Indiana Senate Bill SB0418 Enrolled / Bill

                    Second Regular Technical Session of the 122nd General Assembly (2022)(ts)
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between statutes enacted by the 2022 Regular Session of the General Assembly.
SENATE ENROLLED ACT No. 418(ts)
AN ACT to amend the Indiana Code concerning general provisions.
Be it enacted by the General Assembly of the State of Indiana:
SECTION 1. IC 4-10-18-10, AS AMENDED BY P.L.104-2022,
SECTION 7, AND AS AMENDED BY P.L.114-2022, SECTION 5, IS
CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 10. (a) The state board of finance
may lend money from the fund to entities listed in subsections (e)
through (k) for the purposes specified in those subsections.
(b) An entity must apply for the loan before May 1, 1989, in a form
approved by the state board of finance. As part of the application, the
entity shall submit a plan for its use of the loan proceeds and for the
repayment of the loan. Within sixty (60) days after receipt of each
application, the board shall meet to consider the application and to
review its accuracy and completeness and to determine the need for the
loan. The board shall authorize a loan to an entity that makes an
application if the board approves its accuracy and completeness and
determines that there is a need for the loan and an adequate method of
repayment.
(c) The state board of finance shall determine the terms of each
loan, which must include the following:
(1) The duration of the loan, which must not exceed twelve (12)
years.
(2) The repayment schedule of the loan, which must provide that
SEA 418(ts) 2
no payments are due during the first two (2) years of the loan.
(3) A variable rate of interest to be determined by the board and
adjusted annually. The interest rate must be the greater of:
(A) five percent (5%); or
(B) two-thirds (2/3) of the interest rate for fifty-two (52) week
United States Treasury bills on the anniversary date of the
loan, but not to exceed ten percent (10%).
(4) The amount of the loan or loans, which may not exceed the
maximum amounts established for the entity by this section.
(5) Any other conditions specified by the board.
(d) An entity may borrow money under this section by adoption of
an ordinance or a resolution and, as set forth in IC 5-1-14, may use any
source of revenue to repay a loan under this section. This section
constitutes complete authority for the entity to borrow from the fund.
If an entity described in subsection (i) fails to make any repayments of
a loan, the amount payable shall be withheld by the auditor of state
from any other money payable to the consolidated city. If any other
entity described in this section fails to make any repayments of a loan,
the amount payable shall be withheld by the auditor of state from any
other money payable to the entity. The amount withheld shall be
transferred to the fund to the credit of the entity.
(e) A loan under this section may be made to a city located in a
county having a population of more than twenty-five thousand (25,000)
but less than twenty-five thousand eight hundred (25,800) twenty-six
thousand four hundred seventy (26,470) and less than twenty-seven
thousand (27,000) for the city's waterworks facility. The amount of the
loan may not exceed one million six hundred thousand dollars
($1,600,000).
(f) As used in this subsection, "corridor" means the strip of land in
Indiana abutting Lake Michigan and the tributaries of Lake Michigan.
A loan under this section may be made to a city the territory of which
is included in part within the Lake Michigan corridor (as defined in
IC 14-13-3-2, before its repeal) for a marina development project. As
a part of its application under subsection (b), the city must include the
following:
(1) Written approval by the Lake Michigan marina development
commission of the project to be funded by the loan proceeds.
(2) A written determination by the commission of the amount
needed by the city, for the project and of the amount of the
maximum loan amount under this subsection that should be lent
to the city.
The maximum amount of loans available for all cities that are eligible
SEA 418(ts) 3
for a loan under this subsection is eight million six hundred thousand
dollars ($8,600,000).
(g) A loan under this section may be made to a county having a
population of more than one hundred seventy-five thousand (175,000)
but less than one hundred eighty-five thousand (185,000) one hundred
eighty thousand (180,000) and less than one hundred eighty-five
thousand (185,000) for use by the airport authority in the county for the
construction of runways. The amount of the loan may not exceed seven
million dollars ($7,000,000). The county may lend the proceeds of its
loan to an airport authority for the public purpose of fostering
economic growth in the county.
(h) A loan under this section may be made to a city having a
population of more than sixty thousand (60,000) but less than sixty-five
thousand (65,000) fifty-eight thousand (58,000) and less than fifty-nine
thousand (59,000) for the construction of parking facilities. The
amount of the loan may not exceed three million dollars ($3,000,000).
(i) A loan or loans under this section may be made to a consolidated
city, a local public improvement bond bank, or any board, authority, or
commission of the consolidated city to fund economic development
projects under IC 36-7-15.2-5 or to refund obligations issued to fund
economic development projects. The amount of the loan may not
exceed thirty million dollars ($30,000,000).
(j) A loan under this section may be made to a county having a
population of more than thirteen thousand (13,000) but less than
fourteen thousand (14,000) twelve thousand five hundred (12,500) and
less than thirteen thousand (13,000) for extension of airport runways.
The amount of the loan may not exceed three hundred thousand dollars
($300,000).
(k) A loan under this section may be made to Covington Community
School Corporation to refund the amount due on a tax anticipation
warrant loan. The amount of the loan may not exceed two million seven
hundred thousand dollars ($2,700,000), to be paid back from any
source of money that is legally available to the school corporation.
Notwithstanding subsection (b), the school corporation must apply for
the loan before June 30, 2010. Notwithstanding subsection (c),
repayment of the loan shall be made in equal installments over five (5)
years with the first installment due not more than six (6) months after
the date loan proceeds are received by the school corporation.
(l) IC 6-1.1-20 does not apply to a loan made by an entity under this
section.
(m) As used in this section, "entity" means a governmental entity
authorized to obtain a loan under subsections (e) through (k).
SEA 418(ts) 4
SECTION 2. IC 4-33-13-5, AS AMENDED BY P.L.137-2022,
SECTION 7, AND AS AMENDED BY P.L.104-2022, SECTION 9, IS
CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE APRIL 1, 2022 (RETROACTIVE)]: Sec. 5. (a) This
subsection does not apply to tax revenue remitted by an operating agent
operating a riverboat in a historic hotel district. After funds are
appropriated under section 4 of this chapter, each month the auditor of
state shall distribute the tax revenue deposited in the state gaming fund
under this chapter to the following:
(1) An amount equal to the following shall be set aside for
revenue sharing under subsection (d):
(A) Before July 1, 2021, the first thirty-three million dollars
($33,000,000) of tax revenues collected under this chapter
shall be set aside for revenue sharing under subsection (d).
(B) After June 30, 2021, if the total adjusted gross receipts
received by licensees from gambling games authorized under
this article during the preceding state fiscal year is equal to or
greater than the total adjusted gross receipts received by
licensees from gambling games authorized under this article
during the state fiscal year ending June 30, 2020, the first
thirty-three million dollars ($33,000,000) of tax revenues
collected under this chapter shall be set aside for revenue
sharing under subsection (d).
(C) After June 30, 2021, if the total adjusted gross receipts
received by licensees from gambling games authorized under
this article during the preceding state fiscal year is less than
the total adjusted gross receipts received by licensees from
gambling games authorized under this article during the state
year ending June 30, 2020, an amount equal to the first
thirty-three million dollars ($33,000,000) of tax revenues
collected under this chapter multiplied by the result of:
(i) the total adjusted gross receipts received by licensees
from gambling games authorized under this article during
the preceding state fiscal year; divided by
(ii) the total adjusted gross receipts received by licensees
from gambling games authorized under this article during
the state fiscal year ending June 30, 2020;
shall be set aside for revenue sharing under subsection (d).
(2) Subject to subsection (c), twenty-five percent (25%) of the
remaining tax revenue remitted by each licensed owner shall be
paid:
(A) to the city in which the riverboat is located or that is
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designated as the home dock of the riverboat from which the
tax revenue was collected, in the case of:
(i) a city described in IC 4-33-12-6(b)(1)(A);
(ii) a city located in a county having a population of more
than four hundred thousand (400,000) and less than seven
hundred thousand (700,000); Lake County; or
(iii) Terre Haute; or
(B) to the county that is designated as the home dock of the
riverboat from which the tax revenue was collected, in the case
of a riverboat that is not located in a city described in clause
(A) or whose home dock is not in a city described in clause
(A).
(3) The remainder of the tax revenue remitted by each licensed
owner shall be paid to the state general fund. In each state fiscal
year, the auditor of state shall make the transfer required by this
subdivision not later than the last business day of the month in
which the tax revenue is remitted to the state on or before the
fifteenth day of the month based on revenue received during the
preceding month for deposit in the state gaming fund. However,
if tax revenue is received by the state on the last business day in
a month, Specifically, the auditor of state may transfer the tax
revenue received by the state in a month to the state general fund
in the immediately following month according to this subdivision.
(b) This subsection applies only to tax revenue remitted by an
operating agent operating a riverboat in a historic hotel district after
June 30, 2019. After funds are appropriated under section 4 of this
chapter, each month the auditor of state shall distribute the tax revenue
remitted by the operating agent under this chapter as follows:
(1) For state fiscal years beginning after June 30, 2019, but
ending before July 1, 2021, fifty-six and five-tenths percent
(56.5%) shall be paid to the state general fund.
(2) For state fiscal years beginning after June 30, 2021, fifty-six
and five-tenths percent (56.5%) shall be paid as follows:
(A) Sixty-six and four-tenths percent (66.4%) shall be paid to
the state general fund.
(B) Thirty-three and six-tenths percent (33.6%) shall be paid
to the West Baden Springs historic hotel preservation and
maintenance fund established by IC 36-7-11.5-11(b).
However, if:
(i) at any time the balance in that fund exceeds twenty-five
million dollars ($25,000,000); or
(ii) in any part of a state fiscal year in which the operating
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agent has received at least one hundred million dollars
($100,000,000) of adjusted gross receipts;
the amount described in this clause shall be paid to the state
general fund for the remainder of the state fiscal year.
(3) Forty-three and five-tenths percent (43.5%) shall be paid as
follows:
(A) Twenty-two and four-tenths percent (22.4%) shall be paid
as follows:
(i) Fifty percent (50%) to the fiscal officer of the town of
French Lick.
(ii) Fifty percent (50%) to the fiscal officer of the town of
West Baden Springs.
(B) Fourteen and eight-tenths percent (14.8%) shall be paid to
the county treasurer of Orange County for distribution among
the school corporations in the county. The governing bodies
for the school corporations in the county shall provide a
formula for the distribution of the money received under this
clause among the school corporations by joint resolution
adopted by the governing body of each of the school
corporations in the county. Money received by a school
corporation under this clause must be used to improve the
educational attainment of students enrolled in the school
corporation receiving the money. Not later than the first
regular meeting in the school year of a governing body of a
school corporation receiving a distribution under this clause,
the superintendent of the school corporation shall submit to
the governing body a report describing the purposes for which
the receipts under this clause were used and the improvements
in educational attainment realized through the use of the
money. The report is a public record.
(C) Thirteen and one-tenth percent (13.1%) shall be paid to the
county treasurer of Orange County.
(D) Five and three-tenths percent (5.3%) shall be distributed
quarterly to the county treasurer of Dubois County for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(E) Five and three-tenths percent (5.3%) shall be distributed
SEA 418(ts) 7
quarterly to the county treasurer of Crawford County for
appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body for the receiving county shall provide for the distribution
of the money received under this clause to one (1) or more
taxing units (as defined in IC 6-1.1-1-21) in the county under
a formula established by the county fiscal body after receiving
a recommendation from the county executive.
(F) Six and thirty-five hundredths percent (6.35%) shall be
paid to the fiscal officer of the town of Paoli.
(G) Six and thirty-five hundredths percent (6.35%) shall be
paid to the fiscal officer of the town of Orleans.
(H) Twenty-six and four-tenths percent (26.4%) shall be paid
to the Indiana economic development corporation established
by IC 5-28-3-1 for transfer as follows:
(i) Beginning after December 31, 2017, ten percent (10%)
of the amount transferred under this clause in each calendar
year shall be transferred to the South Central Indiana
Regional Economic Development Corporation or a
successor entity or partnership for economic development
for the purpose of recruiting new business to Orange County
as well as promoting the retention and expansion of existing
businesses in Orange County.
(ii) The remainder of the amount transferred under this
clause in each calendar year shall be transferred to Radius
Indiana or a successor regional entity or partnership for the
development and implementation of a regional economic
development strategy to assist the residents of Orange
County and the counties contiguous to Orange County in
improving their quality of life and to help promote
successful and sustainable communities.
To the extent possible, the Indiana economic development
corporation shall provide for the transfer under item (i) to be
made in four (4) equal installments. However, an amount
sufficient to meet current obligations to retire or refinance
indebtedness or leases for which tax revenues under this
section were pledged before January 1, 2015, by the Orange
County development commission shall be paid to the Orange
County development commission before making distributions
to the South Central Indiana Regional Economic Development
Corporation and Radius Indiana or their successor entities or
partnerships. The amount paid to the Orange County
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development commission shall proportionally reduce the
amount payable to the South Central Indiana Regional
Economic Development Corporation and Radius Indiana or
their successor entities or partnerships.
(c) This subsection does not apply to tax revenue remitted by an
inland casino operating in Vigo County. For each city and county
receiving money under subsection (a)(2), the auditor of state shall
determine the total amount of money paid by the auditor of state to the
city or county during the state fiscal year 2002. The amount determined
is the base year revenue for the city or county. The auditor of state shall
certify the base year revenue determined under this subsection to the
city or county. The total amount of money distributed to a city or
county under this section during a state fiscal year may not exceed the
entity's base year revenue. For each state fiscal year, the auditor of state
shall pay that part of the riverboat wagering taxes that:
(1) exceeds a particular city's or county's base year revenue; and
(2) would otherwise be due to the city or county under this
section;
to the state general fund instead of to the city or county.
(d) Except as provided in subsections (k) and (l), before August 15
of each year, the auditor of state shall distribute the wagering taxes set
aside for revenue sharing under subsection (a)(1) to the county
treasurer of each county that does not have a riverboat according to the
ratio that the county's population bears to the total population of the
counties that do not have a riverboat. Except as provided in subsection
(g), the county auditor shall distribute the money received by the
county under this subsection as follows:
(1) To each city located in the county according to the ratio the
city's population bears to the total population of the county.
(2) To each town located in the county according to the ratio the
town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be retained by the county.
(e) Money received by a city, town, or county under subsection (d)
or (g) may be used for any of the following purposes:
(1) To reduce the property tax levy of the city, town, or county for
a particular year (a property tax reduction under this subdivision
does not reduce the maximum levy of the city, town, or county
under IC 6-1.1-18.5).
(2) For deposit in a special fund or allocation fund created under
IC 8-22-3.5, IC 36-7-14, IC 36-7-14.5, IC 36-7-15.1, and
IC 36-7-30 to provide funding for debt repayment.
SEA 418(ts) 9
(3) To fund sewer and water projects, including storm water
management projects.
(4) For police and fire pensions.
(5) To carry out any governmental purpose for which the money
is appropriated by the fiscal body of the city, town, or county.
Money used under this subdivision does not reduce the property
tax levy of the city, town, or county for a particular year or reduce
the maximum levy of the city, town, or county under
IC 6-1.1-18.5.
(f) This subsection does not apply to an inland casino operating in
Vigo County. Before July 15 of each year, the auditor of state shall
determine the total amount of money distributed to an entity under
IC 4-33-12-6 or IC 4-33-12-8 during the preceding state fiscal year. If
the auditor of state determines that the total amount of money
distributed to an entity under IC 4-33-12-6 or IC 4-33-12-8 during the
preceding state fiscal year was less than the entity's base year revenue
(as determined under IC 4-33-12-9), the auditor of state shall make a
supplemental distribution to the entity from taxes collected under this
chapter and deposited into the state general fund. Except as provided
in subsection (h), the amount of an entity's supplemental distribution
is equal to:
(1) the entity's base year revenue (as determined under
IC 4-33-12-9); minus
(2) the sum of:
(A) the total amount of money distributed to the entity and
constructively received by the entity during the preceding state
fiscal year under IC 4-33-12-6 or IC 4-33-12-8; plus
(B) the amount of any admissions taxes deducted under
IC 6-3.1-20-7.
(g) This subsection applies only to a county containing a
consolidated city. Marion County. The county auditor shall distribute
the money received by the county under subsection (d) as follows:
(1) To each city, other than a the consolidated city, located in the
county according to the ratio that the city's population bears to the
total population of the county.
(2) To each town located in the county according to the ratio that
the town's population bears to the total population of the county.
(3) After the distributions required in subdivisions (1) and (2) are
made, the remainder shall be paid in equal amounts to the
consolidated city and the county.
(h) This subsection does not apply to an inland casino operating in
Vigo County. This subsection applies to a supplemental distribution
SEA 418(ts) 10
made after June 30, 2017. The maximum amount of money that may be
distributed under subsection (f) in a state fiscal year is equal to the
following:
(1) Before July 1, 2021, forty-eight million dollars ($48,000,000).
(2) After June 30, 2021, if the total adjusted gross receipts
received by licensees from gambling games authorized under this
article during the preceding state fiscal year is equal to or greater
than the total adjusted gross receipts received by licensees from
gambling games authorized under this article during the state
fiscal year ending June 30, 2020, the maximum amount is
forty-eight million dollars ($48,000,000).
