Indiana § 6-1.1-40-10 Deduction for manufacturing equipment

Indiana Statutes

§ 6-1.1-40-10 — Deduction for manufacturing equipment

Indiana § 6-1.1-40-10

Art. 1.1PROPERTY TAXES

Ch. 40Maritime Opportunity Districts

This text of Indiana § 6-1.1-40-10 (Deduction for manufacturing equipment) 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 § 6-1.1-40-10 (2026).

Text

(a)The deduction under this section applies only to new manufacturing equipment installed before July 1, 2018.

(b)Subject to subsection (e), an owner of new manufacturing equipment whose statement of benefits is approved is entitled to a deduction from the assessed value of that equipment for a period of ten

(10)years. Except as provided in subsections (c) and (d), and subject to subsection (e) and section 14 of this chapter, for the first five (5) years, the amount of the deduction for new manufacturing equipment that an owner is entitled to for a particular year equals the assessed value of the new manufacturing equipment. Subject to subsection (e) and section 14 of this chapter, for the sixth through the tenth year, the amount of the deduction equals the product of:

(1)the assessed

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(a) The deduction under this section applies
only to new manufacturing equipment installed before July 1, 2018.
(b) Subject to subsection (e), an owner of new manufacturing
equipment whose statement of benefits is approved is entitled to a
deduction from the assessed value of that equipment for a period of ten
(10) years. Except as provided in subsections (c) and (d), and subject
to subsection (e) and section 14 of this chapter, for the first five (5)
years, the amount of the deduction for new manufacturing equipment
that an owner is entitled to for a particular year equals the assessed
value of the new manufacturing equipment. Subject to subsection (e)
and section 14 of this chapter, for the sixth through the tenth year, the
amount of the deduction equals the product of:
(1) the assessed value of the new manufacturing equipment;
multiplied by
(2) the percentage prescribed in the following table:
YEAR OF DEDUCTION PERCENTAGE
6th 100%
7th 95%
8th 80%
9th 65%
10th 50%
11th and thereafter 0%
(c) A deduction under this section is not allowed in the first year the
deduction is claimed for new manufacturing equipment to the extent
that it would cause the assessed value of all of the personal property of
the owner in the taxing district in which the equipment is located to be
less than the assessed value of all of the personal property of the owner
in that taxing district in the immediately preceding year.
(d) If a deduction is not fully allowed under subsection (c) in the
first year the deduction is claimed, then the percentages specified in
subsection (b) apply in the subsequent years to the amount of deduction
that was allowed in the first year.
(e) For purposes of subsection (b), the assessed value of new
manufacturing equipment that is part of an owner's assessable
depreciable personal property in a single taxing district subject to the
valuation limitation in IC 6-1.1-3-29 or IC 6-1.1-8-45 is the product of:
(1) the assessed value of the equipment (excluding equipment
installed after June 30, 2018) determined without regard to the
valuation limitation in IC 6-1.1-3-29 or IC 6-1.1-8-45; multiplied
by
(2) the quotient of:
(A) the amount of the valuation limitation determined under
IC 6-1.1-3-29 or IC 6-1.1-8-45 for all of the owner's
depreciable personal property in the taxing district; divided by
(B) the total true tax value of all of the owner's depreciable
personal property in the taxing district that is subject to the
valuation limitation in IC 6-1.1-3-29 or IC 6-1.1-8-45
determined:
(i) under the depreciation schedules in the rules of the
department of local government finance before any
adjustment for abnormal obsolescence; and
(ii) without regard to the valuation limitation in IC 6-1.1-3-29 or IC 6-1.1-8-45.

Legislative History

As added by P.L.62-1988, SEC.1. Amended by P.L.154-2006, SEC.59; P.L.219-2007, SEC.84; P.L.146-2008, SEC.300; P.L.212-2018(ss), SEC.16; P.L.68-2025, SEC.82.