Filing Requirements for Seniors
Seniors do not need to file an Indiana Income tax return if they are an Indiana resident (maintained legal residence in Indiana for the entire year) and the total value of their personal, elderly, and blind exemptions exceeds their federal gross income before deductions.
More information on if you need to file can be found on our "Who Must File a Tax Return webpage."
Assistance for Seniors
Several organizations are available for seniors looking for assistance in preparing their individual income taxes:
- AARP Foundation Tax-Aide program: Focuses on helping low- and moderate-income people, with special attention to those over age 50
- IRS Volunteer Income Tax Assistance (VITA) and the Tax Counseling for the Elderly (TCE): Free tax help for taxpayers who qualify
- Indy Free Tax Prep: Free tax preparation to individuals and families with a combined household income of $66,000 or less
- The John Boner Neighborhood Centers: Free tax preparation and other services to eligible residents
- Indiana Legal Services Low Income Taxpayer Clinic: Free legal assistance to Indiana taxpayers involved in disputes with the IRS
Tax Credits
Seniors (or their spouses) that are 65 or older by the end of the tax year may be able to claim the Unified Tax Credit for the Elderly if they meet all the requirements.
Tax Deductions
- Civil Service Annuity deduction
- Disability Retirement deduction
- Human Services deduction for Medicaid recipients staying at a care facility or hospital
- Indiana Partnership Long Term Care Policy Premiums deduction
- Military Retirement pay deduction
- Social Security and Railroad Retirement benefits
Exemptions
Indiana allows:
- $1,000 exemption for each exemption claimed on the federal return
- $1,500 exemption for certain dependent children
- $3,000 exemption for qualifying adopted children
- $1,000 exemption for the taxpayer and/or spouse if they are age 65 or over; A $1,000 exemption for the taxpayer and/or spouse if they are blind
- $500 additional exemption for each individual age 65 or older if their federal adjusted gross income is less than $40,000 ($20,000 if married filing separately)
Simplified Form for Low-Income Seniors
Eligible seniors can file Form SC-40 to claim a refund of the Unified Tax Credit for the Elderly.
Most taxpayers claim this credit by filing their taxes on Form IT-40 or Form IT-40 PNR. To use the shorter, one-page Form SC-40, you and/or your spouse must qualify for the tax credit and meet one these three income guidelines:
- Single or widowed with less than $2,500 in income
- Married, and only one person is age 65 or older, with less than $3,500 in income
- Married, and both are age 65 or older, with less than $5,000 in income
Additional Resources
- Information on filing requirements for deceased individuals
- Estimated tax requirements
- Inheritance tax information