CHAPTER 5.5. SALES DISCLOSURE FORMS
IC 6-1.1-5.5
Chapter 5.5. Sales Disclosure Forms
IC 6-1.1-5.5-1
"Conveyance" defined
Sec. 1. As used in this chapter, "conveyance" means any transferof a real property interest for valuable consideration.
As added by P.L.63-1993, SEC.1. Amended by P.L.144-2008, SEC.1.
IC 6-1.1-5.5-2
"Conveyance document" defined
Sec. 2. (a) As used in this chapter, "conveyance document" meansany of the following:
(1) Any of the following that purports to transfer a real propertyinterest for valuable consideration:
(A) A document.
(B) A deed.
(C) A contract of sale.
(D) An agreement.
(E) A judgment.
(F) A lease that includes the fee simple estate and is for aperiod in excess of ninety (90) years.
(G) A quitclaim deed serving as a source of title.
(H) Another document presented for recording.
(2) Documents for compulsory transactions as a result offoreclosure or express threat of foreclosure, divorce, courtorder, condemnation, or probate.
(3) Documents involving the partition of land between tenantsin common, joint tenants, or tenants by the entirety.
(b) The term does not include the following:
(1) Security interest documents such as mortgages and trustdeeds.
(2) Leases that are for a term of less than ninety (90) years.
(3) Agreements and other documents for mergers,consolidations, and incorporations involving solely nonlistedstock.
(4) Quitclaim deeds not serving as a source of title.
(5) Public utility or governmental easements or rights-of-way.
As added by P.L.63-1993, SEC.1. Amended by P.L.144-2008, SEC.2;P.L.182-2009(ss), SEC.90.
IC 6-1.1-5.5-3
Sales disclosure form filing and review process; forwarding anduse of forms; confidential information; conveyance of multipleparcels
Sec. 3. (a) For purposes of this section, "party" includes:
(1) a seller of property that is exempt under the seller'sownership; or
(2) a purchaser of property that is exempt under the purchaser'sownership;from property taxes under IC 6-1.1-10.
(b) Subject to subsections (g) and (h), before filing a conveyancedocument with the county auditor under IC 6-1.1-5-4, all the partiesto the conveyance must do the following:
(1) Complete and sign a sales disclosure form as prescribed bythe department of local government finance under section 5 ofthis chapter. All the parties may sign one (1) form, or if all theparties do not agree on the information to be included on thecompleted form, each party may sign and file a separate form.For conveyance transactions involving more than two (2)parties, one (1) transferor and one (1) transferee signing thesales disclosure form is sufficient.
(2) Before filing a sales disclosure form with the county auditor,submit the sales disclosure form to the county assessor. Thecounty assessor must review the accuracy and completeness ofeach sales disclosure form submitted immediately upon receiptof the form and, if the form is accurate and complete, stamp orotherwise approve the form as eligible for filing with the countyauditor and return the form to the appropriate party for filingwith the county auditor. If multiple forms are filed in a shortperiod, the county assessor shall process the forms as quickly aspossible. For purposes of this subdivision, a sales disclosureform is considered to be accurate and complete if:
(A) the county assessor does not have substantial evidencewhen the form is reviewed under this subdivision thatinformation in the form is inaccurate; and
(B) both of the following conditions are satisfied:
(i) The form contains the information required by section5(a)(1) through 5(a)(16) of this chapter as that sectionapplies to the conveyance transaction, subject to theobligation of a party to furnish or correct that informationin the manner required by and subject to the penaltyprovisions of section 12 of this chapter. The form may notbe rejected for failure to contain information other thanthat required by section 5(a)(1) through 5(a)(16) of thischapter.
(ii) The form is submitted to the county assessor in aformat usable to the county assessor.
(3) File the sales disclosure form with the county auditor.
(c) The auditor shall review each sales disclosure form andprocess any deduction for which the form serves as an applicationunder IC 6-1.1-12-44. The auditor shall forward each sales disclosureform to the county assessor. The county assessor shall verify theassessed valuation of the property for the assessment date to whichthe application applies and transmit that assessed valuation to theauditor. The county assessor shall retain the forms for five (5) years.The county assessor shall forward the sales disclosure form data tothe department of local government finance and the legislativeservices agency in an electronic format specified jointly by thedepartment of local government finance and the legislative services
agency. The county assessor shall forward a copy of the salesdisclosure forms to the township assessors in the county. The formsmay be used by the county assessing officials, the department oflocal government finance, and the legislative services agency for thepurposes established in IC 6-1.1-4-13.6, sales ratio studies,equalization, adoption of rules under IC 6-1.1-31-3 andIC 6-1.1-31-6, and any other authorized purpose.
