Section 6-3-2-13 - Export income; maritime opportunity districts; limit on deduction after December 31, 2015; expiration(a) As used in this section, "export income" means the gross receipts from the sale, transfer, or exchange of tangible personal property destined for international markets that is:(1) manufactured at a plant located within a maritime opportunity district established under IC 6-1.1-40 (before its expiration); and(2) shipped through a port operated by the state.(b) As used in this section, "export sales ratio" means the quotient of:(1) the taxpayer's export income; divided by(2) the taxpayer's gross receipts from the sale, transfer, or exchange of tangible personal property, regardless of its destination.(c) As used in this section, "taxpayer" means a person or corporation that has export income.(d) The ports of Indiana established by IC 8-10-1-3 shall notify the department when a maritime opportunity district is established under IC 6-1.1-40 (before its expiration). The notice must include: (1) the resolution passed by the commission to establish the district; and(2) a list of all taxpayers located in the district.(e) The ports of Indiana shall also notify the department of any subsequent changes in the list of taxpayers located in the district.(f) A taxpayer is entitled to a deduction from the taxpayer's adjusted gross income in an amount equal to the lesser of: (1) the taxpayer's adjusted gross income; or(2) the product of the export sales ratio multiplied by the percentage set forth in subsection (g).(g) The percentage to be used in determining the amount a taxpayer is entitled to deduct under this section depends upon the number of years that the taxpayer could have taken a deduction under this section. The percentage to be used in subsection (f) is as follows: YEAR OF DEDUCTION | PERCENTAGE |
1st through 4th | 100% |
5th | 80% |
6th | 60% |
7th | 40% |
8th | 20% |
9th and thereafter | 0% |
(h) The department shall determine, for each taxpayer claiming a deduction under this section, the taxpayer's export sales ratio for purposes of IC 6-1.1-40 (before its expiration). The department shall certify the amount of the ratio to the department of local government finance.(i) A taxpayer is not entitled to a deduction under this section based on export income received by the taxpayer after December 31, 2015.(j) This section expires January 1, 2025.Amended by P.L. 212-2018SP1,SEC. 22, eff. 1/1/2019.Amended by P.L. 250-2015, SEC. 19, eff. 7/1/2015.As added by P.L. 62-1988, SEC.2. Amended by P.L. 90-2002, SEC.288; P.L. 98-2008, SEC.8.