CHAPTER 12. ASSESSED VALUE DEDUCTIONS AND DEDUCTION PROCEDURES
IC 6-1.1-12
Chapter 12. Assessed Value Deductions and Deduction
Procedures
IC 6-1.1-12-0.5
Basis for taxation after deduction
Sec. 0.5. For each year that a deduction from the assessed value
of tangible property is allowed, the assessed value remaining after
the deduction is the basis for taxation of the property.
As added by Acts 1979, P.L.52, SEC.1.
IC 6-1.1-12-0.7
Mortgage deduction; filing; appointees to act for elderly, blind, or
disabled persons
Sec. 0.7. Any individual who is sixty-five (65) years of age, is
blind, or has a disability (within the meaning of section 11 of this
chapter) may appoint an individual eighteen (18) years of age or
older to act on the individual's behalf for purposes of filing property
tax deduction statements for any deductions provided by this chapter.
If a statement is filed by an appointee, the appointee's name, address,
and telephone number must be included in the statement.
As added by Acts 1981, P.L.25, SEC.2. Amended by P.L.99-2007,
SEC.21.
IC 6-1.1-12-1
Deduction for property financed by mortgage or installment loan;
home equity line of credit
Sec. 1. (a) Each year a person who is a resident of this state may
receive a deduction from the assessed value of:
(1) mortgaged real property, an installment loan financed
mobile home that is not assessed as real property, or an
installment loan financed manufactured home that is not
assessed as real property, with the mortgage or installment loan
instrument recorded with the county recorder's office, that the
person owns;
(2) real property, a mobile home that is not assessed as real
property, or a manufactured home that is not assessed as real
property that the person is buying under a contract, with the
contract or a memorandum of the contract recorded in the
county recorder's office, which provides that the person is to
pay the property taxes on the real property, mobile home, or
manufactured home; or
(3) real property, a mobile home that is not assessed as real
property, or a manufactured home that the person owns or is
buying on a contract described in subdivision (2) on which the
person has a home equity line of credit that is recorded in the
county recorder's office.
(b) Except as provided in section 40.5 of this chapter, the total
amount of the deduction which the person may receive under this
section for a particular year is:
(1) the balance of the mortgage or contract indebtedness
(including a home equity line of credit) on the assessment date
of that year;
(2) one-half (1/2) of the assessed value of the real property,
mobile home, or manufactured home; or
(3) three thousand dollars ($3,000);
whichever is least.
(c) A person who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract which provides that
the contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section with respect to that real property, mobile
home, or manufactured home.
(d) The person must:
(1) own the real property, mobile home, or manufactured home;
or
(2) be buying the real property, mobile home, or manufactured
home under contract;
on the date the statement is filed under section 2 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.1; Acts 1981, P.L.69, SEC.1; P.L.6-1997, SEC.41;
P.L.291-2001, SEC.129; P.L.144-2008, SEC.9; P.L.81-2010, SEC.1.
IC 6-1.1-12-2 Version a
Statement to apply for mortgage deduction; information required;
delegation of signing authority only by power of attorney;
limitation on closing agent liability; county recorder
Note: This version of section effective until 7-1-2010. See also
following version of this section, effective 7-1-2010.
Sec. 2. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, for a person to qualify for the
deduction provided by section 1 of this chapter, a statement must be
filed under subsection (b) or (c).
(b) Subject to subsection (c), to apply for the deduction under
section 1 of this chapter with respect to real property, the person
recording the mortgage, contract, or memorandum of the contract
with the county recorder may file a written statement with the county
recorder containing the information described in subsection (e)(1),
(e)(2), (e)(3), (e)(4), (e)(6), (e)(7), and (e)(8). The statement must be
prepared on the form prescribed by the department of local
government finance and be signed by the property owner or contract
purchaser under the penalties of perjury. The form must have a place
for the county recorder to insert the record number and page where
the mortgage, contract, or memorandum of the contract is recorded.
Upon receipt of the form and the recording of the mortgage, contract,
or memorandum of the contract, the county recorder shall insert on
the form the record number and page where the mortgage, contract,
or memorandum of the contract is recorded and forward the
completed form to the county auditor. The county recorder may not
impose a charge for the county recorder's duties under this
subsection. The statement must be completed and dated in the
calendar year for which the person wishes to obtain the deduction
and filed with the county recorder on or before January 5 of the
immediately succeeding calendar year.
(c) With respect to:
(1) real property as an alternative to a filing under subsection
(b); or
(2) a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property;
to apply for a deduction under section 1 of this chapter, a person who
desires to claim the deduction may file a statement in duplicate, on
forms prescribed by the department of local government finance,
with the auditor of the county in which the real property, mobile
home not assessed as real property, or manufactured home not
assessed as real property is located. With respect to real property the
statement must be completed and dated in the calendar year for
which the person wishes to obtain the deduction and filed with the
county auditor on or before January 5 of the immediately succeeding
calendar year. With respect to a mobile home that is not assessed as
real property or a manufactured home that is not assessed as real
property, the statement must be filed during the twelve (12) months
before March 31 of each year for which the individual wishes to
obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. In addition to the statement required by this
subsection, a contract buyer who desires to claim the deduction must
submit a copy of the recorded contract or recorded memorandum of
the contract, which must contain a legal description sufficient to
meet the requirements of IC 6-1.1-5, with the first statement that the
buyer files under this section with respect to a particular parcel of
real property.
