Reciprocity agreements between local governmental entities
Sec. 17. (a) The county council of any adopting county may adopt
an ordinance to enter into reciprocity agreements with the taxing
authority of any city, town, municipality, county, or other similar
local government entity of any other state. Such a reciprocity
agreement must provide that the income of resident county taxpayers
is exempt from income taxation by the other local governmental
entity to the extent that income of the residents of the other local
governmental entity is exempt from the county adjusted gross income
tax in the adopting county.
(b) A reciprocity agreement entered into under subsection (a) may
not become effective until it is also made effective in the other local
governmental entity that is a party to the agreement.
(c) The form and effective date of any reciprocity agreement
described in this section must be approved by the department.
As added by P.L.73-1983, SEC.2.
Last modified: May 28, 2006