(d) In a county containing a consolidated city, the auditor shallreview each sales disclosure form and process any deduction forwhich the form serves as an application under IC 6-1.1-12-44. Theauditor shall forward the sales disclosure form to the appropriatetownship assessor (if any). The township assessor shall verify theassessed valuation of the property for the assessment date to whichthe application applies and transmit that assessed valuation to theauditor. The township or county assessor shall forward the salesdisclosure form to the department of local government finance andthe legislative services agency in an electronic format specifiedjointly by the department of local government finance and thelegislative services agency. The forms may be used by the countyassessing officials, the county auditor, the department of localgovernment finance, and the legislative services agency for thepurposes established in IC 6-1.1-4-13.6, sales ratio studies,equalization, adoption of rules under IC 6-1.1-31-3 andIC 6-1.1-31-6, and any other authorized purpose.
(e) If a sales disclosure form includes the telephone number orSocial Security number of a party, the telephone number or SocialSecurity number is confidential.
(f) County assessing officials, county auditors, and other localofficials may not establish procedures or requirements concerningsales disclosure forms that substantially differ from the proceduresand requirements of this chapter.
(g) Except as provided in subsection (h), a separate salesdisclosure form is required for each parcel conveyed, regardless ofwhether more than one (1) parcel is conveyed under a singleconveyance document.
(h) Only one (1) sales disclosure form is required for theconveyance under a single conveyance document of two (2) or morecontiguous parcels located entirely within a single taxing district.
As added by P.L.63-1993, SEC.1. Amended by P.L.6-1997, SEC.26;P.L.89-2001, SEC.2; P.L.90-2002, SEC.52; P.L.245-2003, SEC.6;P.L.1-2004, SEC.9 and P.L.23-2004, SEC.10; P.L.64-2004, SEC.1;P.L.228-2005, SEC.16; P.L.219-2007, SEC.16; P.L.144-2008,SEC.3; P.L.146-2008, SEC.94; P.L.1-2009, SEC.28.
IC 6-1.1-5.5-4
Filing fee; exceptions; distribution of revenue
Sec. 4. (a) Except as provided in subsection (b), a person filing asales disclosure form under this chapter shall pay a fee of ten dollars($10) to the county auditor.
(b) No fee is due and payable under subsection (a) if the
conveyance to which the sales disclosure form filing applies is eitheror both of the following:
(1) To a charity.
(2) Under a conveyance document described in section 2(a)(2)or 2(a)(3) of this chapter.
(c) Fifty percent (50%) of the revenue collected under this sectionand section 12 of this chapter shall be deposited in the county salesdisclosure fund established under section 4.5 of this chapter. Fiftypercent (50%) of the revenue shall be transferred to the statetreasurer for deposit in the state assessment training fund establishedunder section 4.7 of this chapter.
As added by P.L.63-1993, SEC.1. Amended by P.L.198-2001,SEC.21; P.L.178-2002, SEC.10; P.L.144-2008, SEC.4.
IC 6-1.1-5.5-4.5
Sales disclosure funds
Sec. 4.5. (a) The fiscal body of each county shall establish a salesdisclosure fund. The county auditor shall deposit into the fund themoney received under section 4 of this chapter. Money in the salesdisclosure fund may be expended only for:
(1) administration of this chapter;
(2) verification of the information contained on a salesdisclosure form;
(3) training of assessing officials; or
(4) purchasing computer software or hardware for a propertyrecord system.
(b) The county fiscal body shall appropriate the money in thesales disclosure fund for the purposes stated in subsection (a) basedon requests by assessing officials in the county.
As added by P.L.198-2001, SEC.22.
IC 6-1.1-5.5-4.7
Establishment of assessment training and administration fund;permitted uses; investment by treasurer of state; no reversion tostate general fund
Sec. 4.7. (a) The assessment training and administration fund isestablished for the purpose of receiving fees deposited under section4 of this chapter. Money in the fund may be used by:
(1) the department of local government finance:
(A) to cover expenses incurred in the development andadministration of programs for the training of assessmentofficials and employees of the department, including theexamination and certification program required byIC 6-1.1-35.5; and
(B) for data base management expenses; or
(2) the Indiana board to:
(A) conduct appeal activities; or
(B) pay for appeal services.
(b) The treasurer of state shall invest the money in the fund notcurrently needed to meet the obligations of the fund in the same
manner as other public money may be invested.
