Occasionally it is necessary for the Indiana Department of Revenue (DOR) to issue bills for unpaid taxes. If your account falls into the collection process, it is important to understand each billing stage and its deadline. For more information call 317-232-2240.
Stages of Collection
The stages of collection are:
Please click the appropriate link above for further important information related to each stage. The "demand notice for payment" link includes information about possible remedies to address the demand before it becomes a warrant for collection of tax.
DOR accepts the following forms of payment MasterCard, Visa, and Electronic check. A convenience fee based on the payment amount applies to all electronic payments. There is no charge for making payments using your bank account. All payments should be made using INTIME. To pay, you will need:
- A copy of your bill with your Letter ID
- Tax identification (TID)
- Credit card information and payment amount
- If paying by electronic check, you will need both your routing and account numbers
Indiana Department of Revenue
P.O. Box 595
Indianapolis, IN 46206-0595
You will need to have your taxpayer identification number or Social Security number and Letter ID. This information is available from any of the previous notices that you have received. If a faulty payment is submitted such as a bad check, a penalty will be incurred.
Set Up a Payment Plan
DOR has an online payment system through INTIME that allows taxpayers to set up a payment plan and or pay their bill in full. Generally, in order to establish a payment plan, the amount of tax due must be greater than $100. A 10% penalty will still be incurred and interest will continue to accrue until the tax debt is paid in full.
Anyone who owes is strongly encouraged to pay their bill in full to avoid further penalty and interest. Payment plans can be set from 3 to 36-month increments, depending on the amount of the tax bill. Hoosiers wishing to take advantage of this option can find out if they are eligible by accessing INTIME. A step-by-step guide is available to help Set Up a Payment Plan with INTIME.
There are exceptions for the amount of the penalty for specific tax types. If you have additional questions on the exceptions for penalties, you may call 317-232-2240.
The Appeal Process
You may protest a Proposed Assessment Bill by sending a written request and a copy of the bill to DOR within 60 days of the bill date. The protest request letter should detail the reason for your protest and be signed and dated.
To protest only the penalty, use the same process. The protest letter should also include the specific reason for protesting only the penalty.
You may represent yourself or choose someone else you feel is qualified. DOR must have a completed power of attorney form to discuss your account with anyone other than you. You can use the Power of Attorney (POA-1) form or the Internal Revenue Service form. If you use the IRS form, the appropriate state information must be provided.
If you are unable to resolve the protest after initially contacting DOR, you may request a hearing by writing to the department’s legal division at:
Indiana Department of Revenue
P.O. Box 1104
Indianapolis, IN 46206-1104
The protest will not be settled at the hearing. Within 60 days of the hearing DOR will issue a decision in a Letter of Findings. If, during the hearing, you find that you need additional time to gather facts, we may continue the hearing until all the facts can be supplied.
Appeals to the Tax Court
If you disagree with the result of the Letter of Findings, you may appeal to the Indiana Tax Court within 60 days. You may either:
- Request the court to prevent DOR from collecting the tax. However, interest will continue to accrue on the tax due; or
- Have paid the tax and your claim for refund was denied based on the Letter of Findings: you may then appeal directly to the tax court. You have 90 days from the date a refund claim was denied to file suit.
- See more on appeals