How To Reduce Property Taxes

The county government offers several ways for property owners to reduce property taxes.

These deductions work by reducing the amount of assessed value a taxpayer pays

on a given parcel of property. Application for deductions must be completed and dated not later than December 31 annually.

Generally, taxpayers do not need to reapply for deductions annually. Reapplication should only occur if the property is sold, the title is changed or the home is refinanced (mortgage deduction only).

Deductions applied for prior to the December 31st annual deadlines will be applied to the following year's tax bill. For example, a homeowner who completes and dates an application for a deduction by December 31,2023, and files the application on or before January 5, 2024, will see the deduction applied to the 2023 calendar year taxes which are payable spring/fall 2024.

Here is the list of the Indiana's most common deductions:

Homestead Deduction / Credit — You own a home or are buying on a recorded contract, and use it as your primary residence.

Mortgage Deduction — You are buying property on a recorded mortgage or a recorded contract.

Deduction for Persons Over 65 or Surviving Spouses — You own property or a mobile home or are buying one on a recorded contract, and you are 65 or older.

Deduction for Blind or Disabled Persons - You own property or are buying on a recorded contract, use it as your primary place of residence.

Disabled Veteran Deduction - You are a Disabled Veteran or a Veteran of World War I.

Solar Energy System/Geothermal Device Deduction - You own a home that has a solar energy system or geothermal device.

Model Residence Deduction - You are a builder and own a residence that is used as a Model Residence.

Residence in Inventory Deduction - You are a builder and own a residence that is not used as a Model Residence but is a Residence in inventory.

The list of property tax deductions may change over time. Contact your county auditors' office for all questions regarding deductions and eligibility. (Here’s a link to Allen County, Indiana deductions as of April 2024 - https://www.allencounty.in.gov/254/Deduction-Forms )