*SB0443.2*
Reprinted
February 12, 2025
SENATE BILL No. 443
_____
DIGEST OF SB 443 (Updated February 11, 2025 3:00 pm - DI 129)
Citations Affected: IC 6-1.1; noncode.
Synopsis: Business personal property tax. Increases the acquisition
cost threshold for the business personal property tax exemption from
$80,000 to $100,000.
Effective: January 1, 2025 (retroactive).
Freeman, Garten, Tomes, Gaskill
January 13, 2025, read first time and referred to Committee on Tax and Fiscal Policy.
January 28, 2025, reported favorably — Do Pass.
February 11, 2025, read second time, amended, ordered engrossed.
SB 443—LS 7450/DI 120 Reprinted
February 12, 2025
First Regular Session of the 124th General Assembly (2025)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2024 Regular Session of the General Assembly.
SENATE BILL No. 443
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 6-1.1-3-7.2, AS AMENDED BY P.L.137-2022,
2 SECTION 11, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JANUARY 1, 2025 (RETROACTIVE)]: Sec. 7.2. (a) This section
4 applies to assessment dates occurring after December 31, 2015.
5 (b) As used in this section, "affiliate" means an entity that
6 effectively controls or is controlled by a taxpayer or is associated with
7 a taxpayer under common ownership or control, whether by
8 shareholdings or other means.
9 (c) As used in this section, "business personal property" means
10 personal property that:
11 (1) is otherwise subject to assessment and taxation under this
12 article;
13 (2) is used in a trade or business or otherwise held, used, or
14 consumed in connection with the production of income; and
15 (3) was:
16 (A) acquired by the taxpayer in an arms length transaction
17 from an entity that is not an affiliate of the taxpayer, if the
SB 443—LS 7450/DI 120 2
1 personal property has been previously used in Indiana before
2 being placed in service in the county; or
3 (B) acquired in any manner, if the personal property has never
4 been previously used in Indiana before being placed in service
5 in the county.
6 The term does not include mobile homes assessed under IC 6-1.1-7,
7 personal property held as an investment, or personal property that is
8 assessed under IC 6-1.1-8 and is owned by a public utility subject to
9 regulation by the Indiana utility regulatory commission. However, the
10 term does include the personal property of a telephone company or a
11 communications service provider if that personal property meets the
12 requirements of subdivisions (1) through (3), regardless of whether that
13 personal property is assessed under IC 6-1.1-8 and regardless of
14 whether the telephone company or communications service provider is
15 subject to regulation by the Indiana utility regulatory commission.
16 (d) Notwithstanding section 7 of this chapter, if the acquisition cost
17 of a taxpayer's total business personal property in a county is less than
18 eighty thousand dollars ($80,000) one hundred thousand dollars
19 ($100,000) for that assessment date, the taxpayer's business personal
20 property in the county for that assessment date is exempt from taxation.
21 (e) Subject to subsection (f), a taxpayer that is eligible for the
22 exemption under this section for an assessment date shall include the
23 following information on the taxpayer's personal property tax return:
24 (1) A declaration that the taxpayer's business personal property in
25 the county is exempt from property taxation.
26 (2) Whether the taxpayer's business personal property within the
27 county is in one (1) location or multiple locations.
28 (3) An address for the location of the property.
29 If the business personal property is in multiple locations within a
30 county, the taxpayer shall provide an address for the location where the
31 sum of acquisition costs for business personal property is greatest. If
32 two (2) or more addresses contain the greatest equivalent sum of
33 acquisition costs for business personal property within a given county,
34 the taxpayer shall choose only one (1) address to list on the return.
35 (f) Beginning after December 31, 2022, a taxpayer that has included
36 the information required under subsection (e) on the taxpayer's
37 personal property tax return to claim the exemption under this section
38 is not required to file a personal property return for the taxpayer's
39 business personal property for an assessment date that occurs after the
40 assessment date for which the information is first provided under
41 subsection (e), unless or until the taxpayer no longer qualifies for the
42 exemption under subsection (d) for a subsequent assessment date.
SB 443—LS 7450/DI 120 3
1 SECTION 2. [EFFECTIVE JANUARY 1, 2025 (RETROACTIVE)]
2 (a) IC 6-1.1-3-7.2, as amended by this act, applies to assessment
3 dates occurring after December 31, 2024.
4 (b) This SECTION expires January 1, 2027.
5 SECTION 3. An emergency is declared for this act.
SB 443—LS 7450/DI 120 4
COMMITTEE REPORT
Mr. President: The Senate Committee on Tax and Fiscal Policy, to
which was referred Senate Bill No. 443, has had the same under
consideration and begs leave to report the same back to the Senate with
the recommendation that said bill DO PASS.
(Reference is to SB 443 as introduced.)
HOLDMAN, Chairperson
Committee Vote: Yeas 8, Nays 2
_____
SENATE MOTION
Mr. President: I move that Senate Bill 443 be amended to read as
follows:
Page 2, line 18, delete "one hundred sixty thousand".
Page 2, line 19, delete "dollars ($160,000)" and insert "one hundred
thousand dollars ($100,000)".
Page 3, delete lines 2 through 42.
Delete pages 4 through 16.
Page 17, delete lines 1 through 35.
Page 17, delete lines 40 through 42.
Page 18, delete lines 1 through 12.
Renumber all SECTIONS consecutively.
(Reference is to SB 443 as printed January 29, 2025.)
FREEMAN
SB 443—LS 7450/DI 120