(d) Upon receipt of:
(1) the statement under subsection (b); or
(2) the statement under subsection (c) and the recorded contract
or recorded memorandum of the contract;
the county auditor shall assign a separate description and
identification number to the parcel of real property being sold under
the contract.
(e) The statement referred to in subsections (b) and (c) must be
verified under penalties for perjury. The statement must contain the
following information:
(1) The balance of the person's mortgage or contract
indebtedness on the assessment date of the year for which the
deduction is claimed.
(2) The assessed value of the real property, mobile home, or
manufactured home.
(3) The full name and complete residence address of the person
and of the mortgagee or contract seller.
(4) The name and residence of any assignee or bona fide owner
or holder of the mortgage or contract, if known, and if not
known, the person shall state that fact.
(5) The record number and page where the mortgage, contract,
or memorandum of the contract is recorded.
(6) A brief description of the real property, mobile home, or
manufactured home which is encumbered by the mortgage or
sold under the contract.
(7) If the person is not the sole legal or equitable owner of the
real property, mobile home, or manufactured home, the exact
share of the person's interest in it.
(8) The name of any other county in which the person has
applied for a deduction under this section and the amount of
deduction claimed in that application.
(f) The authority for signing a deduction application filed under
this section may not be delegated by the real property, mobile home,
or manufactured home owner or contract buyer to any person except
upon an executed power of attorney. The power of attorney may be
contained in the recorded mortgage, contract, or memorandum of the
contract, or in a separate instrument.
(g) A closing agent (as defined in section 43(a)(2) of this chapter)
is not liable for any damages claimed by the property owner or
contract purchaser because of:
(1) the closing agent's failure to provide the written statement
described in subsection (b);
(2) the closing agent's failure to file the written statement
described in subsection (b);
(3) any omission or inaccuracy in the written statement
described in subsection (b) that is filed with the county recorder
by the closing agent; or
(4) any determination made with respect to a property owner's
or contract purchaser's eligibility for the deduction under
section 1 of this chapter.
(h) The county recorder may not refuse to record a mortgage,
contract, or memorandum because the written statement described in
subsection (b):
(1) is not included with the mortgage, contract, or memorandum
of the contract;
(2) does not contain the signatures required by subsection (b);
(3) does not contain the information described in subsection (e);
or
(4) is otherwise incomplete or inaccurate.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.10; Acts 1980, P.L.39, SEC.2; Acts 1981, P.L.69,
SEC.2; Acts 1982, P.L.44, SEC.1; P.L.55-1988, SEC.1; P.L.3-1989,
SEC.32; P.L.291-2001, SEC.130; P.L.90-2002, SEC.106;
P.L.177-2002, SEC.1; P.L.154-2006, SEC.11; P.L.183-2007, SEC.1;
P.L.144-2008, SEC.10; P.L.75-2009, SEC.2; P.L.182-2009(ss),
SEC.108; P.L.1-2010, SEC.21.
IC 6-1.1-12-2 Version b
Statement to apply for mortgage deduction; requirements;
delegation of signing authority only by power of attorney;
limitation on closing agent liability; county recorder
Note: This version of section effective 7-1-2010. See also
preceding version of this section, effective until 7-1-2010.
Sec. 2. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, for a person to qualify for the
deduction provided by section 1 of this chapter a statement must be
filed under subsection (b) or (c). Regardless of the manner in which
a statement is filed, the mortgage, contract, or memorandum
(including a home equity line of credit) must be recorded with the
county recorder's office to qualify for a deduction under section 1 of
this chapter.
(b) Subject to subsection (c), to apply for the deduction under
section 1 of this chapter with respect to real property, the person
recording the mortgage, home equity line of credit, contract, or
memorandum of the contract with the county recorder may file a
written statement with the county recorder containing the
information described in subsection (e)(1), (e)(2), (e)(3), (e)(4),
(e)(6), (e)(7), and (e)(8). The statement must be prepared on the form
prescribed by the department of local government finance and be
signed by the property owner or contract purchaser under the
penalties of perjury. The form must have a place for the county
recorder to insert the record number and page where the mortgage,
home equity line of credit, contract, or memorandum of the contract
is recorded. Upon receipt of the form and the recording of the
mortgage, home equity line of credit, contract, or memorandum of
the contract, the county recorder shall insert on the form the record
number and page where the mortgage, home equity line of credit,
contract, or memorandum of the contract is recorded and forward the
completed form to the county auditor. The county recorder may not
impose a charge for the county recorder's duties under this
subsection. The statement must be completed and dated in the
calendar year for which the person wishes to obtain the deduction
and filed with the county recorder on or before January 5 of the
immediately succeeding calendar year.
