STATEHOUSE (June 27, 2023) – Hoosier military members are set to receive much-needed tax relief thanks to a new law supported by State Reps. Bruce Borders (R-Jasonville) and Matt Hostettler (R-Patoka).
Currently, active-duty service members are eligible for a $5,000 deduction from the state individual income tax. Under the new law recently signed by Gov. Eric Holcomb, active-duty military members will receive a complete income tax exemption beginning in January regardless of their deployment status. National Guard and reserve members already receive a $5,000 deduction, and a full income tax exemption when mobilized or on duty.
"Our state offers many benefits to our active-duty military and veterans, and this tax relief is just one more reason they should choose to live and work here," Borders said. "Moving forward, I'll continue to support efforts to welcome more service members here and retain those we have."
According to Hostettler, other states, including Michigan and Kentucky, offer a full income tax exemption to all service members.
“Helping military members keep more of the money they earn is one way Indiana can show that their service is appreciated,” Hostettler said.
To learn more about new state laws, visit in.gov/gov/newsroom/2023-bill-watch.
-30-
State Rep. Bruce Borders (R-Jasonville) represents House District 45,
which includes all of Greene and Sullivan counties, and portions of Daviess, Knox and Vigo counties.
Click here to download a high-resolution photo.
State Rep. Matt Hostettler (R-Patoka) represents House District 64,
which includes portions of Gibson, Knox and Vanderburgh counties.
Click here to download a high-resolution photo.
