Loading chat...
IN HB1088
Bill
Status
1/3/2018
Primary Sponsor
Daniel Leonard
Click for details
AI Summary
HB 1088 Summary
-
Reduces the minimum valuation floor for depreciable personal property from 30% to 20% incrementally over 10 years, beginning January 1, 2019, with reductions of 1% per year through January 1, 2028.
-
Eliminates the "add-back" requirement for federal income tax deductions related to domestic production activities (Section 199 of Internal Revenue Code) in adjusted gross income calculations for individuals, corporations, and financial institutions, effective January 1, 2019.
-
Creates "Pool No. 5" depreciation method for integrated steel mills, oil refineries, and petrochemical companies in northern Indiana, allowing optional use of specified depreciation percentages instead of abnormal obsolescence claims.
-
Exempts property in entrepreneur and enterprise districts from personal property valuation limitations if placed in service after district designation and used by employees performing work within the district.
-
Makes technical corrections to references in tax codes and adjusts numbering of subsections to reflect removal of domestic production activities addbacks.
Legislative Description
State and local taxation. Provides that the minimum valuation applicable to the total amount of a taxpayer's assessable depreciable personal property in a taxing district is reduced incrementally from 30% of the assessed value of the depreciable personal property in the taxing district to 20% over 10 years beginning with the January 1, 2019, assessment date. Eliminates the addbacks of a taxpayer's federal income tax deduction for income attributable to domestic production activities in the definitions of "adjusted gross income" under the adjusted gross income tax law and the financial institutions tax law. Makes technical corrections.
Last Action
First reading: referred to Committee on Ways and Means
1/3/2018