If you are required to file personal property taxes in Indiana, here are a few important changes you should know about when filing for 2016. Last spring, Governor Mike Pence signed into law Senate Enrolled Act 436 making changes to Indiana Personal Property Tax laws. Section 3 of SEA 436 changed the Indiana assessment date from March 1st to January 1st starting in 2016. The bill also enhanced abatements, required two locations in the same township to be filed on one return, and provided filing exemptions for taxpayers with $20,000 or less in personal property.
Assessment Date Change
Due to the change in assessment date to January 1, 2016, assets will be reported from March 2, 2015 through January 1, 2016. The filing due date of May 15 still remains the same as prior years.
Enhanced Abatement Opportunity
Now the designating body can grant an enhanced abatement on qualifying personal property for up to twenty years (commonly referred to as a super abatement). In prior years, the maximum abatement allowed was ten years.
Single Return Filing for Multiple Locations
A taxpayer with personal property located in more than one township in a county; or personal property located in two or more taxing districts within the same township – must file a single return with the county assessor and attach a schedule listing, by township, all the taxpayer’s personal property and the property’s assessed value. This means two locations in the same township will be filed on one return instead of each filing separate returns.
Filing Exemptions for Taxpayers with Less than $20,000 in Personal Property
Business personal property owners with an unadjusted cost of personal property of less than $20,000 are exempt and are not required to file a personal property tax return with the county assessor. If you qualify for this exemption, then you must file a notarized Certification of Eligibility for Personal Property Exemption with the county assessor by May 15th. This form will need to be filed each year as long as the business’ total unadjusted cost of personal property is less than $20,000.
