Tom recently purchased a home in Fort Wayne as his primary residence. His broker mentions that he may be eligible for both the Homestead Standard Deduction and the Supplemental Homestead Deduction. Which of the following statements most accurately describes Indiana's Homestead Standard Deduction?
Correct Answer
B) It reduces assessed value by up to $48,000 or 60% of assessed value, whichever is less
Under IC 6-1.1-12-37, Indiana's Homestead Standard Deduction reduces the assessed value of an owner-occupied primary residence by the lesser of $48,000 or 60% of the gross assessed value. This deduction is available to homeowners who use the property as their primary residence.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Various programs and exemptions exist to reduce the property tax burden for specific groups, such as seniors, homesteaders, or veterans.
A transfer tax is a tax imposed on the transfer of ownership of real estate.
Reconciliation is the final step in the appraisal process where the appraiser analyzes the value indications from all applicable approaches and arrives at a single final opinion of value. It is not a simple average of the three values.
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