This presentation provides i

1. DELAWARE COUNTY TAXES
How they are collected and where they go.

2. TAX SOURCES FOR GOVERNMENT
 Delaware County and all government
agencies are funded by 2 main tax
sources
1. Property tax.
2. Income tax on wages.

3. OTHER COUNTY TAXES
 Two other taxes help fund some
government services
1. Wheel tax
2. Food & beverage tax

4. PROPERTY TAXES
 Property taxes are the main source of funding for
local Indiana government.
 Taxes levied on real property and business property
 Capped as a percentage of assessed value by
state law

5. MAXIMUM PROPERTY TAX RATE
 Homestead property (your primary residence) 1%
 Other residential and agricultural property 2%
 Commercial, industrial, and personal property 3%
 Taxes cannot exceed these rates, even if it requires
a reduction in the budgets of governmental units.

6. DELAWARE COUNTY PROPERTY TAXES
% of Delaware County
4.12% 0.43% Net Property Taxes Due
by Property Class
7.03% 0.02%
in 2010 Paid in 2011
Residential
Commercial
Personal
14.85% 40.28%
Agricultural
Industrial
Utility
34.14% Exempt

7. HOW PROPERTY TAXES WERE DISTRIBUTED
% of Net Property Taxes Received by
Delaware County Government Units in 2011.
3.43%
4.35%
Schools
10.42% City/Town
32.47%
County
Special
19.9%
Library
Township
29.48%

8. HOW THE TAX DOLLARS WERE SPENT
How Did Delaware County Government
Units Spend Tax $'s Paid in 2011 ?
13.31%
15.72% Operating Budgets
Debt Retirement
70.97%
Capitol Outlays

9. COMMON PROPERTY TAX DEDUCTIONS
 Several property tax deductions are available to
qualified homeowners.
 The most common deductions are:
1. Homestead
2. Mortgage
3. Other deductions are available for a variety of
circumstances including being over 65 with a
limited income or being a disabled veteran.

10. HOMESTEAD DEDUCTION
 The total amount of homestead standard deduction
for properties with value of $200,000 or less, which
an individual may receive for a particular year, is
the lesser of:
 (1) sixty percent (60%) of the assessed value of the
real property or mobile home; or
 (2) forty-five thousand dollars ($45,000).
 High value homes qualify for a supplemental
homestead deduction in addition to the standard
deduction.

11. HIGH VALUE HOME DEDUCTION
 The supplemental deduction is calculated at 35% of
assessed value for properties with assessed values
between $200,000 to $600,000 and at an additional
25% of assessed value for properties above
$600,000.
 All homestead deductions must be filed by January
5 for residences or March 31 for mobile homes.

12. MORTGAGE DEDUCTION
 You can take a mortgage deduction if you have a
mortgage on your primary residence. The deduction
is whichever is the least of the following:
 (1) The balance of the mortgage or contract
indebtedness on the assessment date of that year;
 (2) One-half (1/2) of the assessed value of the real
property, mobile home or manufactured home; or
 (3) Three thousand dollars ($3,000).
 Must be completed by December 31

13. LOCAL INCOME TAXES
 Delaware County collects two different local option
income taxes; County Option Income Tax (COIT)
and County Economic Development Income Tax
(CEDIT).
 Both taxes are collected as part of your state
income tax payment and are due April 15th.

14. COUNTY OPTION INCOME TAX (COIT)
 This tax is collected at a rate of .6% of wages
earned by county residents.
 Non-residents who work in Delaware County pay
25% of the resident tax rate (.15%).
 Revenue from this tax is split proportionally
between all county units of government that receive
property taxes.

15. COUNTY ECONOMIC DEVELOPMENT INCOME
TAX (CEDIT)
 Collected at a rate of .4% on wages earned by all
people who are employed in Delaware County
whether they reside therein or not.
 0.2% of this tax is distributed proportionally to
Delaware County government and all cities and
towns therein.
 0.2% is used as Homestead Credit relief.

16. OTHER TAXES
 Wheel Tax: Must be used for road improvement per
county statute.
 Food and Beverage tax: This is used to fund the
operations of the Delaware County Civic Center
Authority (the convention center in downtown
Muncie).

17. WHEEL TAX RATES:
 Passenger cars and light trucks $25
 Motorcycles $15
 Busses $40
 Recreational vehicles $40
 Semi-trailers $40
 Tractors $40
 Light trailers (less than 12,000 lbs) $5
 Heavy trailers (12,000 lbs and greater)$40
 Trucks (greater than 11,000 lbs) $40

18. SOME SERVICES FUNDED BY TAXES
 Animal control
 Beach Grove Cemetery

19.  Libraries
 Streets, bridges, roads

20.  Parks
 Schools

21.  Fire protection
 Police

22.  Sanitation and sewage
 Public health

23. FOR MORE INFORMATION: