Indiana Code - Taxation - Title 6, Section 6-1.1-12-28.5

Resource recovery system; prerequisites for deduction; definitions

Sec. 28.5. (a) For purposes of this section:

"Hazardous waste" has the meaning set forth in IC 13-11-2-99(a)
and includes a waste determined to be a hazardous waste under
IC 13-22-2-3(b).

"Resource recovery system" means tangible property directly used
to dispose of solid waste or hazardous waste by converting it into
energy or other useful products.

"Solid waste" has the meaning set forth in IC 13-11-2-205(a) but
does not include dead animals or any animal solid or semisolid
wastes.
(b) Except as provided in this section, the owner of a resource
recovery system is entitled to an annual deduction in an amount
equal to ninety-five percent (95%) of the assessed value of the
system if:
(1) the system was certified by the department of environmental
management for the 1993 assessment year or a prior assessment
year; and
(2) the owner filed a timely application for the deduction for the
1993 assessment year.

For purposes of this section, a system includes tangible property that
replaced tangible property in the system after the certification by the
department of environmental management.
(c) The owner of a resource recovery system that is directly used
to dispose of hazardous waste is not entitled to the deduction
provided by this section for a particular assessment year if during
that assessment year the owner:
(1) is convicted of any violation under IC 13-7-13-3 (repealed),
IC 13-7-13-4 (repealed), or IC 13-30-6; or
(2) is subject to an order or a consent decree with respect to
property located in Indiana based upon a violation of a federal
or state rule, regulation, or statute governing the treatment,
storage, or disposal of hazardous wastes that had a major or
moderate potential for harm.
(d) The certification of a resource recovery system by the
department of environmental management for the 1993 assessment
year or a prior assessment year is valid through the 1997 assessment
year so long as the property is used as a resource recovery system. If
the property is no longer used for the purpose for which the property

was used when the property was certified, the owner of the property
shall notify the county auditor. However, the deduction from the
assessed value of the system is:
(1) ninety-five percent (95%) for the 1994 assessment year;
(2) ninety percent (90%) for the 1995 assessment year;
(3) seventy-five percent (75%) for the 1996 assessment year;
and
(4) sixty percent (60%) for the 1997 assessment year.
Notwithstanding this section as it existed before 1995, for the 1994
assessment year, the portion of any tangible property comprising a
resource recovery system that was assessed and first deducted for the
1994 assessment year may not be deducted for property taxes first
due and payable in 1995 or later.
(e) In order to qualify for a deduction under this section, the
person who desires to claim the deduction must file an application
with the county auditor after February 28 and before May 16 of the
current assessment year. An application must be filed in each year
for which the person desires to obtain the deduction. The application
may be filed in person or by mail. If mailed, the mailing must be
postmarked on or before the last day for filing. If the application is
not filed before the applicable deadline under this subsection, the
deduction is waived. The application must be filed on a form
prescribed by the department of local government finance. The
application for a resource recovery system deduction must include:
(1) a certification by the department of environmental
management for the 1993 assessment year or a prior assessment
year as described in subsection (d); or
(2) the certification by the department of environmental
management for the 1993 assessment year as described in
subsection (g).

Beginning with the 1995 assessment year a person must also file an
itemized list of all property on which a deduction is claimed. The list
must include the date of purchase of the property and the cost to
acquire the property.
(f) Before July 1, 1995, the department of environmental
management shall transfer all the applications, records, or other
material the department has with respect to resource recovery system
deductions under this section for the 1993 and 1994 assessment
years. The township assessor shall verify each deduction application
filed under this section and the county auditor shall determine the
deduction. The county auditor shall send to the department of local
government finance a copy of each deduction application. The
county auditor shall notify the county property tax assessment board
of appeals of all deductions allowed under this section. A denial of
a deduction claimed under this subsection may be appealed as
provided in IC 6-1.1-15. The appeal is limited to a review of a
determination made by the township assessor or the county auditor.
(g) Notwithstanding subsection (d), the certification for the 1993
assessment year of a resource recovery system in regard to which a
political subdivision is liable for the payment of the property taxes

remains valid at the ninety-five percent (95%) deduction level
allowed before 1994 as long as the political subdivision remains
liable for the payment of the property taxes on the system.

As added by Acts 1979, P.L.52, SEC.2. Amended by P.L.61-1985,
SEC.1; P.L.19-1986, SEC.6; P.L.25-1995, SEC.15; P.L.1-1996,
SEC.38; P.L.6-1997, SEC.55; P.L.198-2001, SEC.34.

Last modified: May 28, 2006