(c) With respect to:
(1) real property as an alternative to a filing under subsection
(b); or
(2) a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property;
to apply for a deduction under section 1 of this chapter, a person who
desires to claim the deduction may file a statement in duplicate, on
forms prescribed by the department of local government finance,
with the auditor of the county in which the real property, mobile
home not assessed as real property, or manufactured home not
assessed as real property is located. With respect to real property the
statement must be completed and dated in the calendar year for
which the person wishes to obtain the deduction and filed with the
county auditor on or before January 5 of the immediately succeeding
calendar year. With respect to a mobile home that is not assessed as
real property or a manufactured home that is not assessed as real
property, the statement must be filed during the twelve (12) months
before March 31 of each year for which the individual wishes to
obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. In addition to the statement required by this
subsection, a contract buyer who desires to claim the deduction must
submit a copy of the recorded contract or recorded memorandum of
the contract, which must contain a legal description sufficient to
meet the requirements of IC 6-1.1-5, with the first statement that the
buyer files under this section with respect to a particular parcel of
real property.
(d) Upon receipt of:
(1) the statement under subsection (b); or
(2) the statement under subsection (c) and the recorded contract
or recorded memorandum of the contract;
the county auditor shall assign a separate description and
identification number to the parcel of real property being sold under
the contract.
(e) The statement referred to in subsections (b) and (c) must be
verified under penalties for perjury. The statement must contain the
following information:
(1) The balance of the person's mortgage, home equity line of
credit, or contract indebtedness that is recorded in the county
recorder's office on the assessment date of the year for which
the deduction is claimed.
(2) The assessed value of the real property, mobile home, or
manufactured home.
(3) The full name and complete residence address of the person
and of the mortgagee or contract seller.
(4) The name and residence of any assignee or bona fide owner
or holder of the mortgage, home equity line of credit, or
contract, if known, and if not known, the person shall state that
fact.
(5) The record number and page where the mortgage, contract,
or memorandum of the contract is recorded.
(6) A brief description of the real property, mobile home, or
manufactured home which is encumbered by the mortgage or
home equity line of credit or sold under the contract.
(7) If the person is not the sole legal or equitable owner of the
real property, mobile home, or manufactured home, the exact
share of the person's interest in it.
(8) The name of any other county in which the person has
applied for a deduction under this section and the amount of
deduction claimed in that application.
(f) The authority for signing a deduction application filed under
this section may not be delegated by the real property, mobile home,
or manufactured home owner or contract buyer to any person except
upon an executed power of attorney. The power of attorney may be
contained in the recorded mortgage, contract, or memorandum of the
contract, or in a separate instrument.
(g) A closing agent (as defined in section 43(a)(2) of this chapter)
is not liable for any damages claimed by the property owner or
contract purchaser because of:
(1) the closing agent's failure to provide the written statement
described in subsection (b);
(2) the closing agent's failure to file the written statement
described in subsection (b);
(3) any omission or inaccuracy in the written statement
described in subsection (b) that is filed with the county recorder
by the closing agent; or
(4) any determination made with respect to a property owner's
or contract purchaser's eligibility for the deduction under
section 1 of this chapter.
(h) The county recorder may not refuse to record a mortgage,
contract, or memorandum because the written statement described in
subsection (b):
(1) is not included with the mortgage, home equity line of
credit, contract, or memorandum of the contract;
(2) does not contain the signatures required by subsection (b);
(3) does not contain the information described in subsection (e);
or
(4) is otherwise incomplete or inaccurate.
(i) The form prescribed by the department of local government
finance under subsection (b) and the instructions for the form must
both include a statement:
(1) that explains that a person is not entitled to a deduction
under section 1 of this chapter unless the person has a balance
on the person's mortgage or contract indebtedness that is
recorded in the county recorder's office (including any home
equity line of credit that is recorded in the county recorder's
office) that is the basis for the deduction; and
(2) that specifies the penalties for perjury.
(j) The department of local government finance shall develop a
notice:
(1) that must be displayed in a place accessible to the public in
the office of each county auditor;
(2) that includes the information described in subsection (i); and
(3) that explains that the form prescribed by the department of
local government finance to claim the deduction under section
1 of this chapter must be signed by the property owner or
contract purchaser under the penalties of perjury.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.10; Acts 1980, P.L.39, SEC.2; Acts 1981, P.L.69,
SEC.2; Acts 1982, P.L.44, SEC.1; P.L.55-1988, SEC.1; P.L.3-1989,
SEC.32; P.L.291-2001, SEC.130; P.L.90-2002, SEC.106;
P.L.177-2002, SEC.1; P.L.154-2006, SEC.11; P.L.183-2007, SEC.1;
P.L.144-2008, SEC.10; P.L.75-2009, SEC.2; P.L.182-2009(ss),
SEC.108; P.L.1-2010, SEC.21; P.L.81-2010, SEC.2.
IC 6-1.1-12-3
Claim of deduction for property financed by mortgage or
installment loan by member of armed forces
Sec. 3. An individual may claim the deduction provided by
section 1 of this chapter for the assessment date in a year in the
manner prescribed in section 4 of this chapter if during the filing
period prescribed in section 2 of this chapter that applies to the
assessment date the individual was:
(1) a member of the United States armed forces; and
(2) away from the county of his residence as a result of military
service.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.3; P.L.144-2008, SEC.11.
IC 6-1.1-12-4
Procedure for claim by member of armed forces
Sec. 4. (a) An individual who satisfies the requirements of section
3 of this chapter may file a claim for a deduction, or deductions,
provided by section 1 of this chapter during the year following the
year in which the individual is discharged from military service. The
individual shall file the claim, on the forms prescribed for claiming
a deduction under section 2 of this chapter, with the auditor of the
county in which the real property is located. The claim shall specify
the particular year, or years, for which the deduction is claimed. The
individual shall attach to the claim an affidavit which states the facts
concerning the individual's absence as a member of the United States
armed forces.