(c) Money in the fund at the end of a state fiscal year does notrevert to the state general fund.
As added by P.L.198-2001, SEC.23. Amended by P.L.90-2002,SEC.53; P.L.1-2004, SEC.10; P.L.23-2004, SEC.11; P.L.2-2005,SEC.17; P.L.228-2005, SEC.17; P.L.182-2009(ss), SEC.91.
IC 6-1.1-5.5-5
Information required in form; exception
Revisor's Note: P.L.75-2009, SEC.5 required the printing of thissection as follows.
Sec. 5. (a) The department of local government finance shallprescribe a sales disclosure form for use under this chapter. The formprescribed by the department of local government finance mustinclude at least the following information:
(1) The key number (as defined in IC 6-1.1-1-8.5) of eachparcel.
(2) With respect to each parcel, whether the entire parcel isbeing conveyed.
(3) The address of each improved parcel.
(4) The date of the execution of the form.
(5) The date the property was transferred.
(6) Whether the transfer includes an interest in land orimprovements, or both.
(7) Whether the transfer includes personal property.
(8) An estimate of the value of any personal property includedin the transfer.
(9) The name, address, and telephone number of:
(A) each transferor and transferee; and
(B) the person that prepared the form.
(10) The mailing address to which the property tax bills or otherofficial correspondence should be sent.
(11) The ownership interest transferred.
(12) The classification of the property (as residential,commercial, industrial, agricultural, vacant land, or other).
(13) Subject to subsection (c), the total price actually paid orrequired to be paid in exchange for the conveyance, whether interms of money, property, a service, an agreement, or otherconsideration, but excluding tax payments and payments forlegal and other services that are incidental to the conveyance.
(14) The terms of seller provided financing, such as interestrate, points, type of loan, amount of loan, and amortizationperiod, and whether the borrower is personally liable forrepayment of the loan.
(15) Any family or business relationship existing between thetransferor and the transferee.
(16) A legal description of each parcel subject to theconveyance.
(17) Whether the transferee is using the form to claim one (1)or more deductions under IC 6-1.1-12-44 for property taxes first
due and payable in a calendar year after 2008.
(18) If the transferee uses the form to claim the standarddeduction under IC 6-1.1-12-37, the information required for astandard deduction under IC 6-1.1-12-37.
(19) Sufficient instructions and information to permit a party toterminate a standard deduction under IC 6-1.1-12-37 on anyparcel of property on which the party or the spouse of the partywill no longer be eligible for the standard deduction underIC 6-1.1-12-37 after the party or the party's spouse begins toreside at the property that is the subject of the sales disclosureform, including an explanation of the tax consequences andapplicable penalties if a party unlawfully claims a standarddeduction under IC 6-1.1-12-37.
(20) Other information as required by the department of localgovernment finance to carry out this chapter.
If a form under this section includes the telephone number or part orall of the Social Security number of a party, the telephone number orthe Social Security number is confidential.
(b) The instructions for completing the form described insubsection (a) must include the information described inIC 6-1.1-12-43(c)(1).
(c) If the conveyance includes more than one (1) parcel asdescribed in section 3(h) of this chapter, the form:
(1) is not required to include the price referred to in subsection(a)(13) for each of the parcels subject to the conveyance; and
(2) may state a single combined price for all of those parcels.
As added by P.L.63-1993, SEC.1. Amended by P.L.90-2002, SEC.54;P.L.64-2004, SEC.2; P.L.228-2005, SEC.18; P.L.154-2006, SEC.3;P.L.144-2008, SEC.5; P.L.75-2009, SEC.1; P.L.87-2009, SEC.1.
IC 6-1.1-5.5-6
Acceptance of form by county auditor; requirements for recording
Sec. 6. (a) The county auditor may not accept a conveyancedocument if:
(1) the sales disclosure form signed by all the parties andattested as required under section 9 of this chapter is notincluded with the document; or
(2) the sales disclosure form does not contain the informationrequired by section 5(a)(1) through 5(a)(16) of this chapter asthat section applies to the conveyance, subject to the obligationof a party to furnish or correct the information in the mannerrequired by and subject to the penalty provisions of section 12of this chapter.
(b) The county recorder shall not record a conveyance documentwithout evidence that the parties have filed with the county auditora sales disclosure form approved by the county assessor as eligiblefor filing under section 3(b)(2) of this chapter.
As added by P.L.63-1993, SEC.1. Amended by P.L.6-1997, SEC.27;P.L.154-2006, SEC.4; P.L.144-2008, SEC.6.
