Serving the Greater Area of Indianapolis, Indiana
Home Tax Exemptions
Stewart Title is committed to providing useful information for buyers, sellers and agents. That includes information about homestead credits, mortgage deductions and where to file home tax exemptions. The most important tip we can share? File tax exemptions in a timely manner – four to six weeks after closing.
Homestead credit – If you own a home or are buying on a recorded contract, and use it as your primary place of residence, your home and up to one acre of land could qualify for a homeowner’s deduction. The deduction is either 60% of your assessed valuation or $45,000, whichever is less. The homestead credit amount equals up to 25% (17% state, 8% county) of your gross tax according to current Indiana code (IC 6-1.1-20.9), depending on your taxing district.
Mortgage deduction – Beginning January 1, 2023, individuals will no longer be able to apply for this property tax deduction, and county auditors will no longer apply the mortgage deduction to property tax bills beginning with the 2023 pay 2024 cycle. To learn more about tax exemptions in your area, click on the county where your property is located.