(b) The county property tax assessment board of appeals shall
examine the individual's claim and shall determine the amount of
deduction, or deductions, the individual is entitled to and the year, or
years, for which deductions are due. Based on the board's
determination, the county auditor shall calculate the excess taxes
paid by the individual and shall refund the excess to the individual
from funds not otherwise appropriated. The county auditor shall
issue, and the county treasurer shall pay, a warrant for the amount,
if any, to which the individual is entitled.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.4; P.L.55-1988, SEC.2; P.L.6-1997, SEC.43;
P.L.154-2006, SEC.12; P.L.144-2008, SEC.12.
IC 6-1.1-12-5
Mortgage or contract deductions; members of armed forces;
amount of deduction without claim
Sec. 5. A county auditor shall determine the amount of the
deduction provided by section 1 of this chapter that an individual is
entitled to and shall make an allowance for the deduction without a
claim being filed if:
(1) the county auditor determines that the individual satisfies
the requirements of section 3 of this chapter; and
(2) the individual is a resident of, and the real property is
located in, the county that the auditor serves.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.5.
IC 6-1.1-12-6
Mortgage or contract deductions; transmission of application to
second county
Sec. 6. (a) The auditor of a county (referred to in this section as
the "first county") with whom a deduction application is filed under
section 2 of this chapter shall immediately prepare and transmit a
copy of the application to the auditor of any other county (referred
to in this section as the "second county") if:
(1) the residence of the applicant is located in the second
county; or
(2) the applicant has applied for a deduction under section 2 of
this chapter in the second county.
(b) The county property tax assessment board of appeals of the
second county shall note on the copy of the application either:
(1) the amount of the deduction provided under section 1 of this
chapter that has been granted in the second county; or
(2) that no deduction application has been filed under section 2
of this chapter in the second county.
The board shall then return the copy to the auditor of the first county.
(c) The county property tax assessment board of appeals of the
first county shall then take appropriate action on the application. The
board may not grant a deduction provided under section 1 of this
chapter in an amount which will exceed the difference between the
amount granted in any other county and the maximum amount
permitted the applicant under section 1 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.6; P.L.6-1997, SEC.44.
IC 6-1.1-12-7
Mortgage or contract deductions; granting
Sec. 7. Each year, the county auditor shall ascertain if more than
one (1) application has been filed by the same person. The county
auditor shall take appropriate action to grant the deductions provided
under section 1 of this chapter in amounts that do not exceed the
maximum allowed each person under section 1 of this chapter.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1980,
P.L.39, SEC.7; P.L.6-1997, SEC.45.
IC 6-1.1-12-8
Repealed
(Repealed by P.L.98-2000, SEC.30.)
IC 6-1.1-12-9 Version a
Deduction for person 65 or older; limitations; surviving spouse;
contract purchaser; common ownership
Note: This version of section effective until 3-25-2010. See also
following version of this section, effective 3-25-2010.
Sec. 9. (a) An individual may obtain a deduction from the
assessed value of the individual's real property, or mobile home or
manufactured home which is not assessed as real property, if:
(1) the individual is at least sixty-five (65) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the combined adjusted gross income (as defined in Section
62 of the Internal Revenue Code) of:
(A) the individual and the individual's spouse; or
(B) the individual and all other individuals with whom:
(i) the individual shares ownership; or
(ii) the individual is purchasing the property under a
contract;
as joint tenants or tenants in common;
for the calendar year preceding the year in which the deduction
is claimed did not exceed twenty-five thousand dollars
($25,000);
(3) the individual has owned the real property, mobile home, or
manufactured home for at least one (1) year before claiming the
deduction; or the individual has been buying the real property,
mobile home, or manufactured home under a contract that
provides that the individual is to pay the property taxes on the
real property, mobile home, or manufactured home for at least
one (1) year before claiming the deduction, and the contract or
a memorandum of the contract is recorded in the county
recorder's office;
(4) the individual and any individuals covered by subdivision
(2)(B) reside on the real property, mobile home, or
manufactured home;
(5) the assessed value of the real property, mobile home, or
manufactured home does not exceed one hundred eighty-two
thousand four hundred thirty dollars ($182,430);
(6) the individual receives no other property tax deduction for
the year in which the deduction is claimed, except the
deductions provided by sections 1, 37, and 38 of this chapter;
and
(7) the person:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 10.1 of this
chapter is filed.
(b) Except as provided in subsection (h), in the case of real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the real property; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(c) Except as provided in subsection (h) and section 40.5 of this
chapter, in the case of a mobile home that is not assessed as real
property or a manufactured home which is not assessed as real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the mobile home or
manufactured home; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(d) An individual may not be denied the deduction provided under
this section because the individual is absent from the real property,
mobile home, or manufactured home while in a nursing home or
hospital.
(e) For purposes of this section, if real property, a mobile home,
or a manufactured home is owned by:
(1) tenants by the entirety;
(2) joint tenants; or
(3) tenants in common;
only one (1) deduction may be allowed. However, the age
requirement is satisfied if any one (1) of the tenants is at least
sixty-five (65) years of age.
