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House Bill 1244


House Bill 1244

ARCHIVE (2011)

Latest Information

 

DIGEST OF HB1244 (Updated April 21, 2011 2:14 pm - DI 84)


Local government. Defines a contract containing the required terms as a qualified installment contract under the property tax credit and deduction laws. Provides that a person who: (1) owns property subject to taxation; (2) intentionally misrepresents a residential lease as a qualified installment contract; and (3) through the person's misrepresentation causes another individual to improperly claim a deduction that is made available to a buyer under a qualified installment contract; is liable for any additional taxes that would have been due on the property if the person had leased the property to the purported contract buyer, plus a civil penalty equal to 10% of the additional taxes due. Provides a property tax exemption for certain property leased to the bureau of motor vehicles or bureau of motor vehicles commission for the 2010 through 2016 assessment dates. Provides that an exemption application does not have to be filed annually to continue the exemption through the 2016 assessment date. Provides that the property tax exemption for fraternity or sorority property applies to property used for administrative purposes, including property owned by a national or international headquarters, fraternity or sorority foundations, and housing corporations. Specifies that the exemption applies only if the property is owned by a fraternity or sorority (or a national or international headquarters, foundation, or housing corporation related to a fraternity or sorority) that is exempt from federal income taxation under Section 501(c)(3) or Section 501(c)(7) of the Internal Revenue Code. Deletes from current law the requirement that property may qualify for the exemption only if the property is used exclusively by the fraternity or sorority to carry out its purposes. Specifies the terms that a contract for the purchase of real property must include to qualify the buyer for certain property tax deductions. Caps the property tax rate and property tax levy that an excluded city may impose to fund the operations of a public safety answering point (PSAP) that is exempt from the maximum number of PSAPs that may be operated in a county. Provides that a county auditor's notice of a tax sale is not to state that the person redeeming real property after the sale is required to pay the amount by which the sales price exceeded the minimum bid. Revises the language of the written statement that a bidder on property at a tax sale must sign (which concerns the bidder's bid being applied to delinquent taxes owed by the bidder) so as to make that statement consistent with the redemption requirements of the law. Eliminates a provision that applied only to tax sale property that was offered in 2006 and found to be brownfield property. Provides that a person redeeming tax sale property where a certificate of sale has been sold must pay 110% of the amount of the minimum bid (rather than the amount of the minimum bid, under current law) for which the property was last offered for sale. Adds a provision requiring a person redeeming tax sale property where a certificate of sale has been sold to also pay 10% per annum on the amount by which the purchase price of the property exceeded the minimum bid. Provides that when a person who purchases real property at a tax sale fails to pay the bid: (1) the county treasurer or the county prosecutor (rather than only the county prosecutor, under current law) must initiate an action to recover the civil penalty; (2) the suit must be initiated in the name of the county and not the treasurer of state; and (3) the person may be found liable for treble damages, costs, and reasonable attorney's fees. Provides that an owner, to redeem tax sale property, must pay 10% per annum on the amount by which the purchase price of the property exceeded the minimum bid but is not required to pay the amount by which the purchase price of the property exceeded the minimum bid. Applies statewide the authority that currently applies only in Lake County allowing the county auditor to remove real property from a tax sale if the county treasurer and the taxpayer agree to a mutually satisfactory arrangement for the payment of the delinquent taxes. Establishes a period during which a taxpayer who fails to make a payment under the delinquent property tax payment arrangement may not enter into another arrangement. Allows the county treasurer to extend the tax sale redemption period applicable to a homestead if the county treasurer and the taxpayer agree to an arrangement for payment of the amount required for redemption before the expiration of the extended redemption period. Provides for cancellation of the agreement and the extension if the taxpayer fails to meet the terms of the agreement. Provides that the total amount required for redemption includes all taxes, special assessments, penalties, and fees on property that accrued after the tax sale. Provides that a redevelopment commission may not enter into any obligation payable from public funds without first obtaining the approval, by ordinance or resolution, of the legislative body of the unit. Provides an exception if the obligation is for the acquisition of real property and the agreement to acquire the real property requires the redevelopment commission to either: (1) make payments for the real property for a term of less than three years; or (2) purchase the real property for a cost of less than $5,000,000. Specifies that the approving ordinance or resolution of a legislative body must include the following: (1) The maximum amount of the obligation or the maximum amount of the lease rental for the lease. (2) The maximum interest rate, any provisions for redemption prior to maturity, and any provisions for the payment of capitalized interest associated with the obligation or lease. (3) The maximum term of the obligation or lease. Provides that any agreement by a redevelopment commission to: (1) make payments for the property to be purchased over a term exceeding three years; or (2) pay a purchase price for the property that exceeds $5,000,000; is subject to the approval of the legislative body of the unit. Provides that a redevelopment commission and a department of redevelopment are subject to the oversight of the legislative body of the unit, including review by the legislative body of annual budgets. Specifies that a redevelopment commission and a department of redevelopment are subject to the same laws, rules, and ordinances of a general nature that apply to all other commissions or departments of the unit. Requires a redevelopment commission to provide to the legislative body of the unit at a public meeting all the information supporting the action the redevelopment commission proposes to take regarding the sale, transfer, or other disposition of property. Requires a redevelopment commission to obtain the approval of the legislative body of the unit if the amount of excess assessed value determined by the commission is expected to generate more than 200% of the amount of allocated tax proceeds necessary to carry out the redevelopment or economic development plan. Provides that the legislative body of the unit may modify the commission's determination with respect to the amount of excess assessed value that exceeds 200% of the amount of allocated tax proceeds necessary to carry out the redevelopment or economic development plan. Requires the treasurer of a redevelopment commission outside Indianapolis and the secretary-treasurer of a redevelopment authority outside Indianapolis to report quarterly to the fiscal officer of the unit that established the commission or authority. Provides that the Indianapolis controller is the fiscal officer of the redevelopment commission and redevelopment authority in Indianapolis. Authorizes the Indianapolis controller to obtain financial services on a contractual basis. Specifies that a county executive may not submit an application for certain grants unless the application is first approved by resolution of the county council. Provides that this requirement does not apply to Marion County. Provides for the retroactive application of a property tax exemption to a taxpayer that owns real and personal property used as part of or in connection with a men's cooperative house. Provides for a two year property tax exemption for the property of the Marion County Medical Society (which provides services to its members as the Indianapolis Medical Society) and similarly situated medical societies. Provides a property tax exemption for property taxes due in 2009, 2010, and 2011 for an organization in Marion County that is dedicated to providing services to the community and that failed to timely file an application for those years, if the organization was entitled to an exemption in 2007 for the same property. Provides a property tax exemption for 2010 and 2011for property owned by a nonprofit corporation and used as a center for the arts and for which an exemption was granted before 2010. Requires the commission on state tax and financing policy to study issues concerning standards for determining when a cooperative housing corporation is eligible for a property tax standard deduction or a property tax circuit breaker credit.
Current Status:
 In Conference Committee
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