Reforming and Reducing Residential and Agricultural Property Tax

As your next Governor, my top priority will be to address property taxes in Indiana, specifically focusing on single-family residences. While I recognize that completely abolishing property taxes may be challenging, I am committed to working collaboratively with members of the General Assembly to reform the residential property tax system for Hoosier residences and family farms.

Here are the key steps I propose:

1. Residential Property Tax Cap: I will advocate for an amendment to the state’s Constitution that establishes a true cap on all residential and privately-owned agricultural property taxes. Specifically, this cap would limit property taxes to 1% of the purchase price of the property or the assessed value, whichever is lower. This measure aims to provide relief to homeowners while ensuring a fair and predictable tax burden.

2. Additionally, the property tax on all residential, long-term care, and agricultural land would sunset after you paid a total of 1% of the purchase price or the assessed value, whichever is lower, for 7 years, allowing homeowners and family farmers stability and predictability, after which no additional property taxes would be due.

3. All residential, long-term care, and agricultural land, currently capped at 1% or 2%, would be capped at 1% of the purchase price of the property or the assessed value, whichever is lower. All other commercial property, currently capped at 3%, would be capped at 2% of the purchase price of the property or the assessed value, whichever is lower.

4. Property acquired through inheritance would not be subject to property tax.  Only property acquired by a real estate sale transaction.

5. If you sell your property prior to owning the property for 7 years, you would not owe the remaining property tax on that property when it is sold.  The new owners would start over with their 7 years of property taxes.

   Asset Forfeiture Reform: I firmly believe that no Hoosier should lose their home due to an inability to pay property taxes. To address this concern, I will propose an amendment to the state’s Constitution that abolishes asset forfeiture related to property taxes. This ensures that homeowners are not unfairly penalized or face the risk of losing their homes if they fall behind on payment of property taxes.

By pursuing these reforms, we can create a more equitable and sustainable property tax system that benefits all Hoosiers. Let’s work together to build a stronger Indiana!