2016 Indiana Legislative Update

indiana legislative update

2016 Edition
 

In This Issue:

Welcome Message
2016 was not a budget year for the Indiana General Assembly, which means a lot of the blood sport that we’ve come to know and love in a legislative session was largely absent. This recently concluded session did occur in a general election year, however, which means that every bill introduced or passed is looked at through the filter of an upcoming primary and general vote. As a result, we find it just as interesting to dissect what legislators didn’t do as what they did do. By Tim C. Cook, JD

Sales and Use Tax
Ind. Code § 6-2.5-1-14.7 (addition), effective Jan. 1, 2010 (retroactive)  and enacted by Senate Bill 309 § 14, provides that “construction material” means any tangible personal property to be converted into real property. By Donna L. Niesen, CPA, and April Meade, JD

Income Tax
Ind. Code § 6-3-1-3.5 (amendment); Non-Code Section (addition), effective Jan. 1, 2017, enacted by Senate Bill 309 §§ 23, 43, provides that for taxable years beginning after Dec. 31, 2017, a taxpayer may claim the 1,500 dollar additional dependent deduction under IRC § 151(c) for a dependent individual for whom the taxpayer is the legal guardian. By Donna L. Niesen, CPA, and Amy Zimmer

Economic Development and Tax Credits
Ind. Code § 4-4-37-1.3 (addition), effective July 1, 2016, enacted by House Bill 1215 § 1, provides that “division” refers to the division of historic preservation and archeology of the department of natural resources established under IC 14-9-4-1. By Tim C. Cook, JD, and Katie Culp 

Property Tax
Ind. Code § 6-1.1-1-4.5 (addition), effective Jan. 1, 2017, enacted by Senate Bill 87 § 1, provides that a “county property tax assessment board of appeals” means: (1) a multiple county property tax assessment board of appeals established under IC 6-1.1-28-0.1; or (2) a county property tax assessment board of appeals established under IC 6-1.1-28-1, except as otherwise provided. By Chad Miller 

Other Taxes
Ind. Code § 6-7-1-2 (amendment), effective July 1, 2016, enacted by Senate Bill 381 § 1, removes cigarette papers, wrappers and tubes from the definition of “cigarettes.” By Tim C. Cook, JD

Local Taxation
Ind. Code § 5-10-13-4, § 5-10-15-7 (amendment), effective Jan. 1, 2017, enacted by House Bill 1081 §§ 2, 3, provides that as used in this chapter, “political subdivision” means a county, township, town, city, separate municipal corporation, special taxing district or public school corporation.  By Donna L. Niesen, CPA, and Amy Zimmer

Tax Administration
Ind. Code § 6-8.1-10-2.1 (amendment), effective July 1, 2016, by Senate Bill 309 § 30, makes a technical correction to reference IC 6-3-4-12(k) instead of IC 6-3-4-12(j). By Donna L. Niesen, CPA

 

Katz, Sapper & Miller’s 2016 Indiana Legislative Update summarizes the tax and economic development legislative changes that occurred in the Indiana General Assembly.