There are several types of Indiana income tax returns available for individuals to file. The type you need to file is generally based on your residency status. Read the following to decide if you are a full-year resident, part-year resident, or nonresident of Indiana, and which type of income tax return you should file.
You are a full-year Indiana resident if you maintain your legal residence in Indiana from Jan. 1 through Dec. 31. You do not have to be physically present in Indiana the entire year to be considered a full-year resident. Residents, including military personnel, who leave Indiana for a temporary stay are considered residents during their absence. For example, visiting your out-of-state relatives for a couple of weeks each year won't impact your Indiana residency status; you're still a full-year resident.
Full-year residents must file Form IT-40, Indiana Full-Year Resident Individual Income Tax Return.
If you are retired and spend the winter months in another state you may still be full-year Indiana resident if:
- You maintain your legal residence in Indiana and intend to return to Indiana during part of the taxable year;
- You keep your Indiana driver's license; and/or
- You keep your Indiana voting rights.
For example, Tom and Jane stay at their Florida condominium from Nov. 1 through March 1 each winter, and return to their Indiana home the rest of the year. Since they didn't take steps to become Florida residents (such as registering to vote in Florida, getting a Florida driver's license, etc.), they are full-year Indiana residents for income tax purposes.
Check out the IT-40 instruction booklet for more information.
Part-Year Residents and Full-Year Nonresidents
If you were a part-year resident and received income while you lived in Indiana, you must file Indiana Form IT-40PNR, Part-Year Resident or Nonresident Individual Income Tax Return.
If you were a legal resident of another state (exception: see next paragraph) and had income from Indiana (except certain interest, dividends, or pension income), you must file Form IT-40PNR.
Check out the IT-40PNR instruction booklet for more information.
Full-Year Residents of Kentucky, Michigan, Ohio, Pennsylvania or Wisconsin
If you were a full-year resident of Kentucky, Michigan, Ohio, Pennsylvania or Wisconsin, and your only income from Indiana was from wages, salaries, tips or commissions then you need to file Form IT-40RNR, Indiana Reciprocal Nonresident Individual Income Tax Return. Note: If you had any other type of income from Indiana, such as farm income, rental income, sole proprietor income, etc., you can't file Form IT-40RNR - you'll have to file the Form IT-40PNR.
One Final Word About Your Filing Status
If you and your spouse file a joint federal income tax return, you must file a joint tax return for Indiana. If you and your spouse file separate federal income tax returns, you must file separate tax returns for Indiana.