Indiana § 6-3-2-2.8 - Exemption; nonprofit entities; Subchapter S corporations; financial institutions; insurance companies; international banking facilities

§ 6-3-2-2.8. Exemption; nonprofit entities; Subchapter S corporations; financial institutions; insurance companies; international banking facilities

Sec. 2.8. Notwithstanding any provision of IC 6-3-1 through IC 6-3-7, there shall be no tax on the adjusted gross income of the following:

(1) Any organization described in Section 501(a) of the Internal Revenue Code, except that any income of such organization which is subject to income tax under the Internal Revenue Code shall be subject to the tax under IC 6-3-1 through IC 6-3-7.

(2) Any corporation which is exempt from income tax under Section 1363 of the Internal Revenue Code and which complies with the requirements of IC 6-3-4-13. However, income of a corporation described under this subdivision that is subject to income tax under the Internal Revenue Code is subject to the tax under IC 6-3-1 through IC 6-3-7. A corporation will not lose its exemption under this section because it fails to comply with IC 6-3-4-13 but it will be subject to the penalties provided by IC 6-8.1-10. Any corporation that is exempt from income tax under Section 1363 of the Internal Revenue Code and that makes an election under IC 6-3-2.1 for a taxable year shall be subject to tax as provided in IC 6-3-2.1 for the taxable year of the election.

(3) Banks and trust companies, national banking associations, savings banks, building and loan associations, and savings and loan associations.

(4) Insurance companies or organizations offering nonprofit agricultural organization insurance coverage subject to tax under any of the following:

(A) IC 27-1-18-2, including a domestic insurance company that elects to be taxed under IC 27-1-18-2.

(B) IC 27-1-2-2.3.

(C) IC 6-8-15, unless a nonprofit agricultural organization:

(i) files a notice of election with the insurance commissioner and the commissioner of the department on or before November 30 of a taxable year; and

(ii) states in the notice of election that the organization elects to be subject to the tax imposed under IC 6-3-1 through IC 6-3-7 for the taxable year.

(5) International banking facilities (as defined in Regulation D of the Board of Governors of the Federal Reserve System (12 CFR 204)).

As added by P.L.47-1984, SEC.5. Amended by P.L.42-1993, SEC.3; P.L.18-1994, SEC.8; P.L.192-2002(ss), SEC.74; P.L.129-2014, SEC.1; P.L.1-2023, SEC.4; P.L.194-2023, SEC.14.