Indiana Tax Calculator

Accurately calculate your Indiana state taxes for 2026. Understand your full tax burden including federal, state, and local taxes.

Why calculating tax in Indiana is different

Indiana has a flat income tax system and relatively high sales tax.

State Income Tax
3.15%
Base Sales Tax
7%
State Min Wage
$7.25 / hr
Abbreviation
IN

Indiana Tax Interactive Tool

This calculator uses the latest 2026 data for Indiana, including the minimum wage of $7.25 and the specific state income tax rates (3.15%).

Frequently Asked Questions about Indiana Tax

Does Indiana have a state income tax?

Yes, Indiana imposes a state income tax. The current rate is 3.15%. Be sure to factor this into your overall tax planning.

What is the base sales tax in Indiana?

The base state sales tax in Indiana is 7%. Local municipalities may add additional local sales taxes on top of this rate.

How can I lower my taxes in Indiana?

You can lower your Indiana tax liability by maximizing contributions to tax-advantaged accounts like 401(k)s and IRAs, and by taking advantage of Indiana-specific tax credits and deductions.