Indiana 2024 Regular Session

Indiana Senate Bill SJR0017 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	SJ9617
2	2	Introduced Version
3	3	SENATE JOINT
4	4	RESOLUTION No. _____
5	5	_____
6	6	DIGEST OF INTRODUCED RESOL UTION
7	7
8	8	Citations Affected: Article 10, Section 1 of the Constitution of the
9	9	State of Indiana.
10	10	Synopsis: Exemption from tax liability. Eliminates any property tax
11	11	liability remaining after the application of all deductions, credits, or
12	12	abatements provided under any law: (1) on real property that is the
13	13	principal homestead residence of an individual who is at least 65 years
14	14	of age; and (2) on business personal property. Requires the general
15	15	assembly to replace the lost revenue to local taxing units. Eliminates an
16	16	obsolete provision. This proposed amendment has not been previously
17	17	agreed to by a general assembly.
18	18	Effective: This proposed amendment must be agreed to by two
19	19	consecutive general assemblies and ratified by a majority of the state's
20	20	voters voting on the question to be effective.
21	21	Young M
22	22	_______________________, read first time and referred to Committee on
23	23	20241326
24	24	2024 SJ 9617/DI 51 Introduced
25	25	Second Regular Session of the 123rd General Assembly (2024)
26	26	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
27	27	Constitution) is being amended, the text of the existing provision will appear in this style type,
28	28	additions will appear in this style type, and deletions will appear in this style type.
29	29	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
30	30	provision adopted), the text of the new provision will appear in this style type. Also, the word
31	31	NEW will appear in that style type in the introductory clause of each SECTION that adds a
32	32	new provision to the Indiana Code or the Indiana Constitution.
33	33	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
34	34	between statutes enacted by the 2023 Regular Session of the General Assembly.
35	35	SENATE JOINT
36	36	RESOLUTION
37	37	A JOINT RESOLUTION proposing an amendment to Article 10,
38	38	Section 1 of the Constitution of the State of Indiana concerning
39	39	taxation.
40	40	Be it resolved by the General Assembly of the State of Indiana:
41	41	1 SECTION 1. The following amendments to the Constitution of the
42	42	2 State of Indiana are proposed and agreed to by this, the One Hundred
43	43	3 Twenty-Third General Assembly of the State of Indiana, and are
44	44	4 referred to the next General Assembly for reconsideration and
45	45	5 agreement.
46	46	6 SECTION 2. ARTICLE 10, SECTION 1 OF THE CONSTITUTION
47	47	7 OF THE STATE OF INDIANA IS AMENDED TO READ AS
48	48	8 FOLLOWS: Section 1. (a) Subject to this section, the General
49	49	9 Assembly shall provide, by law, for a uniform and equal rate of
50	50	10 property assessment and taxation and shall prescribe regulations to
51	51	11 secure a just valuation for taxation of all property, both real and
52	52	12 personal.
53	53	2024 SJ 9617/DI 51 2
54	54	1 (b) A provision of this section permitting the General Assembly to
55	55	2 exempt property from taxation also permits the General Assembly to
56	56	3 exercise its legislative power to enact property tax deductions and
57	57	4 credits for the property. The General Assembly may impose reasonable
58	58	5 filing requirements for an exemption, a deduction, or a credit, or other
59	59	6 elimination of property tax liability.
60	60	7 (c) The General Assembly may exempt from property taxation any
61	61	8 property in any of the following classes:
62	62	9 (1) Property being used for municipal, educational, literary,
63	63	10 scientific, religious, or charitable purposes.
64	64	11 (2) Tangible personal property other than property being held as
65	65	12 an investment.
66	66	13 (3) Intangible personal property.
67	67	14 (4) Tangible property, including curtilage, a house, or garage,
68	68	15 used as a principal place of residence by an:
69	69	16 (A) owner of the property;
70	70	17 (B) individual who is buying the tangible property under a
71	71	18 contract; or
72	72	19 (C) individual who has a beneficial interest in the owner of the
73	73	20 tangible property.
74	74	21 (d) The General Assembly may exempt any motor vehicles, mobile
75	75	22 homes (not otherwise exempt under this section), airplanes, boats,
76	76	23 trailers, or similar property, provided that an excise tax in lieu of the
77	77	24 property tax is substituted therefor.
78	78	25 (e) This subsection applies to property taxes first due and payable
79	79	26 in 2012 and thereafter. The following definitions apply to subsection
80	80	27 (f): throughout this section:
81	81	28 (1) "Business personal property" means personal property
82	82	29 that is used in a trade or business or otherwise held, used, or
83	83	30 otherwise held, used, or consumed in connection with the
84	84	31 production of income. The term does not include property
85	85	32 held for investment.
86	86	33 (1) (2) "Other residential property" means tangible property (other
87	87	34 than tangible property described in subsection (c)(4)) that is used
88	88	35 for residential purposes.
89	89	36 (2) (3) "Agricultural land" means land devoted to agricultural use.
90	90	37 (3) (4) "Other real property" means real property that is not
91	91	38 tangible property described in subsection (c)(4), is not other
92	92	39 residential property, and is not agricultural land.
