Indiana Income Tax
Indiana has a flat income tax with a rate of 3.05%. All taxable income is taxed at the same rate regardless of how much you earn.
Indiana Sales Tax
The state sales tax rate in Indiana is 7%. With an average local sales tax of 0%, the combined average sales tax rate is 7%.
Indiana Property Tax
The effective property tax rate in Indiana is 0.84%. With a median home value of $182,400, the median annual property tax bill is $1,371 ($114/month).
Corporate & Business Taxes
The corporate tax rate in Indiana is 4.9%.
Other Taxes in Indiana
| Tax Type | Rate / Amount |
|---|---|
| Gas Excise Tax | $0.34/gallon |
| Cigarette Tax | $0.99/pack |
| Estate Tax | No |
| Inheritance Tax | No |
Key Facts
Low flat income tax. Counties levy additional local income taxes ranging from 0.5% to 2.9%.
Compare to Other States
See how salaries compare on our average salary in Indiana page. Thinking about starting a business? Check our LLC guide for Indiana. See the current minimum wage in Indiana.
Financial Calculators
Plan your finances in Indiana with our free tools:
- Paycheck Calculator — estimate take-home pay after taxes
- Salary Calculator — convert hourly to annual pay
- Mortgage Calculator — estimate monthly home payments
- Home Affordability Calculator — see how property taxes affect what you can afford