(3) After June 30, 2021, if the total adjusted gross receipts
received by licensees from gambling games authorized under this
article during the preceding state fiscal year is less than the total
adjusted gross receipts received by licensees from gambling
games authorized under this article during the state fiscal year
ending June 30, 2020, the maximum amount is equal to the result
of:
(A) forty-eight million dollars ($48,000,000); multiplied by
(B) the result of:
(i) the total adjusted gross receipts received by licensees
from gambling games authorized under this article during
the preceding state fiscal year; divided by
(ii) the total adjusted gross receipts received by licensees
from gambling games authorized under this article during
the state fiscal year ending June 30, 2020.
If the total amount determined under subsection (f) exceeds the
maximum amount determined under this subsection, the amount
distributed to an entity under subsection (f) must be reduced according
to the ratio that the amount distributed to the entity under IC 4-33-12-6
or IC 4-33-12-8 bears to the total amount distributed under
IC 4-33-12-6 and IC 4-33-12-8 to all entities receiving a supplemental
distribution.
(i) This subsection applies to a supplemental distribution, if any,
payable to Lake County, Hammond, Gary, or East Chicago under
subsections (f) and (h). Beginning in July 2016, the auditor of state
shall, after making any deductions from the supplemental distribution
required by IC 6-3.1-20-7, deduct from the remainder of the
supplemental distribution otherwise payable to the unit under this
section the lesser of:
(1) the remaining amount of the supplemental distribution; or
(2) the difference, if any, between:
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(A) three million five hundred thousand dollars ($3,500,000);
minus
(B) the amount of admissions taxes constructively received by
the unit in the previous state fiscal year.
The auditor of state shall distribute the amounts deducted under this
subsection to the northwest Indiana redevelopment authority
established under IC 36-7.5-2-1 for deposit in the development
authority revenue fund established under IC 36-7.5-4-1.
(j) Money distributed to a political subdivision under subsection (b):
(1) must be paid to the fiscal officer of the political subdivision
and may be deposited in the political subdivision's general fund
(in the case of a school corporation, the school corporation may
deposit the money into either the education fund (IC 20-40-2) or
the operations fund (IC 20-40-18)) or riverboat fund established
under IC 36-1-8-9, or both;
(2) may not be used to reduce the maximum levy under
IC 6-1.1-18.5 of a county, city, or town or the maximum tax rate
of a school corporation, but, except as provided in subsection
(b)(3)(B), may be used at the discretion of the political
subdivision to reduce the property tax levy of the county, city, or
town for a particular year;
(3) except as provided in subsection (b)(3)(B), may be used for
any legal or corporate purpose of the political subdivision,
including the pledge of money to bonds, leases, or other
obligations under IC 5-1-14-4; and
(4) is considered miscellaneous revenue.
Money distributed under subsection (b)(3)(B) must be used for the
purposes specified in subsection (b)(3)(B).
(k) After June 30, 2020, the amount of wagering taxes that would
otherwise be distributed to South Bend under subsection (d) shall be
deposited as being received from all riverboats whose supplemental
wagering tax, as calculated under IC 4-33-12-1.5(b), is over three and
five-tenths percent (3.5%). The amount deposited under this
subsection, in each riverboat's account, is proportionate to the
supplemental wagering tax received from that riverboat under
IC 4-33-12-1.5 in the month of July. The amount deposited under this
subsection must be distributed in the same manner as the supplemental
wagering tax collected under IC 4-33-12-1.5. This subsection expires
June 30, 2021.
(l) After June 30, 2021, the amount of wagering taxes that would
otherwise be distributed to South Bend under subsection (d) shall be
withheld and deposited in the state general fund.
SEA 418(ts) 12
SECTION 3. IC 5-2-1-9, AS AMENDED BY P.L.21-2022,
SECTION 4, AND AS AMENDED BY P.L.175-2022, SECTION 1, IS
CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 9. (a) The board shall adopt in
accordance with IC 4-22-2 all necessary rules to carry out the
provisions of this chapter. The rules, which shall be adopted only after
necessary and proper investigation and inquiry by the board, shall
include the establishment of the following:
(1) A consistent and uniform statewide deadly force policy and
training program, that is consistent with state and federal law.
Upon adoption by the law enforcement training board, the policy
and training program must be implemented, without modification,
by all Indiana law enforcement agencies, offices, or departments.
(2) A consistent and uniform statewide defensive tactics policy
and training program, that is consistent with state and federal
law. Upon adoption by the law enforcement training board, the
policy and training program must be implemented, without
modification, by all Indiana law enforcement agencies, offices, or
departments.
(3) A uniform statewide minimum standard for vehicle pursuits
consistent with state and federal law.
(1) (4) Minimum standards of physical, educational, mental, and
moral fitness which shall govern the acceptance of any person for
training by any law enforcement training school or academy
meeting or exceeding the minimum standards established
pursuant to this chapter.
(2) (5) Minimum standards for law enforcement training schools
administered by towns, cities, counties, law enforcement training
centers, agencies, or departments of the state.
(3) (6) Minimum standards for courses of study, attendance
requirements, equipment, and facilities for approved town, city,
county, and state law enforcement officer, police reserve officer,
and conservation reserve officer training schools.
(4) (7) Minimum standards for a course of study on cultural
diversity awareness, including training on the U nonimmigrant
visa created through the federal Victims of Trafficking and
Violence Protection Act of 2000 (P.L. 106-386) that must be
required for each person accepted for training at a law
enforcement training school or academy. Cultural diversity
awareness study must include an understanding of cultural issues
related to race, religion, gender, age, domestic violence, national
origin, and physical and mental disabilities.
SEA 418(ts) 13
(5) (8) Minimum qualifications for instructors at approved law
enforcement training schools.
(6) (9) Minimum basic training requirements which law
enforcement officers appointed to probationary terms shall
complete before being eligible for continued or permanent
employment.
(7) (10) Minimum basic training requirements which law
enforcement officers appointed on other than a permanent basis
shall complete in order to be eligible for continued employment
or permanent appointment.
(8) (11) Minimum basic training requirements which law
enforcement officers appointed on a permanent basis shall
complete in order to be eligible for continued employment.
(9) (12) Minimum basic training requirements for each person
accepted for training at a law enforcement training school or
academy that include six (6) hours of training in interacting with:
(A) persons with autism, mental illness, addictive disorders,
intellectual disabilities, and developmental disabilities;
(B) missing endangered adults (as defined in IC 12-7-2-131.3);
and
(C) persons with Alzheimer's disease or related senile
dementia;
to be provided by persons approved by the secretary of family and
social services and the board. The training must include an
overview of the crisis intervention teams.
(10) (13) Minimum standards for a course of study on human and
sexual trafficking that must be required for each person accepted
for training at a law enforcement training school or academy and
for inservice training programs for law enforcement officers. The
course must cover the following topics:
(A) Examination of the human and sexual trafficking laws (IC
35-42-3.5).
(B) Identification of human and sexual trafficking.
(C) Communicating with traumatized persons.
(D) Therapeutically appropriate investigative techniques.
(E) Collaboration with federal law enforcement officials.
(F) Rights of and protections afforded to victims.
(G) Providing documentation that satisfies the Declaration of
Law Enforcement Officer for Victim of Trafficking in Persons
(Form I-914, Supplement B) requirements established under
federal law.
(H) The availability of community resources to assist human
SEA 418(ts) 14
and sexual trafficking victims.
(11) (14) Minimum standards for ongoing specialized, intensive,
and integrative training for persons responsible for investigating
sexual assault cases involving adult victims. This training must
include instruction on:
(A) the neurobiology of trauma;
(B) trauma informed interviewing; and
(C) investigative techniques.
(12) (15) Minimum standards for de-escalation training.
De-escalation training shall be taught as a part of existing
use-of-force training and not as a separate topic.
(16) Minimum standards regarding best practices for crowd
control, protests, and First Amendment activities.
All statewide policies and minimum standards shall be documented in
writing and published on the ILEA website. Any policy, standard, or
training program implemented, adopted, or promulgated by a vote of
the board may only subsequently be modified or rescinded by a
two-thirds (2/3) majority vote of the board.
(b) A law enforcement officer appointed after July 5, 1972, and
before July 1, 1993, may not enforce the laws or ordinances of the state
or any political subdivision unless the officer has, within one (1) year
from the date of appointment, successfully completed the minimum
basic training requirements established under this chapter by the board.
If a person fails to successfully complete the basic training
requirements within one (1) year from the date of employment, the
officer may not perform any of the duties of a law enforcement officer
involving control or direction of members of the public or exercising
the power of arrest until the officer has successfully completed the
training requirements. This subsection does not apply to any law
enforcement officer appointed before July 6, 1972, or after June 30,
1993.
(c) Military leave or other authorized leave of absence from law
enforcement duty during the first year of employment after July 6,
1972, shall toll the running of the first year, which shall be calculated
by the aggregate of the time before and after the leave, for the purposes
of this chapter.
(d) Except as provided in subsections (e), (m), (t), and (u), a law
enforcement officer appointed to a law enforcement department or
agency after June 30, 1993, may not:
(1) make an arrest;
(2) conduct a search or a seizure of a person or property; or
(3) carry a firearm;
SEA 418(ts) 15
unless the law enforcement officer successfully completes, at a board
certified law enforcement academy or at a law enforcement training
center under section 10.5 or 15.2 of this chapter, the basic training
requirements established by the board under this chapter.
(e) This subsection does not apply to:
(1) a gaming agent employed as a law enforcement officer by the
Indiana gaming commission; or
(2) an:
(A) attorney; or
(B) investigator;
designated by the securities commissioner as a police officer of
the state under IC 23-19-6-1(k).
Before a law enforcement officer appointed after June 30, 1993,
completes the basic training requirements, the law enforcement officer
may exercise the police powers described in subsection (d) if the
officer successfully completes the pre-basic course established in
subsection (f). Successful completion of the pre-basic course authorizes
a law enforcement officer to exercise the police powers described in
subsection (d) for one (1) year after the date the law enforcement
officer is appointed.
(f) The board shall adopt rules under IC 4-22-2 to establish a
pre-basic course for the purpose of training:
(1) law enforcement officers;
(2) police reserve officers (as described in IC 36-8-3-20); and
(3) conservation reserve officers (as described in IC 14-9-8-27);
regarding the subjects of arrest, search and seizure, the lawful use of
force, de-escalation training, interacting with individuals with autism,
and the operation of an emergency vehicle. The pre-basic course must
be offered on a periodic basis throughout the year at regional sites
statewide. The pre-basic course must consist of at least forty (40) hours
of course work. The board may prepare the classroom part of the
pre-basic course using available technology in conjunction with live
instruction. The board shall provide the course material, the instructors,
and the facilities at the regional sites throughout the state that are used
for the pre-basic course. In addition, the board may certify pre-basic
courses that may be conducted by other public or private training
entities, including postsecondary educational institutions.
(g) Subject to subsection (h), the board shall adopt rules under
IC 4-22-2 to establish a mandatory inservice training program for
police officers and police reserve officers (as described in
IC 36-8-3-20). After June 30, 1993, a law enforcement officer who has
satisfactorily completed basic training and has been appointed to a law
SEA 418(ts) 16
enforcement department or agency on either a full-time or part-time
basis is not eligible for continued employment unless the officer
satisfactorily completes the mandatory inservice training requirements
established by rules adopted by the board. Inservice training must
include de-escalation training. Inservice training must also include
training in interacting with persons with mental illness, addictive
disorders, intellectual disabilities, autism, developmental disabilities,
and Alzheimer's disease or related senile dementia, to be provided by
persons approved by the secretary of family and social services and the
board, and training concerning human and sexual trafficking and high
risk missing persons (as defined in IC 5-2-17-1). The board may
approve courses offered by other public or private training entities,
including postsecondary educational institutions, as necessary in order
to ensure the availability of an adequate number of inservice training
programs. The board may waive an officer's inservice training
requirements if the board determines that the officer's reason for
lacking the required amount of inservice training hours is due to either
an emergency situation or the unavailability of courses.
(h) This subsection applies only to a mandatory inservice training
program under subsection (g). Notwithstanding subsection (g), the
board may, without adopting rules under IC 4-22-2, modify the course
work of a training subject matter, modify the number of hours of
training required within a particular subject matter, or add a new
subject matter, if the board satisfies the following requirements:
(1) The board must conduct at least two (2) public meetings on
the proposed modification or addition.
(2) After approving the modification or addition at a public
meeting, the board must post notice of the modification or
addition on the Indiana law enforcement academy's Internet web
site at least thirty (30) days before the modification or addition
takes effect.
If the board does not satisfy the requirements of this subsection, the
modification or addition is void. This subsection does not authorize the
board to eliminate any inservice training subject matter required under
subsection (g).
(i) The board shall also adopt rules establishing a town marshal
basic training program, subject to the following:
(1) The program must require fewer hours of instruction and class
attendance and fewer courses of study than are required for the
mandated basic training program.
(2) Certain parts of the course materials may be studied by a
candidate at the candidate's home in order to fulfill requirements
SEA 418(ts) 17
of the program.
(3) Law enforcement officers successfully completing the
requirements of the program are eligible for appointment only in
towns employing the town marshal system (IC 36-5-7) and having
not more than one (1) marshal and two (2) deputies.
(4) The limitation imposed by subdivision (3) does not apply to an
officer who has successfully completed the mandated basic
training program.
(5) The time limitations imposed by subsections (b) and (c) for
completing the training are also applicable to the town marshal
basic training program.
(6) The program must require training in interacting with
individuals with autism.
(j) The board shall adopt rules under IC 4-22-2 to establish an
executive training program. The executive training program must
include training in the following areas:
(1) Liability.
(2) Media relations.
(3) Accounting and administration.
(4) Discipline.
(5) Department policy making.
(6) Lawful use of force and de-escalation training.
(7) Department programs.
(8) Emergency vehicle operation.
(9) Cultural diversity.
(k) A police chief shall apply for admission to the executive training
program within two (2) months of the date the police chief initially
takes office. A police chief must successfully complete the executive
training program within six (6) months of the date the police chief
initially takes office. However, if space in the executive training
program is not available at a time that will allow completion of the
executive training program within six (6) months of the date the police
chief initially takes office, the police chief must successfully complete
the next available executive training program that is offered after the
police chief initially takes office.
(l) A police chief who fails to comply with subsection (k) may not
continue to serve as the police chief until completion of the executive
training program. For the purposes of this subsection and subsection
(k), "police chief" refers to:
(1) the police chief of any city;
(2) the police chief of any town having a metropolitan police
department; and
SEA 418(ts) 18
(3) the chief of a consolidated law enforcement department
established under IC 36-3-1-5.1.
A town marshal is not considered to be a police chief for these
purposes, but a town marshal may enroll in the executive training
program.
(m) A fire investigator in the department of homeland security
appointed after December 31, 1993, is required to comply with the
basic training standards established under this chapter.
(n) The board shall adopt rules under IC 4-22-2 to establish a
program to certify handgun safety courses, including courses offered
in the private sector, that meet standards approved by the board for
training probation officers in handgun safety as required by
IC 11-13-1-3.5(3). IC 11-13-1-3.5(2).
(o) The board shall adopt rules under IC 4-22-2 to establish a
refresher course for an officer who:
(1) is hired by an Indiana law enforcement department or agency
as a law enforcement officer;
(2) has not been employed as a law enforcement officer for:
(A) at least two (2) years; and
(B) less than six (6) years before the officer is hired under
subdivision (1); and
(3) completed at any time a basic training course certified or
recognized by the board before the officer is hired under
subdivision (1).
(p) An officer to whom subsection (o) applies must successfully
complete the refresher course described in subsection (o) not later than
six (6) months after the officer's date of hire, or the officer loses the
officer's powers of:
(1) arrest;
(2) search; and
(3) seizure.
(q) The board shall adopt rules under IC 4-22-2 to establish a
refresher course for an officer who:
(1) is appointed by an Indiana law enforcement department or
agency as a reserve police officer; and
(2) has not worked as a reserve police officer for at least two (2)
years after:
(A) completing the pre-basic course; or
(B) leaving the individual's last appointment as a reserve
police officer.
An officer to whom this subsection applies must successfully complete
the refresher course established by the board in order to work as a
SEA 418(ts) 19
reserve police officer.
(r) This subsection applies to an individual who, at the time the
individual completes a board certified or recognized basic training
course, has not been appointed as a law enforcement officer by an
Indiana law enforcement department or agency. If the individual is not
employed as a law enforcement officer for at least two (2) years after
completing the basic training course, the individual must successfully
retake and complete the basic training course as set forth in subsection
(d).
(s) The board shall adopt rules under IC 4-22-2 to establish a
refresher course for an individual who:
(1) is appointed as a board certified instructor of law enforcement
training; and
(2) has not provided law enforcement training instruction for
more than one (1) year after the date the individual's instructor
certification expired.
An individual to whom this subsection applies must successfully
complete the refresher course established by the board in order to
renew the individual's instructor certification.
(t) This subsection applies only to a gaming agent employed as a
law enforcement officer by the Indiana gaming commission. A gaming
agent appointed after June 30, 2005, may exercise the police powers
described in subsection (d) if:
(1) the agent successfully completes the pre-basic course
established in subsection (f); and
(2) the agent successfully completes any other training courses
established by the Indiana gaming commission in conjunction
with the board.
(u) This subsection applies only to a securities enforcement officer
designated as a law enforcement officer by the securities
commissioner. A securities enforcement officer may exercise the police
powers described in subsection (d) if:
(1) the securities enforcement officer successfully completes the
pre-basic course established in subsection (f); and
(2) the securities enforcement officer successfully completes any
other training courses established by the securities commissioner
in conjunction with the board.