93	93	40 (5) "Qualified homestead" means real property, including
94	94	41 curtilage, a house, or garage, used as a principal place of
95	95	42 residence by an:
96	96	2024 SJ 9617/DI 51 3
97	97	1 (A) owner of the property who is at least sixty-five (65)
98	98	2 years of age;
99	99	3 (B) individual who is at least sixty-five (65) years of age
100	100	4 and is buying the property under a contract; or
101	101	5 (C) individual who is at least sixty-five (65) years of age
102	102	6 and has a beneficial interest in the owner of the property.
103	103	7 (f) This subsection applies to property taxes first due and payable in
104	104	8 2012 and thereafter. The General Assembly shall, by law, limit a
105	105	9 taxpayer's property tax liability follows:
106	106	10 (1) A taxpayer's property tax liability on tangible property
107	107	11 described in subsection (c)(4) may not exceed one percent (1%)
108	108	12 of the gross assessed value of the property that is the basis for the
109	109	13 determination of property taxes.
110	110	14 (2) A taxpayer's property tax liability on other residential property
111	111	15 may not exceed two percent (2%) of the gross assessed value of
112	112	16 the property that is the basis for the determination of property
113	113	17 taxes.
114	114	18 (3) A taxpayer's property tax liability on agricultural land may not
115	115	19 exceed two percent (2%) of the gross assessed value of the land
116	116	20 that is the basis for the determination of property taxes.
117	117	21 (4) A taxpayer's property tax liability on other real property may
118	118	22 not exceed three percent (3%) of the gross assessed value of the
119	119	23 property that is the basis for the determination of property taxes.
120	120	24 (5) A taxpayer's property tax liability on personal property (other
121	121	25 than personal property that is tangible property described in
122	122	26 subsection (c)(4) or personal property that is other residential
123	123	27 property) within a particular taxing district may not exceed three
124	124	28 percent (3%) of the gross assessed value of the taxpayer's
125	125	29 personal property that is the basis for the determination of
126	126	30 property taxes within the taxing district.
127	127	31 (g) This subsection applies to property taxes first due and payable
128	128	32 in 2012 and thereafter. Property taxes imposed after being approved by
129	129	33 the voters in a referendum shall not be considered for purposes of
130	130	34 calculating the limits to property tax liability under subsection (f).
131	131	35 (h) As used in this subsection, "eligible county" means only a
132	132	36 county for which the General Assembly determines in 2008 that limits
133	133	37 to property tax liability as described in subsection (f) are expected to
134	134	38 reduce in 2010 the aggregate property tax revenue that would otherwise
135	135	39 be collected by all units of local government and school corporations
136	136	40 in the county by at least twenty percent (20%). The General Assembly
137	137	41 may, by law, provide that property taxes imposed in an eligible county
138	138	42 to pay debt service or make lease payments for bonds or leases issued
139	139	2024 SJ 9617/DI 51 4
140	140	1 or entered into before July 1, 2008, shall not be considered for purposes
141	141	2 of calculating the limits to property tax liability under subsection (f).
142	142	3 Such a law may not apply after December 31, 2019.
143	143	4 (h) The part of the property tax liability on a qualified
144	144	5 homestead that remains after taking into account all deductions,
145	145	6 credits, or abatements provided under any law is eliminated. A
146	146	7 deduction, credit, abatement, or allocation of revenue that reduces
147	147	8 the property tax liability on a qualified homestead may not be
148	148	9 changed after December 31, 2023. A deduction, credit, or allocation
149	149	10 of revenue that reduces the property tax liability on a qualified
150	150	11 homestead using a local revenue source may not be changed after
151	151	12 December 31, 2023. The General Assembly shall provide by law for
152	152	13 the distribution of a property tax replacement amount to each unit
153	153	14 imposing a property tax to replace the lost revenue resulting from
154	154	15 the application of this subsection.
155	155	16 (i) The part of the property tax liability on business personal
156	156	17 property that remains after taking into account all deductions,
157	157	18 credits, or abatements provided under any law is eliminated. A
158	158	19 deduction, credit, abatement, or allocation of revenue that reduces
159	159	20 the property tax liability on business personal property may not be
160	160	21 changed after December 31, 2023. A deduction, credit, or allocation
161	161	22 of revenue that reduces the property tax liability on business
162	162	23 personal property using a local revenue source may not be changed
163	163	24 after December 31, 2023. The General Assembly shall provide by
164	164	25 law for the distribution of a property tax replacement amount to
165	165	26 each unit imposing a property tax to replace the lost revenue
166	166	27 resulting from the application of this subsection.
167	167	28 SECTION 3. [EFFECTIVE JANUARY 1, 2025] (a) These
168	168	29 amendments in this Senate Joint Resolution to Article 10, Section
169	169	30 1 of the Constitution of the State of Indiana first apply to the
170	170	31 assessment date that occurs in the year that immediately follows
171	171	32 the date that the proposed amendments are ratified by a majority
172	172	33 of the state's voters voting on the question.
173	173	34 (b) If the voters ratify the amendments to the Constitution of the
174	174	35 State of Indiana proposed by this joint resolution, this SECTION
175	175	36 3 does not become a part of the Constitution of the State of
176	176	37 Indiana.
177	177	2024 SJ 9617/DI 51