(f) A surviving spouse is entitled to the deduction provided by this
section if:
(1) the surviving spouse is at least sixty (60) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the surviving spouse's deceased husband or wife was at least
sixty-five (65) years of age at the time of a death;
(3) the surviving spouse has not remarried; and
(4) the surviving spouse satisfies the requirements prescribed in
subsection (a)(2) through (a)(7).
(g) An individual who has sold real property to another person
under a contract that provides that the contract buyer is to pay the
property taxes on the real property may not claim the deduction
provided under this section against that real property.
(h) In the case of tenants covered by subsection (a)(2)(B), if all of
the tenants are not at least sixty-five (65) years of age, the deduction
allowed under this section shall be reduced by an amount equal to the
deduction multiplied by a fraction. The numerator of the fraction is
the number of tenants who are not at least sixty-five (65) years of
age, and the denominator is the total number of tenants.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1978,
P.L.33, SEC.1; Acts 1979, P.L.54, SEC.1; Acts 1980, P.L.39, SEC.9;
Acts 1981, P.L.25, SEC.3; Acts 1982, P.L.45, SEC.1; P.L.24-1986,
SEC.14; P.L.60-1986, SEC.1; P.L.332-1989(ss), SEC.6;
P.L.41-1992, SEC.1; P.L.48-1996, SEC.1; P.L.6-1997, SEC.46;
P.L.155-1999, SEC.1; P.L.291-2001, SEC.131; P.L.272-2003,
SEC.1; P.L.20-2004, SEC.1; P.L.219-2007, SEC.25; P.L.144-2008,
SEC.13; P.L.1-2010, SEC.22.
IC 6-1.1-12-9 Version b
Deduction for person 65 or older; limitations; surviving spouse;
contract purchaser; common ownership
Note: This version of section effective 3-25-2010. See also
preceding version of this section, effective until 3-25-2010.
Sec. 9. (a) An individual may obtain a deduction from the
assessed value of the individual's real property, or mobile home or
manufactured home which is not assessed as real property, if:
(1) the individual is at least sixty-five (65) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the combined adjusted gross income (as defined in Section
62 of the Internal Revenue Code) of:
(A) the individual and the individual's spouse; or
(B) the individual and all other individuals with whom:
(i) the individual shares ownership; or
(ii) the individual is purchasing the property under a
contract;
as joint tenants or tenants in common;
for the calendar year preceding the year in which the deduction
is claimed did not exceed twenty-five thousand dollars
($25,000);
(3) the individual has owned the real property, mobile home, or
manufactured home for at least one (1) year before claiming the
deduction; or the individual has been buying the real property,
mobile home, or manufactured home under a contract that
provides that the individual is to pay the property taxes on the
real property, mobile home, or manufactured home for at least
one (1) year before claiming the deduction, and the contract or
a memorandum of the contract is recorded in the county
recorder's office;
(4) the individual and any individuals covered by subdivision
(2)(B) reside on the real property, mobile home, or
manufactured home;
(5) the assessed value of the real property, mobile home, or
manufactured home does not exceed one hundred eighty-two
thousand four hundred thirty dollars ($182,430);
(6) the individual receives no other property tax deduction for
the year in which the deduction is claimed, except the
deductions provided by sections 1, 37, (for assessment dates
after February 28, 2008) 37.5, and 38 of this chapter; and
(7) the person:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 10.1 of this
chapter is filed.
(b) Except as provided in subsection (h), in the case of real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the real property; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(c) Except as provided in subsection (h) and section 40.5 of this
chapter, in the case of a mobile home that is not assessed as real
property or a manufactured home which is not assessed as real
property, an individual's deduction under this section equals the
lesser of:
(1) one-half (1/2) of the assessed value of the mobile home or
manufactured home; or
(2) twelve thousand four hundred eighty dollars ($12,480).
(d) An individual may not be denied the deduction provided under
this section because the individual is absent from the real property,
mobile home, or manufactured home while in a nursing home or
hospital.
(e) For purposes of this section, if real property, a mobile home,
or a manufactured home is owned by:
(1) tenants by the entirety;
(2) joint tenants; or
(3) tenants in common;
only one (1) deduction may be allowed. However, the age
requirement is satisfied if any one (1) of the tenants is at least
sixty-five (65) years of age.
(f) A surviving spouse is entitled to the deduction provided by this
section if:
(1) the surviving spouse is at least sixty (60) years of age on or
before December 31 of the calendar year preceding the year in
which the deduction is claimed;
(2) the surviving spouse's deceased husband or wife was at least
sixty-five (65) years of age at the time of a death;
(3) the surviving spouse has not remarried; and
(4) the surviving spouse satisfies the requirements prescribed in
subsection (a)(2) through (a)(7).
(g) An individual who has sold real property to another person
under a contract that provides that the contract buyer is to pay the
property taxes on the real property may not claim the deduction
provided under this section against that real property.
