Indiana Deduction for a Home Donated to a Disabled Veteran

Built for the homes that charities such as Homes for Our Troops give to severely injured veterans. IC 6-1.1-12-14.5 applies where the veteran served at least ninety days, received an honorable discharge, "has a disability of at least fifty percent (50%)" evidenced by the VA or the Indiana Department of Veterans Affairs, and the homestead "was conveyed without charge" to the veteran by an organization exempt from federal income tax. The deduction is 50 percent of the homestead's assessed value at a 50 percent rating, 60 percent at 60, 70 at 70, 80 at 80, 90 at 90 and 100 percent if the veteran is totally disabled. It cannot be taken for the same assessment date as the 100 percent deduction for the totally disabled in IC 6-1.1-12-14, and a totally disabled veteran will usually take that one instead because it has no donation requirement. State Form 12662 says an unused portion of this deduction cannot be applied to vehicle excise tax. Claim it in Section V of State Form 12662 with the county auditor by January 15 of the year the taxes are due.