2023 Indiana Code › Title 6. Taxation › Article 6. Motor Fuel and Vehicle Excise Taxes › Chapter 9.7. Marion County Supplemental Auto Rental Excise Tax › 6-6-9.7-7. Imposition of Tax; Amount; Notice to Department of State Revenue; Effective Dates

Sec. 7. (a) The city-county council of a county that contains a consolidated city may adopt an ordinance to impose an excise tax, known as the county supplemental auto rental excise tax, upon the rental of passenger motor vehicles and trucks in the county for periods of less than thirty (30) days. The ordinance must specify that the tax expires December 31, 2027.
(b) Except as provided in subsections (c) and (f), the county supplemental auto rental excise tax that may be imposed upon the rental of a passenger motor vehicle or truck equals two percent (2%) of the gross retail income received by the retail merchant for the rental.
(c) On or before June 30, 2005, the city-county council may, by ordinance adopted by a majority of the members elected to the city-county council, increase the tax imposed under subsection (a) from two percent (2%) to four percent (4%). The ordinance must specify that:
(1) if on December 31, 2027, there are obligations owed by the capital improvement board of managers to the Indiana stadium and convention building authority or any state agency under IC 5-1-17-26, the original two percent (2%) rate imposed under subsection (a) continues to be levied after its original expiration date set forth in subsection (a) and through December 31, 2040; and
(2) the additional rate authorized under this subsection expires on:
(A) January 1, 2041;
(B) January 1, 2010, if on that date there are no obligations owed by the capital improvement board of managers to the Indiana stadium and convention building authority or to any state agency under IC 5-1-17-26; or
(C) October 1, 2005, if on that date there are no obligations owed by the capital improvement board of managers to the Indiana stadium and convention building authority or to any state agency under a lease or a sublease of an existing capital improvement entered into under IC 5-1-17, unless waived by the budget director.
(d) The amount collected from that portion of county supplemental auto rental excise tax imposed under:
(1) subsection (b) and collected after December 31, 2027;
(2) subsection (c); and
(3) subsection (f);
shall, in the manner provided by section 11 of this chapter, be distributed to the capital improvement board of managers operating in a consolidated city or its designee. So long as there are any current or future obligations owed by the capital improvement board of managers to the Indiana stadium and convention building authority created by IC 5-1-17 or any state agency pursuant to a lease or other agreement entered into between the capital improvement board of managers and the Indiana stadium and convention building authority or any state agency under IC 5-1-17-26, the capital improvement board of managers or its designee shall deposit the revenues received under this subsection in a special fund, which may be used only for the payment of the obligations described in this subsection.
(e) After January 1, 2013, and before March 1, 2013, the city-county council may, by ordinance adopted by a majority of the members elected to the city-county council, increase the tax rate imposed under subsection (a) by not more than two percent (2%). The amount collected from an increase adopted under this subsection shall be deposited in the sports and convention facilities operating fund established by IC 36-7-31-16. An increase in the tax rate under this subsection continues in effect unless the increase is rescinded. However, any increase in the tax rate under this subsection may not continue in effect after December 31, 2040.
(f) The county supplemental auto rental excise tax does not apply to the sharing of passenger motor vehicles or trucks through a peer to peer vehicle sharing program (as defined in IC 24-4-9.2-4) in the county unless the city-county council adopts an ordinance, by a majority of the members elected to the city-county council, to impose the tax as provided in this section. The city-county council may adopt an ordinance to impose the county supplemental auto rental excise tax on the sharing of passenger motor vehicles or trucks registered in the county for purposes of IC 6-6-5 through a peer to peer vehicle sharing program. The amount of the tax is equal to:
(1) the gross retail income received by the peer to peer vehicle sharing program (as defined in IC 24-4-9.2-4) for the sharing of the passenger motor vehicle or truck; multiplied by
(2) one percent (1%).
The ordinance must specify that the ordinance expires December 31, 2027.
(g) If a city-county council adopts an ordinance under subsection (a), (c), (e), or (f), the city-county council shall immediately send a certified copy of the ordinance to the commissioner of the department of state revenue.
(h) If a city-county council adopts an ordinance under subsection (a), (c), (e), or (f) on or before the fifteenth day of a month, the county supplemental auto rental excise tax applies to auto rentals after the last day of the month in which the ordinance is adopted. If the city-county council adopts an ordinance under subsection (a), (c), (e), or (f) after the fifteenth day of a month, the county supplemental auto rental excise tax applies to auto rentals after the last day of the month following the month in which the ordinance is adopted.
As added by P.L.256-1997(ss), SEC.1. Amended by P.L.214-2005, SEC.23; P.L.182-2009(ss), SEC.244; P.L.205-2013, SEC.127; P.L.109-2019, SEC.4; P.L.108-2019, SEC.127; P.L.156-2020, SEC.27.