Last updated: September 2026

Indiana Income Tax Calculator

Indiana taxes income at a flat 2.95% for 2026 after a $1,000 exemption, about $2,331 on an $80,000 salary. Every county adds its own income tax on the same income, from 0.5% to 3%. In Marion County, home to Indianapolis, it is 2.02%, another $1,596, so the county share can come close to the state's.

Indiana tax data current for 2025 & 2026 · 2027 available as a projection · Updated for the One Big Beautiful Bill Act

Estimate Your Tax Bill

Income
$
$

SE tax and the deductible half are calculated automatically.

$
Deduction
Standard deduction —

Results update automatically as you type.

Estimated Total Tax
—
federal + state + SE
Wages / Salary —
Total Income —
Adj. Gross Income —
Standard Deduction —
Taxable Income —
Federal Income Tax —
Total Tax —
Effective Rate
—
total tax / total income
Marginal Rate
—
federal, on last dollar

Estimate only. Does not include credits, AMT, or investment income at preferential rates.

Federal Tax Bracket Breakdown

Enter your income above to see how your tax is calculated bracket by bracket.

Indiana Income Tax at Common Salaries (2026)

Estimated annual federal and Indiana state income tax for a single filer, after the standard deduction. Numbers reflect the 2026 IRS tax tables and the 2026 Indiana state tax schedule. FICA (Social Security and Medicare) is not income tax — see the calculator above for full paycheck modeling.

Salary Federal Tax IN Tax Total Income Tax Effective Rate
$40,000 $2,620 $1,151 $3,771 9.4%
$60,000 $5,020 $1,741 $6,761 11.3%
$80,000 $8,770 $2,331 $11,101 13.9%
$100,000 $13,170 $2,921 $16,091 16.1%
$150,000 $24,734 $4,396 $29,130 19.4%
$200,000 $36,734 $5,871 $42,605 21.3%

Single filer using the standard deduction. No tax credits, itemized deductions, or pre-tax adjustments.

What's different about Indiana income tax

A flat rate that keeps falling

The state rate was 3.0% for 2025, is 2.95% for 2026, and drops to 2.90% for 2027, according to the Department of Revenue.

County tax depends on where you lived on January 1

Your county income tax rate is set by the Indiana county you lived in on January 1 and applies for the whole year, even if you move. If you lived outside Indiana on January 1 but your main job was in an Indiana county, that county's rate applies. Rates for 2026 run from 0.5% in Porter County to 3% in Randolph County. Some of the largest: Marion 2.02%, Allen (Fort Wayne) 1.59%, Lake 1.5%, St. Joseph (South Bend) 1.75%, and Hamilton 1.1%. Counties can change rates in January and October. The calculator above includes every county: pick yours from the County list.

Exemptions instead of a standard deduction

Indiana has no standard deduction. Each filer gets a $1,000 exemption, $2,000 on a joint return, plus $1,000 for each dependent. Dependent children under 19, or full-time students under 24, get an extra $1,500, or $3,000 in the first year they qualify. Being 65 or older adds $1,000, being blind adds $1,000, and people 65 or older with income under $40,000 get another $500. Each adopted child adds $3,000.

Deductions for renters and homeowners

Renters can deduct the rent paid on their main home in Indiana, up to $3,000. Homeowners can deduct property tax paid on their home, up to $2,500. Parents can also deduct $1,000 for each child in private school or homeschool.

What Indiana doesn't tax

Social Security and railroad retirement benefits are subtracted in full, along with interest on U.S. government bonds. Active-duty military pay qualifies for its own deduction.

Indiana tax credits (2025 returns)

Credits come off the tax itself, after the brackets. The calculator applies only the ones marked; the rest depend on your family and income, so subtract any you qualify for from the estimate.

Credit Amount Who gets it In calculator
Indiana earned income credit 10% of the federal EIC Filers who claimed the federal EIC, with Indiana income under $68,650 No
Unified tax credit for the elderly Depends on income and filing status Residents 65 or older with income under $10,000 No
Credit for local taxes paid outside Indiana Up to your Indiana county tax Residents who paid a local income tax in another state No

Indiana Income Tax Brackets (2026)

Indiana has a flat income tax of 2.95% for 2026. Both single and joint filers pay the same rate on all taxable income.

Personal exemption
$1,000 single · $2,000 joint

2026 update:Effective 1/1/2026. The 2025 rate was 3.0%; Indiana's flat rate is scheduled to continue declining toward 2.9% in coming years.

Taxable income equals gross wages minus pre-tax deductions and the personal exemption.

Filing and paying Indiana income tax

Return
Form IT-40 for full-year residents, with Schedule CT-40 for county tax, due April 15. With a federal extension you don't need a separate Indiana form; without one, file Form IT-9. Either way, pay 90% of the tax by April 15.
Withholding
Indiana uses Form WH-4, which also tells your employer your county of residence and employment on January 1.
Estimated payments
Form ES-40 covers both state and county tax, due April 15, June 15, and September 15, 2026, and January 15, 2027.

To see how Indiana sits against every other state on top rate, bracket count and standard deduction, see state income tax rates for 2026 — all 51 jurisdictions in one sortable table.

How Indiana Income Tax Compares to Neighboring States

Total income tax (federal + state) on a $100,000 annual salary in 2026, single filer using the standard deduction:

State State Tax Total Income Tax vs. Indiana
Indiana (here) $2,921 $16,091 —
Illinois $4,805 $17,975 +$1,885
Kentucky $3,382 $16,552 +$462
Ohio $1,981 $15,151 -$939
Michigan $3,999 $17,169 +$1,079

A negative "vs." figure means that state collects less total income tax than Indiana. Federal portion is identical across states; only state tax varies.

Frequently Asked Questions

What is the Indiana state income tax rate for 2026?

Indiana has a flat 2.95% state income tax rate for 2026. The rate is the same regardless of income — applied to taxable income after the personal exemption. Federal rates (10%–37%) layer on top.

How much income tax will I pay in Indiana on a $100,000 salary?

For a single filer earning $100,000 in Indiana in 2026, expect approximately $13,170 in federal income tax and $2,921 in Indiana state income tax — for a total income tax of about $16,091, an effective rate of 16.1%. This excludes FICA (Social Security and Medicare), which adds roughly 7.65% on top.

What is the Indianapolis income tax rate?

Marion County's rate is 2.02% for 2026, on top of the 2.95% state rate, for a combined 4.97% of income after exemptions.

Which county tax do I pay if I move during the year?

The county where you lived on January 1. Its rate applies to the whole year. The new county's rate starts the following January.

Does Indiana tax Social Security?

No. Taxable Social Security benefits are subtracted in full on Schedule 2, as are railroad retirement benefits.

Can renters get a tax break in Indiana?

Yes. You can deduct the rent you paid on your main Indiana home, up to $3,000 a year. At the combined state and Marion County rate that is worth about $149.

For the preferential federal rates on long-term gains, see the Capital Gains Tax Calculator. For the federal brackets, standard deduction, and Social Security wage base that sit underneath this state calculation, see 2026 Tax Calculators.

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