§ 36-7-27-13 — Incremental income tax financing fund; collection of tax; disbursement and pledge of fund; sufficiency to meet obligations; district business information

Indiana § 36-7-27-13

• Jurisdiction: Indiana
• Title 36: LOCAL GOVERNMENT
• Art. 7: PLANNING AND DEVELOPMENT
• Ch. 27: Economic Development Tax Area

Text

(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.
(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.

Legislative History

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.