(v) As used in this section, "upper level policymaking position"
refers to the following:
(1) If the authorized size of the department or town marshal
system is not more than ten (10) members, the term refers to the
position held by the police chief or town marshal.
SEA 418(ts) 20
(2) If the authorized size of the department or town marshal
system is more than ten (10) members but less than fifty-one (51)
members, the term refers to:
(A) the position held by the police chief or town marshal; and
(B) each position held by the members of the police
department or town marshal system in the next rank and pay
grade immediately below the police chief or town marshal.
(3) If the authorized size of the department or town marshal
system is more than fifty (50) members, the term refers to:
(A) the position held by the police chief or town marshal; and
(B) each position held by the members of the police
department or town marshal system in the next two (2) ranks
and pay grades immediately below the police chief or town
marshal.
(w) This subsection applies only to a correctional police officer
employed by the department of correction. A correctional police officer
may exercise the police powers described in subsection (d) if:
(1) the officer successfully completes the pre-basic course
described in subsection (f); and
(2) the officer successfully completes any other training courses
established by the department of correction in conjunction with
the board.
(x) This subsection applies only to the sexual assault training
described in subsection (a)(11). (a)(14). The board shall:
(1) consult with experts on the neurobiology of trauma, trauma
informed interviewing, and investigative techniques in developing
the sexual assault training; and
(2) develop the sexual assault training and begin offering the
training not later than July 1, 2022.
(y) After July 1, 2023, a law enforcement officer who regularly
investigates sexual assaults involving adult victims must complete the
training requirements described in subsection (a)(11) (a)(14) within
one (1) year of being assigned to regularly investigate sexual assaults
involving adult victims.
(z) A law enforcement officer who regularly investigates sexual
assaults involving adult victims may complete the training
requirements described in subsection (a)(11) (a)(14) by attending a:
(1) statewide or national training; or
(2) department hosted local training.
(aa) Notwithstanding any other provisions of this section, the board
is authorized to establish certain required standards of training and
procedure.
SEA 418(ts) 21
SECTION 4. IC 5-10-13-2, AS AMENDED BY P.L.170-2022,
SECTION 1, AND AS AMENDED BY P.L.119-2022, SECTION 5, IS
CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2023]: Sec. 2. As used in this chapter,
"employee" means an individual who:
(1) is employed full time by the state or a political subdivision of
the state as:
(A) a member of a fire department (as defined in IC 36-8-1-8);
(B) an emergency medical services provider (as defined in
IC 16-41-10-1);
(C) a member of a police department (as defined in
IC 36-8-1-9);
(D) a correctional officer (as defined in IC 5-10-10-1.5);
(E) a state police officer;
(F) a county police officer;
(G) a county sheriff;
(H) an excise police officer;
(I) a conservation enforcement officer;
(J) a town marshal;
(K) a deputy town marshal;
(L) a department of homeland security fire investigator; or
(L) (M) a member of a consolidated law enforcement
department established under IC 36-3-1-5.1;
(M) (N) a county coroner; or
(N) (O) a deputy county coroner;
(2) in the course of the individual's employment is at high risk for
occupational exposure to an exposure risk disease; and
(3) is not employed elsewhere in a similar capacity.
SECTION 5. IC 6-1.1-12.1-1, AS AMENDED BY P.L.8-2022,
SECTION 2, AND AS AMENDED BY P.L.174-2022, SECTION 26,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 1. For purposes of this chapter:
(1) "Economic revitalization area" means an area which is within
the corporate limits of a city, town, or county which has become
undesirable for, or impossible of, normal development and
occupancy because of a lack of development, cessation of growth,
deterioration of improvements or character of occupancy, age,
obsolescence, substandard buildings, or other factors which have
impaired values or prevent a normal development of property or
use of property. The term "economic revitalization area" also
includes:
(A) any area where a facility or a group of facilities that are
SEA 418(ts) 22
technologically, economically, or energy obsolete are located
and where the obsolescence may lead to a decline in
employment and tax revenues; and
(B) a residentially distressed area, except as otherwise
provided in this chapter; and
(C) an area of land classified as agricultural land for property
tax purposes that, as a condition of being designated an
economic revitalization area, will be predominately used for
agricultural purposes for a period specified by the designating
body.
(2) "City" means any city in this state, and "town" means any town
incorporated under IC 36-5-1.
(3) "New manufacturing equipment" means tangible personal
property that a deduction applicant:
(A) installs on or before the approval deadline determined
under section 9 of this chapter, in an area that is declared an
economic revitalization area in which a deduction for tangible
personal property is allowed;
(B) uses in the direct production, manufacture, fabrication,
assembly, extraction, mining, processing, refining, or finishing
of other tangible personal property, including but not limited
to use to dispose of solid waste or hazardous waste by
converting the solid waste or hazardous waste into energy or
other useful products;
(C) acquires for use as described in clause (B):
(i) in an arms length transaction from an entity that is not an
affiliate of the deduction applicant, if the tangible personal
property has been previously used in Indiana before the
installation described in clause (A); or
(ii) in any manner, if the tangible personal property has
never been previously used in Indiana before the installation
described in clause (A); and
(D) has never used for any purpose in Indiana before the
installation described in clause (A).
(4) "Property" means a building or structure, but does not include
land.
(5) "Redevelopment" means the construction of new structures,
in economic revitalization areas, either:
(A) on unimproved real estate; or
(B) on real estate upon which a prior existing structure is
demolished to allow for a new construction.
(6) "Rehabilitation" means the remodeling, repair, or betterment
SEA 418(ts) 23
of property in any manner or any enlargement or extension of
property.
(7) "Designating body" means the following:
(A) For a county that does not contain a consolidated city, the
fiscal body of the county, city, or town.
(B) For a county containing a consolidated city, the
metropolitan development commission. The jurisdiction of the
designating body includes a rehabilitation or redevelopment
project under this chapter that falls within the boundaries of
an excluded city, as defined in IC 36-3-1-7.
(8) "Deduction application" means:
(A) the application filed in accordance with section 5 of this
chapter by a property owner who desires to obtain the
deduction provided by section 3 of this chapter;
(B) the application filed in accordance with section 5.4 of this
chapter by a person who desires to obtain the deduction
provided by section 4.5 of this chapter; or
(C) the application filed in accordance with section 5.3 of this
chapter by a property owner that desires to obtain the
deduction provided by section 4.8 of this chapter.
(9) "Designation application" means an application that is filed
with a designating body to assist that body in making a
determination about whether a particular area should be
designated as an economic revitalization area.
(10) "Hazardous waste" has the meaning set forth in
IC 13-11-2-99(a). The term includes waste determined to be a
hazardous waste under IC 13-22-2-3(b).
(11) "Solid waste" has the meaning set forth in IC 13-11-2-205(a).
However, the term does not include dead animals or any animal
solid or semisolid wastes.
(12) "New research and development equipment" means tangible
personal property that:
(A) a deduction applicant installs on or before the approval
deadline determined under section 9 of this chapter, in an
economic revitalization area in which a deduction for tangible
personal property is allowed;
(B) consists of:
(i) laboratory equipment;
(ii) research and development equipment;
(iii) computers and computer software;
(iv) telecommunications equipment; or
(v) testing equipment;
SEA 418(ts) 24
(C) the deduction applicant uses in research and development
activities devoted directly and exclusively to experimental or
laboratory research and development for new products, new
uses of existing products, or improving or testing existing
products;
(D) the deduction applicant acquires for purposes described in
this subdivision:
(i) in an arms length transaction from an entity that is not an
affiliate of the deduction applicant, if the tangible personal
property has been previously used in Indiana before the
installation described in clause (A); or
(ii) in any manner, if the tangible personal property has
never been previously used in Indiana before the installation
described in clause (A); and
(E) the deduction applicant has never used for any purpose in
Indiana before the installation described in clause (A).
The term does not include equipment installed in facilities used
for or in connection with efficiency surveys, management studies,
consumer surveys, economic surveys, advertising or promotion,
or research in connection with literacy, history, or similar
projects.
(13) "New logistical distribution equipment" means tangible
personal property that:
(A) a deduction applicant installs on or before the approval
deadline determined under section 9 of this chapter, in an
economic revitalization area in which a deduction for tangible
personal property is allowed;
(B) consists of:
(i) racking equipment;
(ii) scanning or coding equipment;
(iii) separators;
(iv) conveyors;
(v) fork lifts or lifting equipment (including "walk
behinds");
(vi) transitional moving equipment;
(vii) packaging equipment;
(viii) sorting and picking equipment; or
(ix) software for technology used in logistical distribution;
(C) the deduction applicant acquires for the storage or
distribution of goods, services, or information:
(i) in an arms length transaction from an entity that is not an
affiliate of the deduction applicant, if the tangible personal
SEA 418(ts) 25
property has been previously used in Indiana before the
installation described in clause (A); and
(ii) in any manner, if the tangible personal property has
never been previously used in Indiana before the installation
described in clause (A); and
(D) the deduction applicant has never used for any purpose in
Indiana before the installation described in clause (A).
(14) "New farm equipment" means tangible personal property
that:
(A) a deduction applicant installs after June 30, 2022, and on
or before the approval deadline determined under section 9 of
this chapter, in an area that will be predominately used for
agricultural purposes for a period specified by the designating
body as a condition of being declared an economic
revitalization area;
(B) is used in the direct production, extraction, harvesting, or
processing of agricultural commodities for sale on land
classified as agricultural land for property tax purposes;
(C) was acquired for use as described in clause (B) in an arms
length transaction from an entity that is not an affiliate of the
deduction applicant; and
(D) the deduction applicant never used for any purpose in
Indiana before the installation described in clause (A).
(15) "New agricultural improvement" means any improvement
made to land classified as agricultural land for tax purposes that
is placed in service after December 31, 2022, and that will be
predominately used for agricultural purposes for a period
specified by the designating body as a condition of being
declared an economic revitalization area. The term includes a
barn, grain bin, or silo.
(14) (16) "New information technology equipment" means
tangible personal property that:
(A) a deduction applicant installs on or before the approval
deadline determined under section 9 of this chapter, in an
economic revitalization area in which a deduction for tangible
personal property is allowed;
(B) consists of equipment, including software, used in the
fields of:
(i) information processing;
(ii) office automation;
(iii) telecommunication facilities and networks;
(iv) informatics;
SEA 418(ts) 26
(v) network administration;
(vi) software development; and
(vii) fiber optics;
(C) the deduction applicant acquires in an arms length
transaction from an entity that is not an affiliate of the
deduction applicant; and
(D) the deduction applicant never used for any purpose in
Indiana before the installation described in clause (A).
(15) (17) "Deduction applicant" means an owner of tangible
personal property who makes a deduction application.
(16) (18) "Affiliate" means an entity that effectively controls or is
controlled by a deduction applicant or is associated with a
deduction applicant under common ownership or control, whether
by shareholdings or other means.
(17) (19) "Eligible vacant building" means a building that:
(A) is zoned for commercial or industrial purposes; and
(B) is unoccupied for at least one (1) year before the owner of
the building or a tenant of the owner occupies the building, as
evidenced by a valid certificate of occupancy, paid utility
receipts, executed lease agreements, or any other evidence of
occupation that the department of local government finance
requires.
SECTION 6. IC 6-3-1-3.5, AS AMENDED BY P.L.137-2022,
SECTION 33, AND AS AMENDED BY P.L.168-2022, SECTION 1,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE MARCH 18, 2022 (RETROACTIVE)]: Sec. 3.5. When
used in this article, the term "adjusted gross income" shall mean the
following:
(a) In the case of all individuals, "adjusted gross income" (as
defined in Section 62 of the Internal Revenue Code), modified as
follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Except as provided in subsection (c), add an amount equal to
any deduction or deductions allowed or allowable pursuant to
Section 62 of the Internal Revenue Code for taxes based on or
measured by income and levied at the state level by any state of
the United States.
(3) Subtract one thousand dollars ($1,000), or in the case of a
joint return filed by a husband and wife, subtract for each spouse
one thousand dollars ($1,000).
(4) Subtract one thousand dollars ($1,000) for:
SEA 418(ts) 27
(A) each of the exemptions provided by Section 151(c) of the
Internal Revenue Code (as effective January 1, 2017);
(B) each additional amount allowable under Section 63(f) of
the Internal Revenue Code; and
(C) the spouse of the taxpayer if a separate return is made by
the taxpayer and if the spouse, for the calendar year in which
the taxable year of the taxpayer begins, has no gross income
and is not the dependent of another taxpayer.
(5) Subtract:
(A) one thousand five hundred dollars ($1,500) for each of the
exemptions allowed under Section 151(c)(1)(B) of the Internal
Revenue Code (as effective January 1, 2004);
(B) one thousand five hundred dollars ($1,500) for each
exemption allowed under Section 151(c) of the Internal
Revenue Code (as effective January 1, 2017) for an individual:
(i) who is less than nineteen (19) years of age or is a
full-time student who is less than twenty-four (24) years of
age;
(ii) for whom the taxpayer is the legal guardian; and
(iii) for whom the taxpayer does not claim an exemption
under clause (A); and
(C) five hundred dollars ($500) for each additional amount
allowable under Section 63(f)(1) of the Internal Revenue Code
if the federal adjusted gross income of the taxpayer, or the
taxpayer and the taxpayer's spouse in the case of a joint return,
is less than forty thousand dollars ($40,000). In the case of a
married individual filing a separate return, the qualifying
income amount in this clause is equal to twenty thousand
dollars ($20,000).
This amount is in addition to the amount subtracted under
subdivision (4).
(6) Subtract any amounts included in federal adjusted gross
income under Section 111 of the Internal Revenue Code as a
recovery of items previously deducted as an itemized deduction
from adjusted gross income.
(7) Subtract any amounts included in federal adjusted gross
income under the Internal Revenue Code which amounts were
received by the individual as supplemental railroad retirement
annuities under 45 U.S.C. 231 and which are not deductible under
subdivision (1).
(8) Subtract an amount equal to the amount of federal Social
Security and Railroad Retirement benefits included in a taxpayer's
SEA 418(ts) 28
federal gross income by Section 86 of the Internal Revenue Code.
(9) In the case of a nonresident taxpayer or a resident taxpayer
residing in Indiana for a period of less than the taxpayer's entire
taxable year, the total amount of the deductions allowed pursuant
to subdivisions (3), (4), and (5) shall be reduced to an amount
which bears the same ratio to the total as the taxpayer's income
taxable in Indiana bears to the taxpayer's total income.
(10) In the case of an individual who is a recipient of assistance
under IC 12-10-6-1, IC 12-10-6-2.1, IC 12-15-2-2, or IC 12-15-7,
subtract an amount equal to that portion of the individual's
adjusted gross income with respect to which the individual is not
allowed under federal law to retain an amount to pay state and
local income taxes.
(11) In the case of an eligible individual, subtract the amount of
a Holocaust victim's settlement payment included in the
individual's federal adjusted gross income.
(12) Subtract an amount equal to the portion of any premiums
paid during the taxable year by the taxpayer for a qualified long
term care policy (as defined in IC 12-15-39.6-5) for the taxpayer
or the taxpayer's spouse if the taxpayer and the taxpayer's spouse
file a joint income tax return or the taxpayer is otherwise entitled
to a deduction under this subdivision for the taxpayer's spouse, or
both.
(13) Subtract an amount equal to the lesser of:
(A) two thousand five hundred dollars ($2,500), or one
thousand two hundred fifty dollars ($1,250) in the case of a
married individual filing a separate return; or
(B) the amount of property taxes that are paid during the
taxable year in Indiana by the individual on the individual's
principal place of residence.
(14) Subtract an amount equal to the amount of a September 11
terrorist attack settlement payment included in the individual's
federal adjusted gross income.
(15) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(16) Add an amount equal to any deduction allowed under
SEA 418(ts) 29
Section 172 of the Internal Revenue Code (concerning net
operating losses).
(17) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding the sum of:
(A) twenty-five thousand dollars ($25,000) to the extent
deductions under Section 179 of the Internal Revenue Code
were not elected as provided in clause (B); and
(B) for taxable years beginning after December 31, 2017, the
deductions elected under Section 179 of the Internal Revenue
Code on property acquired in an exchange if:
(i) the exchange would have been eligible for
nonrecognition of gain or loss under Section 1031 of the
Internal Revenue Code in effect on January 1, 2017;
(ii) the exchange is not eligible for nonrecognition of gain or
loss under Section 1031 of the Internal Revenue Code; and
(iii) the taxpayer made an election to take deductions under
Section 179 of the Internal Revenue Code with regard to the
acquired property in the year that the property was placed
into service.
The amount of deductions allowable for an item of property
under this clause may not exceed the amount of adjusted gross
income realized on the property that would have been deferred
under the Internal Revenue Code in effect on January 1, 2017.
(18) Subtract an amount equal to the amount of the taxpayer's
qualified military income that was not excluded from the
taxpayer's gross income for federal income tax purposes under
Section 112 of the Internal Revenue Code.
(19) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7 (certain income
derived from patents); and
(B) included in the individual's federal adjusted gross income
under the Internal Revenue Code.
(20) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
SEA 418(ts) 30
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract the amount necessary from the adjusted
gross income of any taxpayer that added an amount to adjusted
gross income in a previous year to offset the amount included in
federal gross income as a result of the deferral of income arising
from business indebtedness discharged in connection with the
reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(21) Add the amount excluded from federal gross income under
Section 103 of the Internal Revenue Code for interest received on
an obligation of a state other than Indiana, or a political
subdivision of such a state, that is acquired by the taxpayer after
December 31, 2011.
