You may be able to take the renter’s deduction if:
- You paid rent on your principal place of residence, and
- You rented a property that was in Indiana and subject to Indiana property tax.
Rent paid for summer homes or vacation homes is not deductible. You can deduct up to $3,000 ($1500 if married filing separately) or the amount of rent paid, whichever is less.
What information is needed to report this deduction?
To report your renter's deduction, you will be required to provide the following information:
- The address where rented if it's different from the address on the front of the return (leave blank if it is not different),
- The landlord's name and address,
- The total amount of rent paid, and
- The number of months you lived there.
If you moved during the year or had more than one landlord, the same information is required for each place that you rented.
Once you have created your state return, you can enter your Renter's Deduction information by following the steps below:
- Edit (three dots) Indiana state return
- Subtractions from Income
- Renters Deduction
Note: Keep copies of your receipts, landlord information and lease agreements. These may be required at a later date. For more information about this deduction, see the instructions and Income Tax Information Bulletin #38.