As Realtors we often look at tax data, most importantly assessment value, in part of our Comparative Market Analysis (CMA). It’s not uncommon to find that the homeowner may not have a common deduction on their property taxes. The most important one, the Homestead Credit can mean a much higher tax bill if not applied to the property if it’s applicable. If you are the owner and you live in the home, you are eligible. Another common one is the mortgage deduction that is usually only $3000 or less but still, it’s a few more bucks in your pocket if it applies (you have a mortgage on the property).
There also is a new process in which you must re-apply for your Homestead Credit to keep it in effect. In your last property tax statement there was a pink sheet that told you that all information must be updated by 2013 or you can lose this credit. In most counties you can do this online. I just did ours for Hendricks County at this link: Hendricks County Parcel Search. Just type in your address and find your information. Then on your property information page click on the Homestead Deduction button and fill in the information. You will get an email later confirming your Homestead Deduction has been OK’d from the auditors office. Only takes a few minutes and can save you hundreds of dollars.
There are many others and I’ve borrowed a table from the Indiana Department of Revenue flyer and added it below. Look it over and if you have questions call your county tax assessors office to get more details. Many require a form to fill out and some documentation to prove your eligible. But in the long run it’s money in your pocket that is rightfully yours!
Here are some handy links from the Indiana GOV web site:
- Indiana Property Tax Benefits
- Disabled Person Deduction Form
- Disabled Veteran Deduction Form
- Geothermal, Solar, Wind or Hydroelectric Deduction Form
- Homestead Deduction Form
- Rehabilitated Property Deduction Form
- Historical Rehabilitated Property Deduction Form
- Mortgage Deduction Form
- Over 65 Deduction and Over 65 Circuit Breaker Credit Form (income limits apply)
- Veteran Deductions Form