IN
Indiana Senate Bill SB0228

Indiana 2024 Regular Session

Indiana Senate Bill SB0228 Compare Versions

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1+*ES0228.1*
2+February 27, 2024
3+ENGROSSED
4+SENATE BILL No. 228
5+_____
6+DIGEST OF SB 228 (Updated February 27, 2024 10:56 am - DI 140)
7+Citations Affected: IC 4-33; IC 5-2; IC 6-2.5; IC 6-3; IC 6-3.1;
8+IC 6-6; IC 6-7; IC 6-8.1; IC 7.1-4; IC 8-1; IC 13-20; IC 16-42;
9+IC 22-11; IC 24-5; IC 33-37; IC 34-6; IC 36-8; noncode.
10+Synopsis: Various tax matters. Amends the economic threshold for
11+sales tax nexus to remove the number of sales transactions in the state
12+as one of the two current triggers that require retail merchants to collect
13+and remit sales tax. Allows a retail merchant that receives 75% or more
14+of its receipts from the sale of prepared food to elect to claim a sales
15+tax exemption on transactions involving electricity equal to 50% of the
16+tax imposed on the transactions. Makes certain changes to statutes of
17+(Continued next page)
18+Effective: Upon passage; January 1, 2022 (retroactive); January 1,
19+2024 (retroactive); July 1, 2024; January 1, 2025.
20+Holdman, Baldwin,
21+Randolph Lonnie M
22+(HOUSE SPONSORS — THOMPSON, CHERRY)
23+January 10, 2024, read first time and referred to Committee on Tax and Fiscal Policy.
24+January 30, 2024, reported favorably — Do Pass.
25+February 1, 2024, read second time, ordered engrossed. Engrossed.
26+February 5, 2024, read third time, passed. Yeas 47, nays 1.
27+HOUSE ACTION
28+February 12, 2024, read first time and referred to Committee on Ways and Means.
29+February 27, 2024, reported — Do Pass.
30+ES 228—LS 6842/DI 120 Digest Continued
31+limitations provisions. Requires sheriffs to transfer funds collected
32+through executions of tax warrants twice a month electronically
33+through the department of state revenue (department) payment portal.
34+Specifies that the service of process fee for postjudgment service can
35+only be assessed one time per case. Authorizes the department to
36+disclose a taxpayer's name and other personal identification
37+information with a tax preparer or tax preparation software provider in
38+cases where the department suspects that a fraudulent return has been
39+filed on behalf of a taxpayer and that the system of a taxpayer's
40+previous year tax preparer or tax preparation software provider has
41+been breached. Specifies the pass through entity tax liability for pass
42+through entities in certain circumstances. Repeals an outdated
43+provision that requires an owner of a truck stop to obtain a license from
44+the department. Reorganizes certain retail merchant certificate
45+provisions. Makes clarifying and technical changes.
46+ES 228—LS 6842/DI 120ES 228—LS 6842/DI 120 February 27, 2024
147 Second Regular Session of the 123rd General Assembly (2024)
248 PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
349 Constitution) is being amended, the text of the existing provision will appear in this style type,
450 additions will appear in this style type, and deletions will appear in this style type.
551 Additions: Whenever a new statutory provision is being enacted (or a new constitutional
652 provision adopted), the text of the new provision will appear in this style type. Also, the
753 word NEW will appear in that style type in the introductory clause of each SECTION that adds
854 a new provision to the Indiana Code or the Indiana Constitution.
955 Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
1056 between statutes enacted by the 2023 Regular Session of the General Assembly.
11-SENATE ENROLLED ACT No. 228
12-AN ACT to amend the Indiana Code concerning taxation.
57+ENGROSSED
58+SENATE BILL No. 228
59+A BILL FOR AN ACT to amend the Indiana Code concerning
60+taxation.
1361 Be it enacted by the General Assembly of the State of Indiana:
14-SECTION 1. IC 4-33-19-6, AS AMENDED BY P.L.94-2008,
15-SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
16-JANUARY 1, 2025]: Sec. 6. The division shall, on behalf of the
17-department of state revenue or the alcohol and tobacco commission,
18-conduct a license revocation action against a licensed entity for any
19-revocation action authorized by any of the following statutes:
20-(1) IC 6-2.5-8-7(g). IC 6-2.5-8-7(a)(7).
21-(2) IC 7.1-3-18.5.
22-(3) IC 7.1-3-23-2(b).
23-(4) IC 7.1-3-23-5 with respect to a violation of IC 35-45-5-3,
24-IC 35-45-5-3.5, or IC 35-45-5-4.
25-SECTION 2. IC 5-2-6.7-2, AS ADDED BY P.L.130-2009,
26-SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
27-JULY 1, 2024]: Sec. 2. As used in this chapter, "domestic violence
28-prevention and treatment center" means an organized entity:
29-(1) established by:
30-(A) a city, town, county, or township; or
31-(B) an entity exempted from the gross retail tax under
32-IC 6-2.5-5-21(b)(1)(B); IC 6-2.5-5-25(a)(1)(B); and
33-(2) created to provide services to prevent and treat domestic or
34-family violence.
35-SECTION 3. IC 5-2-6.7-9, AS AMENDED BY P.L.219-2023,
36-SEA 228 2
37-SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
38-JULY 1, 2024]: Sec. 9. A city, town, county, or township or an entity
39-that is exempted from the gross retail tax under IC 6-2.5-5-21(b)(1)(B)
40-IC 6-2.5-5-25(a)(1)(B) that desires to receive a grant under this chapter
41-must apply in the manner prescribed by the rules of the division.
42-SECTION 4. IC 6-2.5-2-1, AS AMENDED BY P.L.146-2020,
43-SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
44-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 1. (a) An excise tax,
45-known as the state gross retail tax, is imposed on retail transactions
46-made in Indiana.
47-(b) The person who acquires property in a retail transaction is liable
48-for the tax on the transaction and, except as otherwise provided in this
49-chapter, shall pay the tax to the retail merchant as a separate added
50-amount to the consideration in the transaction. A retail merchant that
51-has either physical presence in Indiana as described in subsection (c)
52-or that meets one (1) or both of the thresholds the threshold in
53-subsection (d) shall collect the tax as agent for the state.
54-(c) A retail merchant has physical presence in Indiana when the
55-retail merchant:
56-(1) maintains an office, place of distribution, sales location,
57-sample location, warehouse, storage place, or other place of
58-business which is located in Indiana and which the retail
59-merchant maintains, occupies, or uses, either permanently or
60-temporarily, either directly or indirectly, and either by the retail
61-merchant or through a representative, agent, or subsidiary;
62-(2) maintains a representative, agent, salesperson, canvasser, or
63-solicitor who, while operating in Indiana under the authority of
64-and on behalf of the retail merchant or a subsidiary of the retail
65-merchant, sells, delivers, installs, repairs, assembles, sets up,
66-accepts returns of, bills, invoices, or takes orders for sales of
67-tangible personal property or services to be used, stored, or
68-consumed in Indiana; or
69-(3) is otherwise required to register as a retail merchant under
70-IC 6-2.5-8-1.
71-(d) A retail merchant that does not have a physical presence in
72-Indiana shall, as an agent for the state, collect the gross retail tax on a
73-retail transaction made in Indiana, remit the gross retail tax as provided
74-in this article, and comply with all applicable procedures and
75-requirements of this article as if the retail merchant has a physical
76-presence in Indiana, if the retail merchant merchant's gross revenue
77-from any combination of: meets either of the following conditions for
78-the calendar year in which the retail transaction is made or for the
79-SEA 228 3
80-calendar year preceding the calendar year in which the retail
81-transaction is made:
82-(1) The retail merchant's gross revenue from any combination of:
83-(A) (1) the sale of tangible personal property that is delivered into
84-Indiana;
85-(B) (2) a product transferred electronically into Indiana; or
86-(C) (3) a service delivered in Indiana;
87-exceeds one hundred thousand dollars ($100,000) for the calendar
88-year in which the retail transaction is made or for the calendar
89-year preceding the calendar year in which the retail transaction is
90-made.
91-(2) The retail merchant sells any combination of:
92-(A) tangible personal property that is delivered into Indiana;
93-(B) a product transferred electronically into Indiana; or
94-(C) a service delivered in Indiana;
95-in two hundred (200) or more separate transactions.
96-(e) A marketplace facilitator must include both transactions made
97-on its own behalf and transactions facilitated for sellers under
98-IC 6-2.5-4-18 for purposes of establishing the requirement to collect
99-gross retail tax without having a physical presence in Indiana for
100-purposes of subsection (d). In addition, except in instances where the
101-marketplace facilitator has not met the thresholds threshold in
102-subsection (d), the transactions of the seller made through the
103-marketplace are not counted toward the seller for purposes of
104-determining whether the seller has met the thresholds threshold in
105-subsection (d).
106-SECTION 5. IC 6-2.5-5-5.1, AS AMENDED BY P.L.137-2022,
107-SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
108-JANUARY 1, 2025]: Sec. 5.1. (a) As used in this section, "tangible
109-personal property" includes electricity, gas, water, and steam.
110-(b) Transactions involving tangible personal property are exempt
111-from the state gross retail tax if the person acquiring the property
112-acquires it for direct consumption as a material to be consumed in the
113-direct production of other tangible personal property in the person's
114-business of manufacturing, mining, production, processing, repairing,
115-recycling (as defined in section 45.8 of this chapter), refining, oil
116-extraction, mineral extraction, irrigation, agriculture, floriculture,
117-arboriculture, or horticulture. This exemption includes transactions
118-involving acquisitions of tangible personal property used in
119-commercial printing.
120-(c) Transactions involving tangible personal property are exempt
121-from the state gross retail tax if the person acquiring that property:
122-SEA 228 4
123-(1) acquires it for the person's direct consumption as a material to
124-be consumed in an industrial processing service; and
125-(2) is an industrial processor.
126-(d) Transactions involving tangible personal property are exempt
127-from the state gross retail tax if the person acquiring the property:
128-(1) acquires it for the person's direct consumption as a material to
129-be consumed in:
130-(A) the direct application of fertilizers, pesticides, fungicides,
131-seeds, and other tangible personal property; or
132-(B) the direct extraction, harvesting, or processing of
133-agricultural commodities;
134-for consideration; and
135-(2) is occupationally engaged in providing the services described
136-in subdivision (1) on property that is:
137-(A) owned or rented by another person occupationally engaged
138-in agricultural production; and
139-(B) used for agricultural production.
140-(e) Transactions involving electricity, gas, water, and steam
141-delivered through a single meter provided by a public utility are exempt
142-if the electrical energy, natural or artificial gas, water, steam, or steam
143-heat is consumed for a purpose exempted pursuant to this section and
144-the electricity, gas, water, or steam is predominately used by the
145-purchaser for one (1) or more of the purposes exempted by this section.
146-(f) A retail merchant that receives seventy-five percent (75%)
147-or more of its receipts from the sale of prepared food as defined in
148-section 20(c)(4), 20(c)(5), and 20(c)(6) of this chapter, including
149-bakery items, may elect to claim an exemption equal to fifty
150-percent (50%) of the gross retail tax imposed on transactions
151-involving electricity purchased by the retail merchant that is
152-derived through a single meter. The election must be submitted on
153-forms provided by the department. Upon acceptance of the
154-election, the department shall issue a partial exemption certificate
155-to the utility and any third party suppliers, if applicable. The
156-election may also be submitted with a claim for refund. The
157-election is irrevocable for any period for which the partial
158-exemption has already been claimed. The election can be
159-withdrawn on a prospective basis.
160-SECTION 6. IC 6-2.5-5-21, AS AMENDED BY P.L.137-2022,
161-SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
162-JULY 1, 2024]: Sec. 21. (a) For purposes of this section, "private
163-benefit or gain" does not include reasonable compensation paid to an
164-employee for work or services actually performed.
165-SEA 228 5
166-(b) (a) Sales of food and food ingredients are exempt from the state
167-gross retail tax if:
168-(1) the seller meets the filing requirements under subsection (d)
169-(c) and is an organization described in section 25(a)(1) of this
170-chapter;
171-(2) the purchaser is a person confined to the purchaser's home
172-because of age, sickness, or infirmity;
173-(3) the seller delivers the food and food ingredients to the
174-purchaser; and
175-(4) the delivery is prescribed as medically necessary by a
176-physician licensed to practice medicine in Indiana.
177-(c) (b) Sales of food and food ingredients are exempt from the state
178-gross retail tax if the seller is an organization described in section
179-25(a)(1) of this chapter, and the purchaser is a patient in a hospital
180-operated by the seller.
181-(d) (c) To obtain the exemption provided by this section, a taxpayer
182-must follow the procedures set forth in section 25(c) of this chapter.
183-SECTION 7. IC 6-2.5-5-25, AS AMENDED BY P.L.56-2023,
184-SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
185-JULY 1, 2024]: Sec. 25. (a) Transactions involving tangible personal
186-property, accommodations, or service are exempt from the state gross
187-retail tax, if the person acquiring the property, accommodations, or
188-service:
189-(1) is any of the following types of organizations:
190-(A) A fraternity, a sorority, or a student cooperative housing
191-organization that is connected with and under the supervision
192-of a postsecondary educational institution if no part of its
193-income is used for the private benefit or gain of any member,
194-trustee, shareholder, employee, or associate.
195-(B) Any:
196-(i) institution;
197-(ii) trust;
198-(iii) group;
199-(iv) united fund;
200-(v) affiliated agency of a united fund;
201-(vi) nonprofit corporation;
202-(vii) cemetery association; or
203-(viii) organization;
204-that is organized and operated exclusively for religious,
205-charitable, scientific, literary, educational, or civic purposes if
206-no part of its income is used for the private benefit or gain of
207-any member, trustee, shareholder, employee, or associate.
208-SEA 228 6
209-(C) A group, an organization, or a nonprofit corporation that
210-is organized and operated for fraternal or social purposes, or
211-as a business league or association, and not for the private
212-benefit or gain of any member, trustee, shareholder, employee,
213-or associate.
214-(D) A:
215-(i) hospital licensed by the Indiana department of health;
216-(ii) shared hospital services organization exempt from
217-federal income taxation by Section 501(c)(3) or 501(e) of
218-the Internal Revenue Code;
219-(iii) labor union;
220-(iv) church;
221-(v) monastery;
222-(vi) convent;
223-(vii) school that is a part of the Indiana public school
224-system;
225-(viii) parochial school regularly maintained by a recognized
226-religious denomination; or
227-(ix) trust created for the purpose of paying pensions to
228-members of a particular profession or business who created
229-the trust for the purpose of paying pensions to each other;
230-if the taxpayer is not organized or operated for private profit or
231-gain;
232-(2) uses the property, accommodations, or service to carry on or
233-to raise money to carry on its not-for-profit purpose; and
234-(3) is not an organization operated predominantly for social
235-purposes.
236-(b) Transactions involving tangible personal property or service are
237-exempt from the state gross retail tax, if the person acquiring the
238-property or service:
239-(1) is a fraternity, sorority, or student cooperative housing
240-organization described in subsection (a)(1)(A); and
241-(2) uses the property or service to carry on its ordinary and usual
242-activities and operations as a fraternity, sorority, or student
243-cooperative housing organization.
244-(c) To obtain the exemption provided by this section, a taxpayer
245-must file an application for exemption with the department not later
246-than one hundred twenty (120) days after the taxpayer's formation. In
247-addition, the taxpayer must file a report with the department on or
248-before the fifteenth day of the fifth month every five (5) years following
249-the date of its formation. The report must be filed electronically with
250-the department in the manner determined by the department. If a
251-SEA 228 7
252-taxpayer fails to file the report, the department shall notify the taxpayer
253-of the failure. If within sixty (60) days after receiving such notice the
254-taxpayer does not provide the report, the taxpayer's exemption shall be
255-canceled. However, the department may reinstate the taxpayer's
256-exemption if the taxpayer shows by petition that the failure was due to
257-reasonable cause.
258-(d) Notwithstanding subsection (c), a taxpayer filing a report under
259-this subsection or section 21(d) of this chapter (prior to recodification)
260-after December 31, 2021, and before January 1, 2023, will be required
261-to file the next required report on or before the following dates:
262-(1) May 15, 2024, if the taxpayer does not have a federal
263-employer identification number or has a federal employer
264-identification number ending in 00 through 24, inclusive.
265-(2) May 15, 2025, if the taxpayer has a federal employer
266-identification number ending in 25 through 49, inclusive.
267-(3) May 15, 2026, if the taxpayer has a federal employer
268-identification number ending in 50 through 74, inclusive.
269-(4) May 15, 2027, if the taxpayer has a federal employer
270-identification number ending in 75 through 99, inclusive.
271-(e) For purposes of this section, "private benefit or gain" does
272-not include reasonable compensation paid to an employee for work
273-or services actually performed.
274-SECTION 8. IC 6-2.5-5-38.1 IS AMENDED TO READ AS
275-FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 38.1. (a) As used in this
276-section, "service center" has the meaning set forth in IC 6-3.1-15-3.
277-means an educational service center established under IC 20-20-1.
278-(b) As used in this section, "school" means a public or private
279-elementary or secondary school containing students in any grade from
280-grade 1 through grade 12.
281-(c) As used in this chapter, "qualified computer equipment" has the
282-meaning set forth in IC 6-3.1-15-2. means computer equipment,
283-including hardware and software, specified by the state board of
284-education under IC 6-3.1-15-10 (as in effect on January 1, 2012).
285-(d) Sales of qualified computer equipment are exempt from the state
286-gross retail tax, if:
287-(1) the seller is a service center or school;
288-(2) the purchaser is a parent or guardian of a student who is
289-enrolled in a school; and
290-(3) the qualified computer equipment is sold to the parent or
291-guardian under IC 6-3.1-15-12 (as in effect on January 1, 2012).
292-SECTION 9. IC 6-2.5-8-1, AS AMENDED BY P.L.165-2021,
293-SECTION 70, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
294-SEA 228 8
295-JANUARY 1, 2025]: Sec. 1. (a) A retail merchant may not make a
296-retail transaction in Indiana, unless the retail merchant has applied for
297-a registered retail merchant's certificate.
298-(b) A retail merchant may obtain a registered retail merchant's
299-certificate by filing an application with the department and paying a
300-registration fee of twenty-five dollars ($25) for each place of business
301-listed on the application. The retail merchant shall also provide such
302-security for payment of the tax as the department may require under
303-IC 6-2.5-6-12.
304-(c) The retail merchant shall list on the application the location
305-(including the township) of each place of business where the retail
306-merchant makes retail transactions. However, if the retail merchant
307-does not have a fixed place of business, the retail merchant shall list the
308-retail merchant's residence as the retail merchant's place of business. In
309-addition, a public utility may list only its principal Indiana office as its
310-place of business for sales of public utility commodities or service, but
311-the utility must also list on the application the places of business where
312-it makes retail transactions other than sales of public utility
313-commodities or service.
314-(d) Upon receiving a proper application, the correct fee, and the
315-security for payment, if required, the department shall issue to the retail
316-merchant a separate registered retail merchant's certificate for each
317-place of business listed on the application. Each certificate shall bear
318-a serial number and the location of the place of business for which it is
319-issued.
320-(e) The department may deny an application for a registered retail
321-merchant's certificate if the applicant's business is owned, operated,
322-managed, or otherwise controlled by or affiliated with a person
323-including a relative, family member, responsible officer, or owner, who
324-the department has determined:
325-(1) failed to:
326-(A) file all tax returns or information reports with the
327-department for listed taxes; or
328-(B) pay all taxes, penalties, and interest to the department for
329-listed taxes; and
330-(2) the business of the person who has failed to file all tax returns
331-or information reports under subdivision (1)(A) or who has failed
332-to pay all taxes, penalties, and interest under subdivision (1)(B)
333-is substantially similar to the business of the applicant.
334-(f) If a retail merchant intends to make retail transactions during a
335-calendar year at a new Indiana place of business, the retail merchant
336-must file a supplemental application and pay the fee for that place of
337-SEA 228 9
338-business.
339-(g) Except as provided in subsection (i), a registered retail
340-merchant's certificate is valid for two (2) years after the date the
341-registered retail merchant's certificate is originally issued or renewed.
342-If the retail merchant has filed all returns and remitted all listed taxes
343-that the retail merchant is currently obligated to file or remit, the
344-department shall renew the registered retail merchant's certificate
345-within thirty (30) days after the expiration date, at no cost to the retail
346-merchant. Before issuing or renewing the registered retail merchant
347-certification, the department may require the following to be provided:
348-(1) The names and addresses of the retail merchant's principal
349-employees, agents, or representatives. who engage in Indiana in
350-the solicitation or negotiation of the retail transaction.
351-(2) The location of all of the retail merchant's places of business
352-in Indiana, including offices and distribution houses.
353-(3) Any other information that the department requests.
354-(h) The department may not renew a registered retail merchant
355-certificate of a retail merchant who is delinquent in remitting
356-withholding taxes required to be remitted under IC 6-3-4, the electronic
357-cigarette tax under IC 6-7-4, or sales or use tax. has not filed all
358-returns and remitted all listed taxes that the retail merchant is
359-currently obligated to file or remit. The department, at least sixty
360-(60) days before the date on which a retail merchant's registered retail
361-merchant's certificate expires, shall notify a retail merchant who is
362-delinquent in remitting withholding taxes required to be remitted under
363-IC 6-3-4, the electronic cigarette tax under IC 6-7-4, or sales or use tax
364-has not filed all returns and remitted all listed taxes that the retail
365-merchant is currently obligated to file or remit that the department
366-will not renew the retail merchant's registered retail merchant's
367-certificate.
368-(i) If:
369-(1) a retail merchant has been notified by the department that the
370-retail merchant is delinquent in remitting withholding taxes or
371-sales or use tax has not filed all returns and remitted all listed
372-taxes that the retail merchant is currently obligated to file or
373-remit in accordance with subsection (h); and
374-(2) the retail merchant files all returns and pays the outstanding
375-liability before the expiration of the retail merchant's registered
376-retail merchant's certificate;
377-the department shall renew the retail merchant's registered retail
378-merchant's certificate for one (1) year.
379-(j) The department may permit an out-of-state retail merchant to
380-SEA 228 10
381-collect the gross retail tax in instances where the retail merchant has
382-not met the thresholds threshold in IC 6-2.5-2-1(d). However, before
383-the out-of-state retail merchant may collect the tax, the out-of-state
384-retail merchant must obtain a registered retail merchant's certificate in
385-the manner provided by this section. Upon receiving the certificate, the
386-out-of-state retail merchant becomes subject to the same conditions and
387-duties as an Indiana retail merchant and must then collect the gross
388-retail tax due on all retail transactions that the out-of-state retail
389-merchant knows are sourced to Indiana pursuant to IC 6-2.5-13-1.
390-(k) Except as provided in subsection (l), the department shall submit
391-to the township assessor, or the county assessor if there is no township
392-assessor for the township, before January 15 of each year:
393-(1) the name of each retail merchant that has newly obtained a
394-registered retail merchant's certificate during the preceding year
395-for a place of business located in the township or county;
396-(2) the address of each place of business of the taxpayer in the
397-township or county described in subdivision (1);
398-(3) the name of each retail merchant that:
399-(A) held a registered retail merchant's certificate at any time
400-during the preceding year for a place of business located in the
401-township or county; and
402-(B) had ceased to hold the registered retail merchant's
403-certificate at the end of the preceding year for the place of
404-business; and
405-(4) the address of each place of business described in subdivision
406-(3).
407-(l) If the duties of the township assessor have been transferred to the
408-county assessor as described in IC 6-1.1-1-24, the department shall
409-submit the information listed in subsection (k) to the county assessor.
410-SECTION 10. IC 6-2.5-8-7, AS AMENDED BY P.L.194-2023,
411-SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
412-JANUARY 1, 2025]: Sec. 7. (a) The department may, for good cause,
413-revoke a certificate issued under section 1 or 4 of this chapter.
414-However, the department must give the certificate holder at least five
415-(5) days notice before it revokes the certificate under this subsection.
416-Good cause for revocation may include the following:
417-(1) Failure to:
418-(A) file a return required under this chapter or for any tax
419-collected for the state in trust; or
420-(B) remit any tax collected for the state in trust.
421-(2) Being charged with a violation of any provision under IC 35.
422-(3) Being subject to a court order under IC 7.1-2-6-7,
423-SEA 228 11
424-IC 32-30-6-8, IC 32-30-7, or IC 32-30-8.
425-(4) Being charged with a violation of IC 23-15-12.
426-(5) Operating as a retail merchant where the certificate issued
427-under section 1 of this chapter could have been denied under
428-section 1(e) of this chapter prior to its issuance.
429-(5) The certificate holder or an officer, a director, a manager,
430-or a partner of the certificate holder has been convicted for an
431-offense under IC 35-48-4 and the conviction involved the sale
432-of or the offer to sell, in the normal course of business, a
433-synthetic drug (as defined in IC 35-31.5-2-321), a synthetic
434-drug lookalike substance (as defined in IC 35-31.5-2-321.5
435-(before its repeal on July 1, 2019)), a controlled substance
436-analog (as defined in IC 35-48-1-9.3), or a substance
437-represented to be a controlled substance (as described in
438-IC 35-48-4-4.6) by a retail merchant in a place of business for
439-which the retail merchant has been issued a registered retail
440-merchant's certificate under this chapter.
441-(6) The certificate holder or an officer, a director, a manager,
442-or a partner of the certificate holder has a judgment for a
443-violation of IC 35-48-4-10.5 (before its repeal on July 1, 2019)
444-as an infraction and the violation involved the sale of or the
445-offer to sell, in the normal course of business, a synthetic drug
446-or a synthetic drug lookalike substance by a retail merchant
447-in a place of business for which the retail merchant has been
448-issued a registered retail merchant's certificate under this
449-chapter.
450-(7) The certificate holder or an officer, a director, a manager,
451-or a partner of the certificate holder has been convicted for an
452-offense under IC 35-45-5-3, IC 35-45-5-3.5, or IC 35-45-5-4.
453-(8) The retail merchant has defaulted on a payment plan for
454-a listed tax that was entered into prior to the date of the most
455-recent renewal of its retail merchant's certificate.
456-The department may revoke a certificate under subdivision (2) before
457-a criminal adjudication or without a criminal charge being filed. If the
458-department gives notice of an intent to revoke based on an alleged
459-violation of subdivision (2), the department shall hold a public hearing
460-to determine whether good cause exists. If the department finds in a
461-public hearing by a preponderance of the evidence that a person has
462-committed a violation described in subdivision (2), the department
463-shall proceed in accordance with subsection (i) (if the violation resulted
464-in a criminal conviction) or subsection (j) (if the violation resulted in
465-a judgment for an infraction). A person that has a certificate revoked
466-SEA 228 12
467-pursuant to subdivision (2), (5), (6), or (7) must wait one (1) year
468-from the date of the revocation before reapplying for a certificate.
469-The department may issue the certificate upon reapplication or
470-hold a hearing to determine whether good cause exists for denying
471-the application for a certificate.
472-(b) The department shall may revoke a certificate issued under
473-section 1 or 4 of this chapter if, for a period of three (3) years, six (6)
474-months, the certificate holder fails to:
475-(1) file the returns required by IC 6-2.5-6-1; or
476-(2) report the collection of any state gross retail or use tax on the
477-returns filed under IC 6-2.5-6-1.
478-However, the department must give the certificate holder at least five
479-(5) days notice before it revokes the certificate.
480-(c) The department may, for good cause, revoke a certificate issued
481-under section 1 of this chapter after at least five (5) days notice to the
482-certificate holder if:
483-(1) the certificate holder is subject to an innkeeper's tax under
484-IC 6-9; and
485-(2) a board, bureau, or commission established under IC 6-9 files
486-a written statement with the department.
487-(d) The statement filed under subsection (c) must state that:
488-(1) information obtained by the board, bureau, or commission
489-under IC 6-8.1-7-1 indicates that the certificate holder has not
490-complied with IC 6-9; and
491-(2) the board, bureau, or commission has determined that
492-significant harm will result to the county from the certificate
493-holder's failure to comply with IC 6-9.
494-(e) The department shall may revoke or suspend a certificate issued
495-under section 1 of this chapter after at least five (5) days notice to the
496-certificate holder if:
497-(1) the certificate holder owes taxes, penalties, fines, interest, or
498-costs due under IC 6-1.1 that remain unpaid at least sixty (60)
499-days after the due date under IC 6-1.1; and
500-(2) the treasurer of the county to which the taxes are due requests
501-the department to revoke or suspend the certificate.
502-(f) The department shall reinstate a certificate suspended under
503-subsection (e) if the taxes and any penalties due under IC 6-1.1 are paid
504-or the county treasurer requests the department to reinstate the
505-certificate because an agreement for the payment of taxes and any
506-penalties due under IC 6-1.1 has been reached to the satisfaction of the
507-county treasurer.
508-(g) The department shall revoke a certificate issued under section
509-SEA 228 13
510-1 of this chapter after at least five (5) days notice to the certificate
511-holder if the department finds in a public hearing by a preponderance
512-of the evidence that the certificate holder has violated IC 35-45-5-3,
513-IC 35-45-5-3.5, or IC 35-45-5-4.
514-(h) (g) If a person makes a payment for the certificate under section
515-1 of this chapter with a check, credit card, debit card, or electronic
516-funds transfer, and the department is unable to obtain payment of the
517-check, credit card, debit card, or electronic funds transfer for its full
518-face amount when the check, credit card, debit card, or electronic funds
519-transfer is presented for payment through normal banking channels, the
520-department shall notify the person by mail that the check, credit card,
521-debit card, or electronic funds transfer was not honored and that the
522-person has five (5) days after the notice is mailed to pay the fee in cash,
523-by certified check, or other guaranteed payment. If the person fails to
524-make the payment within the five (5) day period, the department shall
525-revoke the certificate.
526-(i) If the department finds in a public hearing by a preponderance of
527-the evidence that a person has a conviction for an offense under
528-IC 35-48-4 and the conviction involved the sale of or the offer to sell,
529-in the normal course of business, a synthetic drug (as defined in
530-IC 35-31.5-2-321), a synthetic drug lookalike substance (as defined in
531-IC 35-31.5-2-321.5 (before its repeal on July 1, 2019)), a controlled
532-substance analog (as defined in IC 35-48-1-9.3), or a substance
533-represented to be a controlled substance (as described in
534-IC 35-48-4-4.6) by a retail merchant in a place of business for which
535-the retail merchant has been issued a registered retail merchant
536-certificate under section 1 of this chapter, the department:
537-(1) shall suspend the registered retail merchant certificate for the
538-place of business for one (1) year; and
539-(2) may not issue another retail merchant certificate under section
540-1 of this chapter for one (1) year to any person:
541-(A) that:
542-(i) applied for; or
543-(ii) made a retail transaction under;
544-the retail merchant certificate suspended under subdivision
545-(1); or
546-(B) that:
547-(i) owned or co-owned, directly or indirectly; or
548-(ii) was an officer, a director, a manager, or a partner of;
549-the retail merchant that was issued the retail merchant
550-certificate suspended under subdivision (1).
551-(j) If the department finds in a public hearing by a preponderance of
552-SEA 228 14
553-the evidence that a person has a judgment for a violation of
554-IC 35-48-4-10.5 (before its repeal on July 1, 2019) as an infraction and
555-the violation involved the sale of or the offer to sell, in the normal
556-course of business, a synthetic drug or a synthetic drug lookalike
557-substance by a retail merchant in a place of business for which the
558-retail merchant has been issued a registered retail merchant certificate
559-under section 1 of this chapter, the department:
560-(1) may suspend the registered retail merchant certificate for the
561-place of business for six (6) months; and
562-(2) may withhold issuance of another retail merchant certificate
563-under section 1 of this chapter for six (6) months to any person:
564-(A) that:
565-(i) applied for; or
566-(ii) made a retail transaction under;
567-the retail merchant certificate suspended under subdivision
568-(1); or
569-(B) that:
570-(i) owned or co-owned, directly or indirectly; or
571-(ii) was an officer, a director, a manager, or a partner of;
572-the retail merchant that was issued the retail merchant
573-certificate suspended under subdivision (1).
