IN HB1086

Adds a new section (IC 6-2.5-5-47) to Indiana Code to create a sales tax exemption for drainage water management system components.

Defines "drainage water management system" as a subsurface system including drainage tubing, drainage tiles, water flowgates, control valves, and related control systems designed for controlled water drainage from agricultural land used for crop production.

Exempts transactions involving drainage water management system components from Indiana state gross retail tax if the person acquiring the component is engaged in the business of agriculture.

Becomes effective July 1, 2014.