Updates to IN Property Tax Benefits (Cx14885)

Indiana recently enacted major property tax reforms through Senate Enrolled Act 1 (SEA 1) and House Enrolled Act 1427 (HEA 1427). These laws restructure how certain deductions and credits are applied, phase out or eliminate others, and update filing requirements. In response, the Indiana Department of Local Government Finance (DLGF) released a revised version of the Indiana Property Tax Benefits form (State Form 51781).

Docutech’s Cx14885 IN Property Tax Benefits is a copy of this state model form. To remain compliant with state requirements, we have updated Cx14885 IN Property Tax Benefits to align with the new model.

Key Changes that have been made to the form:

• Homestead Deduction
  This section has been updated to reflect new legislation that phases the deduction out between 2025 and 2030, with full elimination beginning in 2030.
• Supplemental Homestead Deduction
  This deduction now increases incrementally from 40% in 2026 to 66.7% in 2031, with a new cap of 75% of the property’s gross assessed value.
• Conversion of Deductions to Credits
  The Over 65 Deduction and the Blind/Disabled Deduction have been converted into credits.
• Elimination of Certain Expired Deductions
  The deductions for solar, wind, geothermal, hydroelectric, fertilizer/pesticide storage, and rehabilitation of residential property have been eliminated.
• Instruction Updates
  • Clarifies that certain deduction and credit application forms must be filed directly with the county auditor, with a new deadline of January 15 (previously January 5).
  • Inclusion of web links to IN DLGF resources
• Minor formatting changes have been made throughout

These changes are available for testing on Stage & Stage 2 servers and will take effect on October 14, 2025. If you have any questions or concerns, please contact Client Support at 1.800.497.3584.

LEG-3337
COM-6647
DR-197710

The preceding is for informational purposes only and is not and may not be construed as legal advice. No third-party entity may rely upon anything contained herein when making legal and/or other determinations regarding its practices, and such third-party should consult with an attorney prior to embarking upon any specific course of action.