574-(k) If the department finds in a public hearing by a preponderance
575-of the evidence that a person has a conviction for a violation of
576-IC 35-48-4-10(d)(3) and the conviction involved an offense committed
577-by a retail merchant in a place of business for which the retail merchant
578-has been issued a registered retail merchant certificate under section 1
579-of this chapter, the department:
580-(1) shall suspend the registered retail merchant certificate for the
581-place of business for one (1) year; and
582-(2) may not issue another retail merchant certificate under section
583-1 of this chapter for one (1) year to any person:
584-(A) that:
585-(i) applied for; or
586-(ii) made a retail transaction under;
587-the retail merchant certificate suspended under subdivision
588-(1); or
589-(B) that:
590-(i) owned or co-owned, directly or indirectly; or
591-(ii) was an officer, a director, a manager, or a partner of;
592-the retail merchant that was issued the retail merchant
593-certificate suspended under subdivision (1).
594-SECTION 11. IC 6-3-2.1-4, AS AMENDED BY P.L.236-2023,
595-SEA 228 15
596-SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
597-JANUARY 1, 2022 (RETROACTIVE)]: Sec. 4. (a) A tax shall be
598-imposed on the adjusted gross income of an electing entity for the
599-taxable year of the election. The adjusted gross income of the electing
600-entity shall be the aggregate of the direct owners' share of the electing
601-entity's adjusted gross income. For purposes of this section:
602-(1) the electing entity shall determine each nonresident direct
603-owner's share after allocation and apportionment pursuant to
604-IC 6-3-2-2; and
605-(2) the electing entity shall determine the resident direct owner's
606-share either before allocation and apportionment pursuant to
607-IC 6-3-2-2 or after allocation and apportionment pursuant to
608-IC 6-3-2-2. The electing entity must use the same method for all
609-resident direct owners.
610-(b) The tax rate shall be the tax rate specified in IC 6-3-2-1(b) as of
611-the last day of the electing entity's taxable year, and the tax shall be due
612-on the same date as the entity return for the taxable year is due under
613-this article, without regard to extensions.
614-(c) On its return for the taxable year, the electing entity shall attach
615-a schedule showing the calculation of the tax and the credit for each
616-direct owner, and remit the tax with the return, taking into account
617-prior estimated tax payments and other tax payments by the electing
618-entity, along with other payments that are credited to the electing entity
619-as tax paid under this chapter or as tax withheld under IC 6-3-4 or
620-IC 6-5.5-2-8. The department may prescribe the form for providing the
621-information required by this section.
622-(d) If a pass through entity makes estimated tax payments, makes
623-other tax payments, or has other payments that are credited to the
624-electing entity as tax paid under this chapter or a tax withheld under
625-IC 6-3-4 or IC 6-5.5-2-8, and the pass through entity does not make the
626-election under section 3 of this chapter, the pass through entity:
627-(1) may treat pass through entity tax remitted on its behalf under
628-this chapter as pass through entity tax to its direct owners,
629-provided that:
630-(A) the tax is designated on a schedule similar to the schedule
631-required under subsection (c) and is reported to the direct
632-owners in the manner provided in section 5 of this chapter; and
633-(B) the pass through entity credits an amount to a direct owner
634-no greater than the tax that otherwise would be due under this
635-chapter on their share of the adjusted gross income from the
636-pass through entity or the direct owner's portion (as
637-determined under subsection (a)) of the pass through entity tax
638-SEA 228 16
639-passed through to the pass through entity, whichever is greater
640-(for purposes of this clause, a trust or estate shall compute the
641-tax in the same manner as an electing entity);
642-(2) shall treat any payment other than a payment designated under
643-subdivision (1) as a withholding tax payment under IC 6-3-4-12,
644-IC 6-3-4-13, IC 6-3-4-15, or IC 6-5.5-2-8 to the extent the pass
645-through entity otherwise has not remitted or been credited with
646-such withholding; and
647-(3) may request a refund of any payment in excess of the amounts
648-credited or designated under subdivision (1) or (2).
649-(e) If a pass through entity elects to be subject to tax under this
650-chapter and the pass through entity determines that its tax is less than
651-the pass through entity tax that is paid on its behalf, the pass through
652-entity may treat the tax paid on its behalf in a manner similar to
653-subsection (d)(1)(B). (d). However, the pass through entity may not
654-treat an amount less than its own liability under this chapter as
655-pass through entity tax under subsection (d)(1).
656-SECTION 12. IC 6-3.1-30-12, AS AMENDED BY P.L.288-2013,
657-SECTION 66, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
658-JULY 1, 2024]: Sec. 12. To receive the credit provided by this chapter,
659-a taxpayer must claim the credit on the taxpayer's state tax return or
660-returns in the manner prescribed by the department. The taxpayer shall
661-submit to the department the corporation's certification of the following
662-information:
663-(1) Proof of the taxpayer's relocation costs.
664-(2) Proof that the taxpayer is employing in Indiana the number of
665-employees required by section 8 of this chapter.
666-(3) (2) All other information that the department determines is
667-necessary for the calculation of the credit provided by this
668-chapter.
669-SECTION 13. IC 6-6-2.5-41, AS AMENDED BY P.L.227-2013,
670-SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
671-UPON PASSAGE]: Sec. 41. (a) Each supplier engaged in business in
672-Indiana as a supplier shall first obtain a supplier's license. The fee for
673-a supplier's license shall be five hundred dollars ($500).
674-(b) Any person who desires to collect the tax imposed by this
675-chapter as a supplier and who meets the definition of a permissive
676-supplier may obtain a permissive supplier's license. Application for or
677-possession of a permissive supplier's license shall not in itself subject
678-the applicant or licensee to the jurisdiction of Indiana for any other
679-purpose than administration and enforcement of this chapter. The fee
680-for a permissive supplier's license is fifty dollars ($50).
681-SEA 228 17
682-(c) Each terminal operator other than a supplier licensed under
683-subsection (a) engaged in business in Indiana as a terminal operator
684-shall first obtain a terminal operator's license for each terminal site.
685-The fee for a terminal operator's license is three hundred dollars
686-($300).
687-(d) Each exporter engaged in business in Indiana as an exporter
688-shall first obtain an exporter's license. However, in order to obtain a
689-license to export special fuel from Indiana to another specified state, a
690-person shall be licensed either to collect and remit special fuel taxes or
691-be licensed to deal in tax free special fuel in that other specified state
692-of destination. The fee for an exporter's license is two hundred dollars
693-($200).
694-(e) Each person who is not licensed as a supplier shall obtain a
695-transporter's license before transporting special fuel by whatever
696-manner from a point outside Indiana to a point inside Indiana, or from
697-a point inside Indiana to a point outside Indiana, regardless of whether
698-the person is engaged for hire in interstate commerce or for hire in
699-intrastate commerce. The registration fee for a transporter's license is
700-fifty dollars ($50).
701-(f) Each person who wishes to cause special fuel to be delivered into
702-Indiana on the person's own behalf, for the person's own account, or for
703-resale to an Indiana purchaser, from another state in a fuel transport
704-vehicle having a capacity of more than five thousand four hundred
705-(5,400) gallons, or in a pipeline or barge shipment into storage facilities
706-other than a qualified terminal, shall first make an application for and
707-obtain an importer's license. The fee for an importer's license is two
708-hundred dollars ($200). This subsection does not apply to a person who
709-imports special fuel that is exempt because the special fuel has been
710-dyed or marked, or both, in accordance with section 31 of this chapter.
711-This subsection does not apply to a person who imports nonexempt
712-special fuels meeting the following conditions:
713-(1) The special fuel is subject to one (1) or more tax precollection
714-agreements with suppliers as provided in section 35 of this
715-chapter.
716-(2) The special fuel tax precollection by the supplier is expressly
717-evidenced on the terminal-issued shipping paper as specifically
718-provided in section 62(e)(2) of this chapter.
719-(g) A person desiring to import special fuel to an Indiana destination
720-who does not enter into an agreement to prepay Indiana special fuel tax
721-to a supplier or permissive supplier under section 35 of this chapter on
722-the imports must do the following:
723-(1) Obtain a valid license under subsection (f).
724-SEA 228 18
725-(2) Obtain an import verification number from the department not
726-earlier than twenty-four (24) hours before entering the state with
727-each import, if importing in a vehicle with a capacity of more than
728-five thousand four hundred (5,400) gallons.
729-(3) Display a proper import verification number on the shipping
730-document, if importing in a vehicle with a capacity of more than
731-five thousand four hundred (5,400) gallons.
732-(h) The department may require a person that wants to blend special
733-fuel to first obtain a license from the department. The department may
734-establish reasonable requirements for the proper enforcement of this
735-subsection, including the following:
736-(1) Guidelines under which a person may be required to obtain a
737-license.
738-(2) A requirement that a licensee file reports in the form and
739-manner required by the department.
740-(3) A requirement that a licensee meet the bonding requirements
741-specified by the department.
742-(i) The department may require a person that:
743-(1) is subject to the special fuel tax under this chapter;
744-(2) qualifies for a federal diesel fuel tax exemption under Section
745-4082 of the Internal Revenue Code; and
746-(3) is purchasing red dyed low sulfur diesel fuel;
747-to register with the department as a dyed fuel user. The department may
748-establish reasonable requirements for the proper enforcement of this
749-subsection, including guidelines under which a person may be required
750-to register and the form and manner of reports a registrant is required
751-to file.
752-(j) A person who owns a truck stop in Indiana must obtain from the
753-department a truck stop owner's license in the manner prescribed by the
754-department. A truck stop owner's license must be renewed every two
755-(2) years.
756-SECTION 14. IC 6-7-2-3.3, AS ADDED BY P.L.137-2022,
757-SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
758-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 3.3. As used in this
759-chapter, "remote seller" means a retail dealer that meets one (1) or both
760-of the economic thresholds threshold under IC 6-2.5-2-1(d) and sells
761-taxable products to an ultimate consumer under either of the following
762-circumstances:
763-(1) By means of a telephone or other method of voice
764-transmission, the mail, or the Internet or other electronic service.
765-(2) When the taxable products are delivered to the consumer by
766-common carrier, private delivery service, or other method of
767-SEA 228 19
768-delivery.
769-SECTION 15. IC 6-7-2-4, AS AMENDED BY P.L.137-2022,
770-SECTION 66, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
771-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 4. As used in this
772-chapter, "retail dealer" means a person engaged in the business of
773-selling taxable products to ultimate consumers, including a retail
774-merchant that meets one (1) or both of the economic thresholds
775-threshold under IC 6-2.5-2-1(d).
776-SECTION 16. IC 6-7-2-8.5, AS ADDED BY P.L.137-2022,
777-SECTION 71, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
778-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 8.5. (a) A remote seller,
779-including a person that sells taxable products through an Internet web
780-site, a website, must obtain a license under this section before a remote
781-seller can sell taxable products in Indiana. The department shall issue
782-licenses to applicants that qualify under this section. A license issued
783-under this section is valid for one (1) year unless revoked or suspended
784-by the department and is not transferable.
785-(b) An applicant for a license under this section must submit proof
786-to the department of the appointment of an agent for service of process
787-in Indiana if the applicant is:
788-(1) an individual whose principal place of residence is outside
789-Indiana; or
790-(2) a person, other than an individual, that has its principal place
791-of business outside Indiana.
792-(c) To obtain or renew a license under this section, a person must:
793-(1) submit an application that includes all information required by
794-the department;
795-(2) meet one (1) or both of the economic thresholds threshold
796-under IC 6-2.5-2-1(d) and obtain a registered retail merchant
797-certificate;
798-(3) attest that the person uses third party age verification
799-technology as described in subsection (d);
800-(4) pay a fee of twenty-five dollars ($25) at the time of
801-application; and
802-(5) at the time of application, post a bond, issued by a surety
803-company approved by the department, in an amount not less than
804-one thousand dollars ($1,000) and conditioned on the applicant's
805-compliance with this chapter.
806-(d) A remote seller must use age verification through an
807-independent, third party age verification service that compares:
808-(1) information available from a commercially available data base
809-(or aggregate of data bases) that are regularly used by government
810-SEA 228 20
811-agencies and businesses for the purpose of age and identity
812-verification; and
813-(2) personal information entered by the individual during the
814-ordering process;
815-that establishes that the individual is of the required minimum age.
816-(e) A remote seller that collects the tax imposed under section 7.7
817-of this chapter using the actual cost list method to calculate the tax
818-must provide to the department a certified actual cost list for each
819-individual product offered for sale in the subsequent calendar year. The
820-actual cost list shall be updated annually as new products are added to
821-a remote seller's inventory. New products must be added to the actual
822-cost list using the actual cost first paid for each individual product.
823-(f) If a business owns multiple entities that qualify as a remote
824-seller, a separate license must be obtained for each remote seller.
825-(g) Each license must be numbered, show the name and address of
826-the remote seller, and be kept at the place of business for which it is
827-issued.
828-(h) If the department determines that a bond provided by a licensee
829-is inadequate, the department may require a new bond in the amount
830-necessary to fully protect the state.
831-(i) A license issued under this section does not permit the remote
832-seller to sell cigarettes, vapor products, or other products subject to tax
833-under IC 6-7-1 or IC 6-7-4.
834-SECTION 17. IC 6-7-4-9, AS ADDED BY P.L.165-2021,
835-SECTION 119, IS AMENDED TO READ AS FOLLOWS
836-[EFFECTIVE JANUARY 1, 2024 (RETROACTIVE)]: Sec. 9. (a) An
837-excise tax, known as the electronic cigarette tax, is imposed on the
838-retail sale of consumable material and vapor products in Indiana.
839-(b) The electronic cigarette tax equals fifteen percent (15%) of the
840-gross retail income received by the retail dealer for the sale.
841-(c) The person who acquires consumable material or vapor products
842-in a retail transaction is liable for the tax on the transaction, and, except
843-as otherwise incorporated in this chapter, shall pay the tax to the retail
844-dealer as a separate added amount to the consideration in the
845-transaction. A retail dealer that either:
846-(1) has a physical presence in Indiana, as described in
847-IC 6-2.5-2-1(c); or
848-(2) meets one (1) or both of the thresholds threshold in
849-IC 6-2.5-2-1(d);
850-shall collect and remit the tax as an agent for the state.
851-(d) If the tax is not collected by the retail dealer, the consumer is
852-responsible to remit the tax to the department. A retail dealer that is
853-SEA 228 21
854-required to collect and remit tax under this chapter is jointly and
855-severally liable for uncollected tax absent proof of exemption or
856-payment by the purchaser.
857-(e) Before the fifteenth day of each month, each retail dealer liable
858-for the collection and remittance of the tax imposed by this chapter
859-shall:
860-(1) file a return with the department that includes all information
861-required by the department including, but not limited to:
862-(A) the name of the retail dealer;
863-(B) the address of the retail dealer; and
864-(C) the certificate number of the retail dealer's electronic
865-cigarette retail dealer's certificate; and
866-(2) pay the tax for which it is liable under this chapter for the
867-preceding month.
868-All returns required to be filed and taxes required to be paid under this
869-chapter must be made in an electronic format prescribed by the
870-department.
871-(f) All of the provisions of IC 6-2.5 relating to rights, duties,
872-liabilities, procedures, penalties, definitions, exemptions, and
873-administration apply to the imposition and administration of the tax
874-imposed under this section, except to the extent such provisions are in
875-conflict or inconsistent with the specific provisions of this chapter.
876-(g) A marketplace facilitator (as defined in IC 6-2.5-1-21.9) who is
877-considered a retail merchant under IC 6-2.5-4-18 for a transaction to
878-which this chapter applies shall collect and remit electronic cigarette
879-taxes imposed on the retail transaction.
880-SECTION 18. IC 6-8.1-1-4.5 IS ADDED TO THE INDIANA
881-CODE AS A NEW SECTION TO READ AS FOLLOWS
882-[EFFECTIVE JULY 1, 2024]: Sec. 4.5. "Periodic tax" means a listed
883-tax for which a return or report is required to be filed and the tax
884-is required to be remitted four (4) times or more in a calendar
885-year. The term does not include:
886-(1) an estimated tax payment under IC 6-3-2.1-6, IC 6-3-4-4.1,
887-or IC 6-5.5-6-3; or
888-(2) a withholding payment required to be remitted quarterly
889-under IC 6-3-4-12, IC 6-3-4-13, or IC 6-3-4-15.
890-For purposes of this section, if a provision of the law relating to a
891-listed tax permits a taxpayer to file returns or reports or remit the
892-tax less frequently than four (4) times per calendar year, the listed
893-tax is considered a periodic tax for a taxpayer who files or remits
894-less frequently.
895-SECTION 19. IC 6-8.1-3-20, AS ADDED BY P.L.227-2007,
896-SEA 228 22
897-SECTION 59, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
898-JANUARY 1, 2025]: Sec. 20. (a) The department shall enter a
899-memorandum of understanding with the Indiana gaming commission
900-authorizing the commission's unlawful gaming enforcement division to
901-conduct actions to revoke retail merchant certificates under
902-IC 6-2.5-8-7(g) IC 6-2.5-8-7(a)(7) in the manner specified in the
903-memorandum of understanding.
904-(b) A memorandum of understanding entered into under this section
905-must comply with the requirements of IC 4-33-19-8.
906-(c) The memorandum of understanding required by this section
907-must be entered into before January 1, 2008.
908-SECTION 20. IC 6-8.1-5-2, AS AMENDED BY P.L.1-2023,
909-SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
910-JULY 1, 2024]: Sec. 2. (a) Except as otherwise provided in this section
911-and section 2.5 of this chapter, the department may not issue a
912-proposed assessment under section 1 of this chapter more than three (3)
913-years after the latest of the date the return is filed, or the following:
914-(1) The due date of the return.
915-(2) In the case of a return filed for the state gross retail or use tax,
916-the gasoline use tax, the gasoline tax (including the inventory
917-tax), the special fuel tax (including the inventory tax), the motor
918-carrier fuel tax (including the inventory tax), the oil inspection
919-fee, the cigarette tax, the tobacco products tax, any county
920-innkeeper's taxes imposed under IC 6-9, any food and beverage
921-taxes imposed under IC 6-9, any county or local admissions taxes
922-imposed under IC 6-9, or the petroleum severance tax, a periodic
923-tax, thirty-one (31) days after the end of the calendar year which
924-contains the taxable period for which the return is filed.
925-(3) In the case of the use tax, three (3) years and thirty-one (31)
926-days from the end of the calendar year in which the first taxable
927-use, other than an incidental nonexempt use, of the property
928-occurred.
929-(b) If a person files a return for the utility receipts tax (IC 6-2.3)
930-(repealed), adjusted gross income tax (IC 6-3), pass through entity tax
931-(IC 6-3-2.1), supplemental net income tax (IC 6-3-8) (repealed), county
932-adjusted gross income tax (IC 6-3.5-1.1) (repealed), county option
933-income tax (IC 6-3.5-6) (repealed), local income tax (IC 6-3.6), or
934-financial institutions tax (IC 6-5.5) that understates the person's
935-income, as that term is defined in the particular income tax law, by at
936-least twenty-five percent (25%), the proposed assessment limitation is
937-six (6) years instead of the three (3) years provided in subsection (a).
938-(c) In the case of the vehicle excise tax (IC 6-6-5), the tax shall be
939-SEA 228 23
940-assessed as provided in IC 6-6-5 and shall include the penalties and
941-interest due on all listed taxes not paid by the due date. A person that
942-fails to properly register a vehicle as required by IC 9-18 (before its
943-expiration) or IC 9-18.1 and pay the tax due under IC 6-6-5 is
944-considered to have failed to file a return for purposes of this article.
945-(d) In the case of the commercial vehicle excise tax imposed under
946-IC 6-6-5.5, the tax shall be assessed as provided in IC 6-6-5.5 and shall
947-include the penalties and interest due on all listed taxes not paid by the
948-due date. A person that fails to properly register a commercial vehicle
949-as required by IC 9-18 (before its expiration) or IC 9-18.1 and pay the
950-tax due under IC 6-6-5.5 is considered to have failed to file a return for
951-purposes of this article.
952-(e) In the case of the excise tax imposed on recreational vehicles
953-and truck campers under IC 6-6-5.1, the tax shall be assessed as
954-provided in IC 6-6-5.1 and must include the penalties and interest due
955-on all listed taxes not paid by the due date. A person that fails to
956-properly register a recreational vehicle as required by IC 9-18 (before
957-its expiration) or IC 9-18.1 and pay the tax due under IC 6-6-5.1 is
958-considered to have failed to file a return for purposes of this article. A
959-person that fails to pay the tax due under IC 6-6-5.1 on a truck camper
960-is considered to have failed to file a return for purposes of this article.
961-(f) In the case of a credit against a listed tax based on payments of
962-taxes to a state or local jurisdiction outside Indiana or payments of
963-amounts that are subsequently refunded or returned, a proposed
964-assessment for the refunded or returned credit must be issued by the
965-later of:
966-(1) the date by which a proposed assessment must be issued under
967-this section; or
968-(2) one hundred eighty (180) days from the date the taxpayer
969-notifies the department of the refund or return of payment.
970-For purposes of this subsection, if a taxpayer receives a refund of an
971-amount paid by or on behalf of the taxpayer for a listed tax, that refund
972-shall not be considered the payment of an amount that is subsequently
973-refunded or returned.
974-(g) If a person files a fraudulent, unsigned, or substantially blank
975-return, or if a person does not file a return, there is no time limit within
976-which the department must issue its proposed assessment, except as
977-provided in subsection (l).
978-(h) If any part of a listed tax has been erroneously refunded by the
979-department, the erroneous refund may be recovered through the
980-assessment procedures established in this chapter. An assessment
981-issued for an erroneous refund must be issued within the later of:
982-SEA 228 24
983-(1) the period for which an assessment could otherwise be issued
984-under this section; or
985-(2) whichever is applicable:
986-(A) within two (2) years after making the refund; or
987-(B) within five (5) years after making the refund if the refund
988-was induced by fraud or misrepresentation.
989-(i) If, before the end of the time within which the department may
990-make an assessment, the department and the person agree to extend
991-that assessment period, the period may be extended according to the
992-terms of a written agreement signed by both the department and the
993-person. The agreement must contain:
994-(1) the date to which the extension is made; and
995-(2) a statement that the person agrees to preserve the person's
996-records until the extension terminates.
997-The department and a person may agree to more than one (1) extension
998-under this subsection.
999-(j) Except as otherwise provided in subsection (k), if a taxpayer's
1000-federal taxable income, federal adjusted gross income, or federal
1001-income tax liability for a taxable year is modified due to a modification
1002-as provided under IC 6-3-4-6(c) and IC 6-3-4-6(d) (for the adjusted
1003-gross income tax), or a modification or alteration as provided under
1004-IC 6-5.5-6-6(c) and IC 6-5.5-6-6(e) (for the financial institutions tax),
1005-then the date by which the department must issue a proposed
1006-assessment under section 1 of this chapter for tax imposed under IC 6-3
1007-is extended to six (6) months after the date on which the notice of
1008-modification is filed with the department by the taxpayer.
1009-(k) The following apply:
1010-(1) This subsection applies to partnerships whose taxable year:
1011-(A) begins after December 31, 2017;
1012-(B) ends after August 12, 2018; or
1013-(C) begins after November 2, 2015, and before January 1,
1014-2018, and for which a valid election under United States
1015-Treasury Regulation 301.9100-22 is in effect;
1016-and to the partners of such partnerships, including any partners,
1017-shareholders, or beneficiaries of a pass through entity that is a
1018-partner in such partnership.
1019-(2) Notwithstanding any other provision of this article, if a
1020-partnership is subject to federal income tax liability or a federal
1021-tax adjustment at the partnership level as the result of a
1022-modification under Sections 6221 through 6241 of the Internal
1023-Revenue Code, the date on which the department must issue a
1024-proposed assessment to either the partners or the partnership shall
1025-SEA 228 25
1026-be the later of:
1027-(A) the date on which a proposed assessment must otherwise
1028-be issued to the partner or the partnership under this section or
1029-IC 6-3-4.5 with regard to the taxable year of the partnership to
1030-which the modification is taxed at the partnership level; or
1031-(B) December 31, 2021.
1032-(3) For purposes of this section and IC 6-8.1-9-1, a modification
1033-under this subsection shall be considered a modification to the
1034-federal taxable income, federal adjusted gross income, or federal
1035-income tax liability of both the partners and the partnership within
1036-the meaning of IC 6-3-4-6 and IC 6-5.5-6-6, and shall be
1037-considered to be included in the federal taxable income or federal
1038-adjusted gross income of both the partners and partnerships for
1039-purposes of this article and IC 6-5.5.
1040-(4) If a modification made to a partnership for federal income tax
1041-purposes is reported to the partners to determine the partners'
1042-respective federal taxable income, federal adjusted gross income,
1043-or federal income tax liability, including reporting to partners as
1044-the result of an election made under Section 6226 of the Internal
1045-Revenue Code, subdivision (2) shall not apply, and those
1046-modifications shall be treated as modifications to the partners'
1047-federal taxable income, federal adjusted gross income, or federal
1048-income tax liability for purposes of the following:
1049-(A) This section.
1050-(B) IC 6-3-4-6.
1051-(C) IC 6-5.5-6-6.
1052-(D) IC 6-8.1-9-1.
1053-(l) Notwithstanding any other provision, a nonresident individual is
1054-considered to have filed a return for purposes of this section for a
1055-taxable year if the individual does not file a return otherwise required
1056-under IC 6-3-4-1 for a taxable year and all of the following apply:
1057-(1) the:
1058-(A) individual did not have income from sources within
1059-Indiana; or
1060-(B) only income derived from sources within Indiana and
1061-includible in the individual's adjusted gross income is
1062-distributive share income from one (1) or more pass through
1063-entities (as defined by IC 6-3-1-35);
1064-(2) the individual is not a resident of Indiana for any portion of
1065-the taxable year;
1066-(3) the individual does not request a reduction in tax withholding
1067-for a pass through entity under IC 6-3-4-12, IC 6-3-4-13, or
1068-SEA 228 26
1069-IC 6-3-4-15 for the taxable year; and
1070-(4) all pass through entities from which the individual derives
1071-income from Indiana sources:
1072-(A) file a composite return required under IC 6-3-4-12,
1073-IC 6-3-4-13, or IC 6-3-4-15; and
1074-(B) include the individual on the composite return.
1075-(m) The following provisions apply to subsection (l):
1076-(1) If an individual is married and files a joint federal tax return
1077-with the individual's spouse, the individual is considered to have
1078-filed a return for purposes of this section only if both the
1079-individual and the individual's spouse meet the conditions under
1080-subsection (l)(1) through (l)(4).
1081-(2) If an individual does not file a return, the last date for
1082-assessment with regard to the individual's share of income from
1083-a pass through entity shall be determined at the pass through
1084-entity and shall be determined separately for each pass through
1085-entity.
1086-(3) In the event the individual files a return, the period for
1087-assessment shall be determined based on the individual's filing
1088-unless a different period for assessment is prescribed under this
1089-title.
1090-(4) The individual is required to file a return to request a refund
1091-or carryforward of an overpayment for a taxable year.
1092-(5) If the individual has a net operating loss deduction under
1093-IC 6-3-2-2.5 or IC 6-3-2-2.6, or a credit carryforward allowable
1094-under IC 6-3-3 or IC 6-3.1 for the taxable year, the amount of net
1095-operating loss or credit carryforward shall be reduced to reflect
1096-the amount of net operating loss or credit carryforward that
1097-otherwise would have been allowable for the taxable year.
1098-SECTION 21. IC 6-8.1-7-1, AS AMENDED BY P.L.194-2023,
1099-SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1100-JULY 1, 2024]: Sec. 1. (a) This subsection does not apply to the
1101-disclosure of information concerning a conviction on a tax evasion
1102-charge. Unless in accordance with a judicial order or as otherwise
1103-provided in this chapter, the department, its employees, former
1104-employees, counsel, agents, or any other person may not divulge the
1105-amount of tax paid by any taxpayer, terms of a settlement agreement
1106-executed between a taxpayer and the department, investigation records,
1107-investigation reports, or any other information disclosed by the reports
1108-filed under the provisions of the law relating to any of the listed taxes,
1109-including required information derived from a federal return, except to
1110-any of the following when it is agreed that the information is to be
1111-SEA 228 27
1112-confidential and to be used solely for official purposes:
1113-(1) Members and employees of the department.
1114-(2) The governor.
1115-(3) A member of the general assembly or an employee of the
1116-house of representatives or the senate when acting on behalf of a
1117-taxpayer located in the member's legislative district who has
1118-provided sufficient information to the member or employee for
1119-the department to determine that the member or employee is
1120-acting on behalf of the taxpayer.
1121-(4) An employee of the legislative services agency to carry out the
1122-responsibilities of the legislative services agency under
1123-IC 2-5-1.1-7 or another law.
1124-(5) The attorney general or any other legal representative of the
1125-state in any action in respect to the amount of tax due under the
1126-provisions of the law relating to any of the listed taxes.
1127-(6) Any authorized officers of the United States.
1128-(b) The information described in subsection (a) may be revealed
1129-upon the receipt of a certified request of any designated officer of the
1130-state tax department of any other state, district, territory, or possession
1131-of the United States when:
1132-(1) the state, district, territory, or possession permits the exchange
1133-of like information with the taxing officials of the state; and
1134-(2) it is agreed that the information is to be confidential and to be
1135-used solely for tax collection purposes.
1136-(c) The information described in subsection (a) relating to a person
1137-on public welfare or a person who has made application for public
1138-welfare may be revealed to the director of the division of family
1139-resources, and to any director of a county office of the division of
1140-family resources located in Indiana, upon receipt of a written request
1141-from either director for the information. The information shall be
1142-treated as confidential by the directors. In addition, the information
1143-described in subsection (a) relating to a person who has been
1144-designated as an absent parent by the state Title IV-D agency shall be
1145-made available to the state Title IV-D agency upon request. The
1146-information shall be subject to the information safeguarding provisions
1147-of the state and federal Title IV-D programs.
1148-(d) The name, address, Social Security number, and place of
1149-employment relating to any individual who is delinquent in paying
1150-educational loans owed to a postsecondary educational institution may
1151-be revealed to that institution if it provides proof to the department that
1152-the individual is delinquent in paying for educational loans. This
1153-information shall be provided free of charge to approved postsecondary
1154-SEA 228 28
1155-educational institutions (as defined by IC 21-7-13-6(a)). The
1156-department shall establish fees that all other institutions must pay to the
1157-department to obtain information under this subsection. However, these
1158-fees may not exceed the department's administrative costs in providing
1159-the information to the institution.
1160-(e) The information described in subsection (a) relating to reports
1161-submitted under IC 6-6-1.1-502 concerning the number of gallons of
1162-gasoline sold by a distributor and IC 6-6-2.5 concerning the number of
1163-gallons of special fuel sold by a supplier and the number of gallons of
1164-special fuel exported by a licensed exporter or imported by a licensed
1165-transporter may be released by the commissioner upon receipt of a
1166-written request for the information.
1167-(f) The information described in subsection (a) may be revealed
1168-upon the receipt of a written request from the administrative head of a
1169-state agency of Indiana when:
1170-(1) the state agency shows an official need for the information;
1171-and
1172-(2) the administrative head of the state agency agrees that any
1173-information released will be kept confidential and will be used
1174-solely for official purposes.
1175-(g) The information described in subsection (a) may be revealed
1176-upon the receipt of a written request from the chief law enforcement
1177-officer of a state or local law enforcement agency in Indiana when it is
1178-agreed that the information is to be confidential and to be used solely
1179-for official purposes.
1180-(h) The name and address of retail merchants, including township,
1181-as specified in IC 6-2.5-8-1(k) may be released solely for tax collection
1182-purposes to township assessors and county assessors.
1183-(i) The department shall notify the appropriate innkeeper's tax
1184-board, bureau, or commission that a taxpayer is delinquent in remitting
1185-innkeepers' taxes under IC 6-9.
1186-(j) All information relating to the delinquency or evasion of the
1187-vehicle excise tax may be disclosed to the bureau of motor vehicles in
1188-Indiana and may be disclosed to another state, if the information is
1189-disclosed for the purpose of the enforcement and collection of the taxes
1190-imposed by IC 6-6-5.
