STATEHOUSE - Rep. Bob Morris (R- Fort Wayne) co-authored House Bill 1046, which provides a 50% property tax deduction to a residential builder for a single family residence, townhouse or condominium that has never been occupied.
"This bill is beneficial because it helps with the struggling housing market and provides incentives for builders to develop new homes," said Rep. Morris. "This allows builders an important deduction that reduces the burden of unsold property."
Current law taxes vacant homes like any other occupied home, this bill would call for a property deduction that would last until the home is sold. Also, there are restrictions upon how many properties a builder can claim, for example, a residential builder cannot claim deductions for more than three residences in Indiana per assessment date.
"In this current economic climate, it is important to help alleviate the financial stress many are facing," said Rep. Morris. "Deducting the property tax on unsold residences will help many who are facing this frustrating housing market."
House Bill 1046 passed out of the House in February with a vote of 78-20. The Senate recently added amendments to the bill and those amendments will return to the House for final approval before being sent to the Governor.