Sec. 13. (a) The treasurer of state shall establish an incremental income tax financing fund for the county. The fund shall be administered by the treasurer of state. Money in the fund does not revert to the state general fund at the end of a state fiscal year.

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Terms Used In Indiana Code 36-7-27-13

  • commission: refers to the metropolitan development commission acting as the redevelopment commission of a consolidated city, subject to IC 36-3-4-23. See Indiana Code 36-7-27-3
  • covered local income taxes: means the local income tax imposed on county taxpayers under Indiana Code 36-7-27-5
  • department: refers to the department of state revenue. See Indiana Code 36-7-27-6
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
  • fund: refers to an incremental income tax financing fund established under section 13 of this chapter. See Indiana Code 36-7-27-7
  • incremental income tax: means the remainder of:

    Indiana Code 36-7-27-8

  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Month: means a calendar month, unless otherwise expressed. See Indiana Code 1-1-4-5
  • tax area: means a geographic area established by a commission under section 11 of this chapter in which a qualified economic development tax project is located. See Indiana Code 36-7-27-10
  • Year: means a calendar year, unless otherwise expressed. See Indiana Code 1-1-4-5
     (b) Before July 2 of each calendar year, the department, after reviewing the recommendation of the budget agency, shall estimate and certify to the county auditor the amount of incremental income tax for the tax areas in the county that will be collected from that county during the twelve (12) month period beginning July 1 of that calendar year and ending June 30 of the following calendar year. The amount certified shall be deposited into the fund and shall be distributed on the dates specified in subsection (e) for the following calendar year. The amount certified may be adjusted under subsection (c) or (d). Taxpayers operating in the tax area shall report annually, in the manner and in the form prescribed by the department, information that the department determines necessary to calculate the incremental income tax amount. A taxpayer operating in the tax area that files a consolidated tax return with the department also shall file annually an informational return with the department for each business location of the taxpayer within the tax area. If a taxpayer fails to report the information required by this section, the department shall use the best information available in calculating the amount of incremental income taxes.

     (c) The department may certify to the county an amount that is greater than the estimated twelve (12) month incremental income tax collection if the department, after reviewing the recommendation of the budget agency, determines that there will be a greater amount of incremental income tax available for distribution from the fund.

     (d) The department may certify an amount less than the estimated twelve (12) month incremental income tax collection if the department, after reviewing the recommendation of the budget agency, determines that a part of those collections need to be distributed during the current calendar year so that the county will receive its full certified amount for the current calendar year.

     (e) The state comptroller shall disburse the certified amount to the commission in equal semiannual installments on May 31 and November 30 of each year.

     (f) Money in the fund may be pledged by the commission to the following purposes:

(1) To pay debt service on the bonds issued under section 14 of this chapter.

(2) To pay lease rentals under section 14 of this chapter.

(3) To establish and maintain a debt service reserve established by the commission or by a lessor that provides local public improvements to the commission.

     (g) When money in the fund is sufficient when combined with other sources of payment to pay all outstanding principal and interest or lease rentals to the date on which the obligations can be redeemed on obligations of the commission for a local public improvement in the county, no additional incremental income tax for that project shall be deposited in the fund and covered local income taxes shall be distributed as provided in IC 6-3.6-9.

As added by P.L.27-1992, SEC.28. Amended by P.L.261-2013, SEC.44; P.L.197-2016, SEC.131; P.L.85-2017, SEC.124; P.L.9-2024, SEC.550.

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