(h) In the case of tenants covered by subsection (a)(2)(B), if all of
the tenants are not at least sixty-five (65) years of age, the deduction
allowed under this section shall be reduced by an amount equal to the
deduction multiplied by a fraction. The numerator of the fraction is
the number of tenants who are not at least sixty-five (65) years of
age, and the denominator is the total number of tenants.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1978,
P.L.33, SEC.1; Acts 1979, P.L.54, SEC.1; Acts 1980, P.L.39, SEC.9;
Acts 1981, P.L.25, SEC.3; Acts 1982, P.L.45, SEC.1; P.L.24-1986,
SEC.14; P.L.60-1986, SEC.1; P.L.332-1989(ss), SEC.6;
P.L.41-1992, SEC.1; P.L.48-1996, SEC.1; P.L.6-1997, SEC.46;
P.L.155-1999, SEC.1; P.L.291-2001, SEC.131; P.L.272-2003,
SEC.1; P.L.20-2004, SEC.1; P.L.219-2007, SEC.25; P.L.144-2008,
SEC.13; P.L.1-2010, SEC.22; P.L.113-2010, SEC.23.
IC 6-1.1-12-9.1
Repealed
(Repealed by Acts 1980, P.L.39, SEC.11.)
IC 6-1.1-12-10
Repealed
(Repealed by Acts 1980, P.L.40, SEC.2.)
IC 6-1.1-12-10.1
Persons over 65 or surviving spouse; filing claim
Sec. 10.1. (a) Except as provided in section 17.8 of this chapter
and subject to section 45 of this chapter, an individual who desires
to claim the deduction provided by section 9 of this chapter must file
a sworn statement, on forms prescribed by the department of local
government finance, with the auditor of the county in which the real
property, mobile home, or manufactured home is located. With
respect to real property, the statement must be filed during the year
for which the individual wishes to obtain the deduction. With respect
to a mobile home that is not assessed as real property or a
manufactured home that is not assessed as real property, the
statement must be filed during the twelve (12) months before March
31 of each year for which the individual wishes to obtain the
deduction. The statement may be filed in person or by mail. If
mailed, the mailing must be postmarked on or before the last day for
filing.
(b) The statement referred to in subsection (a) shall be in affidavit
form or require verification under penalties of perjury. The statement
must be filed in duplicate if the applicant owns, or is buying under
a contract, real property, a mobile home, or a manufactured home
subject to assessment in more than one (1) county or in more than
one (1) taxing district in the same county. The statement shall
contain:
(1) the source and exact amount of gross income received by the
individual and the individual's spouse during the preceding
calendar year;
(2) the description and assessed value of the real property,
mobile home, or manufactured home;
(3) the individual's full name and complete residence address;
(4) the record number and page where the contract or
memorandum of the contract is recorded if the individual is
buying the real property, mobile home, or manufactured home
on contract; and
(5) any additional information which the department of local
government finance may require.
(c) In order to substantiate the deduction statement, the applicant
shall submit for inspection by the county auditor a copy of the
applicant's and a copy of the applicant's spouse's income tax returns
for the preceding calendar year. If either was not required to file an
income tax return, the applicant shall subscribe to that fact in the
deduction statement.
As added by Acts 1980, P.L.40, SEC.1. Amended by Acts 1982,
P.L.44, SEC.2; Acts 1982, P.L.45, SEC.2; P.L.55-1988, SEC.3;
P.L.291-2001, SEC.132; P.L.90-2002, SEC.107; P.L.154-2006,
SEC.13; P.L.183-2007, SEC.2; P.L.144-2008, SEC.14.
IC 6-1.1-12-11
Deduction for blind or disabled person; limitations; contract
purchaser
Sec. 11. (a) Except as provided in section 40.5 of this chapter, an
individual may have the sum of twelve thousand four hundred eighty
dollars ($12,480) deducted from the assessed value of real property,
mobile home not assessed as real property, or manufactured home
not assessed as real property that the individual owns, or that the
individual is buying under a contract that provides that the individual
is to pay property taxes on the real property, mobile home, or
manufactured home, if the contract or a memorandum of the contract
is recorded in the county recorder's office, and if:
(1) the individual is blind or the individual has a disability;
(2) the real property, mobile home, or manufactured home is
principally used and occupied by the individual as the
individual's residence;
(3) the individual's taxable gross income for the calendar year
preceding the year in which the deduction is claimed did not
exceed seventeen thousand dollars ($17,000); and
(4) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 12 of this chapter
is filed.
(b) For purposes of this section, taxable gross income does not
include income which is not taxed under the federal income tax laws.
(c) For purposes of this section, "blind" has the same meaning as
the definition contained in IC 12-7-2-21(1).
(d) For purposes of this section, "individual with a disability"
means a person unable to engage in any substantial gainful activity
by reason of a medically determinable physical or mental impairment
which:
(1) can be expected to result in death; or
(2) has lasted or can be expected to last for a continuous period
of not less than twelve (12) months.
(e) An individual with a disability filing a claim under this section
shall submit proof of disability in such form and manner as the
department shall by rule prescribe. Proof that a claimant is eligible
to receive disability benefits under the federal Social Security Act
(42 U.S.C. 301 et seq.) shall constitute proof of disability for
purposes of this section.
(f) An individual with a disability not covered under the federal
Social Security Act shall be examined by a physician and the
individual's status as an individual with a disability determined by
using the same standards as used by the Social Security
Administration. The costs of this examination shall be borne by the
claimant.
