Title 6, TAXATION

Sec. 10. (a) For purposes of this section, "excess adjusted gross income" means the greater of zero (0) or one-half (1/2) of: (1) the individual's adjusted gross income or the combined adjusted gross income of the individual and the individual's spouse, if the individual files a …

Sec. 11. (a) An individual is entitled to a deduction from the individual's adjusted gross income for the taxable year if the individual: (1) is an employee of the federal government during the taxable year and the year preceding the taxable year; (2) has used paid leave from emp…

Sec. 12. (a) As used in this section, the term "foreign source dividend" means a dividend from a foreign corporation. The term: (1) includes any amount that a taxpayer is required to include in its gross income for a taxable year under Sections 951 and 951A of the Internal Revenu…

Sec. 14.1. Notwithstanding IC 6-3-4-8.2, a payment made after June 30, 2002, on prize money received from a winning lottery ticket purchased under IC 4-30 for a lottery held before July 1, 2002, is exempt from the adjusted gross income tax and supplemental net income tax (repeale…

Sec. 16. If an entity is subject to taxation under this article and is a member of a unitary group of which a taxpayer subject to taxation under IC 6-5.5 is a member, all income and deductions attributable to transactions between the entity and the unitary taxpayer shall be elimi…

Sec. 18. (a) As used in this section, "eligible medical expense" has the meaning set forth in IC 6-8-11-3. (b) As used in this section, "medical care savings account" has the meaning set forth in IC 6-8-11-6. (c) This subsection applies only to money deposited by an employer in a…

Sec. 19. (a) As used in this section, "account beneficiary" has the meaning set forth in IC 21-9-2-3. (b) As used in this section, "account owner" has the meaning set forth in IC 21-9-2-4. (c) As used in this section, "individual account" has the meaning set forth in IC 21-9-2-2.…

Sec. 2. (a) With regard to corporations and nonresident persons, "adjusted gross income derived from sources within Indiana", for the purposes of this article, shall mean and include: (1) income from real or tangible personal property located in this state; (2) income from doing …

Sec. 2.2. (a) Interest income and other receipts from assets in the nature of loans or installment sales contracts that are primarily secured by or deal with real or tangible personal property are attributable to this state if the security or sale property is located in Indiana. …

Sec. 2.3. Notwithstanding any other provision of this article, with respect to a person, corporation, or partnership that has contracted with a commercial printer for printing: (1) the ownership or leasing by that entity of tangible or intangible property located at the Indiana p…

Sec. 2.4. (a) For purposes of section 2(o) of this chapter, a corporation is a foreign operating corporation for a particular taxable year if it has eighty percent (80%) or more of its total business activity occurring outside the United States during the taxable year. (b) For pu…

Sec. 2.5. (a) This section applies to a resident person. (b) Resident persons are entitled to a net operating loss deduction. The amount of the deduction taken in a taxable year may not exceed the taxpayer's unused Indiana net operating losses carried over to that year. A taxpaye…

Sec. 2.6. (a) This section applies to a corporation or a nonresident person. (b) Corporations and nonresident persons are entitled to a net operating loss deduction. The amount of the deduction taken in a taxable year may not exceed the taxpayer's unused Indiana net operating los…

Sec. 2.7. (a) As used in this section: (1) "Bonus for services rendered as a team member" includes: (A) a bonus earned as a result of play during the season, such as a performance bonus, including a bonus paid for a championship, playoff, or bowl game played by a team, or for sel…

Sec. 2.8. Notwithstanding any provision of IC 6-3-1 through IC 6-3-7, there shall be no tax on the adjusted gross income of the following: (1) Any organization described in Section 501(a) of the Internal Revenue Code, except that any income of such organization which is subject t…

Sec. 20. (a) The following definitions apply throughout this section: (1) "Affiliated group" has the meaning provided in Section 1504 of the Internal Revenue Code, except that the ownership percentage in Section 1504(a)(2) of the Internal Revenue Code shall be determined using fi…

Sec. 21.7. (a) This section applies to a qualified patent issued to a taxpayer after December 31, 2007. (b) As used in this section, "invention" has the meaning set forth in 35 U.S.C. 100(a). (c) As used in this section, "qualified patent" means: (1) a utility patent issued under…

Sec. 22. (a) The following definitions apply throughout this section: (1) "Dependent child" means an individual who: (A) is eligible to receive a free elementary or high school education in an Indiana school corporation; (B) qualifies as a dependent (as defined in Section 152 of …

Sec. 24. (a) This section applies to a taxable year beginning after December 31, 2013. (b) As used in this section, "international committee" refers to the International Olympic Committee and the International Paralympic Committee. (c) As used in this section, "Olympic games" ref…

Sec. 25. (a) This section applies only to an individual who in 2008 paid property taxes that: (1) were imposed on the individual's principal place of residence for the March 1, 2006, assessment date or the January 15, 2007, assessment date; (2) are due after December 31, 2007; an…

Sec. 26. (a) This section applies only to taxable years beginning after December 31, 2017. (b) As used in this section, "fund" refers to the regional development authority infrastructure fund established by IC 36-9-43-9. (c) Each taxable year, a taxpayer that has made a contribut…

Note: This version of section effective until 7-1-2028. See also following version of this section, effective 7-1-2028. Sec. 27.5. (a) As used in this section, "compensation" means any wages, salaries, tips, or similar income that is subject to the withholding requirements under …

Sec. 28. (a) The following definitions apply throughout this section: (1) "Health care sharing ministry" has the meaning set forth in IC 27-1-2.1-1. (2) "Qualified health care sharing expenses" means the amount paid by a qualified individual for membership in a health care sharin…