(22) Subtract an amount as described in Section 1341(a)(2) of the
Internal Revenue Code to the extent, if any, that the amount was
previously included in the taxpayer's adjusted gross income for a
prior taxable year.
(23) For taxable years beginning after December 25, 2016, add an
amount equal to the deduction for deferred foreign income that
was claimed by the taxpayer for the taxable year under Section
965(c) of the Internal Revenue Code.
(24) Subtract any interest expense paid or accrued in the current
taxable year but not deducted as a result of the limitation imposed
under Section 163(j)(1) of the Internal Revenue Code. Add any
interest expense paid or accrued in a previous taxable year but
allowed as a deduction under Section 163 of the Internal Revenue
Code in the current taxable year. For purposes of this subdivision,
an interest expense is considered paid or accrued only in the first
taxable year the deduction would have been allowable under
Section 163 of the Internal Revenue Code if the limitation under
Section 163(j)(1) of the Internal Revenue Code did not exist.
(25) Subtract the amount that would have been excluded from
gross income but for the enactment of Section 118(b)(2) of the
Internal Revenue Code for taxable years ending after December
22, 2017.
(26) For taxable years beginning after December 31, 2019, and
before January 1, 2021, add an amount of the deduction claimed
under Section 62(a)(22) of the Internal Revenue Code.
(27) For taxable years beginning after December 31, 2019, for
payments made by an employer under an education assistance
SEA 418(ts) 31
program after March 27, 2020:
(A) add the amount of payments by an employer that are
excluded from the taxpayer's federal gross income under
Section 127(c)(1)(B) of the Internal Revenue Code; and
(B) deduct the interest allowable under Section 221 of the
Internal Revenue Code, if the disallowance under Section
221(e)(1) of the Internal Revenue Code did not apply to the
payments described in clause (A). For purposes of applying
Section 221(b) of the Internal Revenue Code to the amount
allowable under this clause, the amount under clause (A) shall
not be added to adjusted gross income.
(28) Add an amount equal to the remainder of:
(A) the amount allowable as a deduction under Section 274(n)
of the Internal Revenue Code; minus
(B) the amount otherwise allowable as a deduction under
Section 274(n) of the Internal Revenue Code, if Section
274(n)(2)(D) of the Internal Revenue Code was not in effect
for amounts paid or incurred after December 31, 2020.
(29) For taxable years beginning after December 31, 2017, and
before January 1, 2021, add an amount equal to the excess
business loss of the taxpayer as defined in Section 461(l)(3) of the
Internal Revenue Code. In addition:
(A) If a taxpayer has an excess business loss under this
subdivision and also has modifications under subdivisions (15)
and (17) for property placed in service during the taxable year,
the taxpayer shall treat a portion of the taxable year
modifications for that property as occurring in the taxable year
the property is placed in service and a portion of the
modifications as occurring in the immediately following
taxable year.
(B) The portion of the modifications under subdivisions (15)
and (17) for property placed in service during the taxable year
treated as occurring in the taxable year in which the property
is placed in service equals:
(i) the modification for the property otherwise determined
under this section; minus
(ii) the excess business loss disallowed under this
subdivision;
but not less than zero (0).
(C) The portion of the modifications under subdivisions (15)
and (17) for property placed in service during the taxable year
treated as occurring in the taxable year immediately following
SEA 418(ts) 32
the taxable year in which the property is placed in service
equals the modification for the property otherwise determined
under this section minus the amount in clause (B).
(D) Any reallocation of modifications between taxable years
under clauses (B) and (C) shall be first allocated to the
modification under subdivision (15), then to the modification
under subdivision (17).
(30) Add an amount equal to the amount excluded from federal
gross income under Section 108(f)(5) of the Internal Revenue
Code. For purposes of this subdivision:
(A) if an amount excluded under Section 108(f)(5) of the
Internal Revenue Code would be excludible under Section
108(a)(1)(B) of the Internal Revenue Code, the exclusion
under Section 108(a)(1)(B) of the Internal Revenue Code shall
take precedence; and
(B) if an amount would have been excludible under Section
108(f)(5) of the Internal Revenue Code as in effect on January
1, 2020, the amount is not required to be added back under
this subdivision.
(31) For taxable years ending after March 12, 2020, subtract an
amount equal to the deduction disallowed pursuant to:
(A) Section 2301(e) of the CARES Act (Public Law 116-136),
as modified by Sections 206 and 207 of the Taxpayer Certainty
and Disaster Relief Tax Act (Division EE of Public Law
116-260); and
(B) Section 3134(e) of the Internal Revenue Code.
(32) Subtract the amount of an annual grant amount distributed to
a taxpayer's Indiana education scholarship account under
IC 20-51.4-4-2 that is used for a qualified expense (as defined in
IC 20-51.4-2-9) or to an Indiana enrichment scholarship account
under IC 20-52 that is used for qualified expenses (as defined in
IC 20-52-2-6), to the extent the distribution used for the qualified
expense is included in the taxpayer's federal adjusted gross
income under the Internal Revenue Code.
(33) For taxable years beginning after December 31, 2019, and
before January 1, 2021, add an amount equal to the amount of
unemployment compensation excluded from federal gross income
under Section 85(c) of the Internal Revenue Code.
(34) For taxable years beginning after December 31, 2022,
subtract an amount equal to the deduction disallowed under
Section 280C(h) of the Internal Revenue Code.
(34) (35) Subtract any other amounts the taxpayer is entitled to
SEA 418(ts) 33
deduct under IC 6-3-2.
(b) In the case of corporations, the same as "taxable income" (as
defined in Section 63 of the Internal Revenue Code) adjusted as
follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Add an amount equal to any deduction or deductions allowed
or allowable pursuant to Section 170 of the Internal Revenue
Code (concerning charitable contributions).
(3) Except as provided in subsection (c), add an amount equal to
any deduction or deductions allowed or allowable pursuant to
Section 63 of the Internal Revenue Code for taxes based on or
measured by income and levied at the state level by any state of
the United States.
(4) Subtract an amount equal to the amount included in the
corporation's taxable income under Section 78 of the Internal
Revenue Code (concerning foreign tax credits).
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(6) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code (concerning net operating
losses).
(7) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding the sum of:
(A) twenty-five thousand dollars ($25,000) to the extent
deductions under Section 179 of the Internal Revenue Code
were not elected as provided in clause (B); and
(B) for taxable years beginning after December 31, 2017, the
deductions elected under Section 179 of the Internal Revenue
SEA 418(ts) 34
Code on property acquired in an exchange if:
(i) the exchange would have been eligible for
nonrecognition of gain or loss under Section 1031 of the
Internal Revenue Code in effect on January 1, 2017;
(ii) the exchange is not eligible for nonrecognition of gain or
loss under Section 1031 of the Internal Revenue Code; and
(iii) the taxpayer made an election to take deductions under
Section 179 of the Internal Revenue Code with regard to the
acquired property in the year that the property was placed
into service.
The amount of deductions allowable for an item of property
under this clause may not exceed the amount of adjusted gross
income realized on the property that would have been deferred
under the Internal Revenue Code in effect on January 1, 2017.
(8) Add to the extent required by IC 6-3-2-20:
(A) the amount of intangible expenses (as defined in
IC 6-3-2-20) for the taxable year that reduced the corporation's
taxable income (as defined in Section 63 of the Internal
Revenue Code) for federal income tax purposes; and
(B) any directly related interest expenses (as defined in
IC 6-3-2-20) that reduced the corporation's adjusted gross
income (determined without regard to this subdivision). For
purposes of this clause, any directly related interest expense
that constitutes business interest within the meaning of Section
163(j) of the Internal Revenue Code shall be considered to
have reduced the taxpayer's federal taxable income only in the
first taxable year in which the deduction otherwise would have
been allowable under Section 163 of the Internal Revenue
Code if the limitation under Section 163(j)(1) of the Internal
Revenue Code did not exist.
(9) Add an amount equal to any deduction for dividends paid (as
defined in Section 561 of the Internal Revenue Code) to
shareholders of a captive real estate investment trust (as defined
in section 34.5 of this chapter).
(10) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7 (certain income
derived from patents); and
(B) included in the corporation's taxable income under the
Internal Revenue Code.
(11) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
SEA 418(ts) 35
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(12) Add the amount excluded from federal gross income under
Section 103 of the Internal Revenue Code for interest received on
an obligation of a state other than Indiana, or a political
subdivision of such a state, that is acquired by the taxpayer after
December 31, 2011.
(13) For taxable years beginning after December 25, 2016:
(A) for a corporation other than a real estate investment trust,
add:
(i) an amount equal to the amount reported by the taxpayer
on IRC 965 Transition Tax Statement, line 1; or
(ii) if the taxpayer deducted an amount under Section 965(c)
of the Internal Revenue Code in determining the taxpayer's
taxable income for purposes of the federal income tax, the
amount deducted under Section 965(c) of the Internal
Revenue Code; and
(B) for a real estate investment trust, add an amount equal to
the deduction for deferred foreign income that was claimed by
the taxpayer for the taxable year under Section 965(c) of the
Internal Revenue Code, but only to the extent that the taxpayer
included income pursuant to Section 965 of the Internal
Revenue Code in its taxable income for federal income tax
purposes or is required to add back dividends paid under
subdivision (9).
(14) Add an amount equal to the deduction that was claimed by
the taxpayer for the taxable year under Section 250(a)(1)(B) of the
Internal Revenue Code (attributable to global intangible
low-taxed income). The taxpayer shall separately specify the
amount of the reduction under Section 250(a)(1)(B)(i) of the
Internal Revenue Code and under Section 250(a)(1)(B)(ii) of the
Internal Revenue Code.
(15) Subtract any interest expense paid or accrued in the current
taxable year but not deducted as a result of the limitation imposed
SEA 418(ts) 36
under Section 163(j)(1) of the Internal Revenue Code. Add any
interest expense paid or accrued in a previous taxable year but
allowed as a deduction under Section 163 of the Internal Revenue
Code in the current taxable year. For purposes of this subdivision,
an interest expense is considered paid or accrued only in the first
taxable year the deduction would have been allowable under
Section 163 of the Internal Revenue Code if the limitation under
Section 163(j)(1) of the Internal Revenue Code did not exist.
(16) Subtract the amount that would have been excluded from
gross income but for the enactment of Section 118(b)(2) of the
Internal Revenue Code for taxable years ending after December
22, 2017.
(17) Add an amount equal to the remainder of:
(A) the amount allowable as a deduction under Section 274(n)
of the Internal Revenue Code; minus
(B) the amount otherwise allowable as a deduction under
Section 274(n) of the Internal Revenue Code, if Section
274(n)(2)(D) of the Internal Revenue Code was not in effect
for amounts paid or incurred after December 31, 2020.
(18) For taxable years ending after March 12, 2020, subtract an
amount equal to the deduction disallowed pursuant to:
(A) Section 2301(e) of the CARES Act (Public Law 116-136),
as modified by Sections 206 and 207 of the Taxpayer Certainty
and Disaster Relief Tax Act (Division EE of Public Law
116-260); and
(B) Section 3134(e) of the Internal Revenue Code.
(19) For taxable years beginning after December 31, 2022,
subtract an amount equal to the deduction disallowed under
Section 280C(h) of the Internal Revenue Code.
(19) (20) Add or subtract any other amounts the taxpayer is:
(A) required to add or subtract; or
(B) entitled to deduct;
under IC 6-3-2.
(c) The following apply to taxable years beginning after December
31, 2018, for purposes of the add back of any deduction allowed on the
taxpayer's federal income tax return for wagering taxes, as provided in
subsection (a)(2) if the taxpayer is an individual or subsection (b)(3) if
the taxpayer is a corporation:
(1) For taxable years beginning after December 31, 2018, and
before January 1, 2020, a taxpayer is required to add back under
this section eighty-seven and five-tenths percent (87.5%) of any
deduction allowed on the taxpayer's federal income tax return for
SEA 418(ts) 37
wagering taxes.
(2) For taxable years beginning after December 31, 2019, and
before January 1, 2021, a taxpayer is required to add back under
this section seventy-five percent (75%) of any deduction allowed
on the taxpayer's federal income tax return for wagering taxes.
(3) For taxable years beginning after December 31, 2020, and
before January 1, 2022, a taxpayer is required to add back under
this section sixty-two and five-tenths percent (62.5%) of any
deduction allowed on the taxpayer's federal income tax return for
wagering taxes.
(4) For taxable years beginning after December 31, 2021, and
before January 1, 2023, a taxpayer is required to add back under
this section fifty percent (50%) of any deduction allowed on the
taxpayer's federal income tax return for wagering taxes.
(5) For taxable years beginning after December 31, 2022, and
before January 1, 2024, a taxpayer is required to add back under
this section thirty-seven and five-tenths percent (37.5%) of any
deduction allowed on the taxpayer's federal income tax return for
wagering taxes.
(6) For taxable years beginning after December 31, 2023, and
before January 1, 2025, a taxpayer is required to add back under
this section twenty-five percent (25%) of any deduction allowed
on the taxpayer's federal income tax return for wagering taxes.
(7) For taxable years beginning after December 31, 2024, and
before January 1, 2026, a taxpayer is required to add back under
this section twelve and five-tenths percent (12.5%) of any
deduction allowed on the taxpayer's federal income tax return for
wagering taxes.
(8) For taxable years beginning after December 31, 2025, a
taxpayer is not required to add back under this section any amount
of a deduction allowed on the taxpayer's federal income tax return
for wagering taxes.
(d) In the case of life insurance companies (as defined in Section
816(a) of the Internal Revenue Code) that are organized under Indiana
law, the same as "life insurance company taxable income" (as defined
in Section 801 of the Internal Revenue Code), adjusted as follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Add an amount equal to any deduction allowed or allowable
under Section 170 of the Internal Revenue Code (concerning
charitable contributions).
(3) Add an amount equal to a deduction allowed or allowable
SEA 418(ts) 38
under Section 805 or Section 832(c) of the Internal Revenue Code
for taxes based on or measured by income and levied at the state
level by any state.
(4) Subtract an amount equal to the amount included in the
company's taxable income under Section 78 of the Internal
Revenue Code (concerning foreign tax credits).
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(6) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code (concerning net operating
losses).
(7) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding the sum of:
(A) twenty-five thousand dollars ($25,000) to the extent
deductions under Section 179 of the Internal Revenue Code
were not elected as provided in clause (B); and
(B) for taxable years beginning after December 31, 2017, the
deductions elected under Section 179 of the Internal Revenue
Code on property acquired in an exchange if:
(i) the exchange would have been eligible for
nonrecognition of gain or loss under Section 1031 of the
Internal Revenue Code in effect on January 1, 2017;
(ii) the exchange is not eligible for nonrecognition of gain or
loss under Section 1031 of the Internal Revenue Code; and
(iii) the taxpayer made an election to take deductions under
Section 179 of the Internal Revenue Code with regard to the
acquired property in the year that the property was placed
into service.
The amount of deductions allowable for an item of property
SEA 418(ts) 39
under this clause may not exceed the amount of adjusted gross
income realized on the property that would have been deferred
under the Internal Revenue Code in effect on January 1, 2017.
(8) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7 (certain income
derived from patents); and
(B) included in the insurance company's taxable income under
the Internal Revenue Code.
(9) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(10) Add an amount equal to any exempt insurance income under
Section 953(e) of the Internal Revenue Code that is active
financing income under Subpart F of Subtitle A, Chapter 1,
Subchapter N of the Internal Revenue Code.
(11) Add the amount excluded from federal gross income under
Section 103 of the Internal Revenue Code for interest received on
an obligation of a state other than Indiana, or a political
subdivision of such a state, that is acquired by the taxpayer after
December 31, 2011.
(12) For taxable years beginning after December 25, 2016, add:
(A) an amount equal to the amount reported by the taxpayer on
IRC 965 Transition Tax Statement, line 1; or
(B) if the taxpayer deducted an amount under Section 965(c)
of the Internal Revenue Code in determining the taxpayer's
taxable income for purposes of the federal income tax, the
amount deducted under Section 965(c) of the Internal Revenue
Code.
(13) Add an amount equal to the deduction that was claimed by
the taxpayer for the taxable year under Section 250(a)(1)(B) of the
Internal Revenue Code (attributable to global intangible
low-taxed income). The taxpayer shall separately specify the
SEA 418(ts) 40
amount of the reduction under Section 250(a)(1)(B)(i) of the
Internal Revenue Code and under Section 250(a)(1)(B)(ii) of the
Internal Revenue Code.
(14) Subtract any interest expense paid or accrued in the current
taxable year but not deducted as a result of the limitation imposed
under Section 163(j)(1) of the Internal Revenue Code. Add any
interest expense paid or accrued in a previous taxable year but
allowed as a deduction under Section 163 of the Internal Revenue
Code in the current taxable year. For purposes of this subdivision,
an interest expense is considered paid or accrued only in the first
taxable year the deduction would have been allowable under
Section 163 of the Internal Revenue Code if the limitation under
Section 163(j)(1) of the Internal Revenue Code did not exist.
(15) Subtract the amount that would have been excluded from
gross income but for the enactment of Section 118(b)(2) of the
Internal Revenue Code for taxable years ending after December
22, 2017.
(16) Add an amount equal to the remainder of:
(A) the amount allowable as a deduction under Section 274(n)
of the Internal Revenue Code; minus
(B) the amount otherwise allowable as a deduction under
Section 274(n) of the Internal Revenue Code, if Section
274(n)(2)(D) of the Internal Revenue Code was not in effect
for amounts paid or incurred after December 31, 2020.
