Version b
Replacement credits; determination limited; multiple county
taxing units; effect upon budget, property tax rates, and school
funds
Note: This version of section effective 1-1-2006. See also
preceding version of this section, effective until 1-1-2006.
Sec. 14. (a) In determining the amount of property tax
replacement credits civil taxing units and school corporations of a
county are entitled to receive during a calendar year, the department
of local government finance shall consider only property taxes
imposed on tangible property that was assessed in that county.
(b) If a civil taxing unit or a school corporation is located in more
than one (1) county and receives property tax replacement credits
from one (1) or more of the counties, then the property tax
replacement credits received from each county shall be used only to
reduce the property tax rates that are imposed within the county that
distributed the property tax replacement credits.
(c) A civil taxing unit shall treat any property tax replacement
credits that it receives or is to receive during a particular calendar
year as a part of its property tax levy for that same calendar year for
purposes of fixing its budget and for purposes of the property tax
levy limits imposed by IC 6-1.1-18.5.
(d) Subject to subsection (e), if a civil taxing unit or school
corporation of an adopting county does not impose a property tax
levy that is first due and payable in a calendar year in which property
tax replacement credits are being distributed, the civil taxing unit or
school corporation is entitled to use the property tax replacement
credits distributed to the civil taxing unit or school corporation for
any purpose for which a property tax levy could be used.
(e) A school corporation shall treat any property tax replacement
credits that the school corporation receives or is to receive during a
particular calendar year as a part of its property tax levy for its
general fund, debt service fund, capital projects fund, transportation
fund, school bus replacement fund, and special education preschool
fund in proportion to the levy for each of these funds for that same
calendar year for purposes of fixing its budget and for purposes of
the property tax levy limits imposed by IC 6-1.1-19. A school
corporation shall allocate the property tax replacement credits
described in this subsection to all six (6) funds in proportion to the
levy for each fund.
As added by P.L.73-1983, SEC.2. Amended by P.L.25-1995, SEC.56;
P.L.90-2002, SEC.295; P.L.207-2005, SEC.4.
Last modified: May 28, 2006