What is exempt from sales tax in Indiana?
While the Indiana sales tax of 7% applies to most transactions, there are certain items that may be exempt from taxation.
Other tax-exempt items in Indiana.
|Food and Meals|
|Utilities & Fuel||EXEMPT|
Is equipment taxable in Indiana?
However, in Indiana, transactions involving manufacturing machinery, tools, and equipment are exempt from the state gross retail tax if the property is directly used for the direct production of tangible personal property (which includes electricity) for sale.
Is Self Storage taxable in Indiana?
Indiana Sales Tax
Unless specifically designated exempt, sales of tangible personal property for storage, use, or consumption by a retail merchant for delivery in Indiana are generally presumed taxable.
What services are subject to sales tax in Indiana?
The base of the Indiana sales tax is retail sales of tangible personal property, in addition to a few specified services, such as public utilities and transient accommodations.
Is bottled water taxed in Indiana?
Water in Indiana is never taxable, regardless of the distribution method, as long as it isn’t sweetened. According to Sales Tax Information Bulletin #29, “Water mixed with sweeteners would be considered a soft drink, and therefore taxable.”.
What is the restaurant tax in Indiana?
A local food and beverage tax rate in Indiana is typically “1% of the gross retail income received from taxable food and beverage transactions.” However, when both a county and a municipality located within that county have imposed a food and beverage tax, the rate is 2% in the municipality.
Are contractors exempt from sales tax in Indiana?
Time and Material Contractors
Transactions involving tangible personal property are exempt from tax if the person acquires the property for resale.
Do you pay sales tax on labor in Indiana?
Are services subject to sales tax in Indiana? “Goods” refers to the sale of tangible personal property, which are generally taxable. “Services” refers to the sale of labor or a non-tangible benefit. In Indiana, services are generally not taxable.
How much is tax on shoes in Indiana?
The state general sales tax rate of Indiana is 7%. Indiana cities and/or municipalities don’t have a city sales tax.
Is freight taxable in Indiana?
Indiana: Shipping and handling charges are generally taxable in Indiana. However, separately stated “postage charges” (the purchase price of stamps or similar charges for mail or parcel delivery through the U.S.) are exempt. … Charges for electronically delivered products are subject to state sales tax.
Do you pay sales tax when buying a house in Indiana?
Property tax is a major source of revenue for state and local governments. … Indiana capps property tax rates at 1% of the value for residential property, 2% of the value for rental property and farmland, and 3% of the value for all other types.
Is a set up fee taxable?
California does not generally collect sales taxes on services. However, services which are “inseparable from the sale of a physical product” (such as setup of a purchased machine) and fabrication/assembly services (services which create tangible personal property) are considered taxable.
What does Indiana charge sales tax on?
In Indiana, sales tax is levied on the sale of tangible goods and some services. The tax is collected by the seller and remitted to state tax authorities.
How do I pay my small business sales tax in Indiana?
You have a couple options for filing and paying your Indiana sales tax:
- File online – File online at the Indiana Department of Revenue. You can remit your payment through their online system.
- AutoFile – Let TaxJar file your sales tax for you. We take care of the payments, too.