
(2) required to pay property taxes under IC 6-1.1-10-41;
is eligible for a deduction granted by this chapter to the same extent
as a person who is buying property under a contract that provides the
contract buyer is to pay property taxes on the property.
(b) To obtain the deduction, with the application the applicant
must provide:
(1) the same information concerning the contract that is
required for contracts that require the buyer to pay property
taxes; and
(2) information that indicates that IC 6-1.1-10-41 applies to the
property.
As added by P.L.31-1994, SEC.2.
IC 6-1.1-12-40
Deductions for real property located in enterprise zones
Sec. 40. (a) This section applies only to real property that is
located in an enterprise zone established in a county containing a
consolidated city.
(b) The owner of real property described in subsection (a) is
entitled to a deduction under this section if:
(1) an obsolescence depreciation adjustment for either
functional obsolescence or economic obsolescence was allowed
for the property for property taxes assessed in the year
preceding the year in which the owner purchased the property;
(2) the property owner submits an application requesting the
deduction to the fiscal body of the county in which the property
is located; and
(3) the fiscal body of the county approves the deduction.
(c) If a county fiscal body approves a deduction under this section,
it must notify the county auditor of the approval of the deduction.
(d) A deduction may be claimed under this section for not more
than four (4) years. The amount of the deduction under this section
equals:
(1) the amount of the obsolescence depreciation adjustment for
either functional obsolescence or economic obsolescence that
was allowed for the property for property taxes assessed in the
year preceding the year in which the owner purchased the
property; multiplied by
(2) the following percentages:
(A) One hundred percent (100%), for property taxes
assessed in the year in which the owner purchased the
property.
(B) Seventy-five percent (75%), for property taxes assessed
in the year after the year in which the owner purchased the
property.
(C) Fifty percent (50%), for property taxes assessed in the
second year after the year in which the owner purchased the
property.
(D) Twenty-five percent (25%), for property taxes assessed
in the third year after the year in which the owner purchased
the property.
As added by P.L.198-2001, SEC.37.
IC 6-1.1-12-40.5
Limits on deductions for mobile or manufactured homes
Sec. 40.5. Notwithstanding any other provision, the sum of the
deductions provided under this chapter to a mobile home that is not
assessed as real property or to a manufactured home that is not
assessed as real property may not exceed one-half (1/2) of the
assessed value of the mobile home or manufactured home.
As added by P.L.291-2001, SEC.143.
IC 6-1.1-12-41
adoption of ordinance; expiration
Optional countywide property tax exemption for inventory;
(b) As used in this section, "assessed value of inventory" means
the assessed value determined after the application of any deductions
or adjustments that apply by statute or rule to the assessment of
inventory, other than the deduction allowed under subsection (f).
(c) As used in this section, "county income tax council" means a
council established by IC 6-3.5-6-2.
(d) As used in this section, "fiscal body" has the meaning set forth
in IC 36-1-2-6.
(e) As used in this section, "inventory" has the meaning set forth
in IC 6-1.1-3-11 (repealed).
(f) An ordinance may be adopted in a county to provide that a
deduction applies to the assessed value of inventory located in the
county. The deduction is equal to one hundred percent (100%) of the
assessed value of inventory located in the county for the appropriate
year of assessment. An ordinance adopted under this section in a
particular year applies:
(1) if adopted before March 31, 2004, to each subsequent
assessment year ending before January 1, 2006; and
(2) if adopted after March 30, 2004, and before June 1, 2005, to
the March 1, 2005, assessment date.
An ordinance adopted under this section may be consolidated with
an ordinance adopted under IC 6-3.5-7-25 or IC 6-3.5-7-26. The
consolidation of an ordinance adopted under this section with an
ordinance adopted under IC 6-3.5-7-26 does not cause the ordinance
adopted under IC 6-3.5-7-26 to expire after December 31, 2005.
(g) An ordinance may not be adopted under subsection (f) after
May 30, 2005. However, an ordinance adopted under this section:
(1) before March 31, 2004, may be amended after March 30,
2004; and
(2) before June 1, 2005, may be amended after May 30, 2005;
to consolidate an ordinance adopted under IC 6-3.5-7-26.
(h) The entity that may adopt the ordinance permitted under
subsection (f) is:
(1) the county income tax council if the county option income
tax is in effect on January 1 of the year in which an ordinance
under this section is adopted;
(2) the county fiscal body if the county adjusted gross income
tax is in effect on January 1 of the year in which an ordinance
under this section is adopted; or
(3) the county income tax council or the county fiscal body,
whichever acts first, for a county not covered by subdivision (1)
or (2).
To adopt an ordinance under subsection (f), 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. The entity that
adopts the ordinance shall provide a certified copy of the ordinance
to the department of local government finance before February 1.
(i) A taxpayer is not required to file an application to qualify for
the deduction permitted under subsection (f).
