Tag Archives: Indiana
Often overshadowed by their tax time counterpart – the federal income tax – state income tax rates generally receive less attention. However, they can definitely impact your overall bill, depending on where you live, where you work, and the total amount you earn. State Taxation of Residents States typically use one of three methods to […]
— Read moreCertain states that border one another have set specific agreements in place that allow taxpayers to be a resident of one state and work in another. Reciprocal tax agreements make tax time easier by requiring the taxpayer to only file one return in their home state, as they are exempt from paying taxes in their […]
— Read moreTwenty-five states and the District of Columbia offer resident taxpayers a state version of the federal earned income tax credit (EITC). Indiana is amongst the states who seek to reduce poverty through a tax credit that puts money back into their taxpayers’ pocket. Indiana’s EITC eligibility follows older federal guidelines, that don’t account for recent […]
— Read moreIndiana levies a flat tax of 3.4% on all taxpayers’ federal adjusted gross income. Benefits paid by social security are not taxed by the state of Indiana. Retirement Income and exemptions; If you are above the age of 60 and receive a military pension you may exclude up to $5,000 from being taxed. If you […]
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