(17) For taxable years ending after March 12, 2020, subtract an
amount equal to the deduction disallowed pursuant to:
(A) Section 2301(e) of the CARES Act (Public Law 116-136),
as modified by Sections 206 and 207 of the Taxpayer Certainty
and Disaster Relief Tax Act (Division EE of Public Law
116-260); and
(B) Section 3134(e) of the Internal Revenue Code.
(18) For taxable years beginning after December 31, 2022,
subtract an amount equal to the deduction disallowed under
Section 280C(h) of the Internal Revenue Code.
(18) (19) Add or subtract any other amounts the taxpayer is:
(A) required to add or subtract; or
(B) entitled to deduct;
under IC 6-3-2.
(e) In the case of insurance companies subject to tax under Section
831 of the Internal Revenue Code and organized under Indiana law, the
same as "taxable income" (as defined in Section 832 of the Internal
Revenue Code), adjusted as follows:
SEA 418(ts) 41
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Add an amount equal to any deduction allowed or allowable
under Section 170 of the Internal Revenue Code (concerning
charitable contributions).
(3) Add an amount equal to a deduction allowed or allowable
under Section 805 or Section 832(c) of the Internal Revenue Code
for taxes based on or measured by income and levied at the state
level by any state.
(4) Subtract an amount equal to the amount included in the
company's taxable income under Section 78 of the Internal
Revenue Code (concerning foreign tax credits).
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(6) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code (concerning net operating
losses).
(7) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding the sum of:
(A) twenty-five thousand dollars ($25,000) to the extent
deductions under Section 179 of the Internal Revenue Code
were not elected as provided in clause (B); and
(B) for taxable years beginning after December 31, 2017, the
deductions elected under Section 179 of the Internal Revenue
Code on property acquired in an exchange if:
(i) the exchange would have been eligible for
nonrecognition of gain or loss under Section 1031 of the
Internal Revenue Code in effect on January 1, 2017;
(ii) the exchange is not eligible for nonrecognition of gain or
SEA 418(ts) 42
loss under Section 1031 of the Internal Revenue Code; and
(iii) the taxpayer made an election to take deductions under
Section 179 of the Internal Revenue Code with regard to the
acquired property in the year that the property was placed
into service.
The amount of deductions allowable for an item of property
under this clause may not exceed the amount of adjusted gross
income realized on the property that would have been deferred
under the Internal Revenue Code in effect on January 1, 2017.
(8) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7 (certain income
derived from patents); and
(B) included in the insurance company's taxable income under
the Internal Revenue Code.
(9) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(10) Add an amount equal to any exempt insurance income under
Section 953(e) of the Internal Revenue Code that is active
financing income under Subpart F of Subtitle A, Chapter 1,
Subchapter N of the Internal Revenue Code.
(11) Add the amount excluded from federal gross income under
Section 103 of the Internal Revenue Code for interest received on
an obligation of a state other than Indiana, or a political
subdivision of such a state, that is acquired by the taxpayer after
December 31, 2011.
(12) For taxable years beginning after December 25, 2016, add:
(A) an amount equal to the amount reported by the taxpayer on
IRC 965 Transition Tax Statement, line 1; or
(B) if the taxpayer deducted an amount under Section 965(c)
of the Internal Revenue Code in determining the taxpayer's
taxable income for purposes of the federal income tax, the
SEA 418(ts) 43
amount deducted under Section 965(c) of the Internal Revenue
Code.
(13) Add an amount equal to the deduction that was claimed by
the taxpayer for the taxable year under Section 250(a)(1)(B) of the
Internal Revenue Code (attributable to global intangible
low-taxed income). The taxpayer shall separately specify the
amount of the reduction under Section 250(a)(1)(B)(i) of the
Internal Revenue Code and under Section 250(a)(1)(B)(ii) of the
Internal Revenue Code.
(14) Subtract any interest expense paid or accrued in the current
taxable year but not deducted as a result of the limitation imposed
under Section 163(j)(1) of the Internal Revenue Code. Add any
interest expense paid or accrued in a previous taxable year but
allowed as a deduction under Section 163 of the Internal Revenue
Code in the current taxable year. For purposes of this subdivision,
an interest expense is considered paid or accrued only in the first
taxable year the deduction would have been allowable under
Section 163 of the Internal Revenue Code if the limitation under
Section 163(j)(1) of the Internal Revenue Code did not exist.
(15) Subtract the amount that would have been excluded from
gross income but for the enactment of Section 118(b)(2) of the
Internal Revenue Code for taxable years ending after December
22, 2017.
(16) Add an amount equal to the remainder of:
(A) the amount allowable as a deduction under Section 274(n)
of the Internal Revenue Code; minus
(B) the amount otherwise allowable as a deduction under
Section 274(n) of the Internal Revenue Code, if Section
274(n)(2)(D) of the Internal Revenue Code was not in effect
for amounts paid or incurred after December 31, 2020.
(17) For taxable years ending after March 12, 2020, subtract an
amount equal to the deduction disallowed pursuant to:
(A) Section 2301(e) of the CARES Act (Public Law 116-136),
as modified by Sections 206 and 207 of the Taxpayer Certainty
and Disaster Relief Tax Act (Division EE of Public Law
116-260); and
(B) Section 3134(e) of the Internal Revenue Code.
(18) For taxable years beginning after December 31, 2022,
subtract an amount equal to the deduction disallowed under
Section 280C(h) of the Internal Revenue Code.
(18) (19) Add or subtract any other amounts the taxpayer is:
(A) required to add or subtract; or
SEA 418(ts) 44
(B) entitled to deduct;
under IC 6-3-2.
(f) In the case of trusts and estates, "taxable income" (as defined for
trusts and estates in Section 641(b) of the Internal Revenue Code)
adjusted as follows:
(1) Subtract income that is exempt from taxation under this article
by the Constitution and statutes of the United States.
(2) Subtract an amount equal to the amount of a September 11
terrorist attack settlement payment included in the federal
adjusted gross income of the estate of a victim of the September
11 terrorist attack or a trust to the extent the trust benefits a victim
of the September 11 terrorist attack.
(3) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that owns property for which bonus
depreciation was allowed in the current taxable year or in an
earlier taxable year equal to the amount of adjusted gross income
that would have been computed had an election not been made
under Section 168(k) of the Internal Revenue Code to apply bonus
depreciation to the property in the year that it was placed in
service.
(4) Add an amount equal to any deduction allowed under Section
172 of the Internal Revenue Code (concerning net operating
losses).
(5) Add or subtract the amount necessary to make the adjusted
gross income of any taxpayer that placed Section 179 property (as
defined in Section 179 of the Internal Revenue Code) in service
in the current taxable year or in an earlier taxable year equal to
the amount of adjusted gross income that would have been
computed had an election for federal income tax purposes not
been made for the year in which the property was placed in
service to take deductions under Section 179 of the Internal
Revenue Code in a total amount exceeding the sum of:
(A) twenty-five thousand dollars ($25,000) to the extent
deductions under Section 179 of the Internal Revenue Code
were not elected as provided in clause (B); and
(B) for taxable years beginning after December 31, 2017, the
deductions elected under Section 179 of the Internal Revenue
Code on property acquired in an exchange if:
(i) the exchange would have been eligible for
nonrecognition of gain or loss under Section 1031 of the
Internal Revenue Code in effect on January 1, 2017;
(ii) the exchange is not eligible for nonrecognition of gain or
SEA 418(ts) 45
loss under Section 1031 of the Internal Revenue Code; and
(iii) the taxpayer made an election to take deductions under
Section 179 of the Internal Revenue Code with regard to the
acquired property in the year that the property was placed
into service.
The amount of deductions allowable for an item of property
under this clause may not exceed the amount of adjusted gross
income realized on the property that would have been deferred
under the Internal Revenue Code in effect on January 1, 2017.
(6) Subtract income that is:
(A) exempt from taxation under IC 6-3-2-21.7 (certain income
derived from patents); and
(B) included in the taxpayer's taxable income under the
Internal Revenue Code.
(7) Add an amount equal to any income not included in gross
income as a result of the deferral of income arising from business
indebtedness discharged in connection with the reacquisition after
December 31, 2008, and before January 1, 2011, of an applicable
debt instrument, as provided in Section 108(i) of the Internal
Revenue Code. Subtract from the adjusted gross income of any
taxpayer that added an amount to adjusted gross income in a
previous year the amount necessary to offset the amount included
in federal gross income as a result of the deferral of income
arising from business indebtedness discharged in connection with
the reacquisition after December 31, 2008, and before January 1,
2011, of an applicable debt instrument, as provided in Section
108(i) of the Internal Revenue Code.
(8) Add the amount excluded from federal gross income under
Section 103 of the Internal Revenue Code for interest received on
an obligation of a state other than Indiana, or a political
subdivision of such a state, that is acquired by the taxpayer after
December 31, 2011.
(9) For taxable years beginning after December 25, 2016, add an
amount equal to:
(A) the amount reported by the taxpayer on IRC 965
Transition Tax Statement, line 1;
(B) if the taxpayer deducted an amount under Section 965(c)
of the Internal Revenue Code in determining the taxpayer's
taxable income for purposes of the federal income tax, the
amount deducted under Section 965(c) of the Internal Revenue
Code; and
(C) with regard to any amounts of income under Section 965
SEA 418(ts) 46
of the Internal Revenue Code distributed by the taxpayer, the
deduction under Section 965(c) of the Internal Revenue Code
attributable to such distributed amounts and not reported to the
beneficiary.
For purposes of this article, the amount required to be added back
under clause (B) is not considered to be distributed or
distributable to a beneficiary of the estate or trust for purposes of
Sections 651 and 661 of the Internal Revenue Code.
(10) Subtract any interest expense paid or accrued in the current
taxable year but not deducted as a result of the limitation imposed
under Section 163(j)(1) of the Internal Revenue Code. Add any
interest expense paid or accrued in a previous taxable year but
allowed as a deduction under Section 163 of the Internal Revenue
Code in the current taxable year. For purposes of this subdivision,
an interest expense is considered paid or accrued only in the first
taxable year the deduction would have been allowable under
Section 163 of the Internal Revenue Code if the limitation under
Section 163(j)(1) of the Internal Revenue Code did not exist.
(11) Add an amount equal to the deduction for qualified business
income that was claimed by the taxpayer for the taxable year
under Section 199A of the Internal Revenue Code.
(12) Subtract the amount that would have been excluded from
gross income but for the enactment of Section 118(b)(2) of the
Internal Revenue Code for taxable years ending after December
22, 2017.
(13) Add an amount equal to the remainder of:
(A) the amount allowable as a deduction under Section 274(n)
of the Internal Revenue Code; minus
(B) the amount otherwise allowable as a deduction under
Section 274(n) of the Internal Revenue Code, if Section
274(n)(2)(D) of the Internal Revenue Code was not in effect
for amounts paid or incurred after December 31, 2020.
(14) For taxable years beginning after December 31, 2017, and
before January 1, 2021, add an amount equal to the excess
business loss of the taxpayer as defined in Section 461(l)(3) of the
Internal Revenue Code. In addition:
(A) If a taxpayer has an excess business loss under this
subdivision and also has modifications under subdivisions (3)
and (5) for property placed in service during the taxable year,
the taxpayer shall treat a portion of the taxable year
modifications for that property as occurring in the taxable year
the property is placed in service and a portion of the
SEA 418(ts) 47
modifications as occurring in the immediately following
taxable year.
(B) The portion of the modifications under subdivisions (3)
and (5) for property placed in service during the taxable year
treated as occurring in the taxable year in which the property
is placed in service equals:
(i) the modification for the property otherwise determined
under this section; minus
(ii) the excess business loss disallowed under this
subdivision;
but not less than zero (0).
(C) The portion of the modifications under subdivisions (3)
and (5) for property placed in service during the taxable year
treated as occurring in the taxable year immediately following
the taxable year in which the property is placed in service
equals the modification for the property otherwise determined
under this section minus the amount in clause (B).
(D) Any reallocation of modifications between taxable years
under clauses (B) and (C) shall be first allocated to the
modification under subdivision (3), then to the modification
under subdivision (5).
(15) For taxable years ending after March 12, 2020, subtract an
amount equal to the deduction disallowed pursuant to:
(A) Section 2301(e) of the CARES Act (Public Law 116-136),
as modified by Sections 206 and 207 of the Taxpayer Certainty
and Disaster Relief Tax Act (Division EE of Public Law
116-260); and
(B) Section 3134(e) of the Internal Revenue Code.
(16) For taxable years beginning after December 31, 2022,
subtract an amount equal to the deduction disallowed under
Section 280C(h) of the Internal Revenue Code.
(16) (17) Add or subtract any other amounts the taxpayer is:
(A) required to add or subtract; or
(B) entitled to deduct;
under IC 6-3-2.
(g) Subsections (a)(34), (b)(19), (d)(18), (e)(18), or (f)(16) (a)(35),
(b)(20), (d)(19), (e)(19), or (f)(17) may not be construed to require an
add back or allow a deduction or exemption more than once for a
particular add back, deduction, or exemption.
(h) For taxable years beginning after December 25, 2016, if:
(1) a taxpayer is a shareholder, either directly or indirectly, in a
corporation that is an E&P deficit foreign corporation as defined
SEA 418(ts) 48
in Section 965(b)(3)(B) of the Internal Revenue Code, and the
earnings and profit deficit, or a portion of the earnings and profit
deficit, of the E&P deficit foreign corporation is permitted to
reduce the federal adjusted gross income or federal taxable
income of the taxpayer, the deficit, or the portion of the deficit,
shall also reduce the amount taxable under this section to the
extent permitted under the Internal Revenue Code, however, in no
case shall this permit a reduction in the amount taxable under
Section 965 of the Internal Revenue Code for purposes of this
section to be less than zero (0); and
(2) the Internal Revenue Service issues guidance that such an
income or deduction is not reported directly on a federal tax
return or is to be reported in a manner different than specified in
this section, this section shall be construed as if federal adjusted
gross income or federal taxable income included the income or
deduction.
(i) If a partner is required to include an item of income, a deduction,
or another tax attribute in the partner's adjusted gross income tax return
pursuant to IC 6-3-4.5, such item shall be considered to be includible
in the partner's federal adjusted gross income or federal taxable
income, regardless of whether such item is actually required to be
reported by the partner for federal income tax purposes. For purposes
of this subsection:
(1) items for which a valid election is made under IC 6-3-4.5-6,
IC 6-3-4.5-8, or IC 6-3-4.5-9 shall not be required to be included
in the partner's adjusted gross income or taxable income; and
(2) items for which the partnership did not make an election under
IC 6-3-4.5-6, IC 6-3-4.5-8, or IC 6-3-4.5-9, but for which the
partnership is required to remit tax pursuant to IC 6-3-4.5-18,
shall be included in the partner's adjusted gross income or taxable
income.
SECTION 7. IC 6-3-4.5-1, AS AMENDED BY P.L.137-2022,
SECTION 41, AND AS AMENDED BY P.L.138-2022, SECTION 6,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 1. The following definitions apply
throughout this chapter:
(1) "Adjustment year" means the partnership taxable year
described in Section 6225(d)(2) of the Internal Revenue Code.
(2) "Administrative adjustment request" means an administrative
adjustment request filed by a partnership under Section 6227 of
the Internal Revenue Code.
(3) "Affected year" means any taxable year for a taxpayer that is
SEA 418(ts) 49
affected by an adjustment under this chapter, regardless of
whether the partnership has received an adjustment for that
taxable year.
(4) "Audited partnership" means a partnership subject to a
partnership level audit resulting in a federal adjustment.
(5) "Corporate partner" means a partner that is subject to the state
adjusted gross income tax under IC 6-3-2-1(b) IC 6-3-2-1(c) or
the financial institutions tax under IC 6-5.5-2-1. In the case of a
partner that is a corporation described in IC 6-3-2-2.8(2) that also
is subject to tax under IC 6-3-2-1(b), IC 6-3-2-1(c), the
corporation is a corporate partner only to the extent that its
income is subject to tax under IC 6-3-2-1(b). IC 6-3-2-1(c).
(6) "Direct partner" means a partner that holds an interest directly
in a partnership or pass through entity.
(7) "Exempt partner" means a partner that is exempt from the
adjusted gross income tax under IC 6-3-2-2.8(1) or the financial
institutions tax under IC 6-5.5-2-7(4), except to the extent of
unrelated business taxable income.
(8) "Federal adjustment" means a change to an item or amount
determined under the Internal Revenue Code or a change to any
other tax attribute that is used by a taxpayer to compute state
adjusted gross income taxes or financial institutions tax owed,
whether that change results from action by the Internal Revenue
Service, including a partnership level audit, or the filing of an
amended federal return, a federal refund claim, or an
administrative adjustment request by the taxpayer. A federal
adjustment is positive to the extent that it increases state adjusted
gross income as determined under IC 6-3 or IC 6-5.5 and is
negative to the extent that it decreases state adjusted gross income
as determined under IC 6-3 or IC 6-5.5.
(9) "Federal adjustment reports" includes methods or forms
required by the department for use by a taxpayer to report final
federal adjustments for purposes of this chapter, including an
amended Indiana tax return, information return, or uniform
multistate report.
(10) "Federal partnership representative" means a person the
partnership designates for the taxable year as the partnership's
representative, or the person the Internal Revenue Service has
appointed to act as the federal partnership representative,
pursuant to Section 6223(a) of the Internal Revenue Code.