Sec. 29. (a) As used in this section, "specified research or experimental expenditures" means: (1) for taxable years beginning before January 1, 2025, specified research or experimental expenditures (as defined in Section 174(b) of the Internal Revenue Code as in effect December …

Sec. 3.1. (a) Except as otherwise provided in subsection (b), income is not exempt from the adjusted gross income tax under section 2.8(1) of this chapter if the income is derived by the exempt organization from an unrelated trade or business, as defined in Section 513 of the Int…

Sec. 3.2. (a) The following definitions apply to this section: (1) "Bonus for services rendered as a race team member" includes: (A) a bonus earned as a result of participation in a racing event, such as a performance bonus or any other bonus; and (B) a bonus paid for signing a c…

Sec. 3.3. (a) As used in this section, "nonresident partner" has the meaning set forth in IC 6-3-4-12(n). (b) For all taxable years beginning after December 31, 2025, in the case of an investment partnership: (1) any qualifying investment partnership income that is distributable …

Sec. 3.5. (a) For purposes of this section, "public transportation services" means the transportation of individuals for hire. (b) All fares collected for public transportation services are exempt from the income taxes imposed by this article if the fares are received by a: (1) p…

Sec. 3.7. (a) Each taxable year, an individual or the individual's surviving spouse is entitled to an adjusted gross income tax deduction equal to the remainder of: (1) the: (A) first eight thousand dollars ($8,000), for taxable years beginning after December 31, 2014, and before…

Sec. 30. (a) For purposes of this section, "qualified production property" has the meaning provided in Section 168(n)(2) of the Internal Revenue Code. (b) Except as otherwise provided in this section, if a taxpayer makes an election to claim the special depreciation allowance und…

Sec. 31. (a) This section applies to the taxable year beginning after December 31, 2025, and ending before January 1, 2027. (b) A taxpayer is entitled to a deduction from the taxpayer's adjusted gross income in an amount equal to the amount associated with qualified tips that is …

Sec. 32. (a) This section applies to the taxable year beginning after December 31, 2025, and ending before January 1, 2027. (b) A taxpayer is entitled to a deduction from the taxpayer's adjusted gross income in an amount equal to the amount associated with qualified overtime comp…

Sec. 33. (a) This section applies to the taxable year beginning after December 31, 2025, and ending before January 1, 2027. (b) A taxpayer is entitled to a deduction from the taxpayer's adjusted gross income in an amount equal to the amount associated with qualified passenger veh…

Sec. 4. (a) Each taxable year, an individual, or the individual's surviving spouse, is entitled to the following: (1) An adjusted gross income tax deduction for the first five thousand dollars ($5,000) of income, excluding adjusted gross income described in subdivision (2), recei…

Sec. 6. (a) Each taxable year, an individual who rents a dwelling for use as the individual's principal place of residence may deduct from the individual's adjusted gross income (as defined in IC 6-3-1-3.5(a)), the lesser of: (1) the amount of rent paid by the individual with res…

Sec. 8. (a) For purposes of this section, "qualified employee" means an individual who is employed by a taxpayer, a pass through entity, an employer exempt from adjusted gross income tax (IC 6-3-1 through IC 6-3-7) under section 2.8(3), 2.8(4), or 2.8(5) of this chapter, a nonpro…

Sec. 9. (a) An individual who: (1) retired on disability before the end of the taxable year; and (2) had a permanent and total disability, as determined under subsection (c), at the time of retirement; is entitled to a deduction from the individual's adjusted gross income for tha…

Sec. 0.1. As used in this chapter: (1) "actual cost" means the price paid by a remote seller for an individual taxable product; and (2) "actual cost list" means an annual list (prepared, maintained, and certified by each remote seller) of the cost of each individual taxable produ…

Sec. 0.2. As used in this chapter, "alternative nicotine product" means a noncombustible product containing nicotine that is intended for human consumption, whether chewed, absorbed, dissolved, or ingested by any means. The term does not include cigarettes (as defined in IC 6-7-1…

Sec. 0.3. As used in this chapter, "cigar" means a tobacco product that is a roll of tobacco wrapped in leaf tobacco or in any substance containing tobacco (other than any roll of tobacco that is a cigarette within the meaning of IC 6-7-1-2). The term includes tobacco products co…

Sec. 0.5. As used in this chapter, "closed system cartridge" means a sealed, prefilled, and disposable container of consumable material in which the container is inserted directly into a vapor product, and is not intended to be opened or accessible through customary or reasonably…

Sec. 0.7. As used in this chapter, "consumable material" means any liquid solution or other material used in a closed system container that is depleted as the vapor product is used. As added by P.L.165-2021, SEC.102.

Sec. 1. As used in this chapter, "department" refers to the department of state revenue and includes its employees and agents. As added by P.L.96-1987, SEC.7.

Sec. 10. A license issued under this chapter may be surrendered to the department at any time before its expiration, and the department shall refund an amount of money that bears the same proportion to the fee originally paid as the unexpired period of the permit bears to two (2)…

Sec. 11. The department: (1) may revoke or suspend a license issued under this chapter for any violation of this chapter, IC 6-7-1-18, or IC 24-3-5.4-17 by the licensee; and (2) may not issue a license under this chapter to an applicant within six (6) months after the revocation …

Sec. 11.5. (a) The department may refuse to issue or renew a license issued under this chapter if: (1) the application is filed by a person whose license has previously been canceled for cause (including a similar license issued by another state); (2) the application is not filed…