(g) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.55, SEC.2; Acts 1981, P.L.25, SEC.4; Acts 1982, P.L.45, SEC.3;
P.L.332-1989(ss), SEC.7; P.L.49-1990, SEC.1; P.L.2-1992, SEC.57;
P.L.48-1996, SEC.2; P.L.6-1997, SEC.47; P.L.291-2001, SEC.133;
P.L.20-2004, SEC.2; P.L.99-2007, SEC.22; P.L.144-2008, SEC.15;
P.L.1-2010, SEC.23.
IC 6-1.1-12-12
Blind persons; filing claim; proof of blindness; contents of
application
Sec. 12. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, a person who desires to claim
the deduction provided in section 11 of this chapter must file an
application, on forms prescribed by the department of local
government finance, with the auditor of the county in which the real
property, mobile home not assessed as real property, or manufactured
home not assessed as real property is located. With respect to real
property, the application must be filed during the year for which the
individual wishes to obtain the deduction. With respect to a mobile
home that is not assessed as real property or a manufactured home
that is not assessed as real property, the application must be filed
during the twelve (12) months before March 31 of each year for
which the individual wishes to obtain the deduction. The application
may be filed in person or by mail. If mailed, the mailing must be
postmarked on or before the last day for filing.
(b) Proof of blindness may be supported by:
(1) the records of the division of family resources or the
division of disability and rehabilitative services; or
(2) the written statement of a physician who is licensed by this
state and skilled in the diseases of the eye or of a licensed
optometrist.
(c) The application required by this section must contain the
record number and page where the contract or memorandum of the
contract is recorded if the individual is buying the real property,
mobile home, or manufactured home on a contract that provides that
the individual is to pay property taxes on the real property, mobile
home, or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.12; Acts 1982, P.L.44, SEC.3; Acts 1982, P.L.45,
SEC.4; P.L.41-1987, SEC.4; P.L.55-1988, SEC.4; P.L.2-1992,
SEC.58; P.L.4-1993, SEC.9; P.L.5-1993, SEC.21; P.L.291-2001,
SEC.134; P.L.90-2002, SEC.108; P.L.177-2002, SEC.2;
P.L.141-2006, SEC.9; P.L.145-2006, SEC.16; P.L.154-2006,
SEC.14; P.L.1-2007, SEC.40; P.L.183-2007, SEC.3; P.L.144-2008,
SEC.16; P.L.146-2008, SEC.108; P.L.1-2009, SEC.29.
IC 6-1.1-12-13
Deduction for veteran with partial disability; limitations; surviving
spouse; contract purchaser
Sec. 13. (a) Except as provided in section 40.5 of this chapter, an
individual may have twenty-four thousand nine hundred sixty dollars
($24,960) deducted from the assessed value of the taxable tangible
property that the individual owns, or real property, a mobile home
not assessed as real property, or a manufactured home not assessed
as real property that the individual is buying under a contract that
provides that the individual is to pay property taxes on the real
property, mobile home, or manufactured home, if the contract or a
memorandum of the contract is recorded in the county recorder's
office and if:
(1) the individual served in the military or naval forces of the
United States during any of its wars;
(2) the individual received an honorable discharge;
(3) the individual has a disability with a service connected
disability of ten percent (10%) or more;
(4) the individual's disability is evidenced by:
(A) a pension certificate, an award of compensation, or a
disability compensation check issued by the United States
Department of Veterans Affairs; or
(B) a certificate of eligibility issued to the individual by the
Indiana department of veterans' affairs after the Indiana
department of veterans' affairs has determined that the
individual's disability qualifies the individual to receive a
deduction under this section; and
(5) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 15 of this chapter
is filed.
(b) The surviving spouse of an individual may receive the
deduction provided by this section if the individual would qualify for
the deduction if the individual were alive.
(c) One who receives the deduction provided by this section may
not receive the deduction provided by section 16 of this chapter.
However, the individual may receive any other property tax
deduction which the individual is entitled to by law.
(d) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.5.) As
amended by Acts 1982, P.L.45, SEC.5; P.L.68-1983, SEC.1;
P.L.60-1985, SEC.1; P.L.1-1990, SEC.68; P.L.6-1997, SEC.48;
P.L.123-1999, SEC.1; P.L.291-2001, SEC.135; P.L.20-2004, SEC.3;
P.L.99-2007, SEC.23; P.L.144-2008, SEC.17; P.L.1-2010, SEC.24.
IC 6-1.1-12-14
Deduction for totally disabled veteran or veteran age 62 and
partially disabled; surviving spouse; contract purchaser
Sec. 14. (a) Except as provided in subsection (c) and except as
provided in section 40.5 of this chapter, an individual may have the
sum of twelve thousand four hundred eighty dollars ($12,480)
deducted from the assessed value of the tangible property that the
individual owns (or the real property, mobile home not assessed as
real property, or manufactured home not assessed as real property
that the individual is buying under a contract that provides that the
individual is to pay property taxes on the real property, mobile home,
or manufactured home if the contract or a memorandum of the
contract is recorded in the county recorder's office) if:
(1) the individual served in the military or naval forces of the
United States for at least ninety (90) days;
(2) the individual received an honorable discharge;
(3) the individual either:
(A) has a total disability; or
(B) is at least sixty-two (62) years old and has a disability of
at least ten percent (10%);
(4) the individual's disability is evidenced by:
(A) a pension certificate or an award of compensation issued
by the United States Department of Veterans Affairs; or
(B) a certificate of eligibility issued to the individual by the
Indiana department of veterans' affairs after the Indiana
department of veterans' affairs has determined that the
individual's disability qualifies the individual to receive a
deduction under this section; and
(5) the individual:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 15 of this chapter
is filed.
