Indiana Sales Tax

On this page you will find handy sales and use tax information about Indiana.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Indiana that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Rate

7.000%

Range of Local Rates

0%

Local Rates Apply to Use Tax

N/A

ECONOMIC NEXUS

10/1/2018 – see state notice

MARKETPLACE NEXUS

7/1/2019

Status

Inactive

Amnesty Filing Dates

September 15, 2015 - November 16, 2015

Go to Indiana Amnesty Page
AMNESTY INCLUSION PERIODS

Applies to unpaid tax liability for a listed tax that was due and payable for a tax period ending before January 1, 2013.

TAX TYPES AND CONDITIONS

Income tax, sales tax, withholding tax, inheritance tax, estate tax and generation-skipping transfer tax liabilities.

Ineligible if participated in 2005 or SST amnesty.  Prohibited from participating in future amnesty.  Non participants subject to double penalty for any liability discovered post amnesty. More Details.

AMNESTY BENEFITS

Interest, penalties and collection fees waived.

Status

Inactive

Amnesty Filing Dates

May 2, 2018 - June 30, 2019

Go to Indiana Amnesty Page
AMNESTY INCLUSION PERIODS

Taxes due after January 1, 2017.

TAX TYPES AND CONDITIONS

Sales, use, and income taxes.

To qualify, a retailer must meet these qualifications:

• Applicant has inventory located in a third-party Indiana warehouse and sells to Indiana customers.
• Never filed tax returns in Indiana for tax type in question.
• Never registered for tax type in question.
• Never been audited or contacted by DOR about tax type in question.

AMNESTY BENEFITS

Waiver of all taxes prior to 2017, waiver of penalties and interest.

Administration Information
Streamlined Sales Tax Status

Full Member

NUMBER OF TAXING AUTHORITIES

1 Sales Tax Jurisdiction

HOME RULE AUTHORITIES

N/A

Sales Tax Sourcing (Intrastate)

Destination

Sales Tax Return Due Date

Monthly filers: (1) 20th of month following reporting period if average monthly sales and use tax liability in preceding year exceeded $1,000, or if filing combined sales/withholding tax return and withholding tax return is due by 20th; (2) 30th of month following reporting period if average monthly sales and use liability in preceding year did not exceed $1,000. Annual filers: last day of month following reporting period.

Exemption Information
RESALE CERTIFICATE

Indiana Resales Certificate

TYPES OF EXEMPTIONS

Product types of exemptions: Services, unprepared grocery food items, health care items, public transportation

 

Entity types of exemptions: purchases by government agencies, school districts, and nonprofits, utilities

 

Indiana Exemption Certificate Forms

State Links
History & Fun Facts
HISTORY

  • Indiana enacted its gross retail sales and use tax in 1963.
  • In 2004, Indiana enacted legislation to conform with the Streamlined Sales and Use Tax Agreement.

FUN FACTS
  • In Indiana, marshmallow crème is exempt from sales tax but marshmallows are not. Candy is taxable in Indiana and marshmallows are considered a candy because they are a preparation of sweeteners and flavorings in the form of pieces.

Indiana Enacts Marketplace Nexus Legislation

Indiana has enacted legislation with marketplace nexus provisions, effective July 1, 2019.

State Notices & Resources for Remote Sellers

Use this state by state guide to find each state\’s initial guidance on how to proceed post-Wayfair, state resources such as FAQs, and any state activity such as going through a legislative process that impacts remote sellers.

Economic Nexus State by State Chart

Key information such as effective dates, thresholds, and includable sales for out-of-state sellers making sales into states that have enacted economic nexus legislation both before and after the South Dakota v. Wayfair Supreme Court decision.

October 1, 2018 Remote Seller Deadline for Multiple States

The October 1, 2018 remote seller compliance deadline is approaching for a number of states. Click on the links below for our previous news items with more details. Alabama Enacts Economic Nexus Provision Illinois Enacts Economic Nexus Legislation Indiana Enacts…

House Introduces Online Sales Simplicity and Small Business Relief Act of 2018

On September 13, 2018, Rep. Jim Sensenbrenner (R-WI) and additional U.S. House members introduced the Online Sales Simplicity and Small Business Relief Act of 2018.

Indiana Enacts Economic Nexus Legislation

Effective July 1, 2017, Indiana requires remote sellers to collect and remit sales tax on sales of tangible personal property, products transferred electronically, and services delivered in Indiana if gross revenue or number of sales exceed a certain threshold.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

Midwest State Tax Updates You May Have Missed

In sales tax, legislative updates and law changes are a constant. It is virtually impossible to keep up with all of the changes taking place in the states where you conduct business, especially if there are more than one. But…

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.

Multistate Tax Commission Announces Tax Amnesty Program for Online Sellers

The MTC organized a tax amnesty program for online sellers, running from August 17 to November 1, 2017. The voluntary disclosure program allowed sellers to start remitting sales tax on future sales without penalty or liability for unpaid, prior accumulated sales tax in 25 participating states.

No Regulation Without Representation Act of 2017 Introduced

Under the proposed House bill, a state may tax or regulate a person’s activity in interstate commerce only when the person is physically present in the state during the period in which the tax or regulation is imposed.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

House Introduces Remote Transactions Parity Act of 2015

U.S. House of Representatives introduced the Remote Transactions Parity Act of 2015 on 06/15/15. More…

Senate Introduces Marketplace Fairness Act of 2015

On March 10, 2015, a bipartisan group of senators introduced the Marketplace Fairness Act of 2015.

Federal Government Introduces New Remote Seller Bill

The federal Marketplace Fairness Act of 2013 was introduced in the House of Representatives and the Senate on February 14, 2013. If passed, the bill would authorize states that meet certain requirements to require remote sellers that do not meet…

Vendor list must be provided to the Indiana Department of Revenue.

Purchasing agents for the department of administration and state educational institutions must provide the department of revenue with a list of vendors who want to sell them property or services. The department will do a check and get back to…