IC 6-1.1-5.5-7
Repealed
(Repealed by P.L.6-1997, SEC.239.)
IC 6-1.1-5.5-8
Repealed
(Repealed by P.L.89-2001, SEC.8.)
IC 6-1.1-5.5-9
Sales disclosure form; attestation
Sec. 9. A person who signs a sales disclosure form shall attest inwriting and under penalties of perjury that to the best of the person'sknowledge and belief the information contained in the salesdisclosure form is true and correct.
As added by P.L.63-1993, SEC.1.
IC 6-1.1-5.5-10
Criminal penalties and infractions
Sec. 10. (a) A person who knowingly and intentionally:
(1) falsifies the value of transferred real property; or
(2) omits or falsifies any information required to be provided inthe sales disclosure form;
commits a Class C felony.
(b) A public official who knowingly and intentionally accepts:
(1) a sales disclosure document for filing that:
(A) falsifies the value of transferred real property; or
(B) omits or falsifies any information required to beprovided in the sales disclosure form; or
(2) a conveyance document for recording in violation of section6 of this chapter;
commits a Class A infraction.
As added by P.L.63-1993, SEC.1. Amended by P.L.6-1997, SEC.28;P.L.178-2002, SEC.11; P.L.144-2008, SEC.7.
IC 6-1.1-5.5-11
Repealed
(Repealed by P.L.6-1997, SEC.239.)
IC 6-1.1-5.5-12
Civil penalties
Sec. 12. (a) A party to a conveyance who:
(1) either:
(A) files a sales disclosure form that does not contain all ofthe information required by this chapter; or
(B) files a sales disclosure form that contains inaccurateinformation;
and receives from the township assessor (in a county containinga consolidated city) or the county assessor (in any other county)written notice of the problems described in clause (A) or (B);and (2) fails to file a correct sales disclosure form that fullycomplies with all requirements of this chapter within thirty (30)days after the date of the notice under subdivision (1);
is subject to a penalty in the amount determined under subsection (b).
(b) The amount of the penalty under subsection (a) is the greaterof:
(1) one hundred dollars ($100); or
(2) twenty-five thousandths percent (0.025%) of the sale priceof the real property transferred under the conveyance document.
(c) The township assessor in a county containing a consolidatedcity, or the county assessor in any other county, shall:
(1) determine the penalty imposed under this section;
(2) assess the penalty to the party to a conveyance; and
(3) notify the party to the conveyance that the penalty is payablenot later than thirty (30) days after notice of the assessment.
(d) The county auditor shall:
(1) collect the penalty imposed under this section;
(2) deposit penalty collections as required under section 4 ofthis chapter; and
(3) notify the county prosecuting attorney of delinquentpayments.
(e) The county prosecuting attorney shall initiate an action torecover a delinquent penalty under this section. In a successful actionagainst a person for a delinquent penalty, the court shall award thecounty prosecuting attorney reasonable attorney's fees.
As added by P.L.178-2002, SEC.12. Amended by P.L.144-2008,SEC.8.
IC 6-1.1-5.5-13
Fee for filing sale disclosure form for certain sales; disposition offees; training of assessment officials; expiration of section
Sec. 13. (a) Notwithstanding section 4(a) of this chapter, a personfiling a sales disclosure form under this chapter with respect to a saleof real property that occurs:
(1) after December 31, 2003; and
(2) before January 1, 2012;
shall pay a fee of ten dollars ($10) to the county auditor.
(b) Notwithstanding sections 4(b) and 12(d) of this chapter, fiftypercent (50%) of the revenue collected under:
(1) subsection (a); and
(2) section 12 of this chapter;
for the period referred to in subsection (a) shall be deposited in thecounty sales disclosure fund established under section 4.5 of thischapter. Ten percent (10%) of the revenue collected before July 1,2005, shall be transferred to the treasurer of state for deposit in theassessment training and administration fund established by section4.7 of this chapter. Forty percent (40%) of the revenue collectedbefore July 1, 2005, shall be transferred to the treasurer of state fordeposit in the state general fund. Fifty percent (50%) of the revenuecollected after June 30, 2005, shall be transferred to the assessment
training and administration fund established by section 4.7 of thischapter.
(c) The department of local government finance may providetraining of assessment officials and employees of the departmentthrough the Indiana chapter of the International Association ofAssessing Officers on various dates and at various locations inIndiana.
(d) This section expires January 1, 2012.
As added by P.L.16-2009, SEC.13.