1191-(k) All information relating to the delinquency or evasion of
1192-commercial vehicle excise taxes payable to the bureau of motor
1193-vehicles in Indiana may be disclosed to the bureau and may be
1194-disclosed to another state, if the information is disclosed for the
1195-purpose of the enforcement and collection of the taxes imposed by
1196-IC 6-6-5.5.
1197-SEA 228 29
1198-(l) All information relating to the delinquency or evasion of
1199-commercial vehicle excise taxes payable under the International
1200-Registration Plan may be disclosed to another state, if the information
1201-is disclosed for the purpose of the enforcement and collection of the
1202-taxes imposed by IC 6-6-5.5.
1203-(m) All information relating to the delinquency or evasion of the
1204-excise taxes imposed on recreational vehicles and truck campers that
1205-are payable to the bureau of motor vehicles in Indiana may be disclosed
1206-to the bureau and may be disclosed to another state if the information
1207-is disclosed for the purpose of the enforcement and collection of the
1208-taxes imposed by IC 6-6-5.1.
1209-(n) This section does not apply to:
1210-(1) the beer excise tax, including brand and packaged type (IC
1211-7.1-4-2);
1212-(2) the liquor excise tax (IC 7.1-4-3);
1213-(3) the wine excise tax (IC 7.1-4-4);
1214-(4) the hard cider excise tax (IC 7.1-4-4.5);
1215-(5) the vehicle excise tax (IC 6-6-5);
1216-(6) the commercial vehicle excise tax (IC 6-6-5.5); and
1217-(7) the fees under IC 13-23.
1218-(o) The name and business address of retail merchants within each
1219-county that sell tobacco products may be released to the division of
1220-mental health and addiction and the alcohol and tobacco commission
1221-solely for the purpose of the list prepared under IC 6-2.5-6-14.2.
1222-(p) The name and business address of a person licensed by the
1223-department under IC 6-6 or IC 6-7, or issued a registered retail
1224-merchant's certificate under IC 6-2.5, may be released for the purpose
1225-of reporting the status of the person's license or certificate.
1226-(q) The department may release information concerning total
1227-incremental tax amounts under:
1228-(1) IC 5-28-26;
1229-(2) IC 36-7-13;
1230-(3) IC 36-7-26;
1231-(4) IC 36-7-27;
1232-(5) IC 36-7-31;
1233-(6) IC 36-7-31.3; or
1234-(7) any other statute providing for the calculation of incremental
1235-state taxes that will be distributed to or retained by a political
1236-subdivision or other entity;
1237-to the fiscal officer of the political subdivision or other entity that
1238-established the district or area from which the incremental taxes were
1239-received if that fiscal officer enters into an agreement with the
1240-SEA 228 30
1241-department specifying that the political subdivision or other entity will
1242-use the information solely for official purposes.
1243-(r) The department may release the information as required in
1244-IC 6-8.1-3-7.1 concerning:
1245-(1) an innkeeper's tax, a food and beverage tax, or an admissions
1246-tax under IC 6-9;
1247-(2) the supplemental auto rental excise tax under IC 6-6-9.7; and
1248-(3) the covered taxes allocated to a professional sports
1249-development area fund, sports and convention facilities operating
1250-fund, or other fund under IC 36-7-31 and IC 36-7-31.3.
1251-(s) Information concerning state gross retail tax exemption
1252-certificates that relate to a person who is exempt from the state gross
1253-retail tax under IC 6-2.5-4-5 may be disclosed to a power subsidiary (as
1254-defined in IC 6-2.5-1-22.5) or a person selling the services or
1255-commodities listed in IC 6-2.5-4-5 for the purpose of enforcing and
1256-collecting the state gross retail and use taxes under IC 6-2.5.
1257-(t) The department may release a statement of tax withholding or
1258-other tax information statement provided on behalf of a taxpayer to the
1259-department to:
1260-(1) the taxpayer on whose behalf the tax withholding or other tax
1261-information statement was provided to the department;
1262-(2) the taxpayer's spouse, if:
1263-(A) the taxpayer is deceased or incapacitated; and
1264-(B) the taxpayer's spouse is filing a joint income tax return
1265-with the taxpayer; or
1266-(3) an administrator, executor, trustee, or other fiduciary acting on
1267-behalf of the taxpayer if the taxpayer is deceased.
1268-(u) Information related to a listed tax regarding a taxpayer may be
1269-disclosed to an individual without a power of attorney under
1270-IC 6-8.1-3-8(a)(2) if:
1271-(1) the individual is authorized to file returns and remit payments
1272-for one (1) or more listed taxes on behalf of the taxpayer through
1273-the department's online tax system before September 8, 2020;
1274-(2) the information relates to a listed tax described in subdivision
1275-(1) for which the individual is authorized to file returns and remit
1276-payments;
1277-(3) the taxpayer has been notified by the department of the
1278-individual's ability to access the taxpayer's information for the
1279-listed taxes described in subdivision (1) and the taxpayer has not
1280-objected to the individual's access;
1281-(4) the individual's authorization or right to access the taxpayer's
1282-information for a listed tax described in subdivision (1) has not
1283-SEA 228 31
1284-been withdrawn by the taxpayer; and
1285-(5) disclosure of the information to the individual is not
1286-prohibited by federal law.
1287-Except as otherwise provided by this article, this subsection does not
1288-authorize the disclosure of any correspondence from the department
1289-that is mailed or otherwise delivered to the taxpayer relating to the
1290-specified listed taxes for which the individual was given authorization
1291-by the taxpayer. The department shall establish a date, which may be
1292-earlier but not later than September 1, 2023, after which a taxpayer's
1293-information concerning returns and remittances for a listed tax may not
1294-be disclosed to an individual without a power of attorney under
1295-IC 6-8.1-3-8(a)(2) by providing notice to the affected taxpayers and
1296-previously authorized individuals, including notification published on
1297-the department's website. After the earlier of the date established by the
1298-department or September 1, 2023, the department may not disclose a
1299-taxpayer's information concerning returns and remittances for a listed
1300-tax to an individual unless the individual has a power of attorney under
1301-IC 6-8.1-3-8(a)(2) or the disclosure is otherwise allowed under this
1302-article.
1303-(v) The department may publish a list of persons, corporations, or
1304-other entities that qualify or have qualified for an exemption for sales
1305-tax under IC 6-2.5-5-16, IC 6-2.5-5-25, or IC 6-2.5-5-26, or otherwise
1306-provide information regarding a person's, corporation's, or entity's
1307-exemption status under IC 6-2.5-5-16, IC 6-2.5-5-25, or IC 6-2.5-5-26.
1308-For purposes of this subsection, information that may be disclosed
1309-includes:
1310-(1) any federal identification number or other identification
1311-number for the entity assigned by the department;
1312-(2) any expiration date of an exemption under IC 6-2.5-5-25;
1313-(3) whether any sales tax exemption has expired or has been
1314-revoked by the department; and
1315-(4) any other information reasonably necessary for a recipient of
1316-an exemption certificate to determine if an exemption certificate
1317-is valid.
1318-(w) The department may share a taxpayer's name and other
1319-personal identification information with a tax preparer or tax
1320-preparation software provider in cases where the department
1321-suspects that a fraudulent return has been filed on behalf of a
1322-taxpayer and the department suspects that the system of a
1323-taxpayer's previous year tax preparer or tax preparation software
1324-provider has been breached.
1325-SECTION 22. IC 6-8.1-8-3, AS AMENDED BY P.L.234-2019,
1326-SEA 228 32
1327-SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1328-JANUARY 1, 2025]: Sec. 3. (a) The county sheriff of a county shall
1329-attempt to levy on and collect a judgment arising from a tax warrant in
1330-that county for a period of one hundred twenty (120) days from the date
1331-the judgment lien is entered, unless the sheriff is relieved of that duty
1332-at an earlier time by the department. The sheriff shall also have
1333-authority to attempt to levy on and collect the outstanding tax liability
1334-if the taxpayer does not pay the amount demanded under section 2(b)
1335-of this chapter and the taxpayer has taken an action under section 2(n)
1336-of this chapter to foreclose the lien. The sheriff's authority to collect the
1337-warrant exists only while the sheriff holds the tax warrant, and if the
1338-sheriff surrenders the warrant to the department for any reason the
1339-sheriff's authority to collect that tax warrant ceases. During the period
1340-that the sheriff has the duty to collect a tax warrant, the sheriff shall
1341-collect from the person owing the tax, an amount equal to the amount
1342-of the judgment lien plus the accrued interest to the date of the
1343-payment. Subject to subsection (b), the sheriff shall make the collection
1344-by garnisheeing the person's wages and by levying on and selling any
1345-interest in property or rights in any chose in action that the person has
1346-in the county. The Indiana laws which provide relief for debtors by
1347-exempting certain property from levy by creditors do not apply to levy
1348-and sale proceedings for judgments arising from tax warrants.
1349-(b) A sheriff shall sell property to satisfy a tax warrant in a manner
1350-that is reasonably likely to bring the highest net proceeds from the sale
1351-after deducting the expenses of the offer to sell and sale. A sheriff may
1352-engage an auctioneer to advertise a sale and to conduct a public
1353-auction, unless the person being levied files an objection with the clerk
1354-of the circuit or superior court having the tax warrant within five (5)
1355-days of the day that the sheriff informs the person of the person's right
1356-to object. The advertising conducted by the auctioneer is in addition to
1357-any other notice required by law, and shall include a detailed
1358-description of the property to be sold. When an auctioneer is engaged
1359-under this subsection and the auctioneer files a verified claim with the
1360-clerk of the circuit or superior court with whom the tax warrant is filed,
1361-the sheriff may pay the reasonable fee and reasonable expenses of the
1362-auctioneer from the gross proceeds of the sale before other expenses
1363-and the judgment arising from the tax warrant are paid. As used in this
1364-section, "auctioneer" means an auctioneer licensed under IC 25-6.1.
1365-(c) The sheriff shall deposit all amounts that the sheriff collects
1366-under this section, including partial payments, into a special trust
1367-account for judgments collected that arose from tax warrants. The
1368-sheriff shall notify the department, in a manner specified by the
1369-SEA 228 33
1370-department, of the name of the taxpayer and the amount of the payment
1371-within seven (7) days of receipt. In the event of an emergency, a
1372-taxpayer may direct the sheriff to make a remit received payment
1373-payments on the taxpayer's behalf through the department's direct
1374-electronic interface or by using the department's electronic payment
1375-sheriff portal. when certified funds have been received by the sheriff.
1376-On or before the fifth and the twentieth day of each month, the sheriff
1377-shall disburse the money in the tax warrant judgment lien trust account
1378-in the following order:
1379-(1) The sheriff shall pay the department the part of the collections
1380-that represents taxes, interest, and penalties.
1381-(2) The sheriff shall pay the county treasurer and the clerk of the
1382-circuit or superior court the part of the collections that represents
1383-their assessed costs.
1384-(3) Except as provided in subdivisions (4) and (5), the sheriff
1385-shall keep the part of the collections that represents the ten
1386-percent (10%) collection fee added under section 2(b) of this
1387-chapter.
1388-(4) If the sheriff has entered a salary contract under
1389-IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
1390-the part of the collections that represents the ten percent (10%)
1391-collection fee added under section 2(b) of this chapter.
1392-(5) If the sheriff has not entered into a salary contract under
1393-IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
1394-the part of the collections that:
1395-(A) represents the ten percent (10%) collection fee added
1396-under section 2(b) of this chapter; and
1397-(B) would, if kept by the sheriff, result in the total amount of
1398-the sheriff's annual compensation exceeding the maximum
1399-amount allowed under IC 36-2-13-17.
1400-The department shall establish the procedure for the disbursement of
1401-partial payments so that the intent of this section is carried out.
1402-(d) After the period described in subsection (a) has passed, the
1403-sheriff shall return the tax warrant to the department. However, if the
1404-department determines that:
1405-(1) at the end of this period the sheriff is in the process of
1406-collecting the judgment arising from a tax warrant in periodic
1407-payments of sufficient size that the judgment will be fully paid
1408-within one (1) year after the date the judgment was filed; and
1409-(2) the sheriff's electronic data base regarding tax warrants is
1410-compatible with the department's data base;
1411-the sheriff may keep the tax warrant and continue collections.
1412-SEA 228 34
1413-(e) Notwithstanding any other provision of this chapter, the
1414-department may order a sheriff to return a tax warrant at any time, if the
1415-department feels that action is necessary to protect the interests of the
1416-state.
1417-(f) This subsection applies only to the sheriff of a county having a
1418-consolidated city or a second class city. In such a county, the ten
1419-percent (10%) collection fee added under section 2(b) of this chapter
1420-shall be divided as follows:
1421-(1) Subject to subsection (g), the sheriff may retain forty thousand
1422-dollars ($40,000), plus one-fifth (1/5) of any fees exceeding that
1423-forty thousand dollar ($40,000) amount.
1424-(2) Two-fifths (2/5) of any fees exceeding that forty thousand
1425-dollar ($40,000) amount shall be deposited in the sheriff's
1426-department's pension trust fund.
1427-(3) Two-fifths (2/5) of any fees exceeding that forty thousand
1428-dollar ($40,000) amount shall be deposited in the county general
1429-fund.
1430-(g) If an amount of the collection fee added under section 2(b) of
1431-this chapter would, if retained by the sheriff under subsection (f)(1),
1432-cause the total amount of the sheriff's annual compensation to exceed
1433-the maximum amount allowed under IC 36-2-13-17, the sheriff shall
1434-instead deposit the amount in the county general fund.
1435-(h) Money deposited into a county general fund under subsections
1436-(c)(5) and (g) must be used as follows:
1437-(1) To reduce any unfunded liability of a sheriff's pension trust
1438-plan established for the county's sheriff's department.
1439-(2) Any amounts remaining after complying with subdivision (1)
1440-must be applied to the costs incurred to operate the county's
1441-sheriff's department.
1442-SECTION 23. IC 6-8.1-9-1, AS AMENDED BY P.L.159-2021,
1443-SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1444-JULY 1, 2024]: Sec. 1. (a) If a person has paid more tax than the
1445-person determines is legally due for a particular taxable period, the
1446-person may file a claim for a refund with the department. Except as
1447-provided in subsections (j), (k), (l), (m), and (n), in order to obtain the
1448-refund, the person must file the claim with the department within three
1449-(3) years after the later of the following:
1450-(1) The due date of the return.
1451-(2) The date of payment.
1452-For purposes of this section, the due date for a return filed for the state
1453-gross retail or use tax, the gasoline use tax, the gasoline tax (including
1454-the inventory tax), the special fuel tax (including the inventory tax), the
1455-SEA 228 35
1456-motor carrier fuel tax (including the inventory tax), the oil inspection
1457-fee, the cigarette tax, the tobacco products tax, any county innkeeper's
1458-taxes imposed under IC 6-9, any food and beverage taxes imposed
1459-under IC 6-9, any county or local admissions taxes imposed under
1460-IC 6-9, or the petroleum severance tax a periodic tax is thirty-one
1461-(31) days after the end of the calendar year which contains the taxable
1462-period for which the return is filed. The claim must set forth the
1463-amount of the refund to which the person is entitled and the reasons
1464-that the person is entitled to the refund.
1465-(b) After considering the claim and all evidence relevant to the
1466-claim, the department shall issue a decision on the claim, stating the
1467-part, if any, of the refund allowed and containing a statement of the
1468-reasons for any part of the refund that is denied. The department shall
1469-mail a copy of the decision to the person that filed the claim. If the
1470-person disagrees with a part of the decision on the claim, the person
1471-may file a protest and request a hearing with the department. If the
1472-department allows the full amount of the refund claim, a warrant for the
1473-payment of the claim is sufficient notice of the decision.
1474-(c) The tax court shall hear the appeal de novo and without a jury,
1475-and after the hearing may order or deny any part of the appealed
1476-refund. The court may assess the court costs in any manner that it feels
1477-is equitable. The court may enjoin the collection of any of the listed
1478-taxes under IC 33-26-6-2. The court may also allow a refund of taxes,
1479-interest, and penalties that have been paid to and collected by the
1480-department.
1481-(d) The decision on the claim must state that the person has sixty
1482-(60) days from the date the decision is mailed to file a written protest.
1483-If the person files a protest and requests a hearing on the protest, the
1484-department shall:
1485-(1) set the hearing at the department's earliest convenient time;
1486-and
1487-(2) notify the person by United States mail of the time, date, and
1488-location of the hearing.
1489-(e) The department may hold the hearing at the location of its choice
1490-within Indiana if that location complies with IC 6-8.1-3-8.5.
1491-(f) After conducting a hearing on a protest, or after making a
1492-decision on a protest when no hearing is requested, the department
1493-shall issue a memorandum of decision or order denying a refund and
1494-shall send a copy of the decision through the United States mail to the
1495-person that filed the protest. If the department allows the full amount
1496-of the refund claim, a warrant for the payment of the claim is sufficient
1497-notice of the decision. The department may continue the hearing until
1498-SEA 228 36
1499-a later date if the taxpayer presents additional information at the
1500-hearing or the taxpayer requests an opportunity to present additional
1501-information after the hearing.
1502-(g) A person that disagrees with any part of the department's
1503-determination in a memorandum of decision or order denying a refund
1504-may request a rehearing not more than thirty (30) days after the date on
1505-which the memorandum of decision or order denying a refund is issued
1506-by the department. The department shall consider the request and may
1507-grant the rehearing if the department reasonably believes that a
1508-rehearing would be in the best interests of the taxpayer and the state.
1509-If the department grants the rehearing, the department shall issue a
1510-supplemental order denying a refund or a supplemental memorandum
1511-of decision based on the rehearing, whichever is applicable.
1512-(h) If the person disagrees with any part of the department's
1513-determination, the person may appeal the determination, regardless of
1514-whether or not the person protested the tax payment or whether or not
1515-the person has accepted a refund. The person must file the appeal with
1516-the tax court. The tax court does not have jurisdiction to hear a refund
1517-appeal if:
1518-(1) the appeal is filed more than ninety (90) days after the latest
1519-of the dates on which:
1520-(A) the memorandum of decision or order denying a refund is
1521-issued by the department, if the person does not make a timely
1522-request for a rehearing under subsection (g) on the
1523-memorandum of decision or order denying a refund;
1524-(B) the department issues a denial of the person's timely
1525-request for a rehearing under subsection (g) on the
1526-memorandum of decision or order denying a refund; or
1527-(C) the department issues a supplemental memorandum of
1528-decision or supplemental order denying a refund following a
1529-rehearing granted under subsection (g); or
1530-(2) the appeal is filed both before the decision is issued and
1531-before the one hundred eighty-first day after the date the person
1532-files the claim for a refund with the department.
1533-The ninety (90) day period may be extended according to the terms of
1534-a written agreement signed by both the department and the person. The
1535-agreement must specify a date upon which the extension will terminate
1536-and include a statement that the person agrees to preserve the person's
1537-records until that specified termination date. The specified termination
1538-date agreed upon under this subsection may not be more than ninety
1539-(90) days after the expiration of the period otherwise specified by this
1540-subsection.
1541-SEA 228 37
1542-(i) With respect to the vehicle excise tax, this section applies only
1543-to penalties and interest paid on assessments of the vehicle excise tax.
1544-Any other overpayment of the vehicle excise tax is subject to IC 6-6-5.
1545-(j) If a taxpayer's federal taxable income, federal adjusted gross
1546-income, or federal income tax liability for a taxable year is modified by
1547-the Internal Revenue Service, and the modification would result in a
1548-reduction of the tax legally due, the due date by which the taxpayer
1549-must file a claim for refund with the department is the latest of:
1550-(1) the date determined under subsection (a);
1551-(2) the date that is one hundred eighty (180) days after the date of
1552-the modification by the Internal Revenue Service as provided
1553-under:
1554-(A) IC 6-3-4-6(c) and IC 6-3-4-6(d) (for the adjusted gross
1555-income tax); or
1556-(B) IC 6-5.5-6-6(c) and IC 6-5.5-6-6(d) (for the financial
1557-institutions tax); or
1558-(3) in the case of a modification described in IC 6-8.1-5-2(k)(1)
1559-through IC 6-8.1-5-2(k)(3), the date provided in IC 6-3-4.5 for
1560-such refunds or December 31, 2021, whichever is later.
1561-(k) Notwithstanding any other provision of this section, if an
1562-individual received a severance payment described in Section
1563-3(a)(1)(A) of the Combat-Injured Veterans Tax Fairness Act of 2016
1564-(P.L. 114-292) and upon which the United States Secretary of Defense
1565-withheld tax under IC 6-3, IC 6-3.5-1.1 (before its repeal), IC 6-3.5-6
1566-(before its repeal), IC 6-3.5-7 (before its repeal), or IC 6-3.6, the
1567-individual must file a claim for refund for taxes that were overpaid and
1568-attributable to the severance payment not later than December 31,
1569-2020. Any refund under this subsection shall be computed without
1570-regard to subsection (a)(2). The department may establish procedures
1571-to provide standard refund amounts if a standard refund amount is
1572-requested from the Internal Revenue Service.
1573-(l) Notwithstanding any other provision of this section, a taxpayer
1574-may file a claim for refund for any taxes under IC 6-3 or IC 6-5.5 that
1575-the taxpayer expected to be due as a result of an Internal Revenue
1576-Service audit not later than the date otherwise prescribed in this section
1577-or one hundred eighty (180) days after the date the taxpayer is notified
1578-that the audit resulted in no change or, if the audit resulted in a
1579-modification, the date of the modification as provided under:
1580-(1) IC 6-3-4-6(c) and IC 6-3-4-6(d) (for adjusted gross income
1581-tax); or
1582-(2) IC 6-5.5-6-6(c) and IC 6-5.5-6-6(d) (for the financial
1583-institutions tax);
1584-SEA 228 38
1585-whichever is later.
1586-(m) If a taxpayer has an overpayment for a listed tax as a result of
1587-a credit of taxes paid to another state, country, or local jurisdiction in
1588-another state or country, and those taxes were assessed by the state,
1589-country, or local jurisdiction after the period for which a refund could
1590-have been claimed for that listed tax under this section, the period for
1591-requesting the refund under this section is extended to one hundred
1592-eighty (180) days after payment of the tax to the state, country, or local
1593-jurisdiction.
1594-(n) If an agreement to extend the assessment time period is entered
1595-into under IC 6-8.1-5-2(i), the period during which a person may file
1596-a claim for a refund under subsection (a) is extended to the same date
1597-to which the assessment time period is extended.
1598-SECTION 24. IC 6-8.1-9-2, AS AMENDED BY P.L.159-2021,
1599-SECTION 36, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1600-JULY 1, 2024]: Sec. 2. (a) If the department finds that a person has
1601-paid more tax for a taxable year than is legally due, the department
1602-shall apply the amount of the excess against any amount of that same
1603-tax that is assessed and is currently due. The department may then
1604-apply any remaining excess against any of the listed taxes that have
1605-been assessed against the person and that are currently due. Subject to
1606-subsection (c), if any excess remains after the department has applied
1607-the overpayment against the person's tax liabilities, the department
1608-shall either refund the amount to the person or, at the person's request,
1609-credit the amount to the person's future tax liabilities.
1610-(b) Subject to subsection (c), if a court determines that a person has
1611-paid more tax for a taxable year than is legally due, the department
1612-shall refund the excess amount to the person.
1613-(c) As used in this subsection, "pass through entity" means a
1614-corporation that is exempt from the adjusted gross income tax under
1615-IC 6-3-2-2.8(2), a partnership, a limited liability company, or a limited
1616-liability partnership and "pass through income" means a person's
1617-distributive share of adjusted gross income for a taxable year
1618-attributable to the person's interest in a pass through entity. This
1619-subsection applies to a person's overpayment of adjusted gross income
1620-tax for a taxable year if:
1621-(1) the person has filed a timely claim for refund with respect to
1622-the overpayment under IC 6-8.1-9-1; section 1 of this chapter;
1623-(2) the overpayment:
1624-(A) is with respect to a taxable year beginning before January
1625-1, 2009; and
1626-(B) is attributable to amounts paid to the department by:
1627-SEA 228 39
1628-(i) a nonresident shareholder, partner, or member of a pass
1629-through entity;
1630-(ii) a pass through entity under IC 6-3-4-12 or IC 6-3-4-13
1631-on behalf of a nonresident shareholder, partner, or member
1632-of the pass through entity; or
1633-(iii) a pass through entity under IC 6-3-4-12 or IC 6-3-4-13
1634-on behalf of a nonresident shareholder, partner, or member
1635-of another pass through entity; and
1636-(3) the overpayment arises from a determination by the
1637-department or a court that the person's pass through income is not
1638-includible in the person's adjusted gross income derived from
1639-sources within Indiana as a result of the application of
1640-IC 6-3-2-2(a)(5) and IC 6-3-2-2.2(g).
1641-The department shall apply the overpayment to the person's liability for
1642-taxes that have been assessed and are currently due as provided in
1643-subsection (a) and apply any remaining overpayment as a credit or
1644-credits in satisfaction of the person's liability for listed taxes in taxable
1645-years beginning after December 31, 2008. If the person, including any
1646-successor to the person's interest in the overpayment, does not have
1647-sufficient liability for listed taxes against which to credit all the
1648-remaining overpayment in a taxable year beginning after December 31,
1649-2008, and ending before January 1, 2019, the taxpayer is not entitled
1650-for any taxable year ending after December 31, 2018, to have any part
1651-of the remaining overpayment applied, refunded, or credited to the
1652-person's liability for listed taxes. If an overpayment or part of an
1653-overpayment is required to be applied as a credit under this subsection
1654-to the person's liability for listed taxes for a taxable year beginning after
1655-December 31, 2008, and has not been determined by the department or
1656-a court to meet the conditions of subdivision (3) by the due date of the
1657-person's return for a listed tax for a taxable year beginning after
1658-December 31, 2008, the department shall refund to the person that part
1659-of the overpayment that should have been applied as a credit for such
1660-taxable year within ninety (90) days of the date that the department or
1661-a court makes the determination that the overpayment meets the
1662-conditions of subdivision (3). However, the department may establish
1663-a program to refund small overpayment amounts that do not exceed the
1664-threshold dollar value established by the department rather than
1665-crediting the amounts against tax liability accruing for a taxable year
1666-after December 31, 2008. A person that receives a refund or credit
1667-under this subsection shall file a report with the department in the form
1668-and in the schedule specified by the department that identifies under
1669-penalties of perjury the home state or other jurisdiction where the
1670-SEA 228 40
1671-income subject to the refund or credit was reported as income
1672-attributable to that state or jurisdiction.
1673-(d) An excess tax payment that is not refunded or credited against
1674-a current or future tax liability within ninety (90) days after the date the
1675-refund claim is filed, the date the tax payment was due, or the date the
1676-tax was paid, whichever is latest, accrues interest from:
1677-(1) the date the refund claim is filed, if the refund claim is filed
1678-before July 1, 2015; or
1679-(2) for a refund claim filed after June 30, 2015, the latest of:
1680-(A) the date the tax payment was due;
1681-(B) the date the tax was paid;
1682-(C) the date the tax return was filed for the period and tax type
1683-for which the refund is claimed;
1684-(D) in the case of a refund based on payment of a tax by the
1685-taxpayer to another state, country, or locality, the date of such
1686-payment of tax to the other state, country, or locality; or
1687-(E) July 1, 2015;
1688-at the rate established under IC 6-8.1-10-1 until a date, determined by
1689-the department, that does not precede by more than thirty (30) days, the
1690-date on which the refund or credit is made. As used in this subsection,
1691-"refund claim" includes a return and an amended return that indicates
1692-an overpayment of tax. For purposes of this subsection only, the due
1693-date for the payment of the state gross retail or use tax, the oil
1694-inspection fee, and the petroleum severance a periodic tax is
1695-December 31 January 31 of the calendar year following the calendar
1696-year that contains the taxable period for which the payment is remitted.
1697-(e) A person who is liable for the payment of excise taxes under
1698-IC 7.1-4-3 or IC 7.1-4-4 is entitled to claim a credit against the person's
1699-excise tax liability in the amount of the excise taxes paid in duplicate
1700-by the person, or the person's assignors or predecessors, upon both:
1701-(1) the receipt of the goods subject to the excise taxes, as reported
1702-by the person, or the person's assignors or predecessors, on excise
1703-tax returns filed with the department; and
1704-(2) the withdrawal of the same goods from a storage facility
1705-operated under 19 U.S.C. 1555(a).
1706-(f) The amount of the credit under subsection (e) is equal to fifty
1707-percent (50%) of the amount of excise taxes:
1708-(1) that were paid by the person as described in subsection (e)(2);
1709-(2) that are duplicative of excise taxes paid by the person as
1710-described in subsection (e)(1); and
1711-(3) for which the person has not previously claimed a credit.
1712-The credit may be claimed by subtracting the amount of the credit from
1713-SEA 228 41
1714-the amount of the person's excise taxes reported on the person's
1715-monthly excise tax returns filed under IC 7.1-4-6 with the department
1716-for taxes imposed under IC 7.1-4-3 or IC 7.1-4-4. The amount of the
1717-credit that may be taken monthly by the person on each monthly excise
1718-tax return may not exceed ten percent (10%) of the excise tax liability
1719-reported by the person on the monthly excise tax return. The credit may
1720-be claimed on not more than thirty-six (36) consecutive monthly excise
1721-tax returns beginning with the month in which credit is first claimed.
1722-(g) The amount of the credit calculated under subsection (f) must be
1723-used for capital expenditures to:
1724-(1) expand employment; or
1725-(2) assist in retaining employment within Indiana.
1726-The department shall annually verify whether the capital expenditures
1727-made by the person comply with this subsection.
1728-(h) An excess tax payment under section 1(k) of this chapter that is
1729-not refunded or credited against a current or future tax liability within
1730-ninety (90) days after the date the refund claim is filed, the date the tax
1731-payment was due, or the date the tax was paid, whichever is latest,
1732-accrues interest from April 1, 2020. For purposes of this subsection, a
1733-refund claim filed prior to April 1, 2020, shall be treated as filed on
1734-April 1, 2020.
1735-SECTION 25. IC 7.1-4-3-2, AS AMENDED BY P.L.109-2013,
1736-SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1737-JANUARY 1, 2025]: Sec. 2. (a) Except as provided in subsections
1738-(b) and (c), the liquor excise tax shall be levied against a permittee
1739-who holds an artisan distiller's permit, a distiller's permit, a rectifier's
1740-permit, a liquor wholesaler's permit, a dining car liquor permit, a
1741-vintner's permit, a wine wholesaler's permit, a dining car wine permit,
1742-or a boat wine permit, whether the sale or gift, or withdrawal for sale
1743-or gift, is to a person authorized to purchase or receive it or not.
1744-However, the same article shall be taxed only once for liquor excise tax
1745-purposes.
1746-(b) In the case of a permittee referenced in subsection (a)
1747-receiving liquor from an unpermitted seller outside Indiana, the
1748-permittee is liable for the liquor excise tax imposed upon the
1749-transaction.
1750-(c) In the case of a permittee referenced in subsection (a)
1751-receiving, selling, or giving liquor within Indiana from or to
1752-another permittee, the permittee who first receives the liquor in
1753-Indiana is liable for the liquor excise tax imposed upon the
1754-transaction.
1755-SECTION 26. IC 7.1-4-4-3, AS AMENDED BY P.L.107-2015,
1756-SEA 228 42
1757-SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1758-JANUARY 1, 2025]: Sec. 3. (a) Except as provided in subsections
1759-(b) and (c), the wine excise tax shall be paid by the holder of a
1760-vintner's permit, a farm winery permit, a wine wholesaler's permit, a
1761-direct wine seller's permit, a dining car wine permit, or a boat wine
1762-permit on the alcoholic beverage to which the tax is applicable and
1763-which has been manufactured or imported by the permit holder into
1764-this state. However, the same article shall be taxed only once for wine
1765-excise tax purposes.
1766-(b) In the case of a permittee referenced in subsection (a)
1767-receiving wine from an unpermitted seller outside Indiana, the
1768-permittee is liable for the wine excise tax imposed upon the
1769-transaction.
1770-(c) In the case of a permittee referenced in subsection (a)
1771-receiving, selling, or giving wine within Indiana from or to another
1772-permittee, the permittee who first receives the wine in Indiana is
1773-liable for the wine excise tax imposed upon the transaction.
