IC 6-3.1-31.2
    Chapter 31.2. Small Employer Qualified Wellness Program TaxCredit

IC 6-3.1-31.2-1
"Pass through entity"
    Sec. 1. As used in this chapter, "pass through entity" means:
        (1) a corporation that is exempt from the adjusted gross incometax under IC 6-3-2-2.8(2);
        (2) a partnership;
        (3) a limited liability company; or
        (4) a limited liability partnership.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-2
"Qualified wellness program"
    Sec. 2. As used in this chapter, "qualified wellness program"means a wellness program that is certified by the state department ofhealth under IC 16-46-13.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-3
"Small employer"
    Sec. 3. (a) As used in this chapter, "small employer" means anemployer that:
        (1) is actively engaged in business;
        (2) on at least fifty percent (50%) of the working days of theemployer during the preceding calendar year, employed at leasttwo (2) but not more than one hundred (100) eligibleemployees, the majority of whom work in Indiana.
    (b) In determining the number of eligible employees for purposesof subsection (a), employers that are affiliated employers or that areeligible to file a combined tax return for purposes of state taxationare considered one (1) employer.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-4
"State tax liability"
    Sec. 4. As used in this chapter, "state tax liability" means ataxpayer's total tax liability that is incurred under:
        (1) IC 6-3-1 through IC 6-3-7 (the adjusted gross income tax);
        (2) IC 6-5.5 (the financial institutions tax); and
        (3) IC 27-1-18-2 (the insurance premiums tax);
as computed after the application of the credits that underIC 6-3.1-1-2 are to be applied before the credit provided by thischapter.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-5
"Taxpayer"    Sec. 5. As used in this chapter, "taxpayer" means a smallemployer that has any state tax liability.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-6
Tax credit
    Sec. 6. A taxpayer is entitled to a credit against the taxpayer'sstate tax liability for a taxable year in an amount equal to fiftypercent (50%) of the costs incurred by the taxpayer during thetaxable year for providing a qualified wellness program for thetaxpayer's employees during the taxable year.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-7
Use of pass through entity credit
    Sec. 7. If a pass through entity is entitled to a credit under section6 of this chapter but does not have state tax liability against whichthe tax credit may be applied, a shareholder, partner, or member ofthe pass through entity is entitled to a tax credit equal to:
        (1) the tax credit determined for the pass through entity for thetaxable year; multiplied by
        (2) the percentage of the pass through entity's distributiveincome to which the shareholder, partner, or member is entitled.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-8
Carryover; no carryback or refund of unused credit
    Sec. 8. (a) If the credit provided by this chapter exceeds thetaxpayer's state tax liability for the taxable year for which the creditis first claimed, the excess may be carried forward to succeedingtaxable years and used as a credit against the taxpayer's state taxliability during those taxable years. Each time that the credit iscarried forward to a succeeding taxable year, the credit is to bereduced by the amount that was used as a credit during theimmediately preceding taxable year.
    (b) A taxpayer is not entitled to any carryback or refund of anyunused credit.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-9
Claiming credit
    Sec. 9. To receive the credit provided by this chapter, a taxpayermust:
        (1) submit to the department with the taxpayer's state tax returnor returns a copy of the certificate received from the statedepartment of health under IC 16-46-13; and
        (2) claim the credit on the taxpayer's state tax return or returnsin the manner prescribed by the department.
The taxpayer shall submit to the department all information that thedepartment determines is necessary for the calculation of the credit

provided by this chapter.
As added by P.L.218-2007, SEC.6.

IC 6-3.1-31.2-10
Biennial reporting to legislative council
    Sec. 10. Beginning in 2009, the department shall, not later thanDecember 31 of each odd-numbered year, report to the legislativecouncil in an electronic format under IC 5-14-6 concerning use of thecredit provided by this chapter. A report required by this sectionmust include:
        (1) the number of taxpayers claiming and receiving the credit;
        (2) any reports of abuse of the credit; and
        (3) other information the department considers necessaryconcerning the use and effectiveness of the credit;
during the preceding reporting period.
As added by P.L.218-2007, SEC.6.