IN · Flat dollar exemption
Indiana homestead exemption
Yes.
- Main exemption
- $40,000 off assessed valueAssessed value of the principal residence, up to one acre of land and residential yard structures
- Filing deadline
- January 15
- Own and live there by
- January 1
- Renewal
- Renews automatically
- Where to file
- County auditor
Yes. Indiana's homestead standard deduction is $40,000 of assessed value for the 2026 assessment (it was $48,000 for 2025 and phases down to $0 by 2030), and a supplemental deduction takes a growing share of the remaining value: 46% for taxes payable in 2027, rising to 66.7% by 2031. Over 65 and disabled veteran deductions and credits stack on top. File one application with your county auditor by January 15 of the year the taxes are due.
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How much the Indiana exemption is worth
The homestead standard deduction is $48,000 for the 2025 assessment date, $40,000 for 2026, $30,000 for 2027, $20,000 for 2028, $10,000 for 2029 and $0 from 2030. The supplemental deduction (40% for taxes payable in 2026, 46% in 2027, up to 66.7% in 2031) applies to the value left after the standard deduction.
$40,000 off assessed value · applies to assessed value of the principal residence, up to one acre of land and residential yard structures · source
Who qualifies
- You own (or are buying under a recorded contract) the home and use it as your principal residence
- You own it on the January 1 assessment date, or on a later date in the same year when you file
- Covers the dwelling, garage, up to one acre of land and limited residential yard structures
Deadline and renewal
Complete, sign and file the application with the county auditor on or before January 15 of the year the taxes are first due. Mailed applications must be postmarked by that date.
You do not reapply each year. Refile only if the property is sold or the title changes, and tell the auditor within 60 days if you change the home's use.
Form: Homestead Deduction Form (standard and supplemental) · open the official form
Extra breaks for seniors, veterans and disabled owners
| Who | Program | Amount | Details |
|---|---|---|---|
| Seniors | Over 65 Credit | $150 tax credit | Owners 65 or older by December 31 of the prior year get a $150 credit if federal AGI two years earlier was no more than $60,000 single or $70,000 joint. Source |
| Seniors | Over 65 Circuit Breaker Credit | Not in our data | Keeps the homestead's tax bill from rising more than 2% over the prior year for income-qualified owners 65+ ($60,000 single / $70,000 joint, adjusted yearly for the Social Security COLA). Source |
| Veterans | Veteran with service-connected disability deduction | $24,960 off assessed value | Honorably discharged wartime veterans with a service-connected disability of at least 10% get up to $24,960 off assessed value. A surviving spouse can also claim it. Source |
| Veterans | Totally disabled veteran or veteran 62+ deduction | $14,000 off assessed value | Veterans with 90+ days of service who are totally disabled, or 62+ with at least 10% disability, get up to $14,000 off if their Indiana property is assessed at $240,000 or less. Source |
| Disabled owners | Blind or Disabled Credit | $125 tax credit | Owners who are blind or disabled get a $125 credit. File with the county auditor by January 15. Source |
| Surviving spouses | Surviving spouse of a disabled veteran | $24,960 off assessed value | A surviving spouse can receive the service-connected disability deduction if the veteran qualified at death, whether or not the veteran owned the property. Source |
Law: IC 6-1.1-12-37; IC 6-1.1-12-37.5
Indiana county guides
Local offices, online filing links and local amounts for 1 county, largest first.
Frequently asked questions
Why is my homestead deduction getting smaller?
Under current law the flat standard deduction steps down from $48,000 (2025) to $0 in 2030, while the supplemental percentage deduction rises from 40% to 66.7%.
When will a new deduction show on my bill?
A deduction filed by January 15 applies to the next bill; for example, filing by January 15, 2026 put it on the 2025 pay 2026 bill.
Do I have to reapply every year?
No. Reapply only if the property is sold or the title changes.
Sources
- Indiana Property Tax Benefits (State Form 51781) · Indiana Department of Local Government Finance
- Deductions and Credits · Indiana Department of Local Government Finance
- Homestead Deduction Form · Indiana Department of Local Government Finance
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