Section 12-20-25-45 - Adjustments to local income tax; local homestead credit(a) Notwithstanding IC 6-3.6, after the termination of the controlled status of all townships located in a county as provided in section 41 of this chapter and if the local income tax is imposed under this chapter, the county fiscal body may adopt an ordinance to: (1) grant a credit for homesteads that receive a standard deduction under IC 6-1.1-12-37 in the county; or(2) reduce the local income tax rate for local taxpayers to a rate not less than the greater of: (A) the minimum rate necessary to satisfy the requirements of section 43 of this chapter; or(B) the minimum rate necessary to satisfy the requirements of sections 43 and 46(2) of this chapter if an ordinance is adopted under subdivision (1).(b) The increase in the homestead credit percentage must be uniform for all homesteads in a county.(c) In an ordinance that increases the homestead credit percentage, the county fiscal body may provide for a series of increases or decreases to take place for each of a group of succeeding calendar years.(d) An ordinance may be adopted under this section after January 1 but before June 1 of a calendar year.(e) An ordinance adopted under this section takes effect January 1 of the next calendar year.(f) An ordinance adopted under this section for a county is not applicable for a year if on January 1 of that year the local income tax is not in effect.Pre-1992 Revision Citation: 12-2-14-39.
Amended by P.L. 197-2016, SEC. 112, eff. 1/1/2017.As added by P.L. 2-1992, SEC.14. Amended by P.L. 113-2010, SEC.92.