§ 6-1.1-18.5-16 — Civil taxing unit appeal to department of local government finance for relief from levy limits related to revenue shortfall related to erroneous assessed valuation

Indiana § 6-1.1-18.5-16

• Jurisdiction: Indiana
• Art. 1.1: PROPERTY TAXES
• Ch. 18.5: Civil Government Property Tax Controls

Text

(a) A civil taxing unit may request
permission from the department to impose an ad valorem property tax
levy that exceeds the limits imposed by section 3 of this chapter if:
(1) the civil taxing unit experienced a property tax revenue
shortfall that resulted from erroneous assessed valuation figures
being provided to the civil taxing unit;
(2) the erroneous assessed valuation figures were used by the civil
taxing unit in determining its total property tax rate; and
(3) the error in the assessed valuation figures was found after the
civil taxing unit's property tax levy resulting from that total rate
was finally approved by the department of local government
finance.
However, a civil taxing unit may not make a request described in this
subsection on account of a revenue shortfall experienced in excess of
five (5) years from the date of the most recent certified budget, tax rate,
and levy of the civil taxing unit under IC 6-1.1-17-16.
(b) A civil taxing unit may request permission from the department
to impose an ad valorem property tax levy that exceeds the limits
imposed by section 3 or 25 of this chapter, as applicable, if the civil
taxing unit experienced a property tax revenue shortfall because of the
payment of refunds that resulted from appeals under this article and IC 6-1.5. However, a civil taxing unit may not make a request described
in this subsection on account of a revenue shortfall experienced in
excess of five (5) years from the date of the most recent certified
budget, tax rate, and levy of the civil taxing unit under IC 6-1.1-17-16.
(c) If the department determines that a shortfall described in
subsection (a) or (b) has occurred, the department of local government
finance may find that the civil taxing unit should be allowed to impose
a property tax levy exceeding the limit imposed by section 3 or 25 of
this chapter, as applicable. However, the maximum amount by which
the civil taxing unit's levy may be increased over the limits imposed by
section 3 or 25 of this chapter, as applicable, equals the remainder of
the civil taxing unit's property tax levy for the particular calendar year
as finally approved by the department of local government finance
minus the actual property tax levy collected by the civil taxing unit for
that particular calendar year.
(d) Any property taxes collected by a civil taxing unit over the limits
imposed by section 3 or 25 of this chapter, as applicable, under the
authority of this section may not be treated as a part of the civil taxing
unit's maximum permissible ad valorem property tax levy for purposes
of determining its maximum permissible ad valorem property tax levy
for future years.
(e) If the department of local government finance authorizes an
excess tax levy under this section, it shall take appropriate steps to
insure that the proceeds are first used to repay any loan made to the
civil taxing unit for the purpose of meeting its current expenses.

Legislative History

As added by P.L.73-1983, SEC.1. Amended by P.L.90-2002, SEC.171; P.L.1-2004, SEC.23 and P.L.23-2004, SEC.25; P.L.224-2007, SEC.30; P.L.146-2008, SEC.184; P.L.182-2009(ss), SEC.136; P.L.257-2019, SEC.53; P.L.159-2020, SEC.38.