(11) "Final determination date" means the following:
(A) Except as provided in clause (B) or (C), if the federal
SEA 418(ts) 50
adjustment arises from an Internal Revenue Service audit or
other action by the Internal Revenue Service, the final
determination date is the date on which the federal adjustment
is a final determination under IC 6-3-4-6(d).
(B) For federal adjustments arising from an Internal Revenue
Service audit or other action by the Internal Revenue Service,
if the taxpayer filed as a member of a consolidated tax return
filed under IC 6-3-4-14, a combined return filed under
IC 6-3-2-2 or IC 6-5.5-5-1, or a return combined by the
department under IC 6-3-2-2(p), the final determination date
means the first date on which no related federal adjustments
arising from that audit remain to be finally determined, as
described in clause (A), for the entire group.
(C) If the federal adjustment results from filing an amended
federal return, a federal refund claim, or an administrative
adjustment request, the final determination date means the day
on which the amended return, refund claim, administrative
adjustment request, or other similar report was filed.
(12) "Final federal adjustment" means a federal adjustment after
the final determination date for that federal adjustment has
passed.
(13) "Indirect partner" means a partner in a partnership or pass
through entity that itself holds an interest directly, or through
another indirect partner, in a partnership or pass through entity.
(14) "Internal Revenue Code" has the meaning set forth in
IC 6-3-1-11.
(15) "Nonresident partner" has the meaning provided in
IC 6-3-4-12(n).
(16) "Partner" means a person or entity that holds an interest
directly or indirectly in a partnership or other pass through entity.
(17) "Partner level adjustments report" means a report provided
by a partnership to its partners as a result of a department action
with regard to the partnership. A partner level adjustments report
does not include an amended statement provided by a partnership
or other entity as a result of an adjustment reported by the
partnership.
(18) "Partnership" has the meaning set forth in IC 6-3-1-19.
(19) "Partnership level audit" means an examination by the
Internal Revenue Service at the partnership level under Sections
6221 through 6241 of the Internal Revenue Code, as enacted by
the Bipartisan Budget Act of 2015, Public Law 114-74, which
results in federal adjustments.
SEA 418(ts) 51
(20) "Partnership return" means a return required to be filed by a
partnership pursuant to IC 6-3-4-10. In the case of a partnership
that is required to withhold tax or file a composite return pursuant
to IC 6-3-4-12 or IC 6-5.5-2-8, the term also includes the returns
or schedules required for tax withholding or composite filing.
(21) "Pass through entity" means an entity defined in IC 6-3-1-35,
other than a partnership, that is not subject to tax under IC 6-3.
(22) "Reallocation adjustment" means a federal adjustment
resulting from a partnership level audit or an administrative
adjustment request that changes the shares of one (1) or more
items of partnership income, gain, loss, expense, or credit
allocated to direct partners. A positive reallocation adjustment
means the portion of a reallocation adjustment that would
increase federal adjusted gross income or federal taxable income
for one (1) or more direct partners, and a negative reallocation
adjustment means the portion of a reallocation adjustment that
would decrease federal adjusted gross income or federal taxable
income for one (1) or more direct partners, according to Section
6225 of the Internal Revenue Code and the regulations under that
section.
(23) "Resident partner" means a partner that is not a nonresident
partner.
(24) "Review year" means the taxable year of a partnership that
is subject to a partnership level audit, an administrative
adjustment request, or an amended federal return that results in
federal adjustments, regardless of whether any federal tax
determined to be due is the responsibility of the partnership or
partners.
(25) "Statement" means a form or schedule prescribed by the
department through which a partnership or pass through entity
reports tax attributes to its owners or beneficiaries.
(26) "Tax attribute" means any item of income, deduction, credit,
receipts for apportionment, or other amount or status that
determines a partner's liability under IC 6-3, IC 6-3.6, or IC 6-5.5.
(27) "Taxable year" means, in the case of a partnership, the year
or partial year for which a partnership files a return for state and
federal purposes and, in the case of a partner, the taxable year in
which the partner reports tax attributes from the partnership.
(28) "Taxpayer" has the meaning set forth in IC 6-3-1-15 (in the
case of the adjusted gross income tax) and IC 6-5.5-1-17 (in the
case of the financial institutions tax) and, unless the context
clearly indicates otherwise, includes a partnership subject to a
SEA 418(ts) 52
partnership level audit or a partnership that has made an
administrative adjustment request, as well as a tiered partner of
that partnership.
(29) "Tiered partner" means any partner that is a partnership or
pass through entity.
(30) "Unrelated business taxable income" has the meaning set
forth in Section 512 of the Internal Revenue Code.
SECTION 8. IC 6-3-4.5-9, AS AMENDED BY P.L.137-2022,
SECTION 46, AND AS AMENDED BY P.L.138-2022, SECTION 7,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 9. (a) Partnerships and partners
shall report final federal adjustments arising from a partnership level
audit or an administrative adjustment request and make payments as
required under this section.
(b) Final federal adjustments subject to the requirements of this
section, except those subject to a properly made election under
subsection (c), shall be reported as follows:
(1) Not later than the applicable deadline, the partnership shall:
(A) file an amended partnership return for the review year and
any other taxable year affected by the final federal adjustments
with the department as provided in section 8 of this chapter
and provide any other information required by the department;
(B) notify each of its direct partners of their distributive share
of the final federal adjustments as provided in section 8 of this
chapter for all affected taxable years for which the partnership
filed an amended partnership return by an amended statement
or a report in the form and manner prescribed by the
department; and
(C) file an amended composite return for direct partners and
an amended withholding return for direct partners for the
review year and any affected taxable years as otherwise
required by IC 6-3-4-12 or IC 6-5.5-2-8 and pay any tax due
for the taxable years.
(2) Each direct partner that is subject to tax under IC 6-3,
IC 6-3.6, or IC 6-5.5 shall, on or before the applicable deadline:
(A) file an amended return as provided in section 8 of this
chapter reporting their distributive share of the adjustments
reported to them under subdivision (1)(B) for the taxable year
in which affected taxable year attributes would be reported by
the direct partner as provided in section 8 of this chapter; and
(B) pay any additional amount of tax due as if final federal
partnership adjustments had been properly reported, less any
SEA 418(ts) 53
credit for related amounts paid or withheld and remitted on
behalf of the direct partner.
(3) Each tiered partner shall treat any final federal partnership
adjustments under this section in a manner consistent with the
treatment of tiered partners under section 8 of this chapter.
(c) Except as provided in subsection (d), an audited partnership
making an election under this subsection shall:
(1) not later than the applicable deadline, file an amended
partnership return for the review year and for any other affected
taxable year elected by the audited partnership, including
information as required by the department, and notify the
department that it is making the election under this subsection;
and
(2) not later than ninety (90) days after the applicable deadline,
pay an amount, determined as follows, in lieu of taxes owed by its
direct or indirect partners:
(A) Exclude from final federal adjustments the distributive
share of these adjustments reported to a direct exempt partner
that is not unrelated business income.
(B) For the total distributive shares of the remaining final
federal adjustments reported to direct corporate partners and
to direct exempt partners, apportion and allocate such
adjustments as provided under IC 6-3-2-2 or IC 6-3-2-2.2 (in
the case of the adjusted gross income tax) or IC 6-5.5-4 (in the
case of the financial institutions tax), and multiply the
resulting amount by the tax rate for the taxable year under
IC 6-3-2-1(b), IC 6-3-2-1(c), IC 6-3-2-1.5, or IC 6-5.5-2-1, as
applicable.
(C) For the total distributive shares of the remaining final
federal adjustments reported to nonresident direct partners
other than tiered partners or corporate partners, determine the
amount of such adjustments which is Indiana source income
under IC 6-3-2-2 or IC 6-3-2-2.2, and multiply the resulting
amount by the tax rate under IC 6-3-2-1(a), IC 6-3-2-1(b), and
if applicable IC 6-3.6. If a partnership is unable to determine
whether a nonresident is subject to tax under IC 6-3.6, or to
determine in what county the nonresident is subject to tax
under IC 6-3.6, tax shall also be imposed at the highest rate for
which a county imposes a tax under IC 6-3.6 for the taxable
year.
(D) For the total distributive shares of the remaining final
federal adjustments reported to tiered partners:
SEA 418(ts) 54
(i) determine the amount of any adjustment that is of a type
that it would be subject to sourcing in Indiana under
IC 6-3-2-2, IC 6-3-2-2.2, or IC 6-5.5-4, as applicable, and
determine the portion of this amount that would be sourced
to Indiana;
(ii) determine the amount of any adjustment that is of a type
that it would not be subject to sourcing to Indiana by a
nonresident partner under IC 6-3-2-2, IC 6-3-2-2.2, or
IC 6-5.5-4, as applicable;
(iii) determine the portion of the amount determined under
item (ii) that can be established, as prescribed by the
department by rule under IC 4-22-2, to be properly allocable
to nonresident indirect partners or other partners not subject
to tax on the adjustments; and
(iv) multiply the sum of the amounts determined in items (i)
and (ii) reduced by the amount determined in item (iii) by
the highest combined rate for the review taxable year under
IC 6-3-2-1(a) IC 6-3-2-1(b) and IC 6-3.6 for any county, the
rate under IC 6-3-2-1(b), IC 6-3-2-1(c), or the rate under
6-5.5-2-1 for the taxable year, whichever is highest.
(E) For the total distributive shares of the remaining final
federal adjustments reported to resident individual, estate, or
trust direct partners, multiply that amount by the tax rate under
IC 6-3-2-1(a) IC 6-3-2-1(b) and IC 6-3.6. If a partnership does
not reasonably ascertain the county of residence for an
individual direct partner, the rate under IC 6-3.6 for that
partner shall be treated as the highest rate imposed in any
county under IC 6-3.6 for the taxable year.
(F) Add an amount equal to any credit reduction under
IC 6-3-3, IC 6-3.1, and IC 6-5.5 attributable as a result of
final federal adjustments.
(F) (G) Add the amounts determined in clauses (B), (C),
(D)(iv), and (E), and (F). For purposes of determining interest
and penalties, the due date of payment shall be the due date of
the partnership's return under IC 6-3-4-10 for the taxable year,
determined without regard to any extensions.
If a partnership has made an election under this chapter to report and
remit all tax otherwise due at the partnership level for a taxable year,
the partnership shall be considered to have made a timely election
under this subsection with regard to any changes arising from an
amended return under this section for that taxable year.
(d) Final federal adjustments subject to an election under subsection
SEA 418(ts) 55
(c) shall not include:
(1) the distributive share of final federal adjustments that would
constitute income derived from a partnership to any direct or
indirect partner that is a corporation taxable under IC 6-3-2-1(b),
IC 6-3-2-1(c), IC 6-3-2-1.5, or IC 6-5.5-2-1 and is considered
unitary to the partnership;
(2) any final federal adjustments resulting from an administrative
adjustment request; or
(3) any other circumstances that the department determines would
result in avoidance or evasion of any tax otherwise due from one
(1) or more partners under IC 6-3 or IC 6-5.5.
(e) Notwithstanding IC 6-3-4-11, an audited partnership not
otherwise subject to any reporting or payment obligations to Indiana
that makes an election under subsection (c) consents to be subject to
Indiana law related to reporting, assessment, payment, and collection
of Indiana tax calculated under the election.
SECTION 9. IC 6-3-4.5-18, AS AMENDED BY P.L.137-2022,
SECTION 50, AND AS AMENDED BY P.L.138-2022, SECTION 8,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 18. (a) If a partnership or tiered
partner is required to issue a report, issue an amended statement, or
issue other information to a partner, owner, or beneficiary under this
chapter, and does not issue such report, statement, or information
within the period such issuance is required under this chapter, the
partnership or tiered partner shall be liable for any tax that otherwise
may be due from the partner, owner, or beneficiary, notwithstanding
any other provision in IC 6-3 or IC 6-5.5. The tax rate under this
section shall be computed at the highest rate for the taxable year under:
(1) IC 6-3-2-1(a), IC 6-3-2-1(b), plus the highest rate imposed in
any county under IC 6-3.6;
(2) IC 6-3-2-1(b); IC 6-3-2-1(c); or
(3) IC 6-5.5-2-1;
unless the partnership or tiered partner can establish that a lower rate
should apply, the partnership or tiered partner has made an election to
be subject to tax under sections 6, 8, or 9 of this chapter, or to the
extent the partnership, tiered partner, or the department can determine
that the tax was otherwise properly reported and remitted. Such tax
shall be considered to be due on the due date of the partnership's or
tiered partner's return for the taxable year, determined without regard
to extensions.
(b) If a partnership or tiered partner issues the report, amended
statement, or other information:
SEA 418(ts) 56
(1) to an address that the partnership or tiered partner knows or
reasonably should know is incorrect; or
(2) if the report, amended statement, or other information not
described in subdivision (1) is returned and the partnership or
tiered partner:
(A) fails to take reasonable steps to determine a proper address
for reissuance within thirty (30) days after the report, amended
statement, or other information is returned; or
(B) takes such steps and fails to reissue the report, amended
statement, or other information to a proper address within
thirty (30) days after the report, amended statement, or other
information is returned;
such report, amended statement, or other information shall be
considered to have not been issued for purposes of this section.
(c) The department may issue a proposed assessment under this
section not later than three (3) years after the department receives a
return or amended return from the partnership or tiered partner for
which the partnership or tiered partner fails to issue reports, amended
statements, or other information, or from the date a partnership is
required to issue partner level adjustments reports to its partners.
(d) If:
(1) a direct or indirect partner files and remits the tax otherwise
due under this section, the assessment to the partnership or tiered
partner under this section shall be reduced by the portion of the
tax attributable to the direct or indirect partner; and
(2) a partnership or tiered partner files and remits the tax under
this section, such tax shall be treated as payment of tax to the
direct or indirect partners. However, in no event shall the direct
or indirect partners be permitted a refund of tax paid by a
partnership or tiered partner under this section unless otherwise
permitted under this chapter or IC 6-8.1-9-1.
(e) Nothing in this section shall be construed to relieve a partnership
or tiered partner from any duty to issue a report, amended statement, or
other information otherwise required under this chapter or under any
other provision of IC 6-3 or IC 6-5.5. If a partnership or tiered partner
issues a report, amended statement, or other information provided
under this chapter after the date otherwise required for issuance, the
department may grant relief to any tiered partner, direct partner, or
indirect partner affected by the late issuance, including extension of
applicable deadlines.
SECTION 10. IC 8-23-20-25.6, AS AMENDED BY P.L.97-2022,
SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
SEA 418(ts) 57
JULY 1, 2022]: Sec. 25.6. (a) As used in this section, "market area"
means a point within the same county as the prior location of an
outdoor advertising sign.
(b) This section applies only to an outdoor advertising sign located
along the interstate and primary system, as defined in 23 U.S.C. 131(t)
on June 1, 1991, or any other highway where control of outdoor
advertising signs is required under 23 U.S.C. 131.
(c) If an outdoor advertising sign is no longer visible or becomes
obstructed, or must be moved or removed, due to a noise abatement or
safety measure, grade changes, construction, directional sign, highway
widening, or aesthetic improvement made by any agency of the state
along the interstate and primary system or any other highway, the
owner or operator of the outdoor advertising sign, to the extent allowed
by federal or state law, may:
(1) elevate a conforming outdoor advertising sign; or
(2) relocate a conforming or nonconforming outdoor advertising
sign to a point within the market area, if the new location of the
outdoor advertising sign complies with the applicable spacing
requirements and is located in land zoned for commercial or
industrial purposes or unzoned areas used for commercial or
industrial purposes.
(d) If within one (1) year of an action being filed under IC 32-24, an
owner can demonstrate that the owner has made good faith efforts to
relocate a conforming or nonconforming outdoor advertising sign to a
conforming location within the market area, but the owner has not
obtained a new conforming location, the outdoor advertising sign will
be treated as if it cannot be relocated within the market area.
Notwithstanding subsection (e) and IC 8-23-20.5, if an outdoor
advertising sign cannot be elevated or relocated to a conforming
location and elevation within the market area, the removal or relocation
of the outdoor advertising sign constitutes a taking of a property
interest and the owner must be compensated under section 27 of this
chapter. Notwithstanding subsections (d) and (g), if a conforming
outdoor advertising sign cannot be elevated or relocated within the
market area, the removal or relocation of the conforming outdoor
advertising sign constitutes a total taking of a real property interest,
including the sign structure, and the owner must be compensated under
section 27 of this chapter.
(e) The county or municipality, under IC 36-7-4, may, if necessary,
provide for the elevation or relocation by ordinance for a special
exception to the zoning ordinance of the county or municipality.
(f) The elevated outdoor advertising sign or outdoor advertising sign
SEA 418(ts) 58
to be relocated, to the extent allowed by federal or state law, may be
modified:
(1) to elevate the sign to make the entire advertising content of the
sign visible;
(2) to an angle to make the entire advertising content of the sign
visible; and
(3) in size or material type, at the expense of:
(A) the owner, if the modification in size or material type of
the outdoor advertising sign is by choice of the owner; or
(B) the department, if the modification in size or material type
of the outdoor advertising sign is required for the outdoor
advertising sign to comply with IC 22-13.
(g) This section does not exempt an owner or operator of a sign from
submitting to the department any application or fee required by law.
(h) At least twelve (12) months before the filing of an eminent
domain action to acquire an outdoor advertising sign under IC 32-24,
the department must provide written notice to the representative of the
sign owner identified on the outdoor advertising sign permit that is on
file with the Indiana department of transportation that a project has
been planned that may impact the outdoor advertising sign.