(b) Except as provided in subsection (c), the surviving spouse of
an individual may receive the deduction provided by this section if
the individual would qualify for the deduction if the individual were
alive.
(c) No one is entitled to the deduction provided by this section if
the assessed value of the individual's tangible property, as shown by
the tax duplicate, exceeds one hundred forty-three thousand one
hundred sixty dollars ($143,160).
(d) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under this section against that real property, mobile home,
or manufactured home.
(Formerly: Acts 1975, P.L.47, SEC.1; Acts 1975, P.L.21, SEC.6.) As
amended by Acts 1982, P.L.45, SEC.6; P.L.68-1983, SEC.2;
P.L.60-1985, SEC.2; P.L.332-1989(ss), SEC.8; P.L.1-1990, SEC.69;
P.L.48-1996, SEC.3; P.L.6-1997, SEC.49; P.L.123-1999, SEC.3;
P.L.291-2001, SEC.136; P.L.272-2003, SEC.2; P.L.20-2004, SEC.4;
P.L.219-2007, SEC.26; P.L.99-2007, SEC.24; P.L.144-2008,
SEC.18; P.L.3-2008, SEC.35; P.L.1-2009, SEC.30.
IC 6-1.1-12-15
Claim by veteran; guardianship; contract purchaser
Sec. 15. (a) Except as provided in section 17.8 of this chapter and
subject to section 45 of this chapter, an individual who desires to
claim the deduction provided by section 13 or section 14 of this
chapter must file a statement with the auditor of the county in which
the individual resides. With respect to real property, the statement
must be filed during the year for which the individual wishes to
obtain the deduction. With respect to a mobile home that is not
assessed as real property or a manufactured home that is not assessed
as real property, the statement must be filed during the twelve (12)
months before March 31 of each year for which the individual wishes
to obtain the deduction. The statement may be filed in person or by
mail. If mailed, the mailing must be postmarked on or before the last
day for filing. The statement shall contain a sworn declaration that
the individual is entitled to the deduction.
(b) In addition to the statement, the individual shall submit to the
county auditor for the auditor's inspection:
(1) a pension certificate, an award of compensation, or a
disability compensation check issued by the United States
Department of Veterans Affairs if the individual claims the
deduction provided by section 13 of this chapter;
(2) a pension certificate or an award of compensation issued by
the United States Department of Veterans Affairs if the
individual claims the deduction provided by section 14 of this
chapter; or
(3) the appropriate certificate of eligibility issued to the
individual by the Indiana department of veterans' affairs if the
individual claims the deduction provided by section 13 or 14 of
this chapter.
(c) If the individual claiming the deduction is under guardianship,
the guardian shall file the statement required by this section.
(d) If the individual claiming a deduction under section 13 or 14
of this chapter is buying real property, a mobile home not assessed
as real property, or a manufactured home not assessed as real
property under a contract that provides that the individual is to pay
property taxes for the real estate, mobile home, or manufactured
home, the statement required by this section must contain the record
number and page where the contract or memorandum of the contract
is recorded.
(Formerly: Acts 1975, P.L.47, SEC.1.) As amended by Acts 1979,
P.L.56, SEC.13; Acts 1982, P.L.44, SEC.4; Acts 1982, P.L.45,
SEC.7; P.L.55-1988, SEC.5; P.L.1-1990, SEC.70; P.L.123-1999,
SEC.5; P.L.291-2001, SEC.137; P.L.177-2002, SEC.3;
P.L.154-2006, SEC.15; P.L.183-2007, SEC.4; P.L.144-2008,
SEC.19.
IC 6-1.1-12-16
Deduction for surviving spouse of veteran; limitations; contract
purchaser
Sec. 16. (a) Except as provided in section 40.5 of this chapter, a
surviving spouse may have the sum of eighteen thousand seven
hundred twenty dollars ($18,720) deducted from the assessed value
of his or her tangible property, or real property, mobile home not
assessed as real property, or manufactured home not assessed as real
property that the surviving spouse is buying under a contract that
provides that the surviving spouse is to pay property taxes on the real
property, mobile home, or manufactured home, if the contract or a
memorandum of the contract is recorded in the county recorder's
office, and if:
(1) the deceased spouse served in the military or naval forces of
the United States before November 12, 1918;
(2) the deceased spouse received an honorable discharge; and
(3) the surviving spouse:
(A) owns the real property, mobile home, or manufactured
home; or
(B) is buying the real property, mobile home, or
manufactured home under contract;
on the date the statement required by section 17 of this chapter
is filed.
(b) A surviving spouse who receives the deduction provided by
this section may not receive the deduction provided by section 13 of
this chapter. However, he or she may receive any other deduction
which he or she is entitled to by law.
(c) An individual who has sold real property, a mobile home not
assessed as real property, or a manufactured home not assessed as
real property to another person under a contract that provides that the
contract buyer is to pay the property taxes on the real property,
mobile home, or manufactured home may not claim the deduction
provided under th