§ 6-1.1-21.8-6 — "Delinquent tax"; loan proceeds and delinquent tax payments; calculation of levy excess; expenditure of loan receipts

Indiana § 6-1.1-21.8-6

• Jurisdiction: Indiana
• Art. 1.1: PROPERTY TAXES
• Ch. 21.8: Rainy Day Fund Loans to Qualified Taxing Units

Text

(a) As used in this section, "delinquent tax"
means any tax:
(1) owed by a taxpayer in a bankruptcy proceeding initially filed
in 2001; and
(2) not paid during the calendar year in which it was first due and
payable.
(b) Except as provided in subsection (d), the proceeds of a loan
received by the qualified taxing unit under this chapter are not
considered to be part of the ad valorem property tax levy actually
collected by the qualified taxing unit for taxes first due and payable
during a particular calendar year for the purpose of calculating the levy
excess under IC 6-1.1-18.5-17 and IC 20-44-3. The receipt by a
qualified taxing unit of any payment of delinquent tax owed by a
taxpayer in bankruptcy is considered to be part of the ad valorem
property tax levy actually collected by the qualified taxing unit for
taxes first due and payable during a particular calendar year for the
purpose of calculating the levy excess under IC 6-1.1-18.5-17 and IC 20-44-3.
(c) The proceeds of a loan made under this chapter must first be
used to retire any outstanding loans made by the department of
commerce (including any loans made by the department of commerce
that are transferred to the Indiana economic development corporation)
to cover a qualified taxing unit's revenue shortfall resulting from the
taxpayer's default on property tax payments. Any remaining proceeds
of a loan made under this chapter and any payment of delinquent taxes
by the taxpayer may be expended by the qualified taxing unit only to
pay obligations of the qualified taxing unit that have been incurred
under appropriations for operating expenses made by the qualified
taxing unit and approved by the department of local government
finance.
(d) If the sum of the receipts of a qualified taxing unit that are
attributable to:
(1) the loan proceeds; and
(2) the payment of property taxes owed by a taxpayer in a
bankruptcy proceeding and payable in November 2001, May
2002, or November 2002;
exceeds the sum of the taxpayer's property tax liability attributable to
the qualified taxing unit for property taxes payable in November 2001,
May 2002, and November 2002, the excess as received during any
calendar year or years shall be set aside and treated for the calendar
year when received as a levy excess subject to IC 6-1.1-18.5-17 or IC 20-44-3. In calculating the payment of property taxes as referred to in
subdivision (2), the amount of property tax credit finally allowed under
IC 6-1.1-21-5 (before its repeal) in respect to those taxes is considered
to be a payment of those property taxes.

Legislative History

As added by P.L.157-2002, SEC.1. Amended by P.L.4-2005, SEC.42; P.L.2-2006, SEC.64; P.L.146-2008, SEC.246.