Indiana $350 and $250 Property Tax Credits for Disabled Veterans

Two flat credits against local property tax replaced a deduction that was worth more to some veterans and less to others. The $350 credit. IC 6-1.1-51.3-6, added by House Enrolled Act 1210 of 2026, gives a credit of three hundred fifty dollars to an individual who "served in the military or naval forces of the United States during any of its wars", "received an honorable discharge" and "has a disability with a service connected disability of ten percent (10%) or more", evidenced by a VA pension certificate, award of compensation or disability compensation check or by an Indiana Department of Veterans Affairs certificate. The Department of Veterans Affairs lists the wartime periods it applies as World War II, December 7, 1941 to December 31, 1946; Korea, June 27, 1950 to January 31, 1955; Vietnam, November 1, 1955 to May 7, 1975 for those who served in country before August 5, 1964; and the Gulf War from August 2, 1990 with no end date. A surviving spouse of a veteran who met the test at death receives it. The $250 credit. IC 6-1.1-51.3-5 gives two hundred fifty dollars to an individual with ninety days of service and an honorable discharge who "is at least sixty-two (62) years of age and has a disability of at least ten percent (10%)". Wartime service is not required. The surviving spouse of a qualifying veteran, or of a service member killed in action or who died on active duty or in inactive duty training, receives it. What they replaced. The partial disability deduction in IC 6-1.1-12-13, $24,960 off assessed value for a wartime veteran rated 10 percent or more, now "applies only to property taxes imposed for an assessment date before January 1, 2026" and expires January 1, 2028. The age-62 route used to sit inside the $14,000 section 14 deduction. A $24,960 deduction was worth more than $350 in most counties, so many wartime veterans with low ratings will pay more from 2027. Stacking. The Department of Local Government Finance says a veteran may receive both the $350 and $250 credits, and also the over-65 credit ($150, with an income limit) and the blind or disabled credit ($125) in IC 6-1.1-51.3-1 and -2. None of them can be combined with the 100 percent deduction for the totally disabled (IC 6-1.1-12-14(d)). A credit cannot exceed the tax, and nothing unused is carried forward or refunded (IC 6-1.1-51.3-0.6). One credit can be split across several parcels in any county. A trust holding the home can receive them (IC 6-1.1-51.3-7). No residence requirement. The Department's FAQ points out that neither credit requires Indiana residence, so a veteran who moves away and keeps Indiana property keeps the credit. How to apply. File State Form 12662 with the county auditor by January 15 of the year the taxes are due. There is no annual refiling, but you must tell the auditor within 60 days if you stop qualifying. For the switch from the old deductions: the $250 credit is applied automatically for 2026 pay 2027 to anyone who had the old section 14 deduction. Nothing in the statute moves a $24,960 recipient to the $350 credit; the Department "recommends" counties do so, which it calls "Department guidance rather than a statutory mandate". File anyway. A slip on the form. Section III of State Form 12662, revision 20, which is the $250 credit, asks for a Department of Veterans Affairs certificate that the disability qualifies the veteran "to receive a deduction under IC 6-1.1-12-14". The credit is in IC 6-1.1-51.3-5. The evidence required is the same, so the misprint changes nothing, but a clerk comparing the form to the statute may ask. The World War I spouse deduction survives. IC 6-1.1-12-16, $18,720 for the surviving spouse of a veteran who served before November 12, 1918, was scheduled by the 2025 property tax act to end; House Enrolled Act 1210 removed the end date. Out of date elsewhere. The Army benefits library, re-read 2026-10-24, still describes the $24,960 deduction and the age-62 route as a $14,000 deduction.