IN.gov - Skip Navigation

Note: This message is displayed if (1) your browser is not standards-compliant or (2) you have you disabled CSS. Read our Policies for more information.

Amber Alert
Amber Alert - TEST
  • Tax Amnesty
  • tax talk widget
  • tax_videolibrary_widget
  • transparency_widget

Indiana Department of Revenue

DOR > Tax Talk Blog > Local income tax rates change for a few Indiana counties Local income tax rates change for a few Indiana counties

Oct. 7, 2013 TaxTalk Blog

Local income tax rates are established or adjusted by county officials and annually reported to the department. Departmental Notice #1 has recently been updated with a few counties’ changes, which can affect individuals, businesses and tax professionals.

Allen, Hancock, Jasper, Madison, and Washington counties changed their withholding rates, which became effective Oct. 1, 2013. In addition, Lake County has adopted a county tax, making them the last county in the state to do so. (For specific questions about the impact of Lake County tax, see the FAQs at www.in.gov/dor/files/lake-county-loit-faqs.pdf. )

The rate changes are as follows:

  • Allen – The resident rate has increased to .0135; the nonresident rate has increased to .006375.
  • Hancock – The resident rate has increased to .0165. The nonresident rate has increased to .0045.
  • Jasper – The resident rate has decreased to .02964; the nonresident rate remains unchanged at .005.
  • Lake – The resident rate is .015; the nonresident rate is .005.
  • Madison – The nonresident rate has decreased to .004375.
  • Washington – The resident rate has increased to .02; the nonresident rate remains unchanged at .0075.

This year Indiana law was changed to allow counties’ local tax rates to change no more than twice throughout the year (previously, changes could occur up to three times a year). Rates adopted by the county:

  • from Jan. 1 through Sept. 30 take effect Oct. 1, 2013.
  • after Sept. 30 but before Nov. 1 take effect Jan. 1, 2014.

Keep an eye on the department’s website for more changes to take effect on Jan. 1, 2014.


If you would like to submit a question or topic suggestions, please send them to feedback@dor.in.gov
Follow us on Facebook and Twitter. Facebook   Twitter

.

Recent Posts

  • Tax Amnesty 2015 Eligibility Period Overview
    August 24, 2015

    Are you one of the 260,000 Indiana taxpayers eligible to participate in Tax Amnesty 2015? Read more...

  • Tax Amnesty 2015 Letters Coming Soon to Eligible Taxpayers
    August 19, 2015

    More than 260,000 Indiana taxpayers are eligible to participate in Tax Amnesty 2015. These taxpayers soon will receive a letter from the Indiana Department of Revenue announcing their eligibility. Read more...

Archives

Full Archive...

Categories