Department of Local Government Finance discusses legislative changes to the requirements for proving a homeowner’s right to Indiana’s Homestead Deduction.

Hoosiers may claim a homestead deduction for their principal place of residence.  Effective July 1, 2012, Indiana law changed regarding the proof a county auditor may require from a taxpayer to show that a home is the taxpayer’s principal place of residence.  The Department of Local Government … [Read more...]

State Tax Developments for Energy and Resources for June 2012

My colleague Benjamin Blair has prepared his monthly update, State Tax Developments for Energy and Resources for June 2012, which can be viewed at and begins: State tax laws are constantly in flux, particularly for taxpayers in the energy and resources industries. From … [Read more...]

“Bare bones” cost approach falls short in property tax appeal for assisted living care facility, where the valuation expert failed to consider “indirect” or “soft” costs and “entrepreneurial profit.” The assessor’s “sound value” assessment was upheld.

A valuation expert’s failure to quantify "indirect" or "soft" costs and entrepreneurial profit were key mistakes at the heart of the Indiana Board of Tax Review’s decision denying property tax appeals for an assisted living facility in Marion, Indiana.  In Assisted Living Concepts, Inc. v. Grant … [Read more...]

You’ve Got (Non-Taxable) E-Mail: Indiana Department of Revenue rules that Sales Tax did not apply to fees for generating E-Mails

The Department of Revenue found that fees charged to Taxpayer by a vendor ("Company R" in the ruling) that provided mass e-mail services were not subject to sales tax.  See  Company R provided a licensed software package for emailing Taxpayer's clients and prospects, and it … [Read more...]

Indiana Department of Revenue rules that Contract between Imaging Company and Medical Provider for Equipment and Operators was a Lease subject to Use Tax

In Letter of Findings No. 04-20110484 (June, 2012), an Indiana medical practice (the "Practice") contracted with an unrelated third party ("Imaging Company") to provide imaging equipment and operators.  See  The Department of Revenue audited Practice for the 2008 – 2010 tax … [Read more...]

Indiana Department of Revenue’s Ruling is Out of This World: Meteorites acquired in Casual Sales were not subject to Use Tax

Following an audit in which the Indiana Department of Revenue left no (otherworldly) stone unturned, the Department assessed an Indiana business (herein, "MetCo") use tax relating to its acquisitions of meteorites in 2008 to 2010.  See  Caught between a (space) rock and a … [Read more...]