(j) The department of local government finance shall incorporate
the deduction established in this section in the personal property
return form to be used each year for filing under IC 6-1.1-3-7 or
IC 6-1.1-3-7.5 to permit the taxpayer to enter the deduction on the
form. If a taxpayer fails to enter the deduction on the form, the
township assessor, or the county assessor if there is no township
assessor for the township, shall:
(1) determine the amount of the deduction; and
(2) within the period established in IC 6-1.1-16-1, issue a notice
of assessment to the taxpayer that reflects the application of the
deduction to the inventory assessment.
(k) The deduction established in this section must be applied to
any inventory assessment made by:
(1) an assessing official;
(2) a county property tax board of appeals; or
(3) the department of local government finance.
As added by P.L.192-2002(ss), SEC.33. Amended by P.L.199-2005,
SEC.5; P.L.146-2008, SEC.118.
IC 6-1.1-12-42
Statewide property tax deduction for inventory
Sec. 42. (a) As used in this section, "assessed value of inventory"
means the assessed value determined after the application of any
deductions or adjustments that apply by statute or rule to the
assessment of inventory, other than the deduction established in
subsection (c).
(b) As used in this section, "inventory" has the meaning set forth
in IC 6-1.1-3-11 (repealed).
(c) A taxpayer is entitled to a deduction from assessed value equal
to one hundred percent (100%) of the taxpayer's assessed value of
inventory for assessments made in 2006 for property taxes first due
and payable in 2007.
(d) A taxpayer is not required to file an application to qualify for
the deduction established by this section.
(e) The department of local government finance shall incorporate
the deduction established by this section in the personal property
return form to be used each year for filing under IC 6-1.1-3-7 or
IC 6-1.1-3-7.5 to permit the taxpayer to enter the deduction on the
form. If a taxpayer fails to enter the deduction on the form, the
township assessor, or the county assessor if there is no township
assessor for the township, shall:
(1) determine the amount of the deduction; and
(2) within the period established in IC 6-1.1-16-1, issue a notice
of assessment to the taxpayer that reflects the application of the
deduction to the inventory assessment.
(f) The deduction established by this section must be applied to
any inventory assessment made by:
(1) an assessing official;
(2) a county property tax assessment board of appeals; or
(3) the department of local government finance.
As added by P.L.192-2002(ss), SEC.34. Amended by P.L.146-2008,
SEC.119.
IC 6-1.1-12-43
Residential mortgage transactions; closing agent's duty to provide
forms and input information; compliance; civil penalty; immunity
Sec. 43. (a) For purposes of this section:
(1) "benefit" refers to a deduction under section 1, 9, 11, 13, 14,
16, 17.4, 26, 29, 31, 33, 34, 37, or 37.5 of this chapter;
(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 standard deduction under section 37 of this
chapter on any property on which the party or the spouse of
the party will no longer be eligible for the standard
deduction under section 37 of this chapter after the party or
the party's spouse begins to reside at the property that is the
subject of the closing, including an explanation of the tax
consequences and applicable penalties, if a party unlawfully
claims a standard deduction under section 37 of this chapter;
and
(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).
As added by P.L.64-2004, SEC.3. Amended by P.L.145-2008, SEC.9;
P.L.146-2008, SEC.120; P.L.87-2009, SEC.4.
IC 6-1.1-12-44
Sales disclosure form serves as application for certain deductions;
limitations
Sec. 44. (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 (as
defined in section 37 of this chapter) 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 deductions provided by sections 26,
29, 33, 34, and 37 of this chapter with respect to property taxes first
due and payable in the calendar year that immediately succeeds the
calendar year referred to in subdivision (1).
(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 a deduction referred to in
subsection (a);
the county auditor shall apply the deduction 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 eligible for the deduction.
(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 homestead is ineligible
for the deduction.
As added by P.L.144-2008, SEC.37. Amended by P.L.1-2009,
SEC.40; P.L.75-2009, SEC.3; P.L.87-2009, SEC.5.
IC 6-1.1-12-45
Automatic one year carryover of deductions; limitations;
specification of year for which deduction claim applies
Sec. 45. (a) Subject to subsections (b) and (c), a deduction 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 real property or mobile
home or manufactured home not assessed as real property:
(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 title holder or the contract buyer on that next
succeeding assessment date is eligible for the deduction 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);
files a statement under this chapter to claim the deduction.
(c) A deduction applies under subsection (a) for only one (1) year.
The requirements of this chapter for filing a statement to apply for a
deduction under this chapter apply to subsequent years.
(d) If:
(1) a statement is filed under this chapter in a calendar year to
claim a deduction under this chapter with respect to real
property; and
(2) the eligibility criteria for the deduction are met;
the deduction applies for the assessment date in that calendar year
and for the property taxes due and payable based on the assessment
for that assessment date.
(e) If:
(1) a statement is filed under this chapter in a twelve (12) month
filing period designated under this chapter to claim a deduction
under this chapter with respect to a mobile home or a
manufactured home not assessed as real property; and
(2) the eligibility criteria for the deduction are met;
the deduction applies for the assessment date in that twelve (12)
month period and for the property taxes due and payable based on
the assessment for that assessment date.
As added by P.L.144-2008, SEC.38.
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