Exemption for Residents Over 65

State

Indiana

Year

2022

Variations in Receipt of Benefit

No Variation in Receipt of Benefits

Benefit Type

Exemption

Benefit

An individual may obtain a deduction from the assessed value equal to the lesser of ½ the assessed value of the real property or $14,000. In addition, qualifying individuals may claimed the Exemption for Mortgages and Contact Deductions, the Homestead Standard Deduction, and the Supplemental Homestead Tax Credit,

How is Benefit Disbursed

Exemption from assessed value

Eligible Property Type

Residential

Characteristics of Eligible Property

Only residential property is eligible for this relief. Eligible property includes the individual's real property, mobile home or manufactured home which is not assessed as real property.

Eligibility Criteria

Age

Homeowner

Income Ceiling

Principal Residence

Property Value Limit

Surviving Spouse

Other Criteria

Description of Eligibility Criteria

To qualify, a claimant must be at least 65 on or before December 31 of the preceding calendar year. The claimant's income must not exceed $30,000 if filing as an individual. If filing jointly with a spouse, income must not exceed $40,000. If individuals have claimed exemptions other than the Homestead, Supplemental or Mortgage deduction, they are not eligible for this deduction. The combined income for an individual and all other individuals that share ownership or where the individual is purchasing the property under a contract as joint tenants or tenants in common, must not exceed $40,000 for the calendar year two years before property taxes are first due and payable. A claimant must reside on the property and have owned it for at least one year. Income for eligibility is established as adjusted gross income (AGI), which is further defined as: (1) Begin with gross income as defined in section 61 of the Internal Revenue Code. (2) Subtract any deductions allowed by section 62 of the Internal Revenue Code. The assessed value of the property cannot exceed $200,000. For determining the assessed value of the property, increases in assessed value that occur after the later of December 31, 2020 or the first year that the individual has received the deduction, are not considered unless the increase is attributable to physical improvements. Surviving spouses are eligible if they are at least 60 years of age on or before December 31 of the preceding calendar year. To continue to get the benefit, a surviving spouse must not remarry.

Local Option in Adoption of Program

Local government is unable to exercise an option

Local Option Regarding Program Features

No local option regarding program features

State Funding for Local Tax Loss

Local government covers all of its tax loss

Description of State Funding for Tax Loss

The statute is silent on whether or not the state reimburses the local government for the property tax loss.

Record ID

IN104_RR22

Footnotes

If the resident shares ownership with other individuals as joint tenants or tenants in common and all the tenants are not at least 65 years old, the deduction shall be reduced by an amount equal to the deduction multiplied by a fraction. The numerator of the fraction is the number of tenants who are not at least 65 years of age, and the denominator is the total number of tenants. Applications must be signed by December 31st and filed by January 5th

Sources

Indiana Code, IC § 6-1.1-12-9 (in effect for 2022)
Indiana, Department of Local Government Finance, Indiana Property Tax Benefits, Form 51781 (January 2021)
[https://web.archive.org/web/20220923203906/https://forms.in.gov/Download.aspx?id=6015 Accessed 11/22/2023]
View Archived Source

Indiana, Department of Local Government Finance, Application for Senior Citizen Property Tax Benefits, Form 43708 (January 2020)
[https://forms.in.gov/Download.aspx?id=5070 Accessed 01/19/2022]
View Archived Source
Indiana, Department of Local Government Finance, Deductions Property Tax
[https://www.in.gov/dlgf/2344.htm Accessed 11/22/2023]
View Archived Source

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