17C-1-407. Limitations on tax increment.
(1) If the development of retail sales of goods is the primary objective of an urban renewal project area, tax increment from the urban renewal project area may not be paid to or used by an agency unless the agency makes a development impediment determination under. Chapter 2, Part 3, Development Impediment Determination in Urban Renewal Project Areas Except as provided in Section, development of retail sales of goods does not disqualify an agency from receiving tax increment. 11-41-103 After July 1, 2005, an agency may not receive or use tax increment generated from the value of property within an economic development project area that is attributable to the development of retail sales of goods, unless the tax increment was previously pledged to pay for bonds or other contractual obligations of the agency.
(2) For the purpose of this Subsection: (2) "Final tax rate" means the rate used to determine the amount of taxes a taxing entity levies as described in the notice to a taxpayer under Subsection. 59-2-1317(2) "Increased tax revenue" means tax revenue attributable to a tax rate increase. "Tax rate increase" means the amount calculated by subtracting a taxing entity's certified rate, as defined in Section, from the taxing entity's final tax rate. 59-2-924 Except as provided in Subsection, for a year in which a taxing entity imposes a final tax rate higher than the certified tax rate, a county shall not pay an agency any portion of a taxing entity's increased tax revenue. (2)(c) Notwithstanding Subsection, a county may pay all or a portion of a taxing entity's increased tax revenue to an agency if, at the time of the project area budget approval, the taxing entity committee or each taxing entity that is a party to an agreement under Sectionorconsents to pay the agency the increased tax revenue. (2)(b) 17C-4-201 17C-5-204 If the taxing entity committee or each tax entity that is a party to an agreement under Sectionordoes not consent to payment of the increased tax revenue to the agency under Subsection, the county shall distribute to the taxing entity the increased tax revenue in the same manner as other property tax revenue. 17C-4-201 17C-5-204 (2)(c) Notwithstanding any other provision of this section, if, before tax year 2013, increased tax revenue is paid to an agency without the consent of the taxing entity committee or each taxing entity that is a party to an agreement under Sectionor, and notwithstanding the law at the time that the tax revenue was collected or increased: 17C-4-201 17C-5-204 the State Tax Commission, the county as the collector of the taxes, a taxing entity, or any other person or entity may not recover, directly or indirectly, the increased tax revenue from the agency by adjustment of a tax rate used to calculate tax increment or otherwise; the county is not liable to a taxing entity or any other person or entity for the increased tax revenue that was paid to the agency; and tax increment, including the increased tax revenue, shall continue to be paid to the agency subject to the same number of tax years, percentage of tax increment, and cumulative dollar amount of tax increment as approved in the project area budget and previously paid to the agency. An adjustment may not be made to incremental value under Sectionfor increased tax revenue not paid to an agency under this section. 59-2-924
(3) Except as the taxing entity committee otherwise agrees, an agency may not receive tax increment under an urban renewal or economic development project area budget adopted on or after March 30, 2009: that exceeds the percentage of tax increment or cumulative dollar amount of tax increment specified in the project area budget; or for more tax years than specified in the project area budget.