§ 6-1.1-17-0.5 — Exclusion by county auditor of certain assessed value on tax duplicate; county auditor reduction of assessed value used to set tax rates; limitation on reduction; reduction may not be offered as evidence in appeal

Indiana § 6-1.1-17-0.5

• Jurisdiction: Indiana
• Art. 1.1: PROPERTY TAXES
• Ch. 17: Procedures for Fixing and Reviewing Budgets, Tax

Text

5. (a) For purposes of this section, "net
assessed value" means assessed value after the application of
deductions, exemptions, and abatements.
(b) The county auditor may exclude and keep separate on the tax
duplicate for taxes payable in a calendar year the net assessed value of
tangible property that meets the following conditions:
(1) The net assessed value of the property is at least nine percent
(9%) of the net assessed value of all tangible property subject to
taxation by a taxing district.
(2) The property is or has been part of a bankruptcy estate that is
subject to protection under the federal bankruptcy code.
(3) The owner of the property has discontinued all business
operations on the property.
(4) There is a high probability that the taxpayer will not pay
property taxes due on the property in the following year.
(c) This section does not limit, restrict, or reduce in any way the
property tax liability on the property.
(d) For each taxing district located in the county, the county auditor
may reduce for a calendar year the taxing district's net assessed value
that is certified to the department of local government finance under
section 1 of this chapter and used to set tax rates for the taxing district
for taxes first due and payable in the immediately succeeding calendar
year. The county auditor may reduce a taxing district's net assessed
value under this subsection only to enable the taxing district to absorb
the effects of reduced property tax collections in the immediately
succeeding calendar year that are expected to result from any or a
combination of the following:
(1) Successful appeals of the assessed value of property located
in the taxing district.
(2) Deductions under IC 6-1.1-12-37 and IC 6-1.1-12-37.5 that
result from the granting of applications for the standard deduction
for the calendar year under IC 6-1.1-12-37 or IC 6-1.1-12-44 after
the county auditor certifies net assessed value as described in this
section.
(3) Deductions that result from the granting of applications for
deductions for the calendar year under IC 6-1.1-12-44 after the
county auditor certifies net assessed value as described in this
section.
(4) Reassessments of real property under IC 6-1.1-4-11.5.
Not later than July 31 of each year, the county auditor shall send a
certified statement, under the seal of the board of county
commissioners, to the fiscal officer of each political subdivision of the
county and to the department of local government finance. The
certified statement must list any adjustments to the amount of the
reduction under this subsection and the information submitted under
section 1 of this chapter that are necessary. The county auditor shall
keep separately on the tax duplicate the amount of any reductions made
under this subsection. The maximum amount of the reduction
authorized under this subsection is determined under subsection (e).
(e) The amount of the reduction in a taxing district's net assessed
value for a calendar year under subsection (d) may not exceed two
percent (2%) of the net assessed value of tangible property subject to
assessment in the taxing district in that calendar year.
(f) The amount of a reduction under subsection (d) may not be
offered in a proceeding before the:
(1) county property tax assessment board of appeals;
(2) Indiana board; or
(3) Indiana tax court;
as evidence that a particular parcel has been improperly assessed.

Legislative History

As added by P.L.291-2001, SEC.206. Amended by P.L.154-2006, SEC.41; P.L.144-2008, SEC.39; P.L.90-2009, SEC.2; P.L.182-2009(ss), SEC.113; P.L.137-2012, SEC.20; P.L.184-2016, SEC.3.