Elkhart County legislators: Legislation delivering robust property tax relief and reform to Hoosiers signed into law

Two-thirds of Hoosier homeowners will see a lower bill in 2026 than 2025

Posted by: Kylie Glatfelter  | Tuesday, April 22, 2025

STATEHOUSE (April 22, 2025) – Elkhart County legislators supported Senate Enrolled Act 1, advancing a robust package of property tax relief for Hoosier homeowners and long-term reforms. SEA 1 has now been signed into law.

Under SEA 1, through a combination of credits and reforms, Hoosier homeowners will save $1.3 billion in property taxes over the next three years. Two-thirds of Hoosier homeowners will see a lower property tax bill in 2026 than they did in 2025.

"Senate Enrolled Act 1 is a win for our communities by bringing additional property tax relief and more transparency to the system," said State Rep. David Abbott (R-Rome City). "It will help homeowners, farmers and small business owners in the short term and bring needed reforms long term."

"This comprehensive law helps Hoosiers by easing rising property tax burdens and delivering lasting reforms," said State Rep. Joanna King (R-Middlebury). "This marks a significant win for homeowners and taxpayers, offering relief now and continued benefits in the future."

SEA 1 includes the following property tax relief measures:

  • A 10% property tax credit up to $300 on all homestead property tax bills beginning in 2026.
  • Additional, stackable credits of $150 for fixed-income seniors.
  • Exempts more Hoosier small businesses from paying business personal property tax.
  • Saves farmers roughly $125 million over three years.

Additionally, it advances long-term reforms including:

  • Decreases the amount of total local income taxes that local governments can collect, reducing the cap from 3.75% to 2.9%, a reduction of $1.9 billion.
  • Puts stronger controls in place to rein in the $54.3 billion in local government debt.
  • Requires referenda to be held during general elections to align with higher voter turnout and increase transparency of referenda questions to better note the tax impact.
  • Creates a Property Tax Transparency Portal to allow taxpayers to compare their current tax bill with proposed tax rate changes.

"Hoosiers have continued to shoulder the burden of rising property taxes in recent years," said State Rep. Doug Miller (R-Elkhart). "This law offers much-needed relief for our communities and returns more money to taxpayers' pockets."

"It's important that we work to lower property taxes while putting stronger controls in place to prevent skyrocketing bills in the future," said State Rep. Tim Wesco (R-Osceola). "This is a significant step forward in providing financial relief for our residents."

Visit iga.in.gov to follow the legislative session, which must conclude by April 29.

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 State Rep. David Abbott (R-Rome City) represents House District 18,
which includes portions of Elkhart, Kosciusko, Noble and Whitley counties.
Click here to download a high-resolution photo.

State Rep. Joanna King (R-Middlebury) represents House District 49,
which includes a portion of Elkhart County.
Click here to download a high-resolution photo.

State Rep. Doug Miller (R-Elkhart) represents House District 48,
which includes a portion of Elkhart County.
Click here to download a high-resolution photo.

State Rep. Tim Wesco (R-Osceola) represents House District 21,
which includes portions of Elkhart and St. Joseph counties.
Click here to download a high-resolution photo.