1774-SECTION 27. IC 7.1-4-4.5-3, AS AMENDED BY P.L.107-2015,
1775-SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1776-JANUARY 1, 2025]: Sec. 3. (a) Except as provided in subsections
1777-(b) and (c), the hard cider excise tax shall be paid by the holder of a
1778-vintner's permit, a farm winery permit, a wine wholesaler's permit, a
1779-direct wine seller's permit, a beer wholesaler's permit, a dining car wine
1780-permit, or a boat wine permit on the hard cider to which the tax is
1781-applicable and that is manufactured or imported by the person into this
1782-state. However, an item may only be taxed once for hard cider excise
1783-tax purposes.
1784-(b) In the case of a permittee referenced in subsection (a)
1785-receiving hard cider from an unpermitted seller outside Indiana,
1786-the permittee is liable for the hard cider excise tax imposed upon
1787-the transaction.
1788-(c) In the case of a permittee referenced in subsection (a)
1789-receiving, selling, or giving hard cider within Indiana from or to
1790-another permittee, the permittee who first receives the hard cider
1791-in Indiana is liable for the hard cider excise tax imposed upon the
1792-transaction.
1793-SECTION 28. IC 8-1-2.8-24 IS AMENDED TO READ AS
1794-FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 24. If the InTRAC
1795-meets the requirements of sections 18 and 21 of this chapter, the
1796-InTRAC:
1797-(1) for purposes of all taxes imposed by the state or any county or
1798-municipality in Indiana is an organization that is organized and
1799-SEA 228 43
1800-operated exclusively for charitable purposes; and
1801-(2) qualifies for all exemptions applicable to those organizations,
1802-including but not limited to those exemptions set forth in
1803-IC 6-2.5-5-21(b)(1)(B) IC 6-2.5-5-25(a)(1)(B) and
1804-IC 6-1.1-10-16.
1805-SECTION 29. IC 13-20-13-7, AS AMENDED BY P.L.159-2021,
1806-SECTION 39, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1807-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 7. (a) A fee of
1808-twenty-five cents ($0.25) is imposed on the sale of the following:
1809-(1) Each new tire that is sold at retail.
1810-(2) Each new tire mounted on a new vehicle sold at retail.
1811-(b) The person that sells the new tire or vehicle at retail (including
1812-a retail merchant that meets one (1) or both of the economic thresholds
1813-threshold under IC 6-2.5-2-1(d)) to the ultimate consumer of the tire
1814-or vehicle shall collect the fee imposed by this section.
1815-(c) A person that collects a fee under subsection (b):
1816-(1) shall pay the fees collected under subsection (b):
1817-(A) to the department of state revenue; and
1818-(B) at the same time and in the same manner that the person
1819-pays the state gross retail tax collected by the person to the
1820-department of state revenue;
1821-(2) shall indicate on the return:
1822-(A) prescribed by the department of state revenue; and
1823-(B) used for the payment of state gross retail taxes;
1824-that the person is also paying fees collected under subsection (b);
1825-and
1826-(3) is entitled to deduct and retain one percent (1%) of the fees
1827-required to be paid to the department of state revenue under this
1828-subsection.
1829-(d) The department of state revenue shall deposit fees collected
1830-under this section in the waste tire management fund established by
1831-this chapter.
1832-SECTION 30. IC 16-42-5.2-3.5, AS AMENDED BY P.L.45-2020,
1833-SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1834-JULY 1, 2024]: Sec. 3.5. (a) An organization that is exempt from the
1835-state gross retail tax under IC 6-2.5-5-21(b)(1)(B),
1836-IC 6-2.5-5-21(b)(1)(C), or IC 6-2.5-5-21(b)(1)(D)
1837-IC 6-2.5-5-25(a)(1)(B), IC 6-2.5-5-25(a)(1)(C), or
1838-IC 6-2.5-5-25(a)(1)(D) is exempt from complying with the
1839-requirements of this chapter.
1840-(b) This section does not prohibit an exempted organization from
1841-waiving the exemption and using a certified food protection manager.
1842-SEA 228 44
1843-SECTION 31. IC 22-11-14-1, AS AMENDED BY P.L.159-2021,
1844-SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1845-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 1. As used in this chapter
1846-and IC 22-11-14.5:
1847-"Auto burglar alarm" means a tube that contains pyrotechnic
1848-composition that produces a loud whistle or smoke when ignited. A
1849-small quantity of explosive, not exceeding fifty (50) milligrams, may
1850-also be used to produce a small report. A squib is used to ignite the
1851-device.
1852-"Booby trap" means a small tube with string protruding from both
1853-ends, similar to a party popper in design. The ends of the string are
1854-pulled to ignite the friction sensitive composition, producing a small
1855-report.
1856-"Chaser" means a device, containing fifty (50) milligrams or less of
1857-explosive composition, that consists of a small paper or cardboard tube
1858-that travels along the ground upon ignition. A whistling effect is often
1859-produced, and a small noise may be produced.
1860-"Cigarette load" means a small wooden peg that has been coated
1861-with a small quantity of explosive composition. Upon ignition of a
1862-cigarette containing one (1) of the pegs, a small report is produced.
1863-"Consumer firework" means a small firework that is designed
1864-primarily to produce visible effects by combustion, and that is required
1865-to comply with the construction, chemical composition, and labeling
1866-regulations promulgated by the United States Consumer Product Safety
1867-Commission under 16 CFR 1507. The term also includes some small
1868-devices designed to produce an audible effect, such as whistling
1869-devices, ground devices containing fifty (50) milligrams or less of
1870-explosive composition, and aerial devices containing one hundred
1871-thirty (130) milligrams or less of explosive composition. Propelling or
1872-expelling charges consisting of a mixture of charcoal, sulfur, and
1873-potassium nitrate are not considered as designed to produce an audible
1874-effect. Consumer fireworks:
1875-(1) include:
1876-(A) aerial devices, which include sky rockets, missile type
1877-rockets, helicopter or aerial spinners, roman candles, mines,
1878-and shells;
1879-(B) ground audible devices, which include firecrackers,
1880-salutes, and chasers; and
1881-(C) firework devices containing combinations of the effects
1882-described in clauses (A) and (B); and
1883-(2) do not include the items referenced in section 8(a) of this
1884-chapter.
1885-SEA 228 45
1886-"Cone fountain" means a cardboard or heavy paper cone which
1887-contains up to fifty (50) grams of pyrotechnic composition, and which
1888-produces the same effect as a cylindrical fountain.
1889-"Cylindrical fountain" means a cylindrical tube not exceeding
1890-three-quarters (3/4) inch in inside diameter and containing up to
1891-seventy-five (75) grams of pyrotechnic composition. Fountains produce
1892-a shower of color and sparks upon ignition, and sometimes a whistling
1893-effect. Cylindrical fountains may contain a spike to be inserted in the
1894-ground (spike fountain), a wooden or plastic base to be placed on the
1895-ground (base fountain), or a wooden handle or cardboard handle for
1896-items designed to be hand held (handle fountain).
1897-"Dipped stick" or "wire sparkler" means a stick or wire coated with
1898-pyrotechnic composition that produces a shower of sparks upon
1899-ignition. Total pyrotechnic composition does not exceed one hundred
1900-(100) grams per item. Those devices containing chlorate or perchlorate
1901-salts do not exceed five (5) grams in total composition per item. Wire
1902-sparklers that contain no magnesium and that contain less than one
1903-hundred (100) grams of composition per item are not included in the
1904-category of consumer fireworks.
1905-"Distributor" means a person who sells fireworks to wholesalers and
1906-retailers for resale.
1907-"Explosive composition" means a chemical or mixture of chemicals
1908-that produces an audible effect by deflagration or detonation when
1909-ignited.
1910-"Firecracker" or "salute" is a device that consists of a small paper
1911-wrapped or cardboard tube containing not more than fifty (50)
1912-milligrams of pyrotechnic composition and that produces, upon
1913-ignition, noise, accompanied by a flash of light.
1914-"Firework" means any composition or device designed for the
1915-purpose of producing a visible or audible effect by combustion,
1916-deflagration, or detonation. Fireworks consist of consumer fireworks,
1917-items referenced in section 8(a) of this chapter, and special fireworks.
1918-The following items are excluded from the definition of fireworks:
1919-(1) Model rockets.
1920-(2) Toy pistol caps.
1921-(3) Emergency signal flares.
1922-(4) Matches.
1923-(5) Fixed ammunition for firearms.
1924-(6) Ammunition components intended for use in firearms, muzzle
1925-loading cannons, or small arms.
1926-(7) Shells, cartridges, and primers for use in firearms, muzzle
1927-loading cannons, or small arms.
1928-SEA 228 46
1929-(8) Indoor pyrotechnics special effects material.
1930-(9) M-80s, cherry bombs, silver salutes, and any device banned by
1931-the federal government.
1932-"Flitter sparkler" means a narrow paper tube filled with pyrotechnic
1933-composition that produces color and sparks upon ignition. These
1934-devices do not use a fuse for ignition, but rather are ignited by igniting
1935-the paper at one (1) end of the tube.
1936-"Ground spinner" means a small spinning device that is similar to
1937-wheels in design and effect when placed on the ground and ignited, and
1938-that produces a shower of sparks and color when spinning.
1939-"Helicopter" or "aerial spinner" is a spinning device:
1940-(1) that consists of a tube up to one-half (1/2) inch in inside
1941-diameter and that contains up to twenty (20) grams of pyrotechnic
1942-composition;
1943-(2) to which some type of propeller or blade device is attached;
1944-and
1945-(3) that lifts into the air upon ignition, producing a visible or
1946-audible effect at the height of flight.
1947-"Illuminating torch" means a cylindrical tube that:
1948-(1) contains up to one hundred (100) grams of pyrotechnic
1949-composition;
1950-(2) produces, upon ignition, a colored fire; and
1951-(3) is either a spike, base, or handle type device.
1952-"Importer" means:
1953-(1) a person who imports fireworks from a foreign country; or
1954-(2) a person who brings or causes fireworks to be brought within
1955-this state for subsequent sale.
1956-"Indoor pyrotechnics special effects material" means a chemical
1957-material that is clearly labeled by the manufacturer as suitable for
1958-indoor use (as provided in National Fire Protection Association
1959-Standard 1126 (2001 edition)).
1960-"Interstate wholesaler" means a person who is engaged in interstate
1961-commerce selling fireworks.
1962-"Manufacturer" means a person engaged in the manufacture of
1963-fireworks.
1964-"Mine" or "shell" means a device that:
1965-(1) consists of a heavy cardboard or paper tube up to two and
1966-one-half (2 1/2) inches in inside diameter, to which a wooden or
1967-plastic base is attached;
1968-(2) contains up to forty (40) grams of pyrotechnic composition;
1969-and
1970-(3) propels, upon ignition, stars (pellets of pressed pyrotechnic
1971-SEA 228 47
1972-composition that burn with bright color), whistles, parachutes, or
1973-combinations thereof, with the tube remaining on the ground.
1974-"Missile-type rocket" means a device that is similar to a sky rocket
1975-in size, composition, and effect, and that uses fins rather than a stick for
1976-guidance and stability.
1977-"Municipality" has the meaning set forth in IC 36-1-2-11.
1978-"Party popper" means a small plastic or paper item containing not
1979-more than sixteen (16) milligrams of explosive composition that is
1980-friction sensitive. A string protruding from the device is pulled to ignite
1981-it, expelling paper streamers and producing a small report.
1982-"Person" means an individual, an association, an organization, a
1983-limited liability company, or a corporation.
1984-"Pyrotechnic composition" means a mixture of chemicals that
1985-produces a visible or audible effect by combustion rather than
1986-deflagration or detonation. Pyrotechnic compositions will not explode
1987-upon ignition unless severely confined.
1988-"Responding fire department" means the paid fire department or
1989-volunteer fire department that renders fire protection services to a
1990-political subdivision.
1991-"Retail sales stand" means a temporary business site or location
1992-where goods are to be sold.
1993-"Retailer" means a person who purchases fireworks for resale to
1994-consumers, including a retail merchant that meets one (1) or both of the
1995-economic thresholds threshold under IC 6-2.5-2-1(d).
1996-"Roman candle" means a device that consists of a heavy paper or
1997-cardboard tube not exceeding three-eighths (3/8) inch in inside
1998-diameter and that contains up to twenty (20) grams of pyrotechnic
1999-composition. Upon ignition, up to ten (10) stars (pellets of pressed
2000-pyrotechnic composition that burn with bright color) are individually
2001-expelled at several second intervals.
2002-"Sky rocket" means a device that:
2003-(1) consists of a tube that contains pyrotechnic composition;
2004-(2) contains a stick for guidance and stability; and
2005-(3) rises into the air upon ignition, producing a burst of color or
2006-noise at the height of flight.
2007-"Smoke device" means a tube or sphere containing pyrotechnic
2008-composition that produces white or colored smoke upon ignition as the
2009-primary effect.
2010-"Snake" or "glow worm" means a pressed pellet of pyrotechnic
2011-composition that produces a large, snake-like ash upon burning. The
2012-ash expands in length as the pellet burns. These devices do not contain
2013-mercuric thiocyanate.
2014-SEA 228 48
2015-"Snapper" means a small, paper wrapped item containing a minute
2016-quantity of explosive composition coated on small bits of sand. When
2017-dropped, the device explodes, producing a small report.
2018-"Special discharge location" means a location designated for the
2019-discharge of consumer fireworks by individuals in accordance with
2020-rules adopted under section 3.5 of this chapter.
2021-"Special fireworks" means fireworks designed primarily to produce
2022-visible or audible effects by combustion, deflagration, or detonation,
2023-including firecrackers containing more than one hundred thirty (130)
2024-milligrams of explosive composition, aerial shells containing more than
2025-forty (40) grams of pyrotechnic composition, and other exhibition
2026-display items that exceed the limits for classification as consumer
2027-fireworks.
2028-"Trick match" means a kitchen or book match that has been coated
2029-with a small quantity of explosive or pyrotechnic composition. Upon
2030-ignition of the match, a small report or a shower of sparks is produced.
2031-"Trick noisemaker" means an item that produces a small report
2032-intended to surprise the user.
2033-"Wheel" means a pyrotechnic device that:
2034-(1) is attached to a post or tree by means of a nail or string;
2035-(2) contains up to six (6) driver units (tubes not exceeding
2036-one-half (1/2) inch in inside diameter) containing up to sixty (60)
2037-grams of composition per driver unit; and
2038-(3) revolves, upon ignition, producing a shower of color and
2039-sparks and sometimes a whistling effect.
2040-"Wholesaler" means a person who purchases fireworks for resale to
2041-retailers.
2042-SECTION 32. IC 24-5-0.5-4, AS AMENDED BY P.L.11-2023,
2043-SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2044-JANUARY 1, 2025]: Sec. 4. (a) A person relying upon an uncured or
2045-incurable deceptive act may bring an action for the damages actually
2046-suffered as a consumer as a result of the deceptive act or five hundred
2047-dollars ($500), whichever is greater. The court may increase damages
2048-for a willful deceptive act in an amount that does not exceed the greater
2049-of:
2050-(1) three (3) times the actual damages of the consumer suffering
2051-the loss; or
2052-(2) one thousand dollars ($1,000).
2053-Except as provided in subsection (k), the court may award reasonable
2054-attorney's fees to the party that prevails in an action under this
2055-subsection. This subsection does not apply to a consumer transaction
2056-in real property, including a claim or action involving a construction
2057-SEA 228 49
2058-defect (as defined in IC 32-27-3-1(5)) brought against a construction
2059-professional (as defined in IC 32-27-3-1(4)), except for purchases of
2060-time shares and camping club memberships. This subsection does not
2061-apply with respect to a deceptive act described in section 3(b)(20) of
2062-this chapter. This subsection also does not apply to a violation of
2063-IC 24-4.7, IC 24-5-12, IC 24-5-14, or IC 24-5-14.5. Actual damages
2064-awarded to a person under this section have priority over any civil
2065-penalty imposed under this chapter.
2066-(b) Any person who is entitled to bring an action under subsection
2067-(a) on the person's own behalf against a supplier for damages for a
2068-deceptive act may bring a class action against such supplier on behalf
2069-of any class of persons of which that person is a member and which has
2070-been damaged by such deceptive act, subject to and under the Indiana
2071-Rules of Trial Procedure governing class actions, except as herein
2072-expressly provided. Except as provided in subsection (k), the court may
2073-award reasonable attorney's fees to the party that prevails in a class
2074-action under this subsection, provided that such fee shall be determined
2075-by the amount of time reasonably expended by the attorney and not by
2076-the amount of the judgment, although the contingency of the fee may
2077-be considered. Except in the case of an extension of time granted by the
2078-attorney general under IC 24-10-2-2(b) in an action subject to IC 24-10,
2079-any money or other property recovered in a class action under this
2080-subsection which cannot, with due diligence, be restored to consumers
2081-within one (1) year after the judgment becomes final shall be returned
2082-to the party depositing the same. This subsection does not apply to a
2083-consumer transaction in real property, except for purchases of time
2084-shares and camping club memberships. This subsection does not apply
2085-with respect to a deceptive act described in section 3(b)(20) of this
2086-chapter. Actual damages awarded to a class have priority over any civil
2087-penalty imposed under this chapter.
2088-(c) The attorney general may bring an action to enjoin a deceptive
2089-act, including a deceptive act described in section 3(b)(20) of this
2090-chapter, notwithstanding subsections (a) and (b). However, the attorney
2091-general may seek to enjoin patterns of incurable deceptive acts with
2092-respect to consumer transactions in real property. In addition, the court
2093-may:
2094-(1) issue an injunction;
2095-(2) order the supplier to make payment of the money unlawfully
2096-received from the aggrieved consumers to be held in escrow for
2097-distribution to aggrieved consumers;
2098-(3) for a knowing violation against a senior consumer, increase
2099-the amount of restitution ordered under subdivision (2) in any
2100-SEA 228 50
2101-amount up to three (3) times the amount of damages incurred or
2102-value of property or assets lost;
2103-(4) order the supplier to pay to the state the reasonable costs of
2104-the attorney general's investigation and prosecution related to the
2105-action;
2106-(5) provide for the appointment of a receiver; and
2107-(6) order the department of state revenue to suspend the supplier's
2108-registered retail merchant certificate, subject to the requirements
2109-and prohibitions contained in IC 6-2.5-8-7(i), IC 6-2.5-8-7(a)(5),
2110-if the court finds that a violation of this chapter involved the sale
2111-or solicited sale of a synthetic drug (as defined in
2112-IC 35-31.5-2-321), a synthetic drug lookalike substance (as
2113-defined in IC 35-31.5-2-321.5 (repealed)) (before July 1, 2019),
2114-a controlled substance analog (as defined in IC 35-48-1-9.3), or
2115-a substance represented to be a controlled substance (as described
2116-in IC 35-48-4-4.6).
2117-(d) In an action under subsection (a), (b), or (c), the court may void
2118-or limit the application of contracts or clauses resulting from deceptive
2119-acts and order restitution to be paid to aggrieved consumers.
2120-(e) In any action under subsection (a) or (b), upon the filing of the
2121-complaint or on the appearance of any defendant, claimant, or any
2122-other party, or at any later time, the trial court, the supreme court, or the
2123-court of appeals may require the plaintiff, defendant, claimant, or any
2124-other party or parties to give security, or additional security, in such
2125-sum as the court shall direct to pay all costs, expenses, and
2126-disbursements that shall be awarded against that party or which that
2127-party may be directed to pay by any interlocutory order by the final
2128-judgment or on appeal.
2129-(f) Any person who violates the terms of an injunction issued under
2130-subsection (c) shall forfeit and pay to the state a civil penalty of not
2131-more than fifteen thousand dollars ($15,000) per violation. For the
2132-purposes of this section, the court issuing an injunction shall retain
2133-jurisdiction, the cause shall be continued, and the attorney general
2134-acting in the name of the state may petition for recovery of civil
2135-penalties. Whenever the court determines that an injunction issued
2136-under subsection (c) has been violated, the court shall award
2137-reasonable costs to the state.
2138-(g) If a court finds any person has knowingly violated section 3 or
2139-10 of this chapter, other than section 3(b)(19), 3(b)(20), or 3(b)(40) of
2140-this chapter, the attorney general, in an action pursuant to subsection
2141-(c), may recover from the person on behalf of the state a civil penalty
2142-of a fine not exceeding five thousand dollars ($5,000) per violation.
2143-SEA 228 51
2144-(h) If a court finds that a person has violated section 3(b)(19) of this
2145-chapter, the attorney general, in an action under subsection (c), may
2146-recover from the person on behalf of the state a civil penalty as follows:
2147-(1) For a knowing or intentional violation, one thousand five
2148-hundred dollars ($1,500).
2149-(2) For a violation other than a knowing or intentional violation,
2150-five hundred dollars ($500).
2151-A civil penalty recovered under this subsection shall be deposited in
2152-the consumer protection division telephone solicitation fund
2153-established by IC 24-4.7-3-6 to be used for the administration and
2154-enforcement of section 3(b)(19) of this chapter.
2155-(i) A senior consumer relying upon an uncured or incurable
2156-deceptive act, including an act related to hypnotism, may bring an
2157-action to recover treble damages, if appropriate.
2158-(j) An offer to cure is:
2159-(1) not admissible as evidence in a proceeding initiated under this
2160-section unless the offer to cure is delivered by a supplier to the
2161-consumer or a representative of the consumer before the supplier
2162-files the supplier's initial response to a complaint; and
2163-(2) only admissible as evidence in a proceeding initiated under
2164-this section to prove that a supplier is not liable for attorney's fees
2165-under subsection (k).
2166-If the offer to cure is timely delivered by the supplier, the supplier may
2167-submit the offer to cure as evidence to prove in the proceeding in
2168-accordance with the Indiana Rules of Trial Procedure that the supplier
2169-made an offer to cure.
2170-(k) A supplier may not be held liable for the attorney's fees and
2171-court costs of the consumer that are incurred following the timely
2172-delivery of an offer to cure as described in subsection (j) unless the
2173-actual damages awarded, not including attorney's fees and costs, exceed
2174-the value of the offer to cure.
2175-(l) If a court finds that a person has knowingly violated section
2176-3(b)(20) of this chapter, the attorney general, in an action under
2177-subsection (c), may recover from the person on behalf of the state a
2178-civil penalty not exceeding one thousand dollars ($1,000) per
2179-consumer. In determining the amount of the civil penalty in any action
2180-by the attorney general under this subsection, the court shall consider,
2181-among other relevant factors, the frequency and persistence of
2182-noncompliance by the debt collector, the nature of the noncompliance,
2183-and the extent to which the noncompliance was intentional. A person
2184-may not be held liable in any action by the attorney general for a
2185-violation of section 3(b)(20) of this chapter if the person shows by a
2186-SEA 228 52
2187-preponderance of evidence that the violation was not intentional and
2188-resulted from a bona fide error, notwithstanding the maintenance of
2189-procedures reasonably adapted to avoid the error. A person may not be
2190-held liable in any action for a violation of this chapter for contacting a
2191-person other than the debtor, if the contact is made in compliance with
2192-the Fair Debt Collection Practices Act.
2193-(m) If a court finds that a person has knowingly or intentionally
2194-violated section 3(b)(40) of this chapter, the attorney general, in an
2195-action under subsection (c), may recover from the person on behalf of
2196-the state a civil penalty in accordance with IC 24-5-14.5-12(b). As
2197-specified in IC 24-5-14.5-12(b), a civil penalty recovered under
2198-IC 24-5-14.5-12(b) shall be deposited in the consumer protection
2199-division telephone solicitation fund established by IC 24-4.7-3-6 to be
2200-used for the administration and enforcement of IC 24-5-14.5. In
2201-addition to the recovery of a civil penalty in accordance with
2202-IC 24-5-14.5-12(b), the attorney general may also recover reasonable
2203-attorney fees and court costs from the person on behalf of the state.
2204-Those funds shall also be deposited in the consumer protection division
2205-telephone solicitation fund established by IC 24-4.7-3-6.
2206-SECTION 33. IC 33-37-5-15, AS AMENDED BY P.L.106-2022,
2207-SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2208-JANUARY 1, 2025]: Sec. 15. (a) This section also applies to a clerk of
2209-a township small claims court described in IC 33-34 for service of
2210-process fees collected under IC 33-34-8-1.
2211-(b) The clerk of the county that maintains jurisdiction over the case
2212-shall collect a service of process fee of twenty-eight dollars ($28) from
2213-a party requesting service of a writ, an order, a process, a notice, a tax
2214-warrant, or any other paper completed by the sheriff. A service of
2215-process fee collected under this subsection may be collected only one
2216-(1) time per case for the duration of the case. However, a clerk of the
2217-county that maintains jurisdiction over the case shall collect an
2218-additional service of process fee of twenty-eight dollars ($28) only one
2219-(1) time per case for the entire duration of any postjudgment service.
2220-services provided.
2221-(c) The clerk shall collect from the person who filed the civil action
2222-a service of process fee of sixty dollars ($60), in addition to any other
2223-fee for service of process, if:
2224-(1) a person files a civil action outside Indiana; and
2225-(2) a sheriff in Indiana is requested to perform a service of
2226-process associated with the civil action in Indiana.
2227-(d) A clerk shall transfer fees collected under this section to the
2228-county auditor.
2229-SEA 228 53
2230-(e) The county auditor shall deposit fees collected under this section
2231-as follows:
2232-(1) One dollar ($1) from each service of process fee described in
2233-subsection (b) into the clerk's record perpetuation fund
2234-established by the clerk under section 2 of this chapter.
2235-(2) Twenty-seven dollars ($27) from each service of process fee
2236-described in subsection (b) into either:
2237-(A) the pension trust established by the county under
2238-IC 36-8-10-12; or
2239-(B) if the county has not established a pension trust under
2240-IC 36-8-10-12, the county general fund.
2241-SECTION 34. IC 34-6-2-20 IS AMENDED TO READ AS
2242-FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 20. "Charitable entity",
2243-for purposes of IC 34-30-5, means any entity exempted from state gross
2244-retail tax under IC 6-2.5-5-21(b)(1)(B). IC 6-2.5-5-25(a)(1)(B).
2245-SECTION 35. IC 36-8-16.6-10, AS AMENDED BY P.L.159-2021,
2246-SECTION 42, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2247-JANUARY 1, 2024 (RETROACTIVE)]: Sec. 10. As used in this
2248-chapter, "seller" means a person that sells prepaid wireless
2249-telecommunications service to another person, including a retail
2250-merchant that meets one (1) or both of the economic thresholds
2251-threshold under IC 6-2.5-2-1(d).
2252-SECTION 36. [EFFECTIVE JULY 1, 2024] (a) IC 6-8.1-1-4.5, as
2253-added by this act, and IC 6-8.1-5-2 and IC 6-8.1-9-1, both as
2254-amended by this act, apply only in determining statute of
2255-limitations dates that expire after June 30, 2024.
2256-(b) This SECTION expires July 1, 2027.
2257-SECTION 37. [EFFECTIVE JULY 1, 2024] (a) IC 6-8.1-9-2, as
2258-amended by this act, applies only to refund claims filed after June
2259-30, 2024.
2260-(b) This SECTION expires July 1, 2027.
2261-SECTION 38. An emergency is declared for this act.
2262-SEA 228 President of the Senate
2263-President Pro Tempore
2264-Speaker of the House of Representatives
2265-Governor of the State of Indiana
2266-Date: Time:
2267-SEA 228
62+1 SECTION 1. IC 4-33-19-6, AS AMENDED BY P.L.94-2008,
63+2 SECTION 1, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
64+3 JANUARY 1, 2025]: Sec. 6. The division shall, on behalf of the
65+4 department of state revenue or the alcohol and tobacco commission,
66+5 conduct a license revocation action against a licensed entity for any
67+6 revocation action authorized by any of the following statutes:
68+7 (1) IC 6-2.5-8-7(g). IC 6-2.5-8-7(a)(7).
69+8 (2) IC 7.1-3-18.5.
70+9 (3) IC 7.1-3-23-2(b).
71+10 (4) IC 7.1-3-23-5 with respect to a violation of IC 35-45-5-3,
72+11 IC 35-45-5-3.5, or IC 35-45-5-4.
73+12 SECTION 2. IC 5-2-6.7-2, AS ADDED BY P.L.130-2009,
74+13 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
75+14 JULY 1, 2024]: Sec. 2. As used in this chapter, "domestic violence
76+15 prevention and treatment center" means an organized entity:
77+16 (1) established by:
78+17 (A) a city, town, county, or township; or
79+ES 228—LS 6842/DI 120 2
80+1 (B) an entity exempted from the gross retail tax under
81+2 IC 6-2.5-5-21(b)(1)(B); IC 6-2.5-5-25(a)(1)(B); and
82+3 (2) created to provide services to prevent and treat domestic or
83+4 family violence.
84+5 SECTION 3. IC 5-2-6.7-9, AS AMENDED BY P.L.219-2023,
85+6 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
86+7 JULY 1, 2024]: Sec. 9. A city, town, county, or township or an entity
87+8 that is exempted from the gross retail tax under IC 6-2.5-5-21(b)(1)(B)
88+9 IC 6-2.5-5-25(a)(1)(B) that desires to receive a grant under this chapter
89+10 must apply in the manner prescribed by the rules of the division.
90+11 SECTION 4. IC 6-2.5-2-1, AS AMENDED BY P.L.146-2020,
91+12 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
92+13 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 1. (a) An excise tax,
93+14 known as the state gross retail tax, is imposed on retail transactions
94+15 made in Indiana.
95+16 (b) The person who acquires property in a retail transaction is liable
96+17 for the tax on the transaction and, except as otherwise provided in this
97+18 chapter, shall pay the tax to the retail merchant as a separate added
98+19 amount to the consideration in the transaction. A retail merchant that
99+20 has either physical presence in Indiana as described in subsection (c)
100+21 or that meets one (1) or both of the thresholds the threshold in
101+22 subsection (d) shall collect the tax as agent for the state.
102+23 (c) A retail merchant has physical presence in Indiana when the
103+24 retail merchant:
104+25 (1) maintains an office, place of distribution, sales location,
105+26 sample location, warehouse, storage place, or other place of
106+27 business which is located in Indiana and which the retail
107+28 merchant maintains, occupies, or uses, either permanently or
108+29 temporarily, either directly or indirectly, and either by the retail
109+30 merchant or through a representative, agent, or subsidiary;
110+31 (2) maintains a representative, agent, salesperson, canvasser, or
111+32 solicitor who, while operating in Indiana under the authority of
112+33 and on behalf of the retail merchant or a subsidiary of the retail
113+34 merchant, sells, delivers, installs, repairs, assembles, sets up,
114+35 accepts returns of, bills, invoices, or takes orders for sales of
115+36 tangible personal property or services to be used, stored, or
116+37 consumed in Indiana; or
117+38 (3) is otherwise required to register as a retail merchant under
118+39 IC 6-2.5-8-1.
119+40 (d) A retail merchant that does not have a physical presence in
120+41 Indiana shall, as an agent for the state, collect the gross retail tax on a
121+42 retail transaction made in Indiana, remit the gross retail tax as provided
122+ES 228—LS 6842/DI 120 3
123+1 in this article, and comply with all applicable procedures and
124+2 requirements of this article as if the retail merchant has a physical
125+3 presence in Indiana, if the retail merchant merchant's gross revenue
126+4 from any combination of: meets either of the following conditions for
127+5 the calendar year in which the retail transaction is made or for the
128+6 calendar year preceding the calendar year in which the retail
129+7 transaction is made:
130+8 (1) The retail merchant's gross revenue from any combination of:
131+9 (A) (1) the sale of tangible personal property that is delivered into
132+10 Indiana;
133+11 (B) (2) a product transferred electronically into Indiana; or
134+12 (C) (3) a service delivered in Indiana;
135+13 exceeds one hundred thousand dollars ($100,000) for the calendar
136+14 year in which the retail transaction is made or for the calendar
137+15 year preceding the calendar year in which the retail transaction is
138+16 made.
