Boone County Property Tax
Multiple Homestead Deductions
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Individuals and married couples are limited to one property tax homestead
standard deduction. As the receipt of this deduction becomes more beneficial,
there is more incentive than ever for homestead fraud. Homestead fraud causes
higher property tax bills for all.
House Enrolled Act (HEA) 1344-2009 requires taxpayers who receive the
homestead standard deduction to verify that they are eligible to receive the
benefit and to provide additional identifying information necessary to allow
county government to better monitor homestead filings. Access to the Homestead
Deduction Form form that is needed to claim the homestead property tax deduction
can be accessed through the Indiana Department of Local Government Finance web
page at https://www.in.gov/dlgf/2344.htm.
Also, some pertinent Frequently Asked Questions are available online at https://www.in.gov/dlgf/files/181101%20-%20FAQ%20-%20Deductions.pdf.
Listed next are the steps that interested citizens can follow to determine if
an individual in Boone County has improperly claimed multiple homestead
(1) Go to the Boone County government website home page at http://www.boonecounty.in.gov/.
(2) Click on "Tax Information" at the top of the Boone County
government website home page.
(3) Click on "Real Estate" under "Pay or View Bills."
(4) Enter the Parcel Number or Customer Name along with the indicated Secure
Code. NOTE: The best Customer Name results can be obtained by entering complete
name information such as "Doe John."
(5) Click on the applicable "View Invoice."
(6) A copy of the property tax bill will appear.
(7) Look in Table 5 at the bottom of the property tax
bill to determine if a Standard Deduction \ Homestead has been applied.
Individuals who may have improperly claimed
multiple homestead deductions should be brought to the attention of the Boone
County Auditor. The pertinent section of the Indian Code is listed next.
IC 6-1.1-36-17 Notice of ineligibility for
standard deduction; collection of adjustments in tax due; nonreverting
Sec. 17. (a) As used in this section, "nonreverting
fund" refers to a nonreverting fund established under subsection (d).
(b) If a county auditor makes a determination that property
was not eligible for a standard deduction under IC 6-1.1-12-37 in a particular
year within three (3) years after the date on which taxes for the particular
year are first due, the county auditor may issue a notice of taxes, interest,
and penalties due to the owner that improperly received the standard deduction
and include a statement that the payment is to be made payable to the county
auditor. The additional taxes and civil penalties that result from the removal
of the deduction, if any, are imposed for property taxes first due and payable
for an assessment date occurring before the earlier of the date of the notation
made under subsection (c)(2)(A) or the date a notice of an ineligible homestead
lien is recorded under subsection (e)(2) in the office of the county recorder.
The notice must require full payment of the amount owed within:
(1) one (1) year with no penalties
and interest, if:
taxpayer did not comply with the requirement to return the homestead
verification form under IC 6-1.1-22-8.1(b)(9) (expired January 1, 2015); and
county auditor allowed the taxpayer to receive the standard deduction in error;
(2) thirty (30) days, if subdivision
(1) does not apply.
With respect to property subject to a determination made under this subsection
that is owned by a bona fide purchaser without knowledge of the determination,
no lien attaches for any additional taxes and civil penalties that result from
the removal of the deduction.
(c) If a county auditor issues a notice of taxes, interest,
and penalties due to an owner under subsection (b), the county auditor shall:
(1) notify the county treasurer of
the determination; and
(2) do one (1) or more of the
(A) Make a
notation on the tax duplicate that the property is ineligible for the standard
deduction and indicate the date the notation is made.
(B) Record a
notice of an ineligible homestead lien under subsection (e)(2).
(d) Each county auditor shall establish a nonreverting fund.
Upon collection of the adjustment in tax due (and any interest and penalties on
that amount) after the termination of a deduction or credit as specified in
subsection (b), the county treasurer shall deposit that amount:
(1) in the nonreverting fund, if the
county contains a consolidated city; or
(2) if the county does not contain a
(A) in the
nonreverting fund, to the extent that the amount collected, after deducting the
direct cost of any contract, including contract related expenses, under which
the contractor is required to identify homestead deduction eligibility, does not
cause the total amount deposited in the nonreverting fund under this subsection
for the year during which the amount is collected to exceed one hundred thousand
dollars ($100,000); or
(B) in the
county general fund, to the extent that the amount collected exceeds the amount
that may be deposited in the nonreverting fund under clause (A).
(e) Any part of the amount due under subsection (b) that is
not collected by the due date is subject to collection under one (1) or more of
(1) After being placed on the tax
duplicate for the affected property and collected in the same manner as other
(2) Through a notice of an ineligible
homestead lien recorded in the county recorder's office without charge.
The adjustment in tax due (and any interest and penalties on that amount) after
the termination of a deduction or credit as specified in subsection (b) shall be
deposited as specified in subsection (d) only in the first year in which that
amount is collected. Upon the collection of the amount due under subsection (b)
or the release of a lien recorded under subdivision (2), the county auditor
shall submit the appropriate documentation to the county recorder, who shall
amend the information recorded under subdivision (2) without charge to indicate
that the lien has been released or the amount has been paid in full.
(f) The amount to be deposited in the nonreverting fund or
the county general fund under subsection (d) includes adjustments in the tax due
as a result of the termination of deductions or credits available only for
property that satisfies the eligibility for a standard deduction under IC
6-1.1-12-37, including the following:
(1) Supplemental deductions under IC
(2) Homestead credits under IC
6-1.1-20.4, IC 6-3.6-5, IC 6-3.6-11-3, or any other law.
(3) Credit for excessive property
taxes under IC 6-1.1-20.6-7.5 or IC 6-1.1-20.6-8.5.
Any amount paid that exceeds the amount required to be deposited under
subsection (d)(1) or (d)(2) shall be distributed as property taxes.
(g) Money deposited under subsection (d)(1) or (d)(2) shall
be treated as miscellaneous revenue. Distributions shall be made from the
nonreverting fund established under this section upon appropriation by the
county fiscal body and shall be made only for the following purposes:
(1) Fees and other costs incurred by
the county auditor to discover property that is eligible for a standard
deduction under IC 6-1.1-12-37.
(2) Other expenses of the office of
the county auditor.
The amount of deposits in a reverting fund, the balance of a nonreverting fund,
and expenditures from a reverting fund may not be considered in establishing the
budget of the office of the county auditor or in setting property tax levies
that will be used in any part to fund the office of the county auditor.
As added by P.L.87-2009, SEC.14. Amended by P.L.13-2013, SEC.18;
P.L.257-2013, SEC.31; P.L.94-2014, SEC.3; P.L.5-2015, SEC.19;
P.L.203-2016, SEC.15; P.L.197-2016, SEC.23; P.L.85-2017, SEC.21.
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This page was last updated on 03/09/20