Indiana Property Tax Rebate

Indiana property tax rebates were approved in 2007 by the Governor.  Each county in Indiana was allowed to determine both when they paid the rebate and whether they paid the rebate directly to the homeowner or to the escrow account of the homeowner. 

The Indiana Department of Revenue has decided how these rebates are to be reported on your Indiana taxes.  Taxpayers must net the amount paid with the amount rebated and report this amount as property taxes paid.  This means that some Indiana taxpayers will be doing this on their 2007 returns and others will handle it on their 2008 returns.

Expect there to be a lot of confusion and errors this year and next.

Mike Sylvester, CPA