139+17 (2) The retail merchant sells any combination of:
140+18 (A) tangible personal property that is delivered into Indiana;
141+19 (B) a product transferred electronically into Indiana; or
142+20 (C) a service delivered in Indiana;
143+21 in two hundred (200) or more separate transactions.
144+22 (e) A marketplace facilitator must include both transactions made
145+23 on its own behalf and transactions facilitated for sellers under
146+24 IC 6-2.5-4-18 for purposes of establishing the requirement to collect
147+25 gross retail tax without having a physical presence in Indiana for
148+26 purposes of subsection (d). In addition, except in instances where the
149+27 marketplace facilitator has not met the thresholds threshold in
150+28 subsection (d), the transactions of the seller made through the
151+29 marketplace are not counted toward the seller for purposes of
152+30 determining whether the seller has met the thresholds threshold in
153+31 subsection (d).
154+32 SECTION 5. IC 6-2.5-5-5.1, AS AMENDED BY P.L.137-2022,
155+33 SECTION 21, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
156+34 JANUARY 1, 2025]: Sec. 5.1. (a) As used in this section, "tangible
157+35 personal property" includes electricity, gas, water, and steam.
158+36 (b) Transactions involving tangible personal property are exempt
159+37 from the state gross retail tax if the person acquiring the property
160+38 acquires it for direct consumption as a material to be consumed in the
161+39 direct production of other tangible personal property in the person's
162+40 business of manufacturing, mining, production, processing, repairing,
163+41 recycling (as defined in section 45.8 of this chapter), refining, oil
164+42 extraction, mineral extraction, irrigation, agriculture, floriculture,
165+ES 228—LS 6842/DI 120 4
166+1 arboriculture, or horticulture. This exemption includes transactions
167+2 involving acquisitions of tangible personal property used in
168+3 commercial printing.
169+4 (c) Transactions involving tangible personal property are exempt
170+5 from the state gross retail tax if the person acquiring that property:
171+6 (1) acquires it for the person's direct consumption as a material to
172+7 be consumed in an industrial processing service; and
173+8 (2) is an industrial processor.
174+9 (d) Transactions involving tangible personal property are exempt
175+10 from the state gross retail tax if the person acquiring the property:
176+11 (1) acquires it for the person's direct consumption as a material to
177+12 be consumed in:
178+13 (A) the direct application of fertilizers, pesticides, fungicides,
179+14 seeds, and other tangible personal property; or
180+15 (B) the direct extraction, harvesting, or processing of
181+16 agricultural commodities;
182+17 for consideration; and
183+18 (2) is occupationally engaged in providing the services described
184+19 in subdivision (1) on property that is:
185+20 (A) owned or rented by another person occupationally engaged
186+21 in agricultural production; and
187+22 (B) used for agricultural production.
188+23 (e) Transactions involving electricity, gas, water, and steam
189+24 delivered through a single meter provided by a public utility are exempt
190+25 if the electrical energy, natural or artificial gas, water, steam, or steam
191+26 heat is consumed for a purpose exempted pursuant to this section and
192+27 the electricity, gas, water, or steam is predominately used by the
193+28 purchaser for one (1) or more of the purposes exempted by this section.
194+29 (f) A retail merchant that receives seventy-five percent (75%)
195+30 or more of its receipts from the sale of prepared food as defined in
196+31 section 20(c)(4), 20(c)(5), and 20(c)(6) of this chapter, including
197+32 bakery items, may elect to claim an exemption equal to fifty
198+33 percent (50%) of the gross retail tax imposed on transactions
199+34 involving electricity purchased by the retail merchant that is
200+35 derived through a single meter. The election must be submitted on
201+36 forms provided by the department. Upon acceptance of the
202+37 election, the department shall issue a partial exemption certificate
203+38 to the utility and any third party suppliers, if applicable. The
204+39 election may also be submitted with a claim for refund. The
205+40 election is irrevocable for any period for which the partial
206+41 exemption has already been claimed. The election can be
207+42 withdrawn on a prospective basis.
208+ES 228—LS 6842/DI 120 5
209+1 SECTION 6. IC 6-2.5-5-21, AS AMENDED BY P.L.137-2022,
210+2 SECTION 27, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
211+3 JULY 1, 2024]: Sec. 21. (a) For purposes of this section, "private
212+4 benefit or gain" does not include reasonable compensation paid to an
213+5 employee for work or services actually performed.
214+6 (b) (a) Sales of food and food ingredients are exempt from the state
215+7 gross retail tax if:
216+8 (1) the seller meets the filing requirements under subsection (d)
217+9 (c) and is an organization described in section 25(a)(1) of this
218+10 chapter;
219+11 (2) the purchaser is a person confined to the purchaser's home
220+12 because of age, sickness, or infirmity;
221+13 (3) the seller delivers the food and food ingredients to the
222+14 purchaser; and
223+15 (4) the delivery is prescribed as medically necessary by a
224+16 physician licensed to practice medicine in Indiana.
225+17 (c) (b) Sales of food and food ingredients are exempt from the state
226+18 gross retail tax if the seller is an organization described in section
227+19 25(a)(1) of this chapter, and the purchaser is a patient in a hospital
228+20 operated by the seller.
229+21 (d) (c) To obtain the exemption provided by this section, a taxpayer
230+22 must follow the procedures set forth in section 25(c) of this chapter.
231+23 SECTION 7. IC 6-2.5-5-25, AS AMENDED BY P.L.56-2023,
232+24 SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
233+25 JULY 1, 2024]: Sec. 25. (a) Transactions involving tangible personal
234+26 property, accommodations, or service are exempt from the state gross
235+27 retail tax, if the person acquiring the property, accommodations, or
236+28 service:
237+29 (1) is any of the following types of organizations:
238+30 (A) A fraternity, a sorority, or a student cooperative housing
239+31 organization that is connected with and under the supervision
240+32 of a postsecondary educational institution if no part of its
241+33 income is used for the private benefit or gain of any member,
242+34 trustee, shareholder, employee, or associate.
243+35 (B) Any:
244+36 (i) institution;
245+37 (ii) trust;
246+38 (iii) group;
247+39 (iv) united fund;
248+40 (v) affiliated agency of a united fund;
249+41 (vi) nonprofit corporation;
250+42 (vii) cemetery association; or
251+ES 228—LS 6842/DI 120 6
252+1 (viii) organization;
253+2 that is organized and operated exclusively for religious,
254+3 charitable, scientific, literary, educational, or civic purposes if
255+4 no part of its income is used for the private benefit or gain of
256+5 any member, trustee, shareholder, employee, or associate.
257+6 (C) A group, an organization, or a nonprofit corporation that
258+7 is organized and operated for fraternal or social purposes, or
259+8 as a business league or association, and not for the private
260+9 benefit or gain of any member, trustee, shareholder, employee,
261+10 or associate.
262+11 (D) A:
263+12 (i) hospital licensed by the Indiana department of health;
264+13 (ii) shared hospital services organization exempt from
265+14 federal income taxation by Section 501(c)(3) or 501(e) of
266+15 the Internal Revenue Code;
267+16 (iii) labor union;
268+17 (iv) church;
269+18 (v) monastery;
270+19 (vi) convent;
271+20 (vii) school that is a part of the Indiana public school
272+21 system;
273+22 (viii) parochial school regularly maintained by a recognized
274+23 religious denomination; or
275+24 (ix) trust created for the purpose of paying pensions to
276+25 members of a particular profession or business who created
277+26 the trust for the purpose of paying pensions to each other;
278+27 if the taxpayer is not organized or operated for private profit or
279+28 gain;
280+29 (2) uses the property, accommodations, or service to carry on or
281+30 to raise money to carry on its not-for-profit purpose; and
282+31 (3) is not an organization operated predominantly for social
283+32 purposes.
284+33 (b) Transactions involving tangible personal property or service are
285+34 exempt from the state gross retail tax, if the person acquiring the
286+35 property or service:
287+36 (1) is a fraternity, sorority, or student cooperative housing
288+37 organization described in subsection (a)(1)(A); and
289+38 (2) uses the property or service to carry on its ordinary and usual
290+39 activities and operations as a fraternity, sorority, or student
291+40 cooperative housing organization.
292+41 (c) To obtain the exemption provided by this section, a taxpayer
293+42 must file an application for exemption with the department not later
294+ES 228—LS 6842/DI 120 7
295+1 than one hundred twenty (120) days after the taxpayer's formation. In
296+2 addition, the taxpayer must file a report with the department on or
297+3 before the fifteenth day of the fifth month every five (5) years following
298+4 the date of its formation. The report must be filed electronically with
299+5 the department in the manner determined by the department. If a
300+6 taxpayer fails to file the report, the department shall notify the taxpayer
301+7 of the failure. If within sixty (60) days after receiving such notice the
302+8 taxpayer does not provide the report, the taxpayer's exemption shall be
303+9 canceled. However, the department may reinstate the taxpayer's
304+10 exemption if the taxpayer shows by petition that the failure was due to
305+11 reasonable cause.
306+12 (d) Notwithstanding subsection (c), a taxpayer filing a report under
307+13 this subsection or section 21(d) of this chapter (prior to recodification)
308+14 after December 31, 2021, and before January 1, 2023, will be required
309+15 to file the next required report on or before the following dates:
310+16 (1) May 15, 2024, if the taxpayer does not have a federal
311+17 employer identification number or has a federal employer
312+18 identification number ending in 00 through 24, inclusive.
313+19 (2) May 15, 2025, if the taxpayer has a federal employer
314+20 identification number ending in 25 through 49, inclusive.
315+21 (3) May 15, 2026, if the taxpayer has a federal employer
316+22 identification number ending in 50 through 74, inclusive.
317+23 (4) May 15, 2027, if the taxpayer has a federal employer
318+24 identification number ending in 75 through 99, inclusive.
319+25 (e) For purposes of this section, "private benefit or gain" does
320+26 not include reasonable compensation paid to an employee for work
321+27 or services actually performed.
322+28 SECTION 8. IC 6-2.5-5-38.1 IS AMENDED TO READ AS
323+29 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 38.1. (a) As used in this
324+30 section, "service center" has the meaning set forth in IC 6-3.1-15-3.
325+31 means an educational service center established under IC 20-20-1.
326+32 (b) As used in this section, "school" means a public or private
327+33 elementary or secondary school containing students in any grade from
328+34 grade 1 through grade 12.
329+35 (c) As used in this chapter, "qualified computer equipment" has the
330+36 meaning set forth in IC 6-3.1-15-2. means computer equipment,
331+37 including hardware and software, specified by the state board of
332+38 education under IC 6-3.1-15-10 (as in effect on January 1, 2012).
333+39 (d) Sales of qualified computer equipment are exempt from the state
334+40 gross retail tax, if:
335+41 (1) the seller is a service center or school;
336+42 (2) the purchaser is a parent or guardian of a student who is
337+ES 228—LS 6842/DI 120 8
338+1 enrolled in a school; and
339+2 (3) the qualified computer equipment is sold to the parent or
340+3 guardian under IC 6-3.1-15-12 (as in effect on January 1, 2012).
341+4 SECTION 9. IC 6-2.5-8-1, AS AMENDED BY P.L.165-2021,
342+5 SECTION 70, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
343+6 JANUARY 1, 2025]: Sec. 1. (a) A retail merchant may not make a
344+7 retail transaction in Indiana, unless the retail merchant has applied for
345+8 a registered retail merchant's certificate.
346+9 (b) A retail merchant may obtain a registered retail merchant's
347+10 certificate by filing an application with the department and paying a
348+11 registration fee of twenty-five dollars ($25) for each place of business
349+12 listed on the application. The retail merchant shall also provide such
350+13 security for payment of the tax as the department may require under
351+14 IC 6-2.5-6-12.
352+15 (c) The retail merchant shall list on the application the location
353+16 (including the township) of each place of business where the retail
354+17 merchant makes retail transactions. However, if the retail merchant
355+18 does not have a fixed place of business, the retail merchant shall list the
356+19 retail merchant's residence as the retail merchant's place of business. In
357+20 addition, a public utility may list only its principal Indiana office as its
358+21 place of business for sales of public utility commodities or service, but
359+22 the utility must also list on the application the places of business where
360+23 it makes retail transactions other than sales of public utility
361+24 commodities or service.
362+25 (d) Upon receiving a proper application, the correct fee, and the
363+26 security for payment, if required, the department shall issue to the retail
364+27 merchant a separate registered retail merchant's certificate for each
365+28 place of business listed on the application. Each certificate shall bear
366+29 a serial number and the location of the place of business for which it is
367+30 issued.
368+31 (e) The department may deny an application for a registered retail
369+32 merchant's certificate if the applicant's business is owned, operated,
370+33 managed, or otherwise controlled by or affiliated with a person
371+34 including a relative, family member, responsible officer, or owner, who
372+35 the department has determined:
373+36 (1) failed to:
374+37 (A) file all tax returns or information reports with the
375+38 department for listed taxes; or
376+39 (B) pay all taxes, penalties, and interest to the department for
377+40 listed taxes; and
378+41 (2) the business of the person who has failed to file all tax returns
379+42 or information reports under subdivision (1)(A) or who has failed
380+ES 228—LS 6842/DI 120 9
381+1 to pay all taxes, penalties, and interest under subdivision (1)(B)
382+2 is substantially similar to the business of the applicant.
383+3 (f) If a retail merchant intends to make retail transactions during a
384+4 calendar year at a new Indiana place of business, the retail merchant
385+5 must file a supplemental application and pay the fee for that place of
386+6 business.
387+7 (g) Except as provided in subsection (i), a registered retail
388+8 merchant's certificate is valid for two (2) years after the date the
389+9 registered retail merchant's certificate is originally issued or renewed.
390+10 If the retail merchant has filed all returns and remitted all listed taxes
391+11 that the retail merchant is currently obligated to file or remit, the
392+12 department shall renew the registered retail merchant's certificate
393+13 within thirty (30) days after the expiration date, at no cost to the retail
394+14 merchant. Before issuing or renewing the registered retail merchant
395+15 certification, the department may require the following to be provided:
396+16 (1) The names and addresses of the retail merchant's principal
397+17 employees, agents, or representatives. who engage in Indiana in
398+18 the solicitation or negotiation of the retail transaction.
399+19 (2) The location of all of the retail merchant's places of business
400+20 in Indiana, including offices and distribution houses.
401+21 (3) Any other information that the department requests.
402+22 (h) The department may not renew a registered retail merchant
403+23 certificate of a retail merchant who is delinquent in remitting
404+24 withholding taxes required to be remitted under IC 6-3-4, the electronic
405+25 cigarette tax under IC 6-7-4, or sales or use tax. has not filed all
406+26 returns and remitted all listed taxes that the retail merchant is
407+27 currently obligated to file or remit. The department, at least sixty
408+28 (60) days before the date on which a retail merchant's registered retail
409+29 merchant's certificate expires, shall notify a retail merchant who is
410+30 delinquent in remitting withholding taxes required to be remitted under
411+31 IC 6-3-4, the electronic cigarette tax under IC 6-7-4, or sales or use tax
412+32 has not filed all returns and remitted all listed taxes that the retail
413+33 merchant is currently obligated to file or remit that the department
414+34 will not renew the retail merchant's registered retail merchant's
415+35 certificate.
416+36 (i) If:
417+37 (1) a retail merchant has been notified by the department that the
418+38 retail merchant is delinquent in remitting withholding taxes or
419+39 sales or use tax has not filed all returns and remitted all listed
420+40 taxes that the retail merchant is currently obligated to file or
421+41 remit in accordance with subsection (h); and
422+42 (2) the retail merchant files all returns and pays the outstanding
423+ES 228—LS 6842/DI 120 10
424+1 liability before the expiration of the retail merchant's registered
425+2 retail merchant's certificate;
426+3 the department shall renew the retail merchant's registered retail
427+4 merchant's certificate for one (1) year.
428+5 (j) The department may permit an out-of-state retail merchant to
429+6 collect the gross retail tax in instances where the retail merchant has
430+7 not met the thresholds threshold in IC 6-2.5-2-1(d). However, before
431+8 the out-of-state retail merchant may collect the tax, the out-of-state
432+9 retail merchant must obtain a registered retail merchant's certificate in
433+10 the manner provided by this section. Upon receiving the certificate, the
434+11 out-of-state retail merchant becomes subject to the same conditions and
435+12 duties as an Indiana retail merchant and must then collect the gross
436+13 retail tax due on all retail transactions that the out-of-state retail
437+14 merchant knows are sourced to Indiana pursuant to IC 6-2.5-13-1.
438+15 (k) Except as provided in subsection (l), the department shall submit
439+16 to the township assessor, or the county assessor if there is no township
440+17 assessor for the township, before January 15 of each year:
441+18 (1) the name of each retail merchant that has newly obtained a
442+19 registered retail merchant's certificate during the preceding year
443+20 for a place of business located in the township or county;
444+21 (2) the address of each place of business of the taxpayer in the
445+22 township or county described in subdivision (1);
446+23 (3) the name of each retail merchant that:
447+24 (A) held a registered retail merchant's certificate at any time
448+25 during the preceding year for a place of business located in the
449+26 township or county; and
450+27 (B) had ceased to hold the registered retail merchant's
451+28 certificate at the end of the preceding year for the place of
452+29 business; and
453+30 (4) the address of each place of business described in subdivision
454+31 (3).
455+32 (l) If the duties of the township assessor have been transferred to the
456+33 county assessor as described in IC 6-1.1-1-24, the department shall
457+34 submit the information listed in subsection (k) to the county assessor.
458+35 SECTION 10. IC 6-2.5-8-7, AS AMENDED BY P.L.194-2023,
459+36 SECTION 6, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
460+37 JANUARY 1, 2025]: Sec. 7. (a) The department may, for good cause,
461+38 revoke a certificate issued under section 1 or 4 of this chapter.
462+39 However, the department must give the certificate holder at least five
463+40 (5) days notice before it revokes the certificate under this subsection.
464+41 Good cause for revocation may include the following:
465+42 (1) Failure to:
466+ES 228—LS 6842/DI 120 11
467+1 (A) file a return required under this chapter or for any tax
468+2 collected for the state in trust; or
469+3 (B) remit any tax collected for the state in trust.
470+4 (2) Being charged with a violation of any provision under IC 35.
471+5 (3) Being subject to a court order under IC 7.1-2-6-7,
472+6 IC 32-30-6-8, IC 32-30-7, or IC 32-30-8.
473+7 (4) Being charged with a violation of IC 23-15-12.
474+8 (5) Operating as a retail merchant where the certificate issued
475+9 under section 1 of this chapter could have been denied under
476+10 section 1(e) of this chapter prior to its issuance.
477+11 (5) The certificate holder or an officer, a director, a manager,
478+12 or a partner of the certificate holder has been convicted for an
479+13 offense under IC 35-48-4 and the conviction involved the sale
480+14 of or the offer to sell, in the normal course of business, a
481+15 synthetic drug (as defined in IC 35-31.5-2-321), a synthetic
482+16 drug lookalike substance (as defined in IC 35-31.5-2-321.5
483+17 (before its repeal on July 1, 2019)), a controlled substance
484+18 analog (as defined in IC 35-48-1-9.3), or a substance
485+19 represented to be a controlled substance (as described in
486+20 IC 35-48-4-4.6) by a retail merchant in a place of business for
487+21 which the retail merchant has been issued a registered retail
488+22 merchant's certificate under this chapter.
489+23 (6) The certificate holder or an officer, a director, a manager,
490+24 or a partner of the certificate holder has a judgment for a
491+25 violation of IC 35-48-4-10.5 (before its repeal on July 1, 2019)
492+26 as an infraction and the violation involved the sale of or the
493+27 offer to sell, in the normal course of business, a synthetic drug
494+28 or a synthetic drug lookalike substance by a retail merchant
495+29 in a place of business for which the retail merchant has been
496+30 issued a registered retail merchant's certificate under this
497+31 chapter.
498+32 (7) The certificate holder or an officer, a director, a manager,
499+33 or a partner of the certificate holder has been convicted for an
500+34 offense under IC 35-45-5-3, IC 35-45-5-3.5, or IC 35-45-5-4.
501+35 (8) The retail merchant has defaulted on a payment plan for
502+36 a listed tax that was entered into prior to the date of the most
503+37 recent renewal of its retail merchant's certificate.
504+38 The department may revoke a certificate under subdivision (2) before
505+39 a criminal adjudication or without a criminal charge being filed. If the
506+40 department gives notice of an intent to revoke based on an alleged
507+41 violation of subdivision (2), the department shall hold a public hearing
508+42 to determine whether good cause exists. If the department finds in a
509+ES 228—LS 6842/DI 120 12
510+1 public hearing by a preponderance of the evidence that a person has
511+2 committed a violation described in subdivision (2), the department
512+3 shall proceed in accordance with subsection (i) (if the violation resulted
513+4 in a criminal conviction) or subsection (j) (if the violation resulted in
514+5 a judgment for an infraction). A person that has a certificate revoked
515+6 pursuant to subdivision (2), (5), (6), or (7) must wait one (1) year
516+7 from the date of the revocation before reapplying for a certificate.
517+8 The department may issue the certificate upon reapplication or
518+9 hold a hearing to determine whether good cause exists for denying
519+10 the application for a certificate.
520+11 (b) The department shall may revoke a certificate issued under
521+12 section 1 or 4 of this chapter if, for a period of three (3) years, six (6)
522+13 months, the certificate holder fails to:
523+14 (1) file the returns required by IC 6-2.5-6-1; or
524+15 (2) report the collection of any state gross retail or use tax on the
525+16 returns filed under IC 6-2.5-6-1.
526+17 However, the department must give the certificate holder at least five
527+18 (5) days notice before it revokes the certificate.
528+19 (c) The department may, for good cause, revoke a certificate issued
529+20 under section 1 of this chapter after at least five (5) days notice to the
530+21 certificate holder if:
531+22 (1) the certificate holder is subject to an innkeeper's tax under
532+23 IC 6-9; and
533+24 (2) a board, bureau, or commission established under IC 6-9 files
534+25 a written statement with the department.
535+26 (d) The statement filed under subsection (c) must state that:
536+27 (1) information obtained by the board, bureau, or commission
537+28 under IC 6-8.1-7-1 indicates that the certificate holder has not
538+29 complied with IC 6-9; and
539+30 (2) the board, bureau, or commission has determined that
540+31 significant harm will result to the county from the certificate
541+32 holder's failure to comply with IC 6-9.
542+33 (e) The department shall may revoke or suspend a certificate issued
543+34 under section 1 of this chapter after at least five (5) days notice to the
544+35 certificate holder if:
545+36 (1) the certificate holder owes taxes, penalties, fines, interest, or
546+37 costs due under IC 6-1.1 that remain unpaid at least sixty (60)
547+38 days after the due date under IC 6-1.1; and
548+39 (2) the treasurer of the county to which the taxes are due requests
549+40 the department to revoke or suspend the certificate.
550+41 (f) The department shall reinstate a certificate suspended under
551+42 subsection (e) if the taxes and any penalties due under IC 6-1.1 are paid
552+ES 228—LS 6842/DI 120 13
553+1 or the county treasurer requests the department to reinstate the
554+2 certificate because an agreement for the payment of taxes and any
555+3 penalties due under IC 6-1.1 has been reached to the satisfaction of the
556+4 county treasurer.
557+5 (g) The department shall revoke a certificate issued under section
558+6 1 of this chapter after at least five (5) days notice to the certificate
559+7 holder if the department finds in a public hearing by a preponderance
560+8 of the evidence that the certificate holder has violated IC 35-45-5-3,
561+9 IC 35-45-5-3.5, or IC 35-45-5-4.
562+10 (h) (g) If a person makes a payment for the certificate under section
563+11 1 of this chapter with a check, credit card, debit card, or electronic
564+12 funds transfer, and the department is unable to obtain payment of the
565+13 check, credit card, debit card, or electronic funds transfer for its full
566+14 face amount when the check, credit card, debit card, or electronic funds
567+15 transfer is presented for payment through normal banking channels, the
568+16 department shall notify the person by mail that the check, credit card,
569+17 debit card, or electronic funds transfer was not honored and that the
570+18 person has five (5) days after the notice is mailed to pay the fee in cash,
571+19 by certified check, or other guaranteed payment. If the person fails to
572+20 make the payment within the five (5) day period, the department shall
573+21 revoke the certificate.
574+22 (i) If the department finds in a public hearing by a preponderance of
575+23 the evidence that a person has a conviction for an offense under
576+24 IC 35-48-4 and the conviction involved the sale of or the offer to sell,
577+25 in the normal course of business, a synthetic drug (as defined in
578+26 IC 35-31.5-2-321), a synthetic drug lookalike substance (as defined in
579+27 IC 35-31.5-2-321.5 (before its repeal on July 1, 2019)), a controlled
580+28 substance analog (as defined in IC 35-48-1-9.3), or a substance
581+29 represented to be a controlled substance (as described in
582+30 IC 35-48-4-4.6) by a retail merchant in a place of business for which
583+31 the retail merchant has been issued a registered retail merchant
584+32 certificate under section 1 of this chapter, the department:
585+33 (1) shall suspend the registered retail merchant certificate for the
586+34 place of business for one (1) year; and
587+35 (2) may not issue another retail merchant certificate under section
588+36 1 of this chapter for one (1) year to any person:
589+37 (A) that:
590+38 (i) applied for; or
591+39 (ii) made a retail transaction under;
592+40 the retail merchant certificate suspended under subdivision
593+41 (1); or
594+42 (B) that:
595+ES 228—LS 6842/DI 120 14
596+1 (i) owned or co-owned, directly or indirectly; or
597+2 (ii) was an officer, a director, a manager, or a partner of;
598+3 the retail merchant that was issued the retail merchant
599+4 certificate suspended under subdivision (1).
600+5 (j) If the department finds in a public hearing by a preponderance of
601+6 the evidence that a person has a judgment for a violation of
602+7 IC 35-48-4-10.5 (before its repeal on July 1, 2019) as an infraction and
603+8 the violation involved the sale of or the offer to sell, in the normal
604+9 course of business, a synthetic drug or a synthetic drug lookalike
605+10 substance by a retail merchant in a place of business for which the
606+11 retail merchant has been issued a registered retail merchant certificate
607+12 under section 1 of this chapter, the department:
608+13 (1) may suspend the registered retail merchant certificate for the
609+14 place of business for six (6) months; and
610+15 (2) may withhold issuance of another retail merchant certificate
611+16 under section 1 of this chapter for six (6) months to any person:
612+17 (A) that:
613+18 (i) applied for; or
614+19 (ii) made a retail transaction under;
615+20 the retail merchant certificate suspended under subdivision
616+21 (1); or
617+22 (B) that:
618+23 (i) owned or co-owned, directly or indirectly; or
619+24 (ii) was an officer, a director, a manager, or a partner of;
620+25 the retail merchant that was issued the retail merchant
621+26 certificate suspended under subdivision (1).
622+27 (k) If the department finds in a public hearing by a preponderance
623+28 of the evidence that a person has a conviction for a violation of
624+29 IC 35-48-4-10(d)(3) and the conviction involved an offense committed
625+30 by a retail merchant in a place of business for which the retail merchant
626+31 has been issued a registered retail merchant certificate under section 1
627+32 of this chapter, the department:
628+33 (1) shall suspend the registered retail merchant certificate for the
629+34 place of business for one (1) year; and
630+35 (2) may not issue another retail merchant certificate under section
631+36 1 of this chapter for one (1) year to any person:
632+37 (A) that:
633+38 (i) applied for; or
634+39 (ii) made a retail transaction under;
635+40 the retail merchant certificate suspended under subdivision
636+41 (1); or
637+42 (B) that:
638+ES 228—LS 6842/DI 120 15
639+1 (i) owned or co-owned, directly or indirectly; or
640+2 (ii) was an officer, a director, a manager, or a partner of;
641+3 the retail merchant that was issued the retail merchant
642+4 certificate suspended under subdivision (1).
643+5 SECTION 11. IC 6-3-2.1-4, AS AMENDED BY P.L.236-2023,
644+6 SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
645+7 JANUARY 1, 2022 (RETROACTIVE)]: Sec. 4. (a) A tax shall be
646+8 imposed on the adjusted gross income of an electing entity for the
647+9 taxable year of the election. The adjusted gross income of the electing
648+10 entity shall be the aggregate of the direct owners' share of the electing
649+11 entity's adjusted gross income. For purposes of this section:
650+12 (1) the electing entity shall determine each nonresident direct
651+13 owner's share after allocation and apportionment pursuant to
652+14 IC 6-3-2-2; and
653+15 (2) the electing entity shall determine the resident direct owner's
654+16 share either before allocation and apportionment pursuant to
655+17 IC 6-3-2-2 or after allocation and apportionment pursuant to
656+18 IC 6-3-2-2. The electing entity must use the same method for all
657+19 resident direct owners.
658+20 (b) The tax rate shall be the tax rate specified in IC 6-3-2-1(b) as of
659+21 the last day of the electing entity's taxable year, and the tax shall be due
660+22 on the same date as the entity return for the taxable year is due under
661+23 this article, without regard to extensions.
662+24 (c) On its return for the taxable year, the electing entity shall attach
663+25 a schedule showing the calculation of the tax and the credit for each
664+26 direct owner, and remit the tax with the return, taking into account
665+27 prior estimated tax payments and other tax payments by the electing
666+28 entity, along with other payments that are credited to the electing entity
667+29 as tax paid under this chapter or as tax withheld under IC 6-3-4 or
668+30 IC 6-5.5-2-8. The department may prescribe the form for providing the
669+31 information required by this section.
670+32 (d) If a pass through entity makes estimated tax payments, makes
671+33 other tax payments, or has other payments that are credited to the
672+34 electing entity as tax paid under this chapter or a tax withheld under
673+35 IC 6-3-4 or IC 6-5.5-2-8, and the pass through entity does not make the
674+36 election under section 3 of this chapter, the pass through entity:
675+37 (1) may treat pass through entity tax remitted on its behalf under
676+38 this chapter as pass through entity tax to its direct owners,
677+39 provided that:
678+40 (A) the tax is designated on a schedule similar to the schedule
679+41 required under subsection (c) and is reported to the direct
680+42 owners in the manner provided in section 5 of this chapter; and
681+ES 228—LS 6842/DI 120 16
682+1 (B) the pass through entity credits an amount to a direct owner
683+2 no greater than the tax that otherwise would be due under this
684+3 chapter on their share of the adjusted gross income from the
685+4 pass through entity or the direct owner's portion (as
686+5 determined under subsection (a)) of the pass through entity tax
687+6 passed through to the pass through entity, whichever is greater
688+7 (for purposes of this clause, a trust or estate shall compute the
689+8 tax in the same manner as an electing entity);
690+9 (2) shall treat any payment other than a payment designated under
691+10 subdivision (1) as a withholding tax payment under IC 6-3-4-12,
692+11 IC 6-3-4-13, IC 6-3-4-15, or IC 6-5.5-2-8 to the extent the pass
693+12 through entity otherwise has not remitted or been credited with
694+13 such withholding; and
695+14 (3) may request a refund of any payment in excess of the amounts
696+15 credited or designated under subdivision (1) or (2).
697+16 (e) If a pass through entity elects to be subject to tax under this
698+17 chapter and the pass through entity determines that its tax is less than
699+18 the pass through entity tax that is paid on its behalf, the pass through
700+19 entity may treat the tax paid on its behalf in a manner similar to
701+20 subsection (d)(1)(B). (d). However, the pass through entity may not
702+21 treat an amount less than its own liability under this chapter as
703+22 pass through entity tax under subsection (d)(1).
704+23 SECTION 12. IC 6-3.1-30-12, AS AMENDED BY P.L.288-2013,
705+24 SECTION 66, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
706+25 JULY 1, 2024]: Sec. 12. To receive the credit provided by this chapter,
707+26 a taxpayer must claim the credit on the taxpayer's state tax return or
708+27 returns in the manner prescribed by the department. The taxpayer shall
709+28 submit to the department the corporation's certification of the following
710+29 information:
711+30 (1) Proof of the taxpayer's relocation costs.
712+31 (2) Proof that the taxpayer is employing in Indiana the number of
713+32 employees required by section 8 of this chapter.
714+33 (3) (2) All other information that the department determines is
715+34 necessary for the calculation of the credit provided by this
716+35 chapter.