(i) If the agency fails to provide notice required by subsection (h)
within twelve (12) months of an action being filed against an owner
under IC 32-24, the owner may receive reasonable compensation for
losses associated with the failure to receive timely notice. However,
failure to send notice required by subsection (h) is not a basis of an
objection to a proceeding under IC 32-24-1-8.
SECTION 11. IC 16-19-3-27.5, AS AMENDED BY P.L.143-2022,
SECTION 27, AND AS AMENDED BY P.L.167-2022, SECTION 4,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 27.5. (a) As used in this section,
"technology new to Indiana" (referred to in this section as "TNI")
means sewage treatment or disposal methods, processes, or equipment
that are not described in the administrative rules of the state department
or the executive board concerning residential onsite sewage systems
(410 IAC 6-8.3) or commercial onsite sewage systems (410
IAC 6-10.1).
(b) The state department shall establish and maintain a technical
review panel consisting of individuals with technical or scientific
knowledge relating to onsite sewage systems. The technical review
panel shall:
(1) decide under subsection (f) whether to approve:
(A) proprietary residential wastewater treatment devices; and
SEA 418(ts) 59
(B) proprietary commercial wastewater treatment devices;
for general use in Indiana;
(2) biannually review the performance of residential septic
systems and commercial onsite sewage systems;
(3) assist the state department in developing standards and
guidelines for proprietary residential wastewater treatment
devices and proprietary commercial wastewater treatment
devices; and
(4) assist the executive board and the state department in updating
rules adopted under sections section 4 and 5 of this chapter
concerning residential septic systems and commercial onsite
sewage systems.
(c) The technical review panel shall include the following:
(1) A member of the staff of the state department, who shall serve
as the chair.
(2) A local health department environmental health specialist
appointed by the governor.
(3) An Indiana professional engineer registered under IC 25-31-1
representing the American Council of Engineering Companies.
(4) A representative of the Indiana Builders Association.
(5) An Indiana registered professional soil scientist (as defined in
IC 25-31.5-1-6) representing the Indiana Registry of Soil
Scientists.
(6) A representative of an Indiana college or university with a
specialty in engineering, soil science, environmental health, or
biology appointed by the governor.
(7) A representative of the Indiana Onsite Wastewater
Professionals Association.
(8) An Indiana onsite sewage system contractor appointed by the
governor.
(9) A representative of the Indiana State Building and
Construction Trades Council.
All members of the technical review panel are voting members.
(d) In the case of a tie vote of the technical review panel, the
technical review panel shall, not more than seven (7) days after the day
of the tie vote:
(1) contact the applicant by phone call and by mail; and
(2) request more information or provide an explanation of how the
applicant can modify the application to make it more complete.
The technical review panel shall review any new information provided
by the applicant and vote again on the application not more than thirty
(30) days after receiving the information.
SEA 418(ts) 60
(e) The technical review panel shall do the following:
(1) Receive applications for the approval of TNI for general use
in:
(A) residential septic systems under sections 4 and 5 of this
chapter, section 27 of this chapter and IC 16-41-25; and
(B) commercial onsite sewage systems under sections 4 and 5
of this chapter, section 27 of this chapter and IC 16-19-3.5.
(2) Meet at least four (4) times per year to review applications
described in subdivision (1).
(3) Notify each person who submits an application described in
subdivision (1):
(A) that the person's application has been received by the
technical review panel; and
(B) of whether the application is complete;
not later than thirty (30) days after the technical review panel
receives the application.
(4) Inform each person who submits an application described in
subdivision (1) of:
(A) a tentative decision of the technical review panel; or
(B) the technical review panel's final decision under
subsection (f);
concerning the application not more than ninety (90) days after
the technical review panel notifies the person under subdivision
(3) that the panel has received the person's application.
(f) In response to each application described in subsection (e)(1),
the technical review panel shall make, and inform the applicant of, one
(1) of the following final decisions:
(1) That the TNI to which the application relates is approved for
general use in Indiana.
(2) That the TNI to which the application relates is approved for
use in Indiana with certain conditions, which may include:
(A) a requirement that the TNI be used initially only in a pilot
project;
(B) restrictions on the number or type of installations of the
TNI;
(C) sampling and analysis requirements for TNI involving or
comprising a secondary treatment system;
(D) requirements relating to training concerning the TNI;
(E) requirements concerning the operation and maintenance of
the TNI; or
(F) other requirements.
(3) That the TNI to which the application relates is approved on
SEA 418(ts) 61
a project-by-project basis.
(4) That the TNI is not approved for use in Indiana, which must
be accompanied by a statement of the reason for the decision.
(g) If the technical review panel makes a decision under subsection
(f)(4) that the TNI is not approved for use in Indiana, the applicant
may:
(1) submit a new application to the technical review panel under
this section; or
(2) file a petition for review of the technical review panel's
decision under IC 4-21.5-3.
(h) If the technical review panel fails to notify a person who submits
an application of the technical review panel's tentative decision or final
recommendation within ninety (90) days after receiving the application
as required by subsection (e)(4), the person who submitted the
application may use the TNI to which the application relates in a single
residential septic system or commercial onsite sewage system, as if the
TNI had been approved only for use in a pilot project.
(i) The technical review panel shall decide that the TNI to which an
application relates is approved for general use in Indiana if:
(1) the TNI has been certified as meeting the NSF/ANSI 40
Standard;
(2) a proposed Indiana design and installation manual for the TNI
is submitted with the permit application; and
(3) the technical review panel certifies that the proposed Indiana
design and installation manual meets the vertical and horizontal
separation, sizing, and soil loading criteria of the state
department.
(j) Subsection (k) applies if:
(1) a particular TNI meets the requirements of NSF/ANSI 40,
NSF/ANSI 245, or NSF/ANSI 350;
(2) the proposed Indiana design and installation manual for the
TNI meets the vertical and horizontal separation, sizing, and soil
loading criteria of the state department; and
(3) an Indiana professional engineer registered under IC 25-31-1
prepares site specific plans for the use of the TNI for a residential
or commercial application.
(k) In a case described in subsection (j):
(1) if the TNI is to be used in a residential application, the site
specific plans prepared under subsection (j)(3), after being
submitted to the local health department of the county, city, or
multiple county unit in which the TNI would be installed, may be
approved by the local health department within the period set
SEA 418(ts) 62
forth in IC 16-41-25-1(a); and
(2) if the TNI is to be used in a commercial application, the site
specific plans prepared under subsection (j)(3) shall be approved
by the state department upon submission of the site specific plans.
(l) A local health department may not refuse an application for a
permit for the construction or installation of a residential onsite
sewage system (as defined in IC 16-41-25-0.4) solely because the
residential onsite sewage system has not been used previously in the
jurisdiction of the local health department or is unfamiliar to the local
health department, if either of the following apply:
(1) The residential onsite sewage system has been approved by
the technical review panel under this section for general use in
Indiana.
(2) The residential onsite sewage system:
(A) is based on one (1) or more sewage treatment or disposal
methods or processes; or
(B) incorporates equipment;
approved by the technical review panel under this section for
general use in Indiana.
SECTION 12. IC 16-41-25-1, AS AMENDED BY P.L.104-2022,
SECTION 119, AND AS AMENDED BY P.L.167-2022, SECTION 7,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The state department shall
adopt rules under IC 4-22-2 that provide for a reasonable period not
exceeding thirty (30) days in which a plan review and permit for a
residential septic systems onsite sewage system must be approved or
disapproved.
(b) This subsection applies to a county with a population of more
than eighty thousand (80,000) and less than eighty thousand four
hundred (80,400). As used in this subsection, "fill soil" means soil
transported and deposited by humans or soil recently transported and
deposited by natural erosion forces. A rule that the state department
adopts concerning the installation of residential septic onsite sewage
systems in fill soil may not prohibit the installation of a residential
septic onsite sewage system in fill soil on a plat if:
(1) before the effective date of the rule, the plat of the affected lot
was recorded;
(2) there is not an available sewer line within seven hundred fifty
(750) feet of the property line of the affected lot; and
(3) the local health department determines that the soil, although
fill soil, is suitable for the installation of a residential septic onsite
sewage system.
SEA 418(ts) 63
SECTION 13. IC 20-28-9-1.5, AS AMENDED BY P.L.134-2022,
SECTION 2, AND AS AMENDED BY P.L.168-2022, SECTION 15,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 1.5. (a) This subsection governs
salary increases for a teacher employed by a school corporation.
Compensation attributable to additional degrees or graduate credits
earned before the effective date of a local compensation plan created
under this chapter before July 1, 2015, shall continue for school years
beginning after June 30, 2015. Compensation attributable to additional
degrees for which a teacher has started course work before July 1,
2011, and completed course work before September 2, 2014, shall also
continue for school years beginning after June 30, 2015. For school
years beginning after June 30, 2015, 2022, a school corporation may
provide a supplemental payment to a teacher in excess of the salary
specified in the school corporation's compensation plan. under any of
the following circumstances:
(1) The teacher:
(A) teaches an advanced placement course or a Cambridge
International course; or
(B) has earned a master's degree from an accredited
postsecondary educational institution in a content area
directly related to the subject matter of:
(i) a dual credit course; or
(ii) another course;
taught by the teacher.
(2) Beginning after June 30, 2018, the teacher:
(A) is a special education professional; or
(B) teaches in the areas of science, technology, engineering,
or mathematics.
(3) Beginning after June 30, 2019, the teacher teaches a career
or technical education course.
In addition, a supplemental payment may be made to an elementary
school teacher who earns a master's degree in math, reading, or
literacy. A supplement provided under this subsection is not subject to
collective bargaining but a discussion of the supplement must be held.
Such a supplement is in addition to any increase permitted under
subsection (b).
(b) Increases or increments in a local salary range must be based
upon a combination of the following factors:
(1) A combination of the following factors taken together may
account for not more than fifty percent (50%) of the calculation
used to determine a teacher's increase or increment:
SEA 418(ts) 64
(A) The number of years of a teacher's experience.
(B) The possession of either:
(i) additional content area degrees beyond the requirements
for employment; or
(ii) additional content area degrees and credit hours beyond
the requirements for employment, if required under an
agreement bargained under IC 20-29.
(2) The results of an evaluation conducted under IC 20-28-11.5.
(3) The assignment of instructional leadership roles, including the
responsibility for conducting evaluations under IC 20-28-11.5.
(4) The academic needs of students in the school corporation.
(c) To provide greater flexibility and options, a school corporation
may differentiate the amount of salary increases or increments
determined for teachers. A school corporation shall base a
differentiated amount under this subsection on reasons the school
corporation determines are appropriate, which may include the:
(1) subject or subjects including the subjects described in
subsection (a)(2), taught by a given teacher;
(2) importance of retaining a given teacher at the school
corporation; and
(3) need to attract an individual with specific qualifications to fill
a teaching vacancy; and
(4) offering of a new program or class.
(d) A school corporation may provide differentiated increases or
increments under subsection (b), and in excess of the percentage
specified in subsection (b)(1), in order to:
(1) reduce the gap between the school corporation's minimum
teacher salary and the average of the school corporation's
minimum and maximum teacher salaries; or
(2) allow teachers currently employed by the school corporation
to receive a salary adjusted in comparison to starting base salaries
of new teachers.
(e) Except as provided in subsection (f), a teacher rated ineffective
or improvement necessary under IC 20-28-11.5 may not receive any
raise or increment for the following year if the teacher's employment
contract is continued. The amount that would otherwise have been
allocated for the salary increase of teachers rated ineffective or
improvement necessary shall be allocated for compensation of all
teachers rated effective and highly effective based on the criteria in
subsection (b).
(f) Subsection (e) does not apply to a teacher in the first two (2) full
school years that the teacher provides instruction to students in
SEA 418(ts) 65
elementary school or high school. If a teacher provides instruction to
students in elementary school or high school in another state, any full
school year, or its equivalent in the other state, that the teacher provides
instruction counts toward the two (2) full school years under this
subsection.
(g) A teacher who does not receive a raise or increment under
subsection (e) may file a request with the superintendent or
superintendent's designee not later than five (5) days after receiving
notice that the teacher received a rating of ineffective. The teacher is
entitled to a private conference with the superintendent or
superintendent's designee.
(h) The Indiana education employment relations board established
in IC 20-29-3-1 shall publish a model compensation plan with a model
salary range that a school corporation may adopt.
(i) Each school corporation shall submit its local compensation plan
to the Indiana education employment relations board. For a school year
beginning after June 30, 2015, a local compensation plan must specify
the range for teacher salaries. The Indiana education employment
relations board shall publish the local compensation plans on the
Indiana education employment relations board's Internet web site.
(j) The Indiana education employment relations board shall review
a compensation plan for compliance with this section as part of its
review under IC 20-29-6-6.1. The Indiana education employment
relations board has jurisdiction to determine compliance of a
compensation plan submitted under this section.
(k) This chapter may not be construed to require or allow a school
corporation to decrease the salary of any teacher below the salary the
teacher was earning on or before July 1, 2015, if that decrease would
be made solely to conform to the new compensation plan.
(l) After June 30, 2011, all rights, duties, or obligations established
under IC 20-28-9-1 before its repeal are considered rights, duties, or
obligations under this section.
(m) An employment agreement described in IC 20-28-6-7.3 between
an adjunct teacher and a school corporation is not subject to this
section.
SECTION 14. IC 20-30-2-4, AS AMENDED BY P.L.130-2022,
SECTION 3, AND AS AMENDED BY P.L.139-2022, SECTION 14,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 4. (a) Subject to subsection (b), (c),
if a school corporation fails to conduct the minimum number of student
instructional days during a school year as required under section 3 of
this chapter, the department shall reduce the August tuition support
SEA 418(ts) 66
distribution to that school corporation for a school year by an amount
determined as follows:
STEP ONE: Determine the remainder of:
(A) the amount of the total tuition support allocated to the
school corporation for the particular school year; minus
(B) that part of the total tuition support allocated to the school
corporation for that school year with respect to student
instructional days one hundred seventy-six (176) through one
hundred eighty (180).
STEP TWO: Subtract the number of student instructional days
that the school corporation conducted from one hundred eighty
(180).
STEP THREE: Determine the lesser of five (5) or the remainder
determined under STEP TWO.
STEP FOUR: Divide the amount subtracted under STEP ONE (B)
by five (5).
STEP FIVE: Multiply the quotient determined under STEP FOUR
by the number determined under STEP THREE.
STEP SIX: Subtract the number determined under STEP THREE
from the remainder determined under STEP TWO.
STEP SEVEN: Divide the remainder determined under STEP
ONE by one hundred seventy-five (175).
STEP EIGHT: Multiply the quotient determined under STEP
SEVEN by the remainder determined under STEP SIX.
STEP NINE: Add the product determined under STEP FIVE to
the product determined under STEP EIGHT.
(b) If the total amount of state tuition support that a school
corporation receives or will receive during a school year decreases
under this section by an amount that is equal to or more than two
hundred fifty thousand dollars ($250,000) from the amount the school
corporation would otherwise be eligible to receive during the school
year as determined under IC 20-43, the budget committee shall review
the amount of and the reason for the decrease before implementation
of the decrease.
(b) (c) If fewer than all of the schools in a school corporation fail
to conduct the minimum number of student instructional days during
a school year as required under section 3 of this chapter, the reduction
in August tuition support required by this section shall take into
account only the schools in the school corporation that failed to
conduct the minimum number of student instructional days and only
the grades for which the required number of student instructional days
was not conducted.
SEA 418(ts) 67
SECTION 15. IC 25-22.5-1-1.1, AS AMENDED BY P.L.128-2022,
SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 1.1. As used in this article:
(a) "Practice of medicine or osteopathic medicine" means any one
(1) or a combination of the following:
(1) Holding oneself out to the public as being engaged in:
(A) the diagnosis, treatment, correction, or prevention of any
disease, ailment, defect, injury, infirmity, deformity, pain, or
other condition of human beings;
(B) the suggestion, recommendation, or prescription or
administration of any form of treatment, without limitation;
(C) the performing of any kind of surgical operation upon a
human being, including tattooing (except for providing a tattoo
as defined in IC 35-45-21-4(a)), in which human tissue is cut,
burned, or vaporized by the use of any mechanical means,
laser, or ionizing radiation, or the penetration of the skin or
body orifice by any means, for the intended palliation, relief,
or cure; or
(D) the prevention of any physical, mental, or functional
ailment or defect of any person.
(2) The maintenance of an office or a place of business for the
reception, examination, or treatment of persons suffering from
disease, ailment, defect, injury, infirmity, deformity, pain, or other
conditions of body or mind.
(3) Attaching to a name, either alone or in connection with other
words, the designation or term:
(A) "doctor of medicine";
(B) "M.D.";
(C) "doctor of osteopathy";
(D) "D.O.";
(E) "physician";
(F) "osteopath";
(G) "osteopathic medical physician";
(H) "surgeon";
(I) "physician and surgeon";
(J) "anesthesiologist";
(K) "cardiologist";
(L) "dermatologist";
(M) "endocrinologist";
(N) "gastroenterologist";
(O) "gynecologist";
(P) "hematologist";
SEA 418(ts) 68
(Q) "internist";
(R) "laryngologist";
(S) "nephrologist";
(T) "neurologist";
(U) "obstetrician";
(V) "oncologist";
(W) "ophthalmologist";
(X) "orthopedic surgeon";
(Y) "orthopedist";
(Z) "otologist";
(AA) "otolaryngologist";
(BB) "otorhinolaryngologist";
(CC) "pathologist";
(DD) "pediatrician";
(EE) "primary care physician";
(FF) "proctologist";
(GG) "psychiatrist";
(HH) "radiologist";
(II) "rheumatologist";
(JJ) "rhinologist";
(KK) "urologist";
(LL) "medical doctor";
(MM) "family practice physician"; or
(NN) "physiatrist".
