Due to a recent document audit, we are updating our version of Indiana State Form 51781 (Cx14885 IN Property Tax Benefits), to align with the updated model form that is available on the Indiana Department of Local Government Finance site located here. This form is required to be provided to customers, in connection with first-lien purchase money mortgage transactions (or refinancing transactions) secured by a single-family residence, or consumer loans secured by an interest in land, by closing agents or lenders under Ind. Code Ann. §§ 6-1.1-12-43 & 24-4.5-3-701.
In addition to minor verbiage changes for all deductions, the form has been modified in each of the columns (Deduction/Max Amount/Eligibility Requirements) most specifically in the areas of 65 Deduction, the Over 65 Circuit Breaker Credit, and the Disabled Veteran Deduction. Notable changes include:
- Language has been added reflecting that an application for all deductions must be completed and signed on or before December 31 and filed on or before the following January 5 of the calendar year in which the property taxes are first due and payable.
- The adjusted gross income limitation for purposes of eligibility for the Over 65 Deduction as well as the 65 Circuit Breaker Credit Deduction has been updated to reflect the new limits.
- The assessed value cap has been increased under the sections: Over 65 deduction, the 65 Circuit Breaker Credit Deduction, and the Deduction under the Totally Disabled Veteran at least 62 with disability of 10% or More.
- The deduction amounts under the titles: Over 65 Deduction and for those Totally Disabled Veteran or Veteran at Least 62 with Disability of 10% or More was updated.
- Language was added for the surviving spouse’s eligibility for the deduction for Totally Disabled Veteran at least 62 with Disability of 10% or More to reflect the following criteria: (1) the veteran satisfied the above eligibility requirements at the time of death; or (2) the veteran was killed in action, died while serving on active duty, or while performing inactive duty training.
These changes will be in effect on June 29, 2021. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.