717+36 SECTION 13. IC 6-6-2.5-41, AS AMENDED BY P.L.227-2013,
718+37 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
719+38 UPON PASSAGE]: Sec. 41. (a) Each supplier engaged in business in
720+39 Indiana as a supplier shall first obtain a supplier's license. The fee for
721+40 a supplier's license shall be five hundred dollars ($500).
722+41 (b) Any person who desires to collect the tax imposed by this
723+42 chapter as a supplier and who meets the definition of a permissive
724+ES 228—LS 6842/DI 120 17
725+1 supplier may obtain a permissive supplier's license. Application for or
726+2 possession of a permissive supplier's license shall not in itself subject
727+3 the applicant or licensee to the jurisdiction of Indiana for any other
728+4 purpose than administration and enforcement of this chapter. The fee
729+5 for a permissive supplier's license is fifty dollars ($50).
730+6 (c) Each terminal operator other than a supplier licensed under
731+7 subsection (a) engaged in business in Indiana as a terminal operator
732+8 shall first obtain a terminal operator's license for each terminal site.
733+9 The fee for a terminal operator's license is three hundred dollars
734+10 ($300).
735+11 (d) Each exporter engaged in business in Indiana as an exporter
736+12 shall first obtain an exporter's license. However, in order to obtain a
737+13 license to export special fuel from Indiana to another specified state, a
738+14 person shall be licensed either to collect and remit special fuel taxes or
739+15 be licensed to deal in tax free special fuel in that other specified state
740+16 of destination. The fee for an exporter's license is two hundred dollars
741+17 ($200).
742+18 (e) Each person who is not licensed as a supplier shall obtain a
743+19 transporter's license before transporting special fuel by whatever
744+20 manner from a point outside Indiana to a point inside Indiana, or from
745+21 a point inside Indiana to a point outside Indiana, regardless of whether
746+22 the person is engaged for hire in interstate commerce or for hire in
747+23 intrastate commerce. The registration fee for a transporter's license is
748+24 fifty dollars ($50).
749+25 (f) Each person who wishes to cause special fuel to be delivered into
750+26 Indiana on the person's own behalf, for the person's own account, or for
751+27 resale to an Indiana purchaser, from another state in a fuel transport
752+28 vehicle having a capacity of more than five thousand four hundred
753+29 (5,400) gallons, or in a pipeline or barge shipment into storage facilities
754+30 other than a qualified terminal, shall first make an application for and
755+31 obtain an importer's license. The fee for an importer's license is two
756+32 hundred dollars ($200). This subsection does not apply to a person who
757+33 imports special fuel that is exempt because the special fuel has been
758+34 dyed or marked, or both, in accordance with section 31 of this chapter.
759+35 This subsection does not apply to a person who imports nonexempt
760+36 special fuels meeting the following conditions:
761+37 (1) The special fuel is subject to one (1) or more tax precollection
762+38 agreements with suppliers as provided in section 35 of this
763+39 chapter.
764+40 (2) The special fuel tax precollection by the supplier is expressly
765+41 evidenced on the terminal-issued shipping paper as specifically
766+42 provided in section 62(e)(2) of this chapter.
767+ES 228—LS 6842/DI 120 18
768+1 (g) A person desiring to import special fuel to an Indiana destination
769+2 who does not enter into an agreement to prepay Indiana special fuel tax
770+3 to a supplier or permissive supplier under section 35 of this chapter on
771+4 the imports must do the following:
772+5 (1) Obtain a valid license under subsection (f).
773+6 (2) Obtain an import verification number from the department not
774+7 earlier than twenty-four (24) hours before entering the state with
775+8 each import, if importing in a vehicle with a capacity of more than
776+9 five thousand four hundred (5,400) gallons.
777+10 (3) Display a proper import verification number on the shipping
778+11 document, if importing in a vehicle with a capacity of more than
779+12 five thousand four hundred (5,400) gallons.
780+13 (h) The department may require a person that wants to blend special
781+14 fuel to first obtain a license from the department. The department may
782+15 establish reasonable requirements for the proper enforcement of this
783+16 subsection, including the following:
784+17 (1) Guidelines under which a person may be required to obtain a
785+18 license.
786+19 (2) A requirement that a licensee file reports in the form and
787+20 manner required by the department.
788+21 (3) A requirement that a licensee meet the bonding requirements
789+22 specified by the department.
790+23 (i) The department may require a person that:
791+24 (1) is subject to the special fuel tax under this chapter;
792+25 (2) qualifies for a federal diesel fuel tax exemption under Section
793+26 4082 of the Internal Revenue Code; and
794+27 (3) is purchasing red dyed low sulfur diesel fuel;
795+28 to register with the department as a dyed fuel user. The department may
796+29 establish reasonable requirements for the proper enforcement of this
797+30 subsection, including guidelines under which a person may be required
798+31 to register and the form and manner of reports a registrant is required
799+32 to file.
800+33 (j) A person who owns a truck stop in Indiana must obtain from the
801+34 department a truck stop owner's license in the manner prescribed by the
802+35 department. A truck stop owner's license must be renewed every two
803+36 (2) years.
804+37 SECTION 14. IC 6-7-2-3.3, AS ADDED BY P.L.137-2022,
805+38 SECTION 64, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
806+39 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 3.3. As used in this
807+40 chapter, "remote seller" means a retail dealer that meets one (1) or both
808+41 of the economic thresholds threshold under IC 6-2.5-2-1(d) and sells
809+42 taxable products to an ultimate consumer under either of the following
810+ES 228—LS 6842/DI 120 19
811+1 circumstances:
812+2 (1) By means of a telephone or other method of voice
813+3 transmission, the mail, or the Internet or other electronic service.
814+4 (2) When the taxable products are delivered to the consumer by
815+5 common carrier, private delivery service, or other method of
816+6 delivery.
817+7 SECTION 15. IC 6-7-2-4, AS AMENDED BY P.L.137-2022,
818+8 SECTION 66, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
819+9 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 4. As used in this
820+10 chapter, "retail dealer" means a person engaged in the business of
821+11 selling taxable products to ultimate consumers, including a retail
822+12 merchant that meets one (1) or both of the economic thresholds
823+13 threshold under IC 6-2.5-2-1(d).
824+14 SECTION 16. IC 6-7-2-8.5, AS ADDED BY P.L.137-2022,
825+15 SECTION 71, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
826+16 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 8.5. (a) A remote seller,
827+17 including a person that sells taxable products through an Internet web
828+18 site, a website, must obtain a license under this section before a remote
829+19 seller can sell taxable products in Indiana. The department shall issue
830+20 licenses to applicants that qualify under this section. A license issued
831+21 under this section is valid for one (1) year unless revoked or suspended
832+22 by the department and is not transferable.
833+23 (b) An applicant for a license under this section must submit proof
834+24 to the department of the appointment of an agent for service of process
835+25 in Indiana if the applicant is:
836+26 (1) an individual whose principal place of residence is outside
837+27 Indiana; or
838+28 (2) a person, other than an individual, that has its principal place
839+29 of business outside Indiana.
840+30 (c) To obtain or renew a license under this section, a person must:
841+31 (1) submit an application that includes all information required by
842+32 the department;
843+33 (2) meet one (1) or both of the economic thresholds threshold
844+34 under IC 6-2.5-2-1(d) and obtain a registered retail merchant
845+35 certificate;
846+36 (3) attest that the person uses third party age verification
847+37 technology as described in subsection (d);
848+38 (4) pay a fee of twenty-five dollars ($25) at the time of
849+39 application; and
850+40 (5) at the time of application, post a bond, issued by a surety
851+41 company approved by the department, in an amount not less than
852+42 one thousand dollars ($1,000) and conditioned on the applicant's
853+ES 228—LS 6842/DI 120 20
854+1 compliance with this chapter.
855+2 (d) A remote seller must use age verification through an
856+3 independent, third party age verification service that compares:
857+4 (1) information available from a commercially available data base
858+5 (or aggregate of data bases) that are regularly used by government
859+6 agencies and businesses for the purpose of age and identity
860+7 verification; and
861+8 (2) personal information entered by the individual during the
862+9 ordering process;
863+10 that establishes that the individual is of the required minimum age.
864+11 (e) A remote seller that collects the tax imposed under section 7.7
865+12 of this chapter using the actual cost list method to calculate the tax
866+13 must provide to the department a certified actual cost list for each
867+14 individual product offered for sale in the subsequent calendar year. The
868+15 actual cost list shall be updated annually as new products are added to
869+16 a remote seller's inventory. New products must be added to the actual
870+17 cost list using the actual cost first paid for each individual product.
871+18 (f) If a business owns multiple entities that qualify as a remote
872+19 seller, a separate license must be obtained for each remote seller.
873+20 (g) Each license must be numbered, show the name and address of
874+21 the remote seller, and be kept at the place of business for which it is
875+22 issued.
876+23 (h) If the department determines that a bond provided by a licensee
877+24 is inadequate, the department may require a new bond in the amount
878+25 necessary to fully protect the state.
879+26 (i) A license issued under this section does not permit the remote
880+27 seller to sell cigarettes, vapor products, or other products subject to tax
881+28 under IC 6-7-1 or IC 6-7-4.
882+29 SECTION 17. IC 6-7-4-9, AS ADDED BY P.L.165-2021,
883+30 SECTION 119, IS AMENDED TO READ AS FOLLOWS
884+31 [EFFECTIVE JANUARY 1, 2024 (RETROACTIVE)]: Sec. 9. (a) An
885+32 excise tax, known as the electronic cigarette tax, is imposed on the
886+33 retail sale of consumable material and vapor products in Indiana.
887+34 (b) The electronic cigarette tax equals fifteen percent (15%) of the
888+35 gross retail income received by the retail dealer for the sale.
889+36 (c) The person who acquires consumable material or vapor products
890+37 in a retail transaction is liable for the tax on the transaction, and, except
891+38 as otherwise incorporated in this chapter, shall pay the tax to the retail
892+39 dealer as a separate added amount to the consideration in the
893+40 transaction. A retail dealer that either:
894+41 (1) has a physical presence in Indiana, as described in
895+42 IC 6-2.5-2-1(c); or
896+ES 228—LS 6842/DI 120 21
897+1 (2) meets one (1) or both of the thresholds threshold in
898+2 IC 6-2.5-2-1(d);
899+3 shall collect and remit the tax as an agent for the state.
900+4 (d) If the tax is not collected by the retail dealer, the consumer is
901+5 responsible to remit the tax to the department. A retail dealer that is
902+6 required to collect and remit tax under this chapter is jointly and
903+7 severally liable for uncollected tax absent proof of exemption or
904+8 payment by the purchaser.
905+9 (e) Before the fifteenth day of each month, each retail dealer liable
906+10 for the collection and remittance of the tax imposed by this chapter
907+11 shall:
908+12 (1) file a return with the department that includes all information
909+13 required by the department including, but not limited to:
910+14 (A) the name of the retail dealer;
911+15 (B) the address of the retail dealer; and
912+16 (C) the certificate number of the retail dealer's electronic
913+17 cigarette retail dealer's certificate; and
914+18 (2) pay the tax for which it is liable under this chapter for the
915+19 preceding month.
916+20 All returns required to be filed and taxes required to be paid under this
917+21 chapter must be made in an electronic format prescribed by the
918+22 department.
919+23 (f) All of the provisions of IC 6-2.5 relating to rights, duties,
920+24 liabilities, procedures, penalties, definitions, exemptions, and
921+25 administration apply to the imposition and administration of the tax
922+26 imposed under this section, except to the extent such provisions are in
923+27 conflict or inconsistent with the specific provisions of this chapter.
924+28 (g) A marketplace facilitator (as defined in IC 6-2.5-1-21.9) who is
925+29 considered a retail merchant under IC 6-2.5-4-18 for a transaction to
926+30 which this chapter applies shall collect and remit electronic cigarette
927+31 taxes imposed on the retail transaction.
928+32 SECTION 18. IC 6-8.1-1-4.5 IS ADDED TO THE INDIANA
929+33 CODE AS A NEW SECTION TO READ AS FOLLOWS
930+34 [EFFECTIVE JULY 1, 2024]: Sec. 4.5. "Periodic tax" means a listed
931+35 tax for which a return or report is required to be filed and the tax
932+36 is required to be remitted four (4) times or more in a calendar
933+37 year. The term does not include:
934+38 (1) an estimated tax payment under IC 6-3-2.1-6, IC 6-3-4-4.1,
935+39 or IC 6-5.5-6-3; or
936+40 (2) a withholding payment required to be remitted quarterly
937+41 under IC 6-3-4-12, IC 6-3-4-13, or IC 6-3-4-15.
938+42 For purposes of this section, if a provision of the law relating to a
939+ES 228—LS 6842/DI 120 22
940+1 listed tax permits a taxpayer to file returns or reports or remit the
941+2 tax less frequently than four (4) times per calendar year, the listed
942+3 tax is considered a periodic tax for a taxpayer who files or remits
943+4 less frequently.
944+5 SECTION 19. IC 6-8.1-3-20, AS ADDED BY P.L.227-2007,
945+6 SECTION 59, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
946+7 JANUARY 1, 2025]: Sec. 20. (a) The department shall enter a
947+8 memorandum of understanding with the Indiana gaming commission
948+9 authorizing the commission's unlawful gaming enforcement division to
949+10 conduct actions to revoke retail merchant certificates under
950+11 IC 6-2.5-8-7(g) IC 6-2.5-8-7(a)(7) in the manner specified in the
951+12 memorandum of understanding.
952+13 (b) A memorandum of understanding entered into under this section
953+14 must comply with the requirements of IC 4-33-19-8.
954+15 (c) The memorandum of understanding required by this section
955+16 must be entered into before January 1, 2008.
956+17 SECTION 20. IC 6-8.1-5-2, AS AMENDED BY P.L.1-2023,
957+18 SECTION 20, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
958+19 JULY 1, 2024]: Sec. 2. (a) Except as otherwise provided in this section
959+20 and section 2.5 of this chapter, the department may not issue a
960+21 proposed assessment under section 1 of this chapter more than three (3)
961+22 years after the latest of the date the return is filed, or the following:
962+23 (1) The due date of the return.
963+24 (2) In the case of a return filed for the state gross retail or use tax,
964+25 the gasoline use tax, the gasoline tax (including the inventory
965+26 tax), the special fuel tax (including the inventory tax), the motor
966+27 carrier fuel tax (including the inventory tax), the oil inspection
967+28 fee, the cigarette tax, the tobacco products tax, any county
968+29 innkeeper's taxes imposed under IC 6-9, any food and beverage
969+30 taxes imposed under IC 6-9, any county or local admissions taxes
970+31 imposed under IC 6-9, or the petroleum severance tax, a periodic
971+32 tax, thirty-one (31) days after the end of the calendar year which
972+33 contains the taxable period for which the return is filed.
973+34 (3) In the case of the use tax, three (3) years and thirty-one (31)
974+35 days from the end of the calendar year in which the first taxable
975+36 use, other than an incidental nonexempt use, of the property
976+37 occurred.
977+38 (b) If a person files a return for the utility receipts tax (IC 6-2.3)
978+39 (repealed), adjusted gross income tax (IC 6-3), pass through entity tax
979+40 (IC 6-3-2.1), supplemental net income tax (IC 6-3-8) (repealed), county
980+41 adjusted gross income tax (IC 6-3.5-1.1) (repealed), county option
981+42 income tax (IC 6-3.5-6) (repealed), local income tax (IC 6-3.6), or
982+ES 228—LS 6842/DI 120 23
983+1 financial institutions tax (IC 6-5.5) that understates the person's
984+2 income, as that term is defined in the particular income tax law, by at
985+3 least twenty-five percent (25%), the proposed assessment limitation is
986+4 six (6) years instead of the three (3) years provided in subsection (a).
987+5 (c) In the case of the vehicle excise tax (IC 6-6-5), the tax shall be
988+6 assessed as provided in IC 6-6-5 and shall include the penalties and
989+7 interest due on all listed taxes not paid by the due date. A person that
990+8 fails to properly register a vehicle as required by IC 9-18 (before its
991+9 expiration) or IC 9-18.1 and pay the tax due under IC 6-6-5 is
992+10 considered to have failed to file a return for purposes of this article.
993+11 (d) In the case of the commercial vehicle excise tax imposed under
994+12 IC 6-6-5.5, the tax shall be assessed as provided in IC 6-6-5.5 and shall
995+13 include the penalties and interest due on all listed taxes not paid by the
996+14 due date. A person that fails to properly register a commercial vehicle
997+15 as required by IC 9-18 (before its expiration) or IC 9-18.1 and pay the
998+16 tax due under IC 6-6-5.5 is considered to have failed to file a return for
999+17 purposes of this article.
1000+18 (e) In the case of the excise tax imposed on recreational vehicles
1001+19 and truck campers under IC 6-6-5.1, the tax shall be assessed as
1002+20 provided in IC 6-6-5.1 and must include the penalties and interest due
1003+21 on all listed taxes not paid by the due date. A person that fails to
1004+22 properly register a recreational vehicle as required by IC 9-18 (before
1005+23 its expiration) or IC 9-18.1 and pay the tax due under IC 6-6-5.1 is
1006+24 considered to have failed to file a return for purposes of this article. A
1007+25 person that fails to pay the tax due under IC 6-6-5.1 on a truck camper
1008+26 is considered to have failed to file a return for purposes of this article.
1009+27 (f) In the case of a credit against a listed tax based on payments of
1010+28 taxes to a state or local jurisdiction outside Indiana or payments of
1011+29 amounts that are subsequently refunded or returned, a proposed
1012+30 assessment for the refunded or returned credit must be issued by the
1013+31 later of:
1014+32 (1) the date by which a proposed assessment must be issued under
1015+33 this section; or
1016+34 (2) one hundred eighty (180) days from the date the taxpayer
1017+35 notifies the department of the refund or return of payment.
1018+36 For purposes of this subsection, if a taxpayer receives a refund of an
1019+37 amount paid by or on behalf of the taxpayer for a listed tax, that refund
1020+38 shall not be considered the payment of an amount that is subsequently
1021+39 refunded or returned.
1022+40 (g) If a person files a fraudulent, unsigned, or substantially blank
1023+41 return, or if a person does not file a return, there is no time limit within
1024+42 which the department must issue its proposed assessment, except as
1025+ES 228—LS 6842/DI 120 24
1026+1 provided in subsection (l).
1027+2 (h) If any part of a listed tax has been erroneously refunded by the
1028+3 department, the erroneous refund may be recovered through the
1029+4 assessment procedures established in this chapter. An assessment
1030+5 issued for an erroneous refund must be issued within the later of:
1031+6 (1) the period for which an assessment could otherwise be issued
1032+7 under this section; or
1033+8 (2) whichever is applicable:
1034+9 (A) within two (2) years after making the refund; or
1035+10 (B) within five (5) years after making the refund if the refund
1036+11 was induced by fraud or misrepresentation.
1037+12 (i) If, before the end of the time within which the department may
1038+13 make an assessment, the department and the person agree to extend
1039+14 that assessment period, the period may be extended according to the
1040+15 terms of a written agreement signed by both the department and the
1041+16 person. The agreement must contain:
1042+17 (1) the date to which the extension is made; and
1043+18 (2) a statement that the person agrees to preserve the person's
1044+19 records until the extension terminates.
1045+20 The department and a person may agree to more than one (1) extension
1046+21 under this subsection.
1047+22 (j) Except as otherwise provided in subsection (k), if a taxpayer's
1048+23 federal taxable income, federal adjusted gross income, or federal
1049+24 income tax liability for a taxable year is modified due to a modification
1050+25 as provided under IC 6-3-4-6(c) and IC 6-3-4-6(d) (for the adjusted
1051+26 gross income tax), or a modification or alteration as provided under
1052+27 IC 6-5.5-6-6(c) and IC 6-5.5-6-6(e) (for the financial institutions tax),
1053+28 then the date by which the department must issue a proposed
1054+29 assessment under section 1 of this chapter for tax imposed under IC 6-3
1055+30 is extended to six (6) months after the date on which the notice of
1056+31 modification is filed with the department by the taxpayer.
1057+32 (k) The following apply:
1058+33 (1) This subsection applies to partnerships whose taxable year:
1059+34 (A) begins after December 31, 2017;
1060+35 (B) ends after August 12, 2018; or
1061+36 (C) begins after November 2, 2015, and before January 1,
1062+37 2018, and for which a valid election under United States
1063+38 Treasury Regulation 301.9100-22 is in effect;
1064+39 and to the partners of such partnerships, including any partners,
1065+40 shareholders, or beneficiaries of a pass through entity that is a
1066+41 partner in such partnership.
1067+42 (2) Notwithstanding any other provision of this article, if a
1068+ES 228—LS 6842/DI 120 25
1069+1 partnership is subject to federal income tax liability or a federal
1070+2 tax adjustment at the partnership level as the result of a
1071+3 modification under Sections 6221 through 6241 of the Internal
1072+4 Revenue Code, the date on which the department must issue a
1073+5 proposed assessment to either the partners or the partnership shall
1074+6 be the later of:
1075+7 (A) the date on which a proposed assessment must otherwise
1076+8 be issued to the partner or the partnership under this section or
1077+9 IC 6-3-4.5 with regard to the taxable year of the partnership to
1078+10 which the modification is taxed at the partnership level; or
1079+11 (B) December 31, 2021.
1080+12 (3) For purposes of this section and IC 6-8.1-9-1, a modification
1081+13 under this subsection shall be considered a modification to the
1082+14 federal taxable income, federal adjusted gross income, or federal
1083+15 income tax liability of both the partners and the partnership within
1084+16 the meaning of IC 6-3-4-6 and IC 6-5.5-6-6, and shall be
1085+17 considered to be included in the federal taxable income or federal
1086+18 adjusted gross income of both the partners and partnerships for
1087+19 purposes of this article and IC 6-5.5.
1088+20 (4) If a modification made to a partnership for federal income tax
1089+21 purposes is reported to the partners to determine the partners'
1090+22 respective federal taxable income, federal adjusted gross income,
1091+23 or federal income tax liability, including reporting to partners as
1092+24 the result of an election made under Section 6226 of the Internal
1093+25 Revenue Code, subdivision (2) shall not apply, and those
1094+26 modifications shall be treated as modifications to the partners'
1095+27 federal taxable income, federal adjusted gross income, or federal
1096+28 income tax liability for purposes of the following:
1097+29 (A) This section.
1098+30 (B) IC 6-3-4-6.
1099+31 (C) IC 6-5.5-6-6.
1100+32 (D) IC 6-8.1-9-1.
1101+33 (l) Notwithstanding any other provision, a nonresident individual is
1102+34 considered to have filed a return for purposes of this section for a
1103+35 taxable year if the individual does not file a return otherwise required
1104+36 under IC 6-3-4-1 for a taxable year and all of the following apply:
1105+37 (1) the:
1106+38 (A) individual did not have income from sources within
1107+39 Indiana; or
1108+40 (B) only income derived from sources within Indiana and
1109+41 includible in the individual's adjusted gross income is
1110+42 distributive share income from one (1) or more pass through
1111+ES 228—LS 6842/DI 120 26
1112+1 entities (as defined by IC 6-3-1-35);
1113+2 (2) the individual is not a resident of Indiana for any portion of
1114+3 the taxable year;
1115+4 (3) the individual does not request a reduction in tax withholding
1116+5 for a pass through entity under IC 6-3-4-12, IC 6-3-4-13, or
1117+6 IC 6-3-4-15 for the taxable year; and
1118+7 (4) all pass through entities from which the individual derives
1119+8 income from Indiana sources:
1120+9 (A) file a composite return required under IC 6-3-4-12,
1121+10 IC 6-3-4-13, or IC 6-3-4-15; and
1122+11 (B) include the individual on the composite return.
1123+12 (m) The following provisions apply to subsection (l):
1124+13 (1) If an individual is married and files a joint federal tax return
1125+14 with the individual's spouse, the individual is considered to have
1126+15 filed a return for purposes of this section only if both the
1127+16 individual and the individual's spouse meet the conditions under
1128+17 subsection (l)(1) through (l)(4).
1129+18 (2) If an individual does not file a return, the last date for
1130+19 assessment with regard to the individual's share of income from
1131+20 a pass through entity shall be determined at the pass through
1132+21 entity and shall be determined separately for each pass through
1133+22 entity.
1134+23 (3) In the event the individual files a return, the period for
1135+24 assessment shall be determined based on the individual's filing
1136+25 unless a different period for assessment is prescribed under this
1137+26 title.
1138+27 (4) The individual is required to file a return to request a refund
1139+28 or carryforward of an overpayment for a taxable year.
1140+29 (5) If the individual has a net operating loss deduction under
1141+30 IC 6-3-2-2.5 or IC 6-3-2-2.6, or a credit carryforward allowable
1142+31 under IC 6-3-3 or IC 6-3.1 for the taxable year, the amount of net
1143+32 operating loss or credit carryforward shall be reduced to reflect
1144+33 the amount of net operating loss or credit carryforward that
1145+34 otherwise would have been allowable for the taxable year.
1146+35 SECTION 21. IC 6-8.1-7-1, AS AMENDED BY P.L.194-2023,
1147+36 SECTION 32, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1148+37 JULY 1, 2024]: Sec. 1. (a) This subsection does not apply to the
1149+38 disclosure of information concerning a conviction on a tax evasion
1150+39 charge. Unless in accordance with a judicial order or as otherwise
1151+40 provided in this chapter, the department, its employees, former
1152+41 employees, counsel, agents, or any other person may not divulge the
1153+42 amount of tax paid by any taxpayer, terms of a settlement agreement
1154+ES 228—LS 6842/DI 120 27
1155+1 executed between a taxpayer and the department, investigation records,
1156+2 investigation reports, or any other information disclosed by the reports
1157+3 filed under the provisions of the law relating to any of the listed taxes,
1158+4 including required information derived from a federal return, except to
1159+5 any of the following when it is agreed that the information is to be
1160+6 confidential and to be used solely for official purposes:
1161+7 (1) Members and employees of the department.
1162+8 (2) The governor.
1163+9 (3) A member of the general assembly or an employee of the
1164+10 house of representatives or the senate when acting on behalf of a
1165+11 taxpayer located in the member's legislative district who has
1166+12 provided sufficient information to the member or employee for
1167+13 the department to determine that the member or employee is
1168+14 acting on behalf of the taxpayer.
1169+15 (4) An employee of the legislative services agency to carry out the
1170+16 responsibilities of the legislative services agency under
1171+17 IC 2-5-1.1-7 or another law.
1172+18 (5) The attorney general or any other legal representative of the
1173+19 state in any action in respect to the amount of tax due under the
1174+20 provisions of the law relating to any of the listed taxes.
1175+21 (6) Any authorized officers of the United States.
1176+22 (b) The information described in subsection (a) may be revealed
1177+23 upon the receipt of a certified request of any designated officer of the
1178+24 state tax department of any other state, district, territory, or possession
1179+25 of the United States when:
1180+26 (1) the state, district, territory, or possession permits the exchange
1181+27 of like information with the taxing officials of the state; and
1182+28 (2) it is agreed that the information is to be confidential and to be
1183+29 used solely for tax collection purposes.
1184+30 (c) The information described in subsection (a) relating to a person
1185+31 on public welfare or a person who has made application for public
1186+32 welfare may be revealed to the director of the division of family
1187+33 resources, and to any director of a county office of the division of
1188+34 family resources located in Indiana, upon receipt of a written request
1189+35 from either director for the information. The information shall be
1190+36 treated as confidential by the directors. In addition, the information
1191+37 described in subsection (a) relating to a person who has been
1192+38 designated as an absent parent by the state Title IV-D agency shall be
1193+39 made available to the state Title IV-D agency upon request. The
1194+40 information shall be subject to the information safeguarding provisions
1195+41 of the state and federal Title IV-D programs.
1196+42 (d) The name, address, Social Security number, and place of
1197+ES 228—LS 6842/DI 120 28
1198+1 employment relating to any individual who is delinquent in paying
1199+2 educational loans owed to a postsecondary educational institution may
1200+3 be revealed to that institution if it provides proof to the department that
1201+4 the individual is delinquent in paying for educational loans. This
1202+5 information shall be provided free of charge to approved postsecondary
1203+6 educational institutions (as defined by IC 21-7-13-6(a)). The
1204+7 department shall establish fees that all other institutions must pay to the
1205+8 department to obtain information under this subsection. However, these
1206+9 fees may not exceed the department's administrative costs in providing
1207+10 the information to the institution.
1208+11 (e) The information described in subsection (a) relating to reports
1209+12 submitted under IC 6-6-1.1-502 concerning the number of gallons of
1210+13 gasoline sold by a distributor and IC 6-6-2.5 concerning the number of
1211+14 gallons of special fuel sold by a supplier and the number of gallons of
1212+15 special fuel exported by a licensed exporter or imported by a licensed
1213+16 transporter may be released by the commissioner upon receipt of a
1214+17 written request for the information.
1215+18 (f) The information described in subsection (a) may be revealed
1216+19 upon the receipt of a written request from the administrative head of a
1217+20 state agency of Indiana when:
1218+21 (1) the state agency shows an official need for the information;
1219+22 and
1220+23 (2) the administrative head of the state agency agrees that any
1221+24 information released will be kept confidential and will be used
1222+25 solely for official purposes.
1223+26 (g) The information described in subsection (a) may be revealed
1224+27 upon the receipt of a written request from the chief law enforcement
1225+28 officer of a state or local law enforcement agency in Indiana when it is
1226+29 agreed that the information is to be confidential and to be used solely
1227+30 for official purposes.
1228+31 (h) The name and address of retail merchants, including township,
1229+32 as specified in IC 6-2.5-8-1(k) may be released solely for tax collection
1230+33 purposes to township assessors and county assessors.
1231+34 (i) The department shall notify the appropriate innkeeper's tax
1232+35 board, bureau, or commission that a taxpayer is delinquent in remitting
1233+36 innkeepers' taxes under IC 6-9.
1234+37 (j) All information relating to the delinquency or evasion of the
1235+38 vehicle excise tax may be disclosed to the bureau of motor vehicles in
1236+39 Indiana and may be disclosed to another state, if the information is
1237+40 disclosed for the purpose of the enforcement and collection of the taxes
1238+41 imposed by IC 6-6-5.
1239+42 (k) All information relating to the delinquency or evasion of
1240+ES 228—LS 6842/DI 120 29
1241+1 commercial vehicle excise taxes payable to the bureau of motor
1242+2 vehicles in Indiana may be disclosed to the bureau and may be
1243+3 disclosed to another state, if the information is disclosed for the
1244+4 purpose of the enforcement and collection of the taxes imposed by
1245+5 IC 6-6-5.5.
1246+6 (l) All information relating to the delinquency or evasion of
1247+7 commercial vehicle excise taxes payable under the International
1248+8 Registration Plan may be disclosed to another state, if the information
1249+9 is disclosed for the purpose of the enforcement and collection of the
1250+10 taxes imposed by IC 6-6-5.5.
1251+11 (m) All information relating to the delinquency or evasion of the
1252+12 excise taxes imposed on recreational vehicles and truck campers that
1253+13 are payable to the bureau of motor vehicles in Indiana may be disclosed
1254+14 to the bureau and may be disclosed to another state if the information
1255+15 is disclosed for the purpose of the enforcement and collection of the
1256+16 taxes imposed by IC 6-6-5.1.
1257+17 (n) This section does not apply to:
1258+18 (1) the beer excise tax, including brand and packaged type (IC
1259+19 7.1-4-2);
1260+20 (2) the liquor excise tax (IC 7.1-4-3);
1261+21 (3) the wine excise tax (IC 7.1-4-4);
1262+22 (4) the hard cider excise tax (IC 7.1-4-4.5);
1263+23 (5) the vehicle excise tax (IC 6-6-5);
1264+24 (6) the commercial vehicle excise tax (IC 6-6-5.5); and
1265+25 (7) the fees under IC 13-23.
1266+26 (o) The name and business address of retail merchants within each
1267+27 county that sell tobacco products may be released to the division of
1268+28 mental health and addiction and the alcohol and tobacco commission
1269+29 solely for the purpose of the list prepared under IC 6-2.5-6-14.2.