This subdivision does not apply to a practitioner if the practitioner
has a special area of practice and the practitioner uses the
following format: "[The name or title of the practitioner's
profession] specializing in [name of specialty]".
(4) Nothing in subdivision (3) prevents the following:
(A) A practitioner from using the name or title of the
practitioner's profession that is allowed under the practitioner's
practice act or under a law in the Indiana Code.
(B) A practitioner who is a chiropractor (as defined in
IC 25-10-1-1) and who has attained diplomate status in a
chiropractic specialty area recognized by the American
Chiropractic Association, International Chiropractic
Chiropractors Association, or International Academy of
Clinical Neurology before July 1, 2025, from using a
designation or term included in subdivision (3) in conjunction
with the name or title of the practitioner's profession.
(C) A practitioner who is a dentist licensed under IC 25-14-1
and who has completed a dental anesthesiology residency
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recognized by the American Dental Board of Anesthesiology
before July 1, 2025, from using a designation or term included
in subdivision (3) in conjunction with the name or title of the
practitioner's profession.
(5) Providing diagnostic or treatment services to a person in
Indiana when the diagnostic or treatment services:
(A) are transmitted through electronic communications; and
(B) are on a regular, routine, and nonepisodic basis or under
an oral or written agreement to regularly provide medical
services.
In addition to the exceptions described in section 2 of this chapter,
a nonresident physician who is located outside Indiana does not
practice medicine or osteopathy in Indiana by providing a second
opinion to a licensee or diagnostic or treatment services to a
patient in Indiana following medical care originally provided to
the patient while outside Indiana.
(b) "Board" refers to the medical licensing board of Indiana.
(c) "Diagnose or diagnosis" means to examine a patient, parts of a
patient's body, substances taken or removed from a patient's body, or
materials produced by a patient's body to determine the source or
nature of a disease or other physical or mental condition, or to hold
oneself out or represent that a person is a physician and is so examining
a patient. It is not necessary that the examination be made in the
presence of the patient; it may be made on information supplied either
directly or indirectly by the patient.
(d) "Drug or medicine" means any medicine, compound, or
chemical or biological preparation intended for internal or external use
of humans, and all substances intended to be used for the diagnosis,
cure, mitigation, or prevention of diseases or abnormalities of humans,
which are recognized in the latest editions published of the United
States Pharmacopoeia or National Formulary, or otherwise established
as a drug or medicine.
(e) "Licensee" means any individual holding a valid unlimited
license issued by the board under this article.
(f) "Prescribe or prescription" means to direct, order, or designate
the use of or manner of using a drug, medicine, or treatment, by spoken
or written words or other means and in accordance with IC 25-1-9.3.
(g) "Physician" means any person who holds the degree of doctor of
medicine or doctor of osteopathy or its equivalent and who holds a
valid unlimited license to practice medicine or osteopathic medicine in
Indiana.
(h) "Medical school" means a nationally accredited college of
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medicine or of osteopathic medicine approved by the board.
(i) "Physician assistant" means an individual who:
(1) has a collaborative agreement with a physician;
(2) graduated from an approved physician assistant program
described in IC 25-27.5-2-2;
(3) passed the examination administered by the National
Commission on Certification of Physician Assistants (NCCPA)
and maintains certification; and
(4) has been licensed by the physician assistant committee under
IC 25-27.5.
(j) "Agency" refers to the Indiana professional licensing agency
under IC 25-1-5.
(k) "INSPECT program" means the Indiana scheduled prescription
electronic collection and tracking program established by IC 25-1-13-4.
SECTION 16. IC 32-22-3-4, AS ADDED BY P.L.156-2022,
SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 4. (a) Except as provided in section 0.5 of this
chapter, after June 30, 2022, a foreign business entity may not acquire
by grant, purchase, devise, descent, or otherwise any agricultural land
located within Indiana for the purposes of crop farming or timber
production.
(b) Except as provided in section 0.5 of this chapter, a foreign
business entity that acquired agricultural land located within Indiana
for the purposes of crop farming or timber production before July 1,
2022, may not grant, sell, or otherwise transfer the agricultural land to
any other foreign business entity for the purposes of crop farming or
timber production after June 30, 2022.
SECTION 17. IC 33-24-6-3, AS AMENDED BY P.L.105-2022,
SECTION 43, AND AS AMENDED BY P.L.147-2022, SECTION 4,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 3. (a) The office of judicial
administration shall do the following:
(1) Examine the administrative and business methods and systems
employed in the offices of the clerks of court and other offices
related to and serving the courts and make recommendations for
necessary improvement.
(2) Collect and compile statistical data and other information on
the judicial work of the courts in Indiana. All justices of the
supreme court, judges of the court of appeals, judges of all trial
courts, and any city or town courts, whether having general or
special jurisdiction, court clerks, court reporters, and other
officers and employees of the courts shall, upon notice by the
SEA 418(ts) 71
chief administrative officer and in compliance with procedures
prescribed by the chief administrative officer, furnish the chief
administrative officer the information as is requested concerning
the nature and volume of judicial business. The information must
include the following:
(A) The volume, condition, and type of business conducted by
the courts.
(B) The methods of procedure in the courts.
(C) The work accomplished by the courts.
(D) The receipt and expenditure of public money by and for
the operation of the courts.
(E) The methods of disposition or termination of cases.
(3) Prepare and publish reports, not less than one (1) or more than
two (2) times per year, on the nature and volume of judicial work
performed by the courts as determined by the information
required in subdivision (2).
(4) Serve the judicial nominating commission and the judicial
qualifications commission in the performance by the commissions
of their statutory and constitutional functions.
(5) Administer the civil legal aid fund as required by IC 33-24-12.
(6) Administer the court technology fund established by section
12 of this chapter.
(7) By December 31, 2013, develop and implement a standard
protocol for sending and receiving court data:
(A) between the protective order registry, established by
IC 5-2-9-5.5, and county court case management systems;
(B) at the option of the county prosecuting attorney, for:
(i) a prosecuting attorney's case management system;
(ii) a county court case management system; and
(iii) a county court case management system developed and
operated by the office of judicial administration;
to interface with the electronic traffic tickets, as defined by
IC 9-30-3-2.5; and
(C) between county court case management systems and the
case management system developed and operated by the office
of judicial administration.
The standard protocol developed and implemented under this
subdivision shall permit private sector vendors, including vendors
providing service to a local system and vendors accessing the
system for information, to send and receive court information on
an equitable basis and at an equitable cost, and for a case
management system developed and operated by the office of
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judicial administration, must include a searchable field for the
name and bail agent license number, if applicable, of the bail
agent or a person authorized by the surety that pays bail for an
individual as described in IC 35-33-8-3.2.
(8) Establish and administer an electronic system for receiving
information that relates to certain individuals who may be
prohibited from possessing a firearm for the purpose of:
(A) transmitting this information to the Federal Bureau of
Investigation for inclusion in the NICS; and
(B) beginning July 1, 2021, compiling and publishing certain
statistics related to the confiscation and retention of firearms
as described under section 14 of this chapter.
(9) Establish and administer an electronic system for receiving
drug related felony conviction information from courts. The office
of judicial administration shall notify NPLEx of each drug related
felony entered after June 30, 2012, and do the following:
(A) Provide NPLEx with the following information:
(i) The convicted individual's full name.
(ii) The convicted individual's date of birth.
(iii) The convicted individual's driver's license number, state
personal identification number, or other unique number, if
available.
(iv) The date the individual was convicted of the felony.
Upon receipt of the information from the office of judicial
administration, a stop sale alert must be generated through
NPLEx for each individual reported under this clause.
(B) Notify NPLEx if the felony of an individual reported under
clause (A) has been:
(i) set aside;
(ii) reversed;
(iii) expunged; or
(iv) vacated.
Upon receipt of information under this clause, NPLEx shall
remove the stop sale alert issued under clause (A) for the
individual.
(10) After July 1, 2018, establish and administer an electronic
system for receiving from courts felony or misdemeanor
conviction information for each felony or misdemeanor described
in IC 20-28-5-8(c). The office of judicial administration shall
notify the department of education at least one (1) time each week
of each felony or misdemeanor described in IC 20-28-5-8(c)
entered after July 1, 2018, and do the following:
SEA 418(ts) 73
(A) Provide the department of education with the following
information:
(i) The convicted individual's full name.
(ii) The convicted individual's date of birth.
(iii) The convicted individual's driver's license number, state
personal identification number, or other unique number, if
available.
(iv) The date the individual was convicted of the felony or
misdemeanor.
(B) Notify the department of education if the felony or
misdemeanor of an individual reported under clause (A) has
been:
(i) set aside;
(ii) reversed; or
(iii) vacated.
(11) Perform legal and administrative duties for the justices as
determined by the justices.
(12) Provide staff support for the judicial conference of Indiana
established in IC 33-38-9.
(13) Work with the United States Department of Veterans Affairs
to identify and address the needs of veterans in the court system.
(14) If necessary for purposes of IC 35-47-16-1, issue a retired
judicial officer an identification card identifying the retired
judicial officer as a retired judicial officer.
(15) Establish and administer the statewide juvenile justice data
aggregation plan established under section 12.5 of this chapter.
(b) All forms to be used in gathering data must be approved by the
supreme court and shall be distributed to all judges and clerks before
the start of each period for which reports are required.
(c) The office of judicial administration may adopt rules to
implement this section.
SECTION 18. IC 33-34-8-1, AS AMENDED BY P.L.106-2022,
SECTION 4, AND AS AMENDED BY P.L.174-2022, SECTION 59,
IS CORRECTED AND AMENDED TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 1. (a) The following fees and costs
apply to cases in the small claims court:
(1) A township docket fee of five dollars ($5) plus forty-five
percent (45%) of the infraction or ordinance violation costs fee
under IC 33-37-4-2.
(2) The bailiff's service of process by registered or certified mail
fee of fifteen dollars ($15) for each service.
(3) The cost for the personal service of process by the bailiff or
SEA 418(ts) 74
other process server of fifteen dollars ($15) for each service.
(4) Witness fees, if any, in the amount provided by IC 33-37-10-3
to be taxed and charged in the circuit court.
(5) A redocketing fee, if any, of five dollars ($5).
(6) A document storage fee under IC 33-37-5-20.
(7) An automated record keeping fee under IC 33-37-5-21.
(8) A late fee, if any, under IC 33-37-5-22.
(9) A public defense administration fee under IC 33-37-5-21.2.
(10) A judicial insurance adjustment fee under IC 33-37-5-25.
(11) A judicial salaries fee under IC 33-37-5-26.
(12) A court administration fee under IC 33-37-5-27.
(13) Before July 1, 2022, 2025, a pro bono legal services fee
under IC 33-37-5-31.
(14) A sheriff's service of process fee under IC 33-37-5-15 for
each service of process performed outside Marion County.
The docket fee and the cost for the initial service of process shall be
paid at the institution of a case. The cost of service after the initial
service shall be assessed and paid after service has been made. The
cost of witness fees shall be paid before the witnesses are called.
(b) If the amount of the township docket fee computed under
subsection (a)(1) is not equal to a whole number, the amount shall be
rounded to the next highest whole number.
SECTION 19. IC 34-18-3-2, AS AMENDED BY P.L.69-2022,
SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
MARCH 13, 2020 (RETROACTIVE)]: Sec. 2. (a) Except as provided
in subsection (b), for a health care provider to be qualified under this
article, the health care provider or the health care provider's insurance
carrier shall:
(1) cause to be filed with the commissioner proof of financial
responsibility established under IC 34-18-4; and
(2) pay the surcharge assessed on all health care providers under
IC 34-18-5.
(b) A health care provider who has a temporary license under
IC 25-1-21 IC 25-1-5.7 is qualified under this article while the
temporary license is in effect.
SECTION 20. IC 34-18-3-3, AS AMENDED BY P.L.69-2022,
SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
MARCH 13, 2020 (RETROACTIVE)]: Sec. 3. (a) Except as provided
in subsection (b), the officers, agents, and employees of a health care
provider, while acting in the course and scope of their employment,
may be qualified under this chapter if the following conditions are met:
(1) The officers, agents, and employees are individually named or
SEA 418(ts) 75
are members of a named class in the proof of financial
responsibility filed by the health care provider under IC 34-18-4.
(2) The surcharge assessed under IC 34-18-5 is paid.
(b) An officer, agent, or employee of a health care provider who has
a temporary license under IC 25-1-21 IC 25-1-5.7 is qualified under
this article while the temporary license is in effect.
SECTION 21. IC 34-26-5-10, AS AMENDED BY P.L.159-2022,
SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2022]: Sec. 10. (a) Except as provided in subsection (b), If a
court issues:
(1) an order for protection ex parte effective for a period
described under section 9(f) of this chapter; or
(2) a modification of an order for protection ex parte effective for
a period described under section 9(f) of this chapter;
and provides relief under section 9(c) of this chapter, upon a request by
either party at any time after service of the order or modification, the
court shall set a date for a hearing on the petition. Except as provided
in subsection (c), the hearing must be held not more than thirty (30)
days after the request for a hearing is filed unless continued by the
court for good cause shown. The court shall notify both parties by first
class mail of the date and time of the hearing. A party may only request
one (1) hearing on a petition under this subsection.
(b) If a court issues:
(1) an order for protection ex parte effective for a period
described under section 9(g) of this chapter; or
(2) a modification of an order for protection ex parte effective for
a period described under section 9(g) of this chapter;
and provides relief under section 9(c) of this chapter, upon a request by
either party not more than thirty (30) days after service of the order or
modification, the court shall set a date for a hearing on the petition.
Except as provided in subsection (c), the hearing must be held not more
than thirty (30) days after the request for a hearing is filed unless
continued by the court for good cause shown. The court shall notify
both parties by first class mail of the date and time of the hearing. A
party may only request one (1) hearing on a petition under this
subsection.
(c) A court shall set a date for a hearing on the petition not more
than thirty (30) days after the filing of the petition if a court issues an
order for protection ex parte or a modification of an order of protection
ex parte and:
(1) a petitioner requests or the court provides relief under section
9(c)(3), 9(c)(5), 9(c)(6), 9(c)(7), or 9(c)(8) of this chapter; or
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(2) a petitioner requests relief under section 9(d)(2), 9(d)(3), or
9(d)(4) of this chapter.
The hearing must be given precedence over all matters pending in the
court except older matters of the same character.
(d) In a hearing under this section:
(1) relief under section 9 of this chapter is available; and
(2) if a respondent seeks relief concerning an issue not raised by
a petitioner, the court may continue the hearing at the petitioner's
request.
SECTION 22. IC 34-30-2-101.7, AS ADDED BY P.L.149-2022,
SECTION 20, IS REPEALED [EFFECTIVE JULY 1, 2022]. Sec.
101.7. IC 25-35.6-5-8 (Concerning members, officers, executive
director, employees, and representatives of the audiology and
speech-language pathology compact commission).
SECTION 23. IC 34-30-2.1-53, AS ADDED BY P.L.105-2022,
SECTION 12, IS REPEALED [EFFECTIVE JANUARY 1, 2023]. Sec.
53. IC 6-1.1-12-2 (Concerning a closing agent for failure to perform
certain tasks for purposes of obtaining a property tax deduction for the
property).
SECTION 24. IC 34-30-2.1-386.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2022]: Sec. 386.5. IC 25-35.6-5-8 (Concerning
members, officers, executive director, employees, and
representatives of the audiology and speech-language pathology
compact commission).
SECTION 25. [EFFECTIVE JULY 1, 2022] (a) The general
assembly recognizes that SEA 80-2022 (P.L.105-2022):
(1) repeals IC 34-30-2; and
(2) relocates the contents of IC 34-30-2 to IC 34-30-2.1;
effective July 1, 2022.
(b) The general assembly also recognizes that several acts
enacted in the 2022 legislative session added new sections to
IC 34-30-2 or amended sections within IC 34-30-2. The general
assembly intends to repeal IC 34-30-2 effective July 1, 2022. Except
as set forth in subsections (c) and (d), conflict resolution between
those acts and SEA 80-2022 (P.L.105-2022) was enacted in SEA
80-2022 (P.L.105-2022).
(c) SEA 5-2022 (P.L.149-2022) adds IC 34-30-2-101.7 effective
July 1, 2022. This act:
(1) repeals IC 34-30-2-101.7, as added by SEA 5-2022
(P.L.149-2022); and
(2) relocates the text of that section to a new
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IC 34-30-2.1-386.5;
effective July 1, 2022.
(d) HEA 1260-2022 (P.L.174-2022) amends IC 34-30-2-16.6
effective January 1, 2023. IC 34-30-2-16.6 was relocated by SEA
80-2022 (P.L.105-2022) to IC 34-30-2.1-53 effective July 1, 2022.
This bill repeals IC 34-30-2-16.6 effective January 1, 2023, to
effectuate the amendment of IC 34-30-2-16.6 intended by HEA
1260-2022.
(e) This SECTION expires December 31, 2022.
SECTION 26. An emergency is declared for this act.
SEA 418(ts) President of the Senate
President Pro Tempore
Speaker of the House of Representatives
Governor of the State of Indiana
Date: 	Time: 
SEA 418(ts)