Sec. 8.5. Transactions involving electrical energy, natural or artificial gas, water, steam, or steam heating service sold or furnished by a power subsidiary or a person engaged as a public utility are exempt from the state gross retail tax when:
(1) the power subsidiary or person provides, installs, constructs, services, or removes tangible personal property which is used in connection with the furnishing of the services or commodities listed in IC 6-2.5-4-5;
(2) the power subsidiary or person sells the services or commodities listed in IC 6-2.5-4-5 to another public utility or power subsidiary or a person described in IC 6-2.5-4-6; or
(3) the power subsidiary or person sells the services or commodities listed in IC 6-2.5-4-5 and all of the following conditions are satisfied:
(A) The services or commodities are sold to a business that:
(i) relocates all or part of its operations to a facility; or
(ii) expands all or part of its operations in a facility;
located in a military base (as defined in IC 36-7-30-1(c)), a military base reuse area established under IC 36-7-14.5-12.5 that is or formerly was a military base (as defined in IC 36-7-30-1(c)), or a qualified military base enhancement area established under IC 36-7-34.
(B) The business uses the services or commodities in the facility described in clause (A) not later than five (5) years after the operation that relocated to the facility, or expanded in the facility, commence.
(C) The sales of the services or commodities are separately metered for use by the relocated or expanded operations.
(D) In the case of a business that uses the services or commodities in a qualified military base enhancement area established under IC 36-7-34-4(1), the business must satisfy at least one (1) of the following criteria:
(i) The business is a participant in the technology transfer program conducted by the qualified military base (as defined in IC 36-7-34-3).
(ii) The business is a United States Department of Defense contractor.
(iii) The business and the qualified military base have a mutually beneficial relationship evidenced by a memorandum of understanding between the business and the United States Department of Defense.
(E) In the case of a business that uses the services and commodities in a qualified military base enhancement area established under IC 36-7-34-4(2), the business must satisfy at least one (1) of the following criteria:
(i) The business is a participant in the technology transfer program conducted by the qualified military base (as defined in IC 36-7-34-3).
(ii) The business and the qualified miliary base have a mutually beneficial relationship evidenced by a memorandum of understanding between the business and the qualified military base (as defined in IC 36-7-34-3).
However, this subdivision does not apply to a business that substantially reduces or ceases its operations at another location in Indiana in order to relocate its operations in an area described in this subdivision, unless the department determines that the business had existing operations in the area described in this subdivision and that the operations relocated to the area are an expansion of the business's operations in the area.
As added by P.L.137-2022, SEC.24.
Structure Indiana Code
Article 2.5. State Gross Retail and Use Taxes
Chapter 5. Exempt Transactions of Retail Merchant
6-2.5-5-0.4. Intent of General Assembly Adding Section 36 of This Chapter
6-2.5-5-1. Animals, Feed, Seed, and Chemicals; Race Horse in a Claiming Race
6-2.5-5-2. Agricultural Machinery, Tools, and Equipment
6-2.5-5-3. Exemption; Acquisition for Direct Use in Direct Production
6-2.5-5-4. Property for Use in Producing Machinery, Tools, or Equipment
6-2.5-5-6. Exemption; Acquisition for Incorporation Into Product for Sale
6-2.5-5-7. Materials Used in Construction Business, Public Street, or Utility Service
6-2.5-5-8.5. Power Subsidiary; Public Utility
6-2.5-5-9. Returnable Containers; Nonreturnable Packaging
6-2.5-5-10. Electric or Steam Utilities; Production Plant or Power Production Expenses
6-2.5-5-11. Gas Utilities; Production or Storage Plants and Expenses
6-2.5-5-12. Water Utilities; Plants and Expenses
6-2.5-5-12.5. Wastewater Utilities; Plants and Expenses
6-2.5-5-14. Public Utilities; Acquisitions of Personal Property
6-2.5-5-15.5. Motor Vehicles; Intrafamilial Title Transfers
6-2.5-5-16. State or Local Government Acquisitions
6-2.5-5-18. Drugs, Medical Equipment, Supplies, and Devices; Acquisition by Patient
6-2.5-5-19. Drugs, Insulin, Oxygen, Blood, or Blood Plasma; Acquisition by Licensed Practitioner
6-2.5-5-19.5. Drugs; Insulin; Oxygen; Blood Glucose Monitoring Supply; Blood or Blood Plasma
6-2.5-5-20. "Food and Food Ingredients for Human Consumption"
6-2.5-5-22. Exemption; Sales of Meals; Schools; Fraternities; Sororities; Student Cooperatives
6-2.5-5-23. School Building Materials
6-2.5-5-29. Manufactured Homes; Industrialized Residential Structures
6-2.5-5-30. Environmental Quality Compliance; Manufacturing, Mining, Agriculture, or Recycling
6-2.5-5-31. Free Distribution Newspaper; Related Transactions
6-2.5-5-33. Tangible Personal Property Purchased With Food Stamps
6-2.5-5-34. Sale of Lottery Tickets; Gross Retail Tax
6-2.5-5-35. Tangible Personal Property Transactions
6-2.5-5-36. Commercial Printing Contracts
6-2.5-5-38.1. Qualified Computer Equipment Sales
6-2.5-5-38.2. Vehicle Lease Transactions
6-2.5-5-39. Cargo Trailers and Recreational Vehicles Registered for Use Outside Indiana
6-2.5-5-40. Research and Development Property
6-2.5-5-42. Aircraft Titled, Registered, or Based Outside Indiana
6-2.5-5-43. Type Ii Gambling Games
6-2.5-5-44. Sales to City or Town for Municipal Golf Course
6-2.5-5-45. Gross Retail and Use Tax Exemption; Cigarette and Tobacco Tax Meter Machines
6-2.5-5-45.8. Recycling and Recycling Materials
6-2.5-5-46. Aircraft Repair and Maintenance
6-2.5-5-47. Coins, Bullion, and Legal Tender
6-2.5-5-48. Drainage Water Management System
6-2.5-5-50. Required Product Labels
6-2.5-5-52. Hot Mix Asphalt Plant Equipment; Trucks; Pavers
6-2.5-5-54. Special Rule for Sharing of a Passenger Motor Vehicle for Fewer Than 15 Days
6-2.5-5-55. "Public Safety Equipment and Materials"; Exemption