House Bill 1280 Summary

• Redirects sales and use tax revenue from aircraft sales to the airport development grant fund established under IC 8-21-11-4, effective July 1, 2017.

• Requires aviation fuel excise tax revenue collected under IC 6-6-13 to be deposited in the airport development grant fund instead of the state general fund.

• Separates aircraft sales tax collections from general retail and use tax accounting, requiring the department to track this revenue stream independently.

• Removes aircraft sales tax from the current distribution formula that allocates general sales tax revenue to motor vehicle highway accounts, local road and bridge matching grant funds, and the state general fund.

• Effective date is July 1, 2017.