Distribution to municipality
Sec. 18. (a) Revenue derived from the imposition of a municipal
option income tax shall, in the manner prescribed by this section, be
distributed to the municipality that imposed the tax. The amount that
is to be distributed to a municipality during an ensuing calendar year
equals the amount of municipal option income tax revenue that the
department, after reviewing the recommendation of the budget
agency, estimates will be received from that municipality during the
twelve (12) month period beginning July 1 of the immediately
preceding calendar year and ending June 30 of the ensuing calendar
year.
(b) Before June 16 of each calendar year, the department, after
reviewing the recommendation of the budget agency, shall estimate
and certify to each adopting municipality and to the county auditor
of the qualifying county the amount of municipal option income tax
revenue that will be collected from that municipality during the
twelve (12) month period beginning July 1 of that calendar year and
ending June 30 of the immediately succeeding calendar year. The
amount certified is the municipality's "certified distribution" for the
immediately succeeding calendar year. The amount certified may be
adjusted under subsection (c) or (d).
(c) The department may certify to an adopting municipality an
amount that is greater than the estimated twelve (12) month revenue
collection if the department, after reviewing the recommendation of
the budget agency, determines that there will be a greater amount of
revenue available for distribution from the municipality's account
established under section 19 of this chapter.
(d) The department may certify an amount less than the estimated
twelve (12) month revenue collection if the department, after
reviewing the recommendation of the budget agency, determines that
a part of those collections needs to be distributed during the current
calendar year so that the municipality will receive its full certified
distribution for the current calendar year.
(e) One-twelfth (1/12) of each adopting municipality's certified
distribution for a calendar year shall be distributed from its account
established under section 19 of this chapter to the appropriate
municipality on the first day of each month of that calendar year.
(f) All distributions from an account established under section 19
of this chapter shall be made by warrants issued by the auditor of
state to the treasurer of state ordering the appropriate payments.
As added by P.L.151-2001, SEC.6.
Last modified: May 28, 2006