Business Inventory Tax
Business inventory is taxed. Manufacturers may have inventories assessed on average annual value.
Corporate Income Tax
Rate: 8.5% of adjusted gross income.
Personal Income Tax
Rate: 3.4% of adjusted gross income. If you operate your business as an S corporation, partnership, limited liability company or sole proprietorship, you may be subject to a 3.4% personal income tax on your business' income that is not taxed at the corporate level, but instead passes through to you and any other business partners or shareholders.
Personal Property Tax
Taxable. Indiana is one of the 38 states that collect property taxes at both the state and local levels. Indiana does not collect taxes on intangible property.
State Sales and Use Tax
Base Rate: 6%
Machinery Rate: none
There is an exemption for sales of manufacturing machinery for direct use in manufacturing, producing, etc., tangible personal property.
Unemployment Insurance
The new employers' rate in Indiana is 2.7% for 3 years.
