Indiana § 6-1.1-18.5-2 Assessed value growth quotient

Indiana Statutes

§ 6-1.1-18.5-2 — Assessed value growth quotient

Indiana § 6-1.1-18.5-2

Art. 1.1PROPERTY TAXES

Ch. 18.5Civil Government Property Tax Controls

This text of Indiana § 6-1.1-18.5-2 (Assessed value growth quotient) is published on Counsel Stack Legal Research, covering Indiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ind. Code § 6-1.1-18.5-2 (2026).

Text

(a)As used in this section, "Indiana nonfarm personal income" means the estimate of total nonfarm personal income for Indiana in a calendar year as computed by the federal Bureau of Economic Analysis using any actual data for the calendar year and any estimated data determined appropriate by the federal Bureau of Economic Analysis.

(b)Except as provided in subsections (c) and (e), for purposes of determining a civil taxing unit's maximum permissible ad valorem property tax levy for an ensuing calendar year, the civil taxing unit shall use the maximum levy growth quotient determined in the last STEP of the following STEPS: STEP ONE: For each of the six (6) calendar years immediately preceding the year in which a budget is adopted under IC 6-1.1-17-5 for the ensuing calendar year, divide t

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(a) As used in this section, "Indiana nonfarm
personal income" means the estimate of total nonfarm personal income
for Indiana in a calendar year as computed by the federal Bureau of
Economic Analysis using any actual data for the calendar year and any
estimated data determined appropriate by the federal Bureau of
Economic Analysis.
(b) Except as provided in subsections (c) and (e), for purposes of
determining a civil taxing unit's maximum permissible ad valorem
property tax levy for an ensuing calendar year, the civil taxing unit
shall use the maximum levy growth quotient determined in the last
STEP of the following STEPS:
STEP ONE: For each of the six (6) calendar years immediately
preceding the year in which a budget is adopted under IC 6-1.1-17-5 for the ensuing calendar year, divide the Indiana
nonfarm personal income for the calendar year by the Indiana
nonfarm personal income for the calendar year immediately
preceding that calendar year, rounding to the nearest
one-thousandth (0.001).
STEP TWO: Determine the sum of the STEP ONE results.
STEP THREE: Divide the STEP TWO result by six (6), rounding
to the nearest one-thousandth (0.001).
STEP FOUR: Determine the lesser of the following:
(A) The STEP THREE quotient.
(B) One and six-hundredths (1.06).
(c) Except as provided in subsection (f), a school corporation shall
use for its operations fund maximum levy calculation under IC 20-46-8-1 the maximum levy growth quotient determined in the last
STEP of the following STEPS:
STEP ONE: Determine for each school corporation, the average
annual growth in net assessed value using the three (3) calendar
years immediately preceding the year in which a budget is
adopted under IC 6-1.1-17-5 for the ensuing calendar year.
STEP TWO: Determine the greater of:
(A) zero (0); or
(B) the STEP ONE amount minus the sum of:
(i) the maximum levy growth quotient determined under
subsection (b) minus one (1); plus
(ii) two-hundredths (0.02).
STEP THREE: Determine the lesser of:
(A) the STEP TWO amount; or
(B) four-hundredths (0.04).
STEP FOUR: Determine the sum of:
(A) the STEP THREE amount; plus
(B) the maximum levy growth quotient determined under
subsection (b).
STEP FIVE: Determine the greater of:
(A) the STEP FOUR amount; or
(B) the maximum levy growth quotient determined under
subsection (b).
(d) The budget agency shall provide the maximum levy growth
quotient for the ensuing year to civil taxing units, school corporations,
and the department of local government finance before July 1 of each
year.
(e) This subsection applies only for purposes of determining the
maximum levy growth quotient to be used in determining a civil taxing
unit's maximum permissible ad valorem property tax levy in calendar
years 2024, 2025, and 2026. For purposes of determining the maximum
levy growth quotient in calendar years 2024, 2025, and 2026, instead
of the result determined in the last STEP in subsection (b), the
maximum levy growth quotient is determined in the last STEP of the
following STEPS:
STEP ONE: Determine the result of STEP FOUR of subsection
(b), calculated as if this subsection was not in effect.
STEP TWO: Subtract one (1) from the STEP ONE result.
STEP THREE: Multiply the STEP TWO result by eight-tenths
(0.8).
STEP FOUR: Add one (1) to the STEP THREE result.
STEP FIVE: Determine the lesser of:
(A) the STEP FOUR result; or
(B) one and four-hundredths (1.04).
(f) This subsection applies only for purposes of determining the
maximum levy growth quotient to be used in determining a school
corporation's operations fund maximum levy in calendar years 2024,
2025, and 2026. For purposes of determining the maximum levy
growth quotient in calendar years 2024, 2025, and 2026, instead of the
result determined in the last STEP in subsection (c), the maximum levy
growth quotient is determined in the last STEP of the following
STEPS:
STEP ONE: Determine the result of STEP FIVE of subsection (c),
calculated as if this subsection was not in effect.
STEP TWO: Subtract one (1) from the STEP ONE result.
STEP THREE: Multiply the STEP TWO result by eight-tenths
(0.8).
STEP FOUR: Add one (1) to the STEP THREE result.
STEP FIVE: Determine the lesser of:
(A) the STEP FOUR result; or
(B) one and four-hundredths (1.04).

Legislative History

As added by P.L.73-1983, SEC.1. Amended by P.L.44-1984, SEC.1; P.L.198-2001, SEC.52; P.L.192-2002(ss), SEC.35; P.L.224-2007, SEC.19; P.L.1-2008, SEC.3; P.L.230-2013, SEC.2; P.L.184-2016, SEC.14; P.L.238-2019, SEC.8; P.L.159-2020, SEC.31; P.L.239-2023, SEC.5; P.L.68-2025, SEC.59.