1270+30 (p) The name and business address of a person licensed by the
1271+31 department under IC 6-6 or IC 6-7, or issued a registered retail
1272+32 merchant's certificate under IC 6-2.5, may be released for the purpose
1273+33 of reporting the status of the person's license or certificate.
1274+34 (q) The department may release information concerning total
1275+35 incremental tax amounts under:
1276+36 (1) IC 5-28-26;
1277+37 (2) IC 36-7-13;
1278+38 (3) IC 36-7-26;
1279+39 (4) IC 36-7-27;
1280+40 (5) IC 36-7-31;
1281+41 (6) IC 36-7-31.3; or
1282+42 (7) any other statute providing for the calculation of incremental
1283+ES 228—LS 6842/DI 120 30
1284+1 state taxes that will be distributed to or retained by a political
1285+2 subdivision or other entity;
1286+3 to the fiscal officer of the political subdivision or other entity that
1287+4 established the district or area from which the incremental taxes were
1288+5 received if that fiscal officer enters into an agreement with the
1289+6 department specifying that the political subdivision or other entity will
1290+7 use the information solely for official purposes.
1291+8 (r) The department may release the information as required in
1292+9 IC 6-8.1-3-7.1 concerning:
1293+10 (1) an innkeeper's tax, a food and beverage tax, or an admissions
1294+11 tax under IC 6-9;
1295+12 (2) the supplemental auto rental excise tax under IC 6-6-9.7; and
1296+13 (3) the covered taxes allocated to a professional sports
1297+14 development area fund, sports and convention facilities operating
1298+15 fund, or other fund under IC 36-7-31 and IC 36-7-31.3.
1299+16 (s) Information concerning state gross retail tax exemption
1300+17 certificates that relate to a person who is exempt from the state gross
1301+18 retail tax under IC 6-2.5-4-5 may be disclosed to a power subsidiary (as
1302+19 defined in IC 6-2.5-1-22.5) or a person selling the services or
1303+20 commodities listed in IC 6-2.5-4-5 for the purpose of enforcing and
1304+21 collecting the state gross retail and use taxes under IC 6-2.5.
1305+22 (t) The department may release a statement of tax withholding or
1306+23 other tax information statement provided on behalf of a taxpayer to the
1307+24 department to:
1308+25 (1) the taxpayer on whose behalf the tax withholding or other tax
1309+26 information statement was provided to the department;
1310+27 (2) the taxpayer's spouse, if:
1311+28 (A) the taxpayer is deceased or incapacitated; and
1312+29 (B) the taxpayer's spouse is filing a joint income tax return
1313+30 with the taxpayer; or
1314+31 (3) an administrator, executor, trustee, or other fiduciary acting on
1315+32 behalf of the taxpayer if the taxpayer is deceased.
1316+33 (u) Information related to a listed tax regarding a taxpayer may be
1317+34 disclosed to an individual without a power of attorney under
1318+35 IC 6-8.1-3-8(a)(2) if:
1319+36 (1) the individual is authorized to file returns and remit payments
1320+37 for one (1) or more listed taxes on behalf of the taxpayer through
1321+38 the department's online tax system before September 8, 2020;
1322+39 (2) the information relates to a listed tax described in subdivision
1323+40 (1) for which the individual is authorized to file returns and remit
1324+41 payments;
1325+42 (3) the taxpayer has been notified by the department of the
1326+ES 228—LS 6842/DI 120 31
1327+1 individual's ability to access the taxpayer's information for the
1328+2 listed taxes described in subdivision (1) and the taxpayer has not
1329+3 objected to the individual's access;
1330+4 (4) the individual's authorization or right to access the taxpayer's
1331+5 information for a listed tax described in subdivision (1) has not
1332+6 been withdrawn by the taxpayer; and
1333+7 (5) disclosure of the information to the individual is not
1334+8 prohibited by federal law.
1335+9 Except as otherwise provided by this article, this subsection does not
1336+10 authorize the disclosure of any correspondence from the department
1337+11 that is mailed or otherwise delivered to the taxpayer relating to the
1338+12 specified listed taxes for which the individual was given authorization
1339+13 by the taxpayer. The department shall establish a date, which may be
1340+14 earlier but not later than September 1, 2023, after which a taxpayer's
1341+15 information concerning returns and remittances for a listed tax may not
1342+16 be disclosed to an individual without a power of attorney under
1343+17 IC 6-8.1-3-8(a)(2) by providing notice to the affected taxpayers and
1344+18 previously authorized individuals, including notification published on
1345+19 the department's website. After the earlier of the date established by the
1346+20 department or September 1, 2023, the department may not disclose a
1347+21 taxpayer's information concerning returns and remittances for a listed
1348+22 tax to an individual unless the individual has a power of attorney under
1349+23 IC 6-8.1-3-8(a)(2) or the disclosure is otherwise allowed under this
1350+24 article.
1351+25 (v) The department may publish a list of persons, corporations, or
1352+26 other entities that qualify or have qualified for an exemption for sales
1353+27 tax under IC 6-2.5-5-16, IC 6-2.5-5-25, or IC 6-2.5-5-26, or otherwise
1354+28 provide information regarding a person's, corporation's, or entity's
1355+29 exemption status under IC 6-2.5-5-16, IC 6-2.5-5-25, or IC 6-2.5-5-26.
1356+30 For purposes of this subsection, information that may be disclosed
1357+31 includes:
1358+32 (1) any federal identification number or other identification
1359+33 number for the entity assigned by the department;
1360+34 (2) any expiration date of an exemption under IC 6-2.5-5-25;
1361+35 (3) whether any sales tax exemption has expired or has been
1362+36 revoked by the department; and
1363+37 (4) any other information reasonably necessary for a recipient of
1364+38 an exemption certificate to determine if an exemption certificate
1365+39 is valid.
1366+40 (w) The department may share a taxpayer's name and other
1367+41 personal identification information with a tax preparer or tax
1368+42 preparation software provider in cases where the department
1369+ES 228—LS 6842/DI 120 32
1370+1 suspects that a fraudulent return has been filed on behalf of a
1371+2 taxpayer and the department suspects that the system of a
1372+3 taxpayer's previous year tax preparer or tax preparation software
1373+4 provider has been breached.
1374+5 SECTION 22. IC 6-8.1-8-3, AS AMENDED BY P.L.234-2019,
1375+6 SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1376+7 JANUARY 1, 2025]: Sec. 3. (a) The county sheriff of a county shall
1377+8 attempt to levy on and collect a judgment arising from a tax warrant in
1378+9 that county for a period of one hundred twenty (120) days from the date
1379+10 the judgment lien is entered, unless the sheriff is relieved of that duty
1380+11 at an earlier time by the department. The sheriff shall also have
1381+12 authority to attempt to levy on and collect the outstanding tax liability
1382+13 if the taxpayer does not pay the amount demanded under section 2(b)
1383+14 of this chapter and the taxpayer has taken an action under section 2(n)
1384+15 of this chapter to foreclose the lien. The sheriff's authority to collect the
1385+16 warrant exists only while the sheriff holds the tax warrant, and if the
1386+17 sheriff surrenders the warrant to the department for any reason the
1387+18 sheriff's authority to collect that tax warrant ceases. During the period
1388+19 that the sheriff has the duty to collect a tax warrant, the sheriff shall
1389+20 collect from the person owing the tax, an amount equal to the amount
1390+21 of the judgment lien plus the accrued interest to the date of the
1391+22 payment. Subject to subsection (b), the sheriff shall make the collection
1392+23 by garnisheeing the person's wages and by levying on and selling any
1393+24 interest in property or rights in any chose in action that the person has
1394+25 in the county. The Indiana laws which provide relief for debtors by
1395+26 exempting certain property from levy by creditors do not apply to levy
1396+27 and sale proceedings for judgments arising from tax warrants.
1397+28 (b) A sheriff shall sell property to satisfy a tax warrant in a manner
1398+29 that is reasonably likely to bring the highest net proceeds from the sale
1399+30 after deducting the expenses of the offer to sell and sale. A sheriff may
1400+31 engage an auctioneer to advertise a sale and to conduct a public
1401+32 auction, unless the person being levied files an objection with the clerk
1402+33 of the circuit or superior court having the tax warrant within five (5)
1403+34 days of the day that the sheriff informs the person of the person's right
1404+35 to object. The advertising conducted by the auctioneer is in addition to
1405+36 any other notice required by law, and shall include a detailed
1406+37 description of the property to be sold. When an auctioneer is engaged
1407+38 under this subsection and the auctioneer files a verified claim with the
1408+39 clerk of the circuit or superior court with whom the tax warrant is filed,
1409+40 the sheriff may pay the reasonable fee and reasonable expenses of the
1410+41 auctioneer from the gross proceeds of the sale before other expenses
1411+42 and the judgment arising from the tax warrant are paid. As used in this
1412+ES 228—LS 6842/DI 120 33
1413+1 section, "auctioneer" means an auctioneer licensed under IC 25-6.1.
1414+2 (c) The sheriff shall deposit all amounts that the sheriff collects
1415+3 under this section, including partial payments, into a special trust
1416+4 account for judgments collected that arose from tax warrants. The
1417+5 sheriff shall notify the department, in a manner specified by the
1418+6 department, of the name of the taxpayer and the amount of the payment
1419+7 within seven (7) days of receipt. In the event of an emergency, a
1420+8 taxpayer may direct the sheriff to make a remit received payment
1421+9 payments on the taxpayer's behalf through the department's direct
1422+10 electronic interface or by using the department's electronic payment
1423+11 sheriff portal. when certified funds have been received by the sheriff.
1424+12 On or before the fifth and the twentieth day of each month, the sheriff
1425+13 shall disburse the money in the tax warrant judgment lien trust account
1426+14 in the following order:
1427+15 (1) The sheriff shall pay the department the part of the collections
1428+16 that represents taxes, interest, and penalties.
1429+17 (2) The sheriff shall pay the county treasurer and the clerk of the
1430+18 circuit or superior court the part of the collections that represents
1431+19 their assessed costs.
1432+20 (3) Except as provided in subdivisions (4) and (5), the sheriff
1433+21 shall keep the part of the collections that represents the ten
1434+22 percent (10%) collection fee added under section 2(b) of this
1435+23 chapter.
1436+24 (4) If the sheriff has entered a salary contract under
1437+25 IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
1438+26 the part of the collections that represents the ten percent (10%)
1439+27 collection fee added under section 2(b) of this chapter.
1440+28 (5) If the sheriff has not entered into a salary contract under
1441+29 IC 36-2-13-2.5, the sheriff shall deposit in the county general fund
1442+30 the part of the collections that:
1443+31 (A) represents the ten percent (10%) collection fee added
1444+32 under section 2(b) of this chapter; and
1445+33 (B) would, if kept by the sheriff, result in the total amount of
1446+34 the sheriff's annual compensation exceeding the maximum
1447+35 amount allowed under IC 36-2-13-17.
1448+36 The department shall establish the procedure for the disbursement of
1449+37 partial payments so that the intent of this section is carried out.
1450+38 (d) After the period described in subsection (a) has passed, the
1451+39 sheriff shall return the tax warrant to the department. However, if the
1452+40 department determines that:
1453+41 (1) at the end of this period the sheriff is in the process of
1454+42 collecting the judgment arising from a tax warrant in periodic
1455+ES 228—LS 6842/DI 120 34
1456+1 payments of sufficient size that the judgment will be fully paid
1457+2 within one (1) year after the date the judgment was filed; and
1458+3 (2) the sheriff's electronic data base regarding tax warrants is
1459+4 compatible with the department's data base;
1460+5 the sheriff may keep the tax warrant and continue collections.
1461+6 (e) Notwithstanding any other provision of this chapter, the
1462+7 department may order a sheriff to return a tax warrant at any time, if the
1463+8 department feels that action is necessary to protect the interests of the
1464+9 state.
1465+10 (f) This subsection applies only to the sheriff of a county having a
1466+11 consolidated city or a second class city. In such a county, the ten
1467+12 percent (10%) collection fee added under section 2(b) of this chapter
1468+13 shall be divided as follows:
1469+14 (1) Subject to subsection (g), the sheriff may retain forty thousand
1470+15 dollars ($40,000), plus one-fifth (1/5) of any fees exceeding that
1471+16 forty thousand dollar ($40,000) amount.
1472+17 (2) Two-fifths (2/5) of any fees exceeding that forty thousand
1473+18 dollar ($40,000) amount shall be deposited in the sheriff's
1474+19 department's pension trust fund.
1475+20 (3) Two-fifths (2/5) of any fees exceeding that forty thousand
1476+21 dollar ($40,000) amount shall be deposited in the county general
1477+22 fund.
1478+23 (g) If an amount of the collection fee added under section 2(b) of
1479+24 this chapter would, if retained by the sheriff under subsection (f)(1),
1480+25 cause the total amount of the sheriff's annual compensation to exceed
1481+26 the maximum amount allowed under IC 36-2-13-17, the sheriff shall
1482+27 instead deposit the amount in the county general fund.
1483+28 (h) Money deposited into a county general fund under subsections
1484+29 (c)(5) and (g) must be used as follows:
1485+30 (1) To reduce any unfunded liability of a sheriff's pension trust
1486+31 plan established for the county's sheriff's department.
1487+32 (2) Any amounts remaining after complying with subdivision (1)
1488+33 must be applied to the costs incurred to operate the county's
1489+34 sheriff's department.
1490+35 SECTION 23. IC 6-8.1-9-1, AS AMENDED BY P.L.159-2021,
1491+36 SECTION 35, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1492+37 JULY 1, 2024]: Sec. 1. (a) If a person has paid more tax than the
1493+38 person determines is legally due for a particular taxable period, the
1494+39 person may file a claim for a refund with the department. Except as
1495+40 provided in subsections (j), (k), (l), (m), and (n), in order to obtain the
1496+41 refund, the person must file the claim with the department within three
1497+42 (3) years after the later of the following:
1498+ES 228—LS 6842/DI 120 35
1499+1 (1) The due date of the return.
1500+2 (2) The date of payment.
1501+3 For purposes of this section, the due date for a return filed for the state
1502+4 gross retail or use tax, the gasoline use tax, the gasoline tax (including
1503+5 the inventory tax), the special fuel tax (including the inventory tax), the
1504+6 motor carrier fuel tax (including the inventory tax), the oil inspection
1505+7 fee, the cigarette tax, the tobacco products tax, any county innkeeper's
1506+8 taxes imposed under IC 6-9, any food and beverage taxes imposed
1507+9 under IC 6-9, any county or local admissions taxes imposed under
1508+10 IC 6-9, or the petroleum severance tax a periodic tax is thirty-one
1509+11 (31) days after the end of the calendar year which contains the taxable
1510+12 period for which the return is filed. The claim must set forth the
1511+13 amount of the refund to which the person is entitled and the reasons
1512+14 that the person is entitled to the refund.
1513+15 (b) After considering the claim and all evidence relevant to the
1514+16 claim, the department shall issue a decision on the claim, stating the
1515+17 part, if any, of the refund allowed and containing a statement of the
1516+18 reasons for any part of the refund that is denied. The department shall
1517+19 mail a copy of the decision to the person that filed the claim. If the
1518+20 person disagrees with a part of the decision on the claim, the person
1519+21 may file a protest and request a hearing with the department. If the
1520+22 department allows the full amount of the refund claim, a warrant for the
1521+23 payment of the claim is sufficient notice of the decision.
1522+24 (c) The tax court shall hear the appeal de novo and without a jury,
1523+25 and after the hearing may order or deny any part of the appealed
1524+26 refund. The court may assess the court costs in any manner that it feels
1525+27 is equitable. The court may enjoin the collection of any of the listed
1526+28 taxes under IC 33-26-6-2. The court may also allow a refund of taxes,
1527+29 interest, and penalties that have been paid to and collected by the
1528+30 department.
1529+31 (d) The decision on the claim must state that the person has sixty
1530+32 (60) days from the date the decision is mailed to file a written protest.
1531+33 If the person files a protest and requests a hearing on the protest, the
1532+34 department shall:
1533+35 (1) set the hearing at the department's earliest convenient time;
1534+36 and
1535+37 (2) notify the person by United States mail of the time, date, and
1536+38 location of the hearing.
1537+39 (e) The department may hold the hearing at the location of its choice
1538+40 within Indiana if that location complies with IC 6-8.1-3-8.5.
1539+41 (f) After conducting a hearing on a protest, or after making a
1540+42 decision on a protest when no hearing is requested, the department
1541+ES 228—LS 6842/DI 120 36
1542+1 shall issue a memorandum of decision or order denying a refund and
1543+2 shall send a copy of the decision through the United States mail to the
1544+3 person that filed the protest. If the department allows the full amount
1545+4 of the refund claim, a warrant for the payment of the claim is sufficient
1546+5 notice of the decision. The department may continue the hearing until
1547+6 a later date if the taxpayer presents additional information at the
1548+7 hearing or the taxpayer requests an opportunity to present additional
1549+8 information after the hearing.
1550+9 (g) A person that disagrees with any part of the department's
1551+10 determination in a memorandum of decision or order denying a refund
1552+11 may request a rehearing not more than thirty (30) days after the date on
1553+12 which the memorandum of decision or order denying a refund is issued
1554+13 by the department. The department shall consider the request and may
1555+14 grant the rehearing if the department reasonably believes that a
1556+15 rehearing would be in the best interests of the taxpayer and the state.
1557+16 If the department grants the rehearing, the department shall issue a
1558+17 supplemental order denying a refund or a supplemental memorandum
1559+18 of decision based on the rehearing, whichever is applicable.
1560+19 (h) If the person disagrees with any part of the department's
1561+20 determination, the person may appeal the determination, regardless of
1562+21 whether or not the person protested the tax payment or whether or not
1563+22 the person has accepted a refund. The person must file the appeal with
1564+23 the tax court. The tax court does not have jurisdiction to hear a refund
1565+24 appeal if:
1566+25 (1) the appeal is filed more than ninety (90) days after the latest
1567+26 of the dates on which:
1568+27 (A) the memorandum of decision or order denying a refund is
1569+28 issued by the department, if the person does not make a timely
1570+29 request for a rehearing under subsection (g) on the
1571+30 memorandum of decision or order denying a refund;
1572+31 (B) the department issues a denial of the person's timely
1573+32 request for a rehearing under subsection (g) on the
1574+33 memorandum of decision or order denying a refund; or
1575+34 (C) the department issues a supplemental memorandum of
1576+35 decision or supplemental order denying a refund following a
1577+36 rehearing granted under subsection (g); or
1578+37 (2) the appeal is filed both before the decision is issued and
1579+38 before the one hundred eighty-first day after the date the person
1580+39 files the claim for a refund with the department.
1581+40 The ninety (90) day period may be extended according to the terms of
1582+41 a written agreement signed by both the department and the person. The
1583+42 agreement must specify a date upon which the extension will terminate
1584+ES 228—LS 6842/DI 120 37
1585+1 and include a statement that the person agrees to preserve the person's
1586+2 records until that specified termination date. The specified termination
1587+3 date agreed upon under this subsection may not be more than ninety
1588+4 (90) days after the expiration of the period otherwise specified by this
1589+5 subsection.
1590+6 (i) With respect to the vehicle excise tax, this section applies only
1591+7 to penalties and interest paid on assessments of the vehicle excise tax.
1592+8 Any other overpayment of the vehicle excise tax is subject to IC 6-6-5.
1593+9 (j) If a taxpayer's federal taxable income, federal adjusted gross
1594+10 income, or federal income tax liability for a taxable year is modified by
1595+11 the Internal Revenue Service, and the modification would result in a
1596+12 reduction of the tax legally due, the due date by which the taxpayer
1597+13 must file a claim for refund with the department is the latest of:
1598+14 (1) the date determined under subsection (a);
1599+15 (2) the date that is one hundred eighty (180) days after the date of
1600+16 the modification by the Internal Revenue Service as provided
1601+17 under:
1602+18 (A) IC 6-3-4-6(c) and IC 6-3-4-6(d) (for the adjusted gross
1603+19 income tax); or
1604+20 (B) IC 6-5.5-6-6(c) and IC 6-5.5-6-6(d) (for the financial
1605+21 institutions tax); or
1606+22 (3) in the case of a modification described in IC 6-8.1-5-2(k)(1)
1607+23 through IC 6-8.1-5-2(k)(3), the date provided in IC 6-3-4.5 for
1608+24 such refunds or December 31, 2021, whichever is later.
1609+25 (k) Notwithstanding any other provision of this section, if an
1610+26 individual received a severance payment described in Section
1611+27 3(a)(1)(A) of the Combat-Injured Veterans Tax Fairness Act of 2016
1612+28 (P.L. 114-292) and upon which the United States Secretary of Defense
1613+29 withheld tax under IC 6-3, IC 6-3.5-1.1 (before its repeal), IC 6-3.5-6
1614+30 (before its repeal), IC 6-3.5-7 (before its repeal), or IC 6-3.6, the
1615+31 individual must file a claim for refund for taxes that were overpaid and
1616+32 attributable to the severance payment not later than December 31,
1617+33 2020. Any refund under this subsection shall be computed without
1618+34 regard to subsection (a)(2). The department may establish procedures
1619+35 to provide standard refund amounts if a standard refund amount is
1620+36 requested from the Internal Revenue Service.
1621+37 (l) Notwithstanding any other provision of this section, a taxpayer
1622+38 may file a claim for refund for any taxes under IC 6-3 or IC 6-5.5 that
1623+39 the taxpayer expected to be due as a result of an Internal Revenue
1624+40 Service audit not later than the date otherwise prescribed in this section
1625+41 or one hundred eighty (180) days after the date the taxpayer is notified
1626+42 that the audit resulted in no change or, if the audit resulted in a
1627+ES 228—LS 6842/DI 120 38
1628+1 modification, the date of the modification as provided under:
1629+2 (1) IC 6-3-4-6(c) and IC 6-3-4-6(d) (for adjusted gross income
1630+3 tax); or
1631+4 (2) IC 6-5.5-6-6(c) and IC 6-5.5-6-6(d) (for the financial
1632+5 institutions tax);
1633+6 whichever is later.
1634+7 (m) If a taxpayer has an overpayment for a listed tax as a result of
1635+8 a credit of taxes paid to another state, country, or local jurisdiction in
1636+9 another state or country, and those taxes were assessed by the state,
1637+10 country, or local jurisdiction after the period for which a refund could
1638+11 have been claimed for that listed tax under this section, the period for
1639+12 requesting the refund under this section is extended to one hundred
1640+13 eighty (180) days after payment of the tax to the state, country, or local
1641+14 jurisdiction.
1642+15 (n) If an agreement to extend the assessment time period is entered
1643+16 into under IC 6-8.1-5-2(i), the period during which a person may file
1644+17 a claim for a refund under subsection (a) is extended to the same date
1645+18 to which the assessment time period is extended.
1646+19 SECTION 24. IC 6-8.1-9-2, AS AMENDED BY P.L.159-2021,
1647+20 SECTION 36, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1648+21 JULY 1, 2024]: Sec. 2. (a) If the department finds that a person has
1649+22 paid more tax for a taxable year than is legally due, the department
1650+23 shall apply the amount of the excess against any amount of that same
1651+24 tax that is assessed and is currently due. The department may then
1652+25 apply any remaining excess against any of the listed taxes that have
1653+26 been assessed against the person and that are currently due. Subject to
1654+27 subsection (c), if any excess remains after the department has applied
1655+28 the overpayment against the person's tax liabilities, the department
1656+29 shall either refund the amount to the person or, at the person's request,
1657+30 credit the amount to the person's future tax liabilities.
1658+31 (b) Subject to subsection (c), if a court determines that a person has
1659+32 paid more tax for a taxable year than is legally due, the department
1660+33 shall refund the excess amount to the person.
1661+34 (c) As used in this subsection, "pass through entity" means a
1662+35 corporation that is exempt from the adjusted gross income tax under
1663+36 IC 6-3-2-2.8(2), a partnership, a limited liability company, or a limited
1664+37 liability partnership and "pass through income" means a person's
1665+38 distributive share of adjusted gross income for a taxable year
1666+39 attributable to the person's interest in a pass through entity. This
1667+40 subsection applies to a person's overpayment of adjusted gross income
1668+41 tax for a taxable year if:
1669+42 (1) the person has filed a timely claim for refund with respect to
1670+ES 228—LS 6842/DI 120 39
1671+1 the overpayment under IC 6-8.1-9-1; section 1 of this chapter;
1672+2 (2) the overpayment:
1673+3 (A) is with respect to a taxable year beginning before January
1674+4 1, 2009; and
1675+5 (B) is attributable to amounts paid to the department by:
1676+6 (i) a nonresident shareholder, partner, or member of a pass
1677+7 through entity;
1678+8 (ii) a pass through entity under IC 6-3-4-12 or IC 6-3-4-13
1679+9 on behalf of a nonresident shareholder, partner, or member
1680+10 of the pass through entity; or
1681+11 (iii) a pass through entity under IC 6-3-4-12 or IC 6-3-4-13
1682+12 on behalf of a nonresident shareholder, partner, or member
1683+13 of another pass through entity; and
1684+14 (3) the overpayment arises from a determination by the
1685+15 department or a court that the person's pass through income is not
1686+16 includible in the person's adjusted gross income derived from
1687+17 sources within Indiana as a result of the application of
1688+18 IC 6-3-2-2(a)(5) and IC 6-3-2-2.2(g).
1689+19 The department shall apply the overpayment to the person's liability for
1690+20 taxes that have been assessed and are currently due as provided in
1691+21 subsection (a) and apply any remaining overpayment as a credit or
1692+22 credits in satisfaction of the person's liability for listed taxes in taxable
1693+23 years beginning after December 31, 2008. If the person, including any
1694+24 successor to the person's interest in the overpayment, does not have
1695+25 sufficient liability for listed taxes against which to credit all the
1696+26 remaining overpayment in a taxable year beginning after December 31,
1697+27 2008, and ending before January 1, 2019, the taxpayer is not entitled
1698+28 for any taxable year ending after December 31, 2018, to have any part
1699+29 of the remaining overpayment applied, refunded, or credited to the
1700+30 person's liability for listed taxes. If an overpayment or part of an
1701+31 overpayment is required to be applied as a credit under this subsection
1702+32 to the person's liability for listed taxes for a taxable year beginning after
1703+33 December 31, 2008, and has not been determined by the department or
1704+34 a court to meet the conditions of subdivision (3) by the due date of the
1705+35 person's return for a listed tax for a taxable year beginning after
1706+36 December 31, 2008, the department shall refund to the person that part
1707+37 of the overpayment that should have been applied as a credit for such
1708+38 taxable year within ninety (90) days of the date that the department or
1709+39 a court makes the determination that the overpayment meets the
1710+40 conditions of subdivision (3). However, the department may establish
1711+41 a program to refund small overpayment amounts that do not exceed the
1712+42 threshold dollar value established by the department rather than
1713+ES 228—LS 6842/DI 120 40
1714+1 crediting the amounts against tax liability accruing for a taxable year
1715+2 after December 31, 2008. A person that receives a refund or credit
1716+3 under this subsection shall file a report with the department in the form
1717+4 and in the schedule specified by the department that identifies under
1718+5 penalties of perjury the home state or other jurisdiction where the
1719+6 income subject to the refund or credit was reported as income
1720+7 attributable to that state or jurisdiction.
1721+8 (d) An excess tax payment that is not refunded or credited against
1722+9 a current or future tax liability within ninety (90) days after the date the
1723+10 refund claim is filed, the date the tax payment was due, or the date the
1724+11 tax was paid, whichever is latest, accrues interest from:
1725+12 (1) the date the refund claim is filed, if the refund claim is filed
1726+13 before July 1, 2015; or
1727+14 (2) for a refund claim filed after June 30, 2015, the latest of:
1728+15 (A) the date the tax payment was due;
1729+16 (B) the date the tax was paid;
1730+17 (C) the date the tax return was filed for the period and tax type
1731+18 for which the refund is claimed;
1732+19 (D) in the case of a refund based on payment of a tax by the
1733+20 taxpayer to another state, country, or locality, the date of such
1734+21 payment of tax to the other state, country, or locality; or
1735+22 (E) July 1, 2015;
1736+23 at the rate established under IC 6-8.1-10-1 until a date, determined by
1737+24 the department, that does not precede by more than thirty (30) days, the
1738+25 date on which the refund or credit is made. As used in this subsection,
1739+26 "refund claim" includes a return and an amended return that indicates
1740+27 an overpayment of tax. For purposes of this subsection only, the due
1741+28 date for the payment of the state gross retail or use tax, the oil
1742+29 inspection fee, and the petroleum severance a periodic tax is
1743+30 December 31 January 31 of the calendar year following the calendar
1744+31 year that contains the taxable period for which the payment is remitted.
1745+32 (e) A person who is liable for the payment of excise taxes under
1746+33 IC 7.1-4-3 or IC 7.1-4-4 is entitled to claim a credit against the person's
1747+34 excise tax liability in the amount of the excise taxes paid in duplicate
1748+35 by the person, or the person's assignors or predecessors, upon both:
1749+36 (1) the receipt of the goods subject to the excise taxes, as reported
1750+37 by the person, or the person's assignors or predecessors, on excise
1751+38 tax returns filed with the department; and
1752+39 (2) the withdrawal of the same goods from a storage facility
1753+40 operated under 19 U.S.C. 1555(a).
1754+41 (f) The amount of the credit under subsection (e) is equal to fifty
1755+42 percent (50%) of the amount of excise taxes:
1756+ES 228—LS 6842/DI 120 41
1757+1 (1) that were paid by the person as described in subsection (e)(2);
1758+2 (2) that are duplicative of excise taxes paid by the person as
1759+3 described in subsection (e)(1); and
1760+4 (3) for which the person has not previously claimed a credit.
1761+5 The credit may be claimed by subtracting the amount of the credit from
1762+6 the amount of the person's excise taxes reported on the person's
1763+7 monthly excise tax returns filed under IC 7.1-4-6 with the department
1764+8 for taxes imposed under IC 7.1-4-3 or IC 7.1-4-4. The amount of the
1765+9 credit that may be taken monthly by the person on each monthly excise
1766+10 tax return may not exceed ten percent (10%) of the excise tax liability
1767+11 reported by the person on the monthly excise tax return. The credit may
1768+12 be claimed on not more than thirty-six (36) consecutive monthly excise
1769+13 tax returns beginning with the month in which credit is first claimed.
1770+14 (g) The amount of the credit calculated under subsection (f) must be
1771+15 used for capital expenditures to:
1772+16 (1) expand employment; or
1773+17 (2) assist in retaining employment within Indiana.
1774+18 The department shall annually verify whether the capital expenditures
1775+19 made by the person comply with this subsection.
1776+20 (h) An excess tax payment under section 1(k) of this chapter that is
1777+21 not refunded or credited against a current or future tax liability within
1778+22 ninety (90) days after the date the refund claim is filed, the date the tax
1779+23 payment was due, or the date the tax was paid, whichever is latest,
1780+24 accrues interest from April 1, 2020. For purposes of this subsection, a
1781+25 refund claim filed prior to April 1, 2020, shall be treated as filed on
1782+26 April 1, 2020.
1783+27 SECTION 25. IC 7.1-4-3-2, AS AMENDED BY P.L.109-2013,
1784+28 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1785+29 JANUARY 1, 2025]: Sec. 2. (a) Except as provided in subsections
1786+30 (b) and (c), the liquor excise tax shall be levied against a permittee
1787+31 who holds an artisan distiller's permit, a distiller's permit, a rectifier's
1788+32 permit, a liquor wholesaler's permit, a dining car liquor permit, a
1789+33 vintner's permit, a wine wholesaler's permit, a dining car wine permit,
1790+34 or a boat wine permit, whether the sale or gift, or withdrawal for sale
1791+35 or gift, is to a person authorized to purchase or receive it or not.
1792+36 However, the same article shall be taxed only once for liquor excise tax
1793+37 purposes.
1794+38 (b) In the case of a permittee referenced in subsection (a)
1795+39 receiving liquor from an unpermitted seller outside Indiana, the
1796+40 permittee is liable for the liquor excise tax imposed upon the
1797+41 transaction.
