Imposition of tax; amount; notice to department of state revenue;
effective dates
Sec. 7. (a) The city-county council of a county that contains a
consolidated city may adopt an ordinance to impose an excise tax,
known as the county supplemental auto rental excise tax, upon the
rental of passenger motor vehicles and trucks in the county for
periods of less than thirty (30) days. The ordinance must specify that
the tax expires December 31, 2027.
(b) Except as provided in subsection (c), the county supplemental
auto rental excise tax that may be imposed upon the rental of a
passenger motor vehicle or truck equals two percent (2%) of the
gross retail income received by the retail merchant for the rental.
(c) On or before June 30, 2005, the city-county council may, by
ordinance adopted by a majority of the members elected to the
city-county council, increase the tax imposed under subsection (a)
from two percent (2%) to four percent (4%). The ordinance must
specify that:
(1) if on December 31, 2027, there are obligations owed by the
capital improvement board of managers to the Indiana stadium
and convention building authority or any state agency under
IC 5-1-17-26, the original two percent (2%) rate imposed under
subsection (a) continues to be levied after its original expiration
date set forth in subsection (a) and through December 31, 2040;
and
(2) the additional rate authorized under this subsection expires
on:
(A) January 1, 2041;
(B) January 1, 2010, if on that date there are no obligations
owed by the capital improvement board of managers to the
Indiana stadium and convention building authority or to any
state agency under IC 5-1-17-26; or
(C) October 1, 2005, if on that date there are no obligations
owed by the capital improvement board of managers to the
Indiana stadium and convention building authority or to any
state agency under a lease or a sublease of an existing capital
improvement entered into under IC 5-1-17, unless waived by
the budget director.
(d) The amount collected from that portion of county
supplemental auto rental excise tax imposed under:
(1) subsection (b) and collected after December 31, 2027; and
(2) under subsection (c);
shall, in the manner provided by section 11 of this chapter, be
distributed to the capital improvement board of managers operating
in a consolidated city or its designee. So long as there are any current
or future obligations owed by the capital improvement board of
managers to the Indiana stadium and convention building authority
created by IC 5-1-17 or any state agency pursuant to a lease or other
agreement entered into between the capital improvement board of
managers and the Indiana stadium and convention building authority
or any state agency under IC 5-1-17-26, the capital improvement
board of managers or its designee shall deposit the revenues received
under this subsection in a special fund, which may be used only for
the payment of the obligations described in this subsection.
(e) If a city-county council adopts an ordinance under subsection
(a) or (c), the city-county council shall immediately send a certified
copy of the ordinance to the commissioner of the department of state
revenue.
(f) If a city-county council adopts an ordinance under subsection
(a) or (c) prior to June 1, the county supplemental auto rental excise
tax applies to auto rentals after June 30 of the year in which the
ordinance is adopted. If the city-county council adopts an ordinance
under subsection (a) or (c) on or after June 1, the county
supplemental auto rental excise tax applies to auto rentals after the
last day of the month in which the ordinance is adopted.
As added by P.L.256-1997(ss), SEC.1. Amended by P.L.214-2005,
SEC.23.
Last modified: May 28, 2006