1798+42 (c) In the case of a permittee referenced in subsection (a)
1799+ES 228—LS 6842/DI 120 42
1800+1 receiving, selling, or giving liquor within Indiana from or to
1801+2 another permittee, the permittee who first receives the liquor in
1802+3 Indiana is liable for the liquor excise tax imposed upon the
1803+4 transaction.
1804+5 SECTION 26. IC 7.1-4-4-3, AS AMENDED BY P.L.107-2015,
1805+6 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1806+7 JANUARY 1, 2025]: Sec. 3. (a) Except as provided in subsections
1807+8 (b) and (c), the wine excise tax shall be paid by the holder of a
1808+9 vintner's permit, a farm winery permit, a wine wholesaler's permit, a
1809+10 direct wine seller's permit, a dining car wine permit, or a boat wine
1810+11 permit on the alcoholic beverage to which the tax is applicable and
1811+12 which has been manufactured or imported by the permit holder into
1812+13 this state. However, the same article shall be taxed only once for wine
1813+14 excise tax purposes.
1814+15 (b) In the case of a permittee referenced in subsection (a)
1815+16 receiving wine from an unpermitted seller outside Indiana, the
1816+17 permittee is liable for the wine excise tax imposed upon the
1817+18 transaction.
1818+19 (c) In the case of a permittee referenced in subsection (a)
1819+20 receiving, selling, or giving wine within Indiana from or to another
1820+21 permittee, the permittee who first receives the wine in Indiana is
1821+22 liable for the wine excise tax imposed upon the transaction.
1822+23 SECTION 27. IC 7.1-4-4.5-3, AS AMENDED BY P.L.107-2015,
1823+24 SECTION 13, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1824+25 JANUARY 1, 2025]: Sec. 3. (a) Except as provided in subsections
1825+26 (b) and (c), the hard cider excise tax shall be paid by the holder of a
1826+27 vintner's permit, a farm winery permit, a wine wholesaler's permit, a
1827+28 direct wine seller's permit, a beer wholesaler's permit, a dining car wine
1828+29 permit, or a boat wine permit on the hard cider to which the tax is
1829+30 applicable and that is manufactured or imported by the person into this
1830+31 state. However, an item may only be taxed once for hard cider excise
1831+32 tax purposes.
1832+33 (b) In the case of a permittee referenced in subsection (a)
1833+34 receiving hard cider from an unpermitted seller outside Indiana,
1834+35 the permittee is liable for the hard cider excise tax imposed upon
1835+36 the transaction.
1836+37 (c) In the case of a permittee referenced in subsection (a)
1837+38 receiving, selling, or giving hard cider within Indiana from or to
1838+39 another permittee, the permittee who first receives the hard cider
1839+40 in Indiana is liable for the hard cider excise tax imposed upon the
1840+41 transaction.
1841+42 SECTION 28. IC 8-1-2.8-24 IS AMENDED TO READ AS
1842+ES 228—LS 6842/DI 120 43
1843+1 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 24. If the InTRAC
1844+2 meets the requirements of sections 18 and 21 of this chapter, the
1845+3 InTRAC:
1846+4 (1) for purposes of all taxes imposed by the state or any county or
1847+5 municipality in Indiana is an organization that is organized and
1848+6 operated exclusively for charitable purposes; and
1849+7 (2) qualifies for all exemptions applicable to those organizations,
1850+8 including but not limited to those exemptions set forth in
1851+9 IC 6-2.5-5-21(b)(1)(B) IC 6-2.5-5-25(a)(1)(B) and
1852+10 IC 6-1.1-10-16.
1853+11 SECTION 29. IC 13-20-13-7, AS AMENDED BY P.L.159-2021,
1854+12 SECTION 39, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1855+13 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 7. (a) A fee of
1856+14 twenty-five cents ($0.25) is imposed on the sale of the following:
1857+15 (1) Each new tire that is sold at retail.
1858+16 (2) Each new tire mounted on a new vehicle sold at retail.
1859+17 (b) The person that sells the new tire or vehicle at retail (including
1860+18 a retail merchant that meets one (1) or both of the economic thresholds
1861+19 threshold under IC 6-2.5-2-1(d)) to the ultimate consumer of the tire
1862+20 or vehicle shall collect the fee imposed by this section.
1863+21 (c) A person that collects a fee under subsection (b):
1864+22 (1) shall pay the fees collected under subsection (b):
1865+23 (A) to the department of state revenue; and
1866+24 (B) at the same time and in the same manner that the person
1867+25 pays the state gross retail tax collected by the person to the
1868+26 department of state revenue;
1869+27 (2) shall indicate on the return:
1870+28 (A) prescribed by the department of state revenue; and
1871+29 (B) used for the payment of state gross retail taxes;
1872+30 that the person is also paying fees collected under subsection (b);
1873+31 and
1874+32 (3) is entitled to deduct and retain one percent (1%) of the fees
1875+33 required to be paid to the department of state revenue under this
1876+34 subsection.
1877+35 (d) The department of state revenue shall deposit fees collected
1878+36 under this section in the waste tire management fund established by
1879+37 this chapter.
1880+38 SECTION 30. IC 16-42-5.2-3.5, AS AMENDED BY P.L.45-2020,
1881+39 SECTION 12, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1882+40 JULY 1, 2024]: Sec. 3.5. (a) An organization that is exempt from the
1883+41 state gross retail tax under IC 6-2.5-5-21(b)(1)(B),
1884+42 IC 6-2.5-5-21(b)(1)(C), or IC 6-2.5-5-21(b)(1)(D)
1885+ES 228—LS 6842/DI 120 44
1886+1 IC 6-2.5-5-25(a)(1)(B), IC 6-2.5-5-25(a)(1)(C), or
1887+2 IC 6-2.5-5-25(a)(1)(D) is exempt from complying with the
1888+3 requirements of this chapter.
1889+4 (b) This section does not prohibit an exempted organization from
1890+5 waiving the exemption and using a certified food protection manager.
1891+6 SECTION 31. IC 22-11-14-1, AS AMENDED BY P.L.159-2021,
1892+7 SECTION 40, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1893+8 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 1. As used in this chapter
1894+9 and IC 22-11-14.5:
1895+10 "Auto burglar alarm" means a tube that contains pyrotechnic
1896+11 composition that produces a loud whistle or smoke when ignited. A
1897+12 small quantity of explosive, not exceeding fifty (50) milligrams, may
1898+13 also be used to produce a small report. A squib is used to ignite the
1899+14 device.
1900+15 "Booby trap" means a small tube with string protruding from both
1901+16 ends, similar to a party popper in design. The ends of the string are
1902+17 pulled to ignite the friction sensitive composition, producing a small
1903+18 report.
1904+19 "Chaser" means a device, containing fifty (50) milligrams or less of
1905+20 explosive composition, that consists of a small paper or cardboard tube
1906+21 that travels along the ground upon ignition. A whistling effect is often
1907+22 produced, and a small noise may be produced.
1908+23 "Cigarette load" means a small wooden peg that has been coated
1909+24 with a small quantity of explosive composition. Upon ignition of a
1910+25 cigarette containing one (1) of the pegs, a small report is produced.
1911+26 "Consumer firework" means a small firework that is designed
1912+27 primarily to produce visible effects by combustion, and that is required
1913+28 to comply with the construction, chemical composition, and labeling
1914+29 regulations promulgated by the United States Consumer Product Safety
1915+30 Commission under 16 CFR 1507. The term also includes some small
1916+31 devices designed to produce an audible effect, such as whistling
1917+32 devices, ground devices containing fifty (50) milligrams or less of
1918+33 explosive composition, and aerial devices containing one hundred
1919+34 thirty (130) milligrams or less of explosive composition. Propelling or
1920+35 expelling charges consisting of a mixture of charcoal, sulfur, and
1921+36 potassium nitrate are not considered as designed to produce an audible
1922+37 effect. Consumer fireworks:
1923+38 (1) include:
1924+39 (A) aerial devices, which include sky rockets, missile type
1925+40 rockets, helicopter or aerial spinners, roman candles, mines,
1926+41 and shells;
1927+42 (B) ground audible devices, which include firecrackers,
1928+ES 228—LS 6842/DI 120 45
1929+1 salutes, and chasers; and
1930+2 (C) firework devices containing combinations of the effects
1931+3 described in clauses (A) and (B); and
1932+4 (2) do not include the items referenced in section 8(a) of this
1933+5 chapter.
1934+6 "Cone fountain" means a cardboard or heavy paper cone which
1935+7 contains up to fifty (50) grams of pyrotechnic composition, and which
1936+8 produces the same effect as a cylindrical fountain.
1937+9 "Cylindrical fountain" means a cylindrical tube not exceeding
1938+10 three-quarters (3/4) inch in inside diameter and containing up to
1939+11 seventy-five (75) grams of pyrotechnic composition. Fountains produce
1940+12 a shower of color and sparks upon ignition, and sometimes a whistling
1941+13 effect. Cylindrical fountains may contain a spike to be inserted in the
1942+14 ground (spike fountain), a wooden or plastic base to be placed on the
1943+15 ground (base fountain), or a wooden handle or cardboard handle for
1944+16 items designed to be hand held (handle fountain).
1945+17 "Dipped stick" or "wire sparkler" means a stick or wire coated with
1946+18 pyrotechnic composition that produces a shower of sparks upon
1947+19 ignition. Total pyrotechnic composition does not exceed one hundred
1948+20 (100) grams per item. Those devices containing chlorate or perchlorate
1949+21 salts do not exceed five (5) grams in total composition per item. Wire
1950+22 sparklers that contain no magnesium and that contain less than one
1951+23 hundred (100) grams of composition per item are not included in the
1952+24 category of consumer fireworks.
1953+25 "Distributor" means a person who sells fireworks to wholesalers and
1954+26 retailers for resale.
1955+27 "Explosive composition" means a chemical or mixture of chemicals
1956+28 that produces an audible effect by deflagration or detonation when
1957+29 ignited.
1958+30 "Firecracker" or "salute" is a device that consists of a small paper
1959+31 wrapped or cardboard tube containing not more than fifty (50)
1960+32 milligrams of pyrotechnic composition and that produces, upon
1961+33 ignition, noise, accompanied by a flash of light.
1962+34 "Firework" means any composition or device designed for the
1963+35 purpose of producing a visible or audible effect by combustion,
1964+36 deflagration, or detonation. Fireworks consist of consumer fireworks,
1965+37 items referenced in section 8(a) of this chapter, and special fireworks.
1966+38 The following items are excluded from the definition of fireworks:
1967+39 (1) Model rockets.
1968+40 (2) Toy pistol caps.
1969+41 (3) Emergency signal flares.
1970+42 (4) Matches.
1971+ES 228—LS 6842/DI 120 46
1972+1 (5) Fixed ammunition for firearms.
1973+2 (6) Ammunition components intended for use in firearms, muzzle
1974+3 loading cannons, or small arms.
1975+4 (7) Shells, cartridges, and primers for use in firearms, muzzle
1976+5 loading cannons, or small arms.
1977+6 (8) Indoor pyrotechnics special effects material.
1978+7 (9) M-80s, cherry bombs, silver salutes, and any device banned by
1979+8 the federal government.
1980+9 "Flitter sparkler" means a narrow paper tube filled with pyrotechnic
1981+10 composition that produces color and sparks upon ignition. These
1982+11 devices do not use a fuse for ignition, but rather are ignited by igniting
1983+12 the paper at one (1) end of the tube.
1984+13 "Ground spinner" means a small spinning device that is similar to
1985+14 wheels in design and effect when placed on the ground and ignited, and
1986+15 that produces a shower of sparks and color when spinning.
1987+16 "Helicopter" or "aerial spinner" is a spinning device:
1988+17 (1) that consists of a tube up to one-half (1/2) inch in inside
1989+18 diameter and that contains up to twenty (20) grams of pyrotechnic
1990+19 composition;
1991+20 (2) to which some type of propeller or blade device is attached;
1992+21 and
1993+22 (3) that lifts into the air upon ignition, producing a visible or
1994+23 audible effect at the height of flight.
1995+24 "Illuminating torch" means a cylindrical tube that:
1996+25 (1) contains up to one hundred (100) grams of pyrotechnic
1997+26 composition;
1998+27 (2) produces, upon ignition, a colored fire; and
1999+28 (3) is either a spike, base, or handle type device.
2000+29 "Importer" means:
2001+30 (1) a person who imports fireworks from a foreign country; or
2002+31 (2) a person who brings or causes fireworks to be brought within
2003+32 this state for subsequent sale.
2004+33 "Indoor pyrotechnics special effects material" means a chemical
2005+34 material that is clearly labeled by the manufacturer as suitable for
2006+35 indoor use (as provided in National Fire Protection Association
2007+36 Standard 1126 (2001 edition)).
2008+37 "Interstate wholesaler" means a person who is engaged in interstate
2009+38 commerce selling fireworks.
2010+39 "Manufacturer" means a person engaged in the manufacture of
2011+40 fireworks.
2012+41 "Mine" or "shell" means a device that:
2013+42 (1) consists of a heavy cardboard or paper tube up to two and
2014+ES 228—LS 6842/DI 120 47
2015+1 one-half (2 1/2) inches in inside diameter, to which a wooden or
2016+2 plastic base is attached;
2017+3 (2) contains up to forty (40) grams of pyrotechnic composition;
2018+4 and
2019+5 (3) propels, upon ignition, stars (pellets of pressed pyrotechnic
2020+6 composition that burn with bright color), whistles, parachutes, or
2021+7 combinations thereof, with the tube remaining on the ground.
2022+8 "Missile-type rocket" means a device that is similar to a sky rocket
2023+9 in size, composition, and effect, and that uses fins rather than a stick for
2024+10 guidance and stability.
2025+11 "Municipality" has the meaning set forth in IC 36-1-2-11.
2026+12 "Party popper" means a small plastic or paper item containing not
2027+13 more than sixteen (16) milligrams of explosive composition that is
2028+14 friction sensitive. A string protruding from the device is pulled to ignite
2029+15 it, expelling paper streamers and producing a small report.
2030+16 "Person" means an individual, an association, an organization, a
2031+17 limited liability company, or a corporation.
2032+18 "Pyrotechnic composition" means a mixture of chemicals that
2033+19 produces a visible or audible effect by combustion rather than
2034+20 deflagration or detonation. Pyrotechnic compositions will not explode
2035+21 upon ignition unless severely confined.
2036+22 "Responding fire department" means the paid fire department or
2037+23 volunteer fire department that renders fire protection services to a
2038+24 political subdivision.
2039+25 "Retail sales stand" means a temporary business site or location
2040+26 where goods are to be sold.
2041+27 "Retailer" means a person who purchases fireworks for resale to
2042+28 consumers, including a retail merchant that meets one (1) or both of the
2043+29 economic thresholds threshold under IC 6-2.5-2-1(d).
2044+30 "Roman candle" means a device that consists of a heavy paper or
2045+31 cardboard tube not exceeding three-eighths (3/8) inch in inside
2046+32 diameter and that contains up to twenty (20) grams of pyrotechnic
2047+33 composition. Upon ignition, up to ten (10) stars (pellets of pressed
2048+34 pyrotechnic composition that burn with bright color) are individually
2049+35 expelled at several second intervals.
2050+36 "Sky rocket" means a device that:
2051+37 (1) consists of a tube that contains pyrotechnic composition;
2052+38 (2) contains a stick for guidance and stability; and
2053+39 (3) rises into the air upon ignition, producing a burst of color or
2054+40 noise at the height of flight.
2055+41 "Smoke device" means a tube or sphere containing pyrotechnic
2056+42 composition that produces white or colored smoke upon ignition as the
2057+ES 228—LS 6842/DI 120 48
2058+1 primary effect.
2059+2 "Snake" or "glow worm" means a pressed pellet of pyrotechnic
2060+3 composition that produces a large, snake-like ash upon burning. The
2061+4 ash expands in length as the pellet burns. These devices do not contain
2062+5 mercuric thiocyanate.
2063+6 "Snapper" means a small, paper wrapped item containing a minute
2064+7 quantity of explosive composition coated on small bits of sand. When
2065+8 dropped, the device explodes, producing a small report.
2066+9 "Special discharge location" means a location designated for the
2067+10 discharge of consumer fireworks by individuals in accordance with
2068+11 rules adopted under section 3.5 of this chapter.
2069+12 "Special fireworks" means fireworks designed primarily to produce
2070+13 visible or audible effects by combustion, deflagration, or detonation,
2071+14 including firecrackers containing more than one hundred thirty (130)
2072+15 milligrams of explosive composition, aerial shells containing more than
2073+16 forty (40) grams of pyrotechnic composition, and other exhibition
2074+17 display items that exceed the limits for classification as consumer
2075+18 fireworks.
2076+19 "Trick match" means a kitchen or book match that has been coated
2077+20 with a small quantity of explosive or pyrotechnic composition. Upon
2078+21 ignition of the match, a small report or a shower of sparks is produced.
2079+22 "Trick noisemaker" means an item that produces a small report
2080+23 intended to surprise the user.
2081+24 "Wheel" means a pyrotechnic device that:
2082+25 (1) is attached to a post or tree by means of a nail or string;
2083+26 (2) contains up to six (6) driver units (tubes not exceeding
2084+27 one-half (1/2) inch in inside diameter) containing up to sixty (60)
2085+28 grams of composition per driver unit; and
2086+29 (3) revolves, upon ignition, producing a shower of color and
2087+30 sparks and sometimes a whistling effect.
2088+31 "Wholesaler" means a person who purchases fireworks for resale to
2089+32 retailers.
2090+33 SECTION 32. IC 24-5-0.5-4, AS AMENDED BY P.L.11-2023,
2091+34 SECTION 78, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2092+35 JANUARY 1, 2025]: Sec. 4. (a) A person relying upon an uncured or
2093+36 incurable deceptive act may bring an action for the damages actually
2094+37 suffered as a consumer as a result of the deceptive act or five hundred
2095+38 dollars ($500), whichever is greater. The court may increase damages
2096+39 for a willful deceptive act in an amount that does not exceed the greater
2097+40 of:
2098+41 (1) three (3) times the actual damages of the consumer suffering
2099+42 the loss; or
2100+ES 228—LS 6842/DI 120 49
2101+1 (2) one thousand dollars ($1,000).
2102+2 Except as provided in subsection (k), the court may award reasonable
2103+3 attorney's fees to the party that prevails in an action under this
2104+4 subsection. This subsection does not apply to a consumer transaction
2105+5 in real property, including a claim or action involving a construction
2106+6 defect (as defined in IC 32-27-3-1(5)) brought against a construction
2107+7 professional (as defined in IC 32-27-3-1(4)), except for purchases of
2108+8 time shares and camping club memberships. This subsection does not
2109+9 apply with respect to a deceptive act described in section 3(b)(20) of
2110+10 this chapter. This subsection also does not apply to a violation of
2111+11 IC 24-4.7, IC 24-5-12, IC 24-5-14, or IC 24-5-14.5. Actual damages
2112+12 awarded to a person under this section have priority over any civil
2113+13 penalty imposed under this chapter.
2114+14 (b) Any person who is entitled to bring an action under subsection
2115+15 (a) on the person's own behalf against a supplier for damages for a
2116+16 deceptive act may bring a class action against such supplier on behalf
2117+17 of any class of persons of which that person is a member and which has
2118+18 been damaged by such deceptive act, subject to and under the Indiana
2119+19 Rules of Trial Procedure governing class actions, except as herein
2120+20 expressly provided. Except as provided in subsection (k), the court may
2121+21 award reasonable attorney's fees to the party that prevails in a class
2122+22 action under this subsection, provided that such fee shall be determined
2123+23 by the amount of time reasonably expended by the attorney and not by
2124+24 the amount of the judgment, although the contingency of the fee may
2125+25 be considered. Except in the case of an extension of time granted by the
2126+26 attorney general under IC 24-10-2-2(b) in an action subject to IC 24-10,
2127+27 any money or other property recovered in a class action under this
2128+28 subsection which cannot, with due diligence, be restored to consumers
2129+29 within one (1) year after the judgment becomes final shall be returned
2130+30 to the party depositing the same. This subsection does not apply to a
2131+31 consumer transaction in real property, except for purchases of time
2132+32 shares and camping club memberships. This subsection does not apply
2133+33 with respect to a deceptive act described in section 3(b)(20) of this
2134+34 chapter. Actual damages awarded to a class have priority over any civil
2135+35 penalty imposed under this chapter.
2136+36 (c) The attorney general may bring an action to enjoin a deceptive
2137+37 act, including a deceptive act described in section 3(b)(20) of this
2138+38 chapter, notwithstanding subsections (a) and (b). However, the attorney
2139+39 general may seek to enjoin patterns of incurable deceptive acts with
2140+40 respect to consumer transactions in real property. In addition, the court
2141+41 may:
2142+42 (1) issue an injunction;
2143+ES 228—LS 6842/DI 120 50
2144+1 (2) order the supplier to make payment of the money unlawfully
2145+2 received from the aggrieved consumers to be held in escrow for
2146+3 distribution to aggrieved consumers;
2147+4 (3) for a knowing violation against a senior consumer, increase
2148+5 the amount of restitution ordered under subdivision (2) in any
2149+6 amount up to three (3) times the amount of damages incurred or
2150+7 value of property or assets lost;
2151+8 (4) order the supplier to pay to the state the reasonable costs of
2152+9 the attorney general's investigation and prosecution related to the
2153+10 action;
2154+11 (5) provide for the appointment of a receiver; and
2155+12 (6) order the department of state revenue to suspend the supplier's
2156+13 registered retail merchant certificate, subject to the requirements
2157+14 and prohibitions contained in IC 6-2.5-8-7(i), IC 6-2.5-8-7(a)(5),
2158+15 if the court finds that a violation of this chapter involved the sale
2159+16 or solicited sale of a synthetic drug (as defined in
2160+17 IC 35-31.5-2-321), a synthetic drug lookalike substance (as
2161+18 defined in IC 35-31.5-2-321.5 (repealed)) (before July 1, 2019),
2162+19 a controlled substance analog (as defined in IC 35-48-1-9.3), or
2163+20 a substance represented to be a controlled substance (as described
2164+21 in IC 35-48-4-4.6).
2165+22 (d) In an action under subsection (a), (b), or (c), the court may void
2166+23 or limit the application of contracts or clauses resulting from deceptive
2167+24 acts and order restitution to be paid to aggrieved consumers.
2168+25 (e) In any action under subsection (a) or (b), upon the filing of the
2169+26 complaint or on the appearance of any defendant, claimant, or any
2170+27 other party, or at any later time, the trial court, the supreme court, or the
2171+28 court of appeals may require the plaintiff, defendant, claimant, or any
2172+29 other party or parties to give security, or additional security, in such
2173+30 sum as the court shall direct to pay all costs, expenses, and
2174+31 disbursements that shall be awarded against that party or which that
2175+32 party may be directed to pay by any interlocutory order by the final
2176+33 judgment or on appeal.
2177+34 (f) Any person who violates the terms of an injunction issued under
2178+35 subsection (c) shall forfeit and pay to the state a civil penalty of not
2179+36 more than fifteen thousand dollars ($15,000) per violation. For the
2180+37 purposes of this section, the court issuing an injunction shall retain
2181+38 jurisdiction, the cause shall be continued, and the attorney general
2182+39 acting in the name of the state may petition for recovery of civil
2183+40 penalties. Whenever the court determines that an injunction issued
2184+41 under subsection (c) has been violated, the court shall award
2185+42 reasonable costs to the state.
2186+ES 228—LS 6842/DI 120 51
2187+1 (g) If a court finds any person has knowingly violated section 3 or
2188+2 10 of this chapter, other than section 3(b)(19), 3(b)(20), or 3(b)(40) of
2189+3 this chapter, the attorney general, in an action pursuant to subsection
2190+4 (c), may recover from the person on behalf of the state a civil penalty
2191+5 of a fine not exceeding five thousand dollars ($5,000) per violation.
2192+6 (h) If a court finds that a person has violated section 3(b)(19) of this
2193+7 chapter, the attorney general, in an action under subsection (c), may
2194+8 recover from the person on behalf of the state a civil penalty as follows:
2195+9 (1) For a knowing or intentional violation, one thousand five
2196+10 hundred dollars ($1,500).
2197+11 (2) For a violation other than a knowing or intentional violation,
2198+12 five hundred dollars ($500).
2199+13 A civil penalty recovered under this subsection shall be deposited in
2200+14 the consumer protection division telephone solicitation fund
2201+15 established by IC 24-4.7-3-6 to be used for the administration and
2202+16 enforcement of section 3(b)(19) of this chapter.
2203+17 (i) A senior consumer relying upon an uncured or incurable
2204+18 deceptive act, including an act related to hypnotism, may bring an
2205+19 action to recover treble damages, if appropriate.
2206+20 (j) An offer to cure is:
2207+21 (1) not admissible as evidence in a proceeding initiated under this
2208+22 section unless the offer to cure is delivered by a supplier to the
2209+23 consumer or a representative of the consumer before the supplier
2210+24 files the supplier's initial response to a complaint; and
2211+25 (2) only admissible as evidence in a proceeding initiated under
2212+26 this section to prove that a supplier is not liable for attorney's fees
2213+27 under subsection (k).
2214+28 If the offer to cure is timely delivered by the supplier, the supplier may
2215+29 submit the offer to cure as evidence to prove in the proceeding in
2216+30 accordance with the Indiana Rules of Trial Procedure that the supplier
2217+31 made an offer to cure.
2218+32 (k) A supplier may not be held liable for the attorney's fees and
2219+33 court costs of the consumer that are incurred following the timely
2220+34 delivery of an offer to cure as described in subsection (j) unless the
2221+35 actual damages awarded, not including attorney's fees and costs, exceed
2222+36 the value of the offer to cure.
2223+37 (l) If a court finds that a person has knowingly violated section
2224+38 3(b)(20) of this chapter, the attorney general, in an action under
2225+39 subsection (c), may recover from the person on behalf of the state a
2226+40 civil penalty not exceeding one thousand dollars ($1,000) per
2227+41 consumer. In determining the amount of the civil penalty in any action
2228+42 by the attorney general under this subsection, the court shall consider,
2229+ES 228—LS 6842/DI 120 52
2230+1 among other relevant factors, the frequency and persistence of
2231+2 noncompliance by the debt collector, the nature of the noncompliance,
2232+3 and the extent to which the noncompliance was intentional. A person
2233+4 may not be held liable in any action by the attorney general for a
2234+5 violation of section 3(b)(20) of this chapter if the person shows by a
2235+6 preponderance of evidence that the violation was not intentional and
2236+7 resulted from a bona fide error, notwithstanding the maintenance of
2237+8 procedures reasonably adapted to avoid the error. A person may not be
2238+9 held liable in any action for a violation of this chapter for contacting a
2239+10 person other than the debtor, if the contact is made in compliance with
2240+11 the Fair Debt Collection Practices Act.
2241+12 (m) If a court finds that a person has knowingly or intentionally
2242+13 violated section 3(b)(40) of this chapter, the attorney general, in an
2243+14 action under subsection (c), may recover from the person on behalf of
2244+15 the state a civil penalty in accordance with IC 24-5-14.5-12(b). As
2245+16 specified in IC 24-5-14.5-12(b), a civil penalty recovered under
2246+17 IC 24-5-14.5-12(b) shall be deposited in the consumer protection
2247+18 division telephone solicitation fund established by IC 24-4.7-3-6 to be
2248+19 used for the administration and enforcement of IC 24-5-14.5. In
2249+20 addition to the recovery of a civil penalty in accordance with
2250+21 IC 24-5-14.5-12(b), the attorney general may also recover reasonable
2251+22 attorney fees and court costs from the person on behalf of the state.
2252+23 Those funds shall also be deposited in the consumer protection division
2253+24 telephone solicitation fund established by IC 24-4.7-3-6.
2254+25 SECTION 33. IC 33-37-5-15, AS AMENDED BY P.L.106-2022,
2255+26 SECTION 7, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2256+27 JANUARY 1, 2025]: Sec. 15. (a) This section also applies to a clerk of
2257+28 a township small claims court described in IC 33-34 for service of
2258+29 process fees collected under IC 33-34-8-1.
2259+30 (b) The clerk of the county that maintains jurisdiction over the case
2260+31 shall collect a service of process fee of twenty-eight dollars ($28) from
2261+32 a party requesting service of a writ, an order, a process, a notice, a tax
2262+33 warrant, or any other paper completed by the sheriff. A service of
2263+34 process fee collected under this subsection may be collected only one
2264+35 (1) time per case for the duration of the case. However, a clerk of the
2265+36 county that maintains jurisdiction over the case shall collect an
2266+37 additional service of process fee of twenty-eight dollars ($28) only one
2267+38 (1) time per case for the entire duration of any postjudgment service.
2268+39 services provided.
2269+40 (c) The clerk shall collect from the person who filed the civil action
2270+41 a service of process fee of sixty dollars ($60), in addition to any other
2271+42 fee for service of process, if:
2272+ES 228—LS 6842/DI 120 53
2273+1 (1) a person files a civil action outside Indiana; and
2274+2 (2) a sheriff in Indiana is requested to perform a service of
2275+3 process associated with the civil action in Indiana.
2276+4 (d) A clerk shall transfer fees collected under this section to the
2277+5 county auditor.
2278+6 (e) The county auditor shall deposit fees collected under this section
2279+7 as follows:
2280+8 (1) One dollar ($1) from each service of process fee described in
2281+9 subsection (b) into the clerk's record perpetuation fund
2282+10 established by the clerk under section 2 of this chapter.
2283+11 (2) Twenty-seven dollars ($27) from each service of process fee
2284+12 described in subsection (b) into either:
2285+13 (A) the pension trust established by the county under
2286+14 IC 36-8-10-12; or
2287+15 (B) if the county has not established a pension trust under
2288+16 IC 36-8-10-12, the county general fund.
2289+17 SECTION 34. IC 34-6-2-20 IS AMENDED TO READ AS
2290+18 FOLLOWS [EFFECTIVE JULY 1, 2024]: Sec. 20. "Charitable entity",
2291+19 for purposes of IC 34-30-5, means any entity exempted from state gross
2292+20 retail tax under IC 6-2.5-5-21(b)(1)(B). IC 6-2.5-5-25(a)(1)(B).
2293+21 SECTION 35. IC 36-8-16.6-10, AS AMENDED BY P.L.159-2021,
2294+22 SECTION 42, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
2295+23 JANUARY 1, 2024 (RETROACTIVE)]: Sec. 10. As used in this
2296+24 chapter, "seller" means a person that sells prepaid wireless
2297+25 telecommunications service to another person, including a retail
2298+26 merchant that meets one (1) or both of the economic thresholds
2299+27 threshold under IC 6-2.5-2-1(d).
2300+28 SECTION 36. [EFFECTIVE JULY 1, 2024] (a) IC 6-8.1-1-4.5, as
2301+29 added by this act, and IC 6-8.1-5-2 and IC 6-8.1-9-1, both as
2302+30 amended by this act, apply only in determining statute of
2303+31 limitations dates that expire after June 30, 2024.
2304+32 (b) This SECTION expires July 1, 2027.
2305+33 SECTION 37. [EFFECTIVE JULY 1, 2024] (a) IC 6-8.1-9-2, as
2306+34 amended by this act, applies only to refund claims filed after June
2307+35 30, 2024.
2308+36 (b) This SECTION expires July 1, 2027.
2309+37 SECTION 38. An emergency is declared for this act.
2310+ES 228—LS 6842/DI 120 54
2311+COMMITTEE REPORT
2312+Madam President: The Senate Committee on Tax and Fiscal Policy,
2313+to which was referred Senate Bill No. 228, has had the same under
2314+consideration and begs leave to report the same back to the Senate with
2315+the recommendation that said bill DO PASS.
2316+ (Reference is to SB 228 as introduced.)
2317+
2318+HOLDMAN, Chairperson
2319+Committee Vote: Yeas 14, Nays 0
2320+_____
2321+COMMITTEE REPORT
2322+Mr. Speaker: Your Committee on Ways and Means, to which was
2323+referred Senate Bill 228, has had the same under consideration and
2324+begs leave to report the same back to the House with the
2325+recommendation that said bill do pass.
2326+(Reference is to SB 228 as printed January 31, 2024.)
2327+THOMPSON
2328+Committee Vote: Yeas 20, Nays 0
2329+ES 228—LS 6842/DI 120