Tax information for seniors and snowbirds

INDIANA – Senior taxpayers may be able to reduce their amount of taxable income by reviewing the list of Indiana deductions from income to see if they are eligible to claim them. Among these are:

  • Civil Service Annuity deduction
  • Disability Retirement deduction
  • Human Services tax deduction for Medicaid recipients staying at a care facility or hospital
  • Indiana Partnership long-term care policy premiums deduction
  • Military Retirement Income or Survivor’s Benefits deduction
  • Social Security and Railroad Retirement benefits

Seniors may be entitled to the Unified tax credit for the elderly. Most can claim this credit by filing taxes on Form IT-40 or Form IT-40 PNR.

Low-income seniors may be eligible to file the shorter Form SC-40 to claim their refund of this credit if they meet the qualifications.

Indiana residents with a total value of their exemptions that exceed their federal gross income before deductions do not need to file an Indiana income tax return. More information is available on DOR’s Who Must File a Tax Return webpage.


Any Hoosier who spends significant time escaping winter in a different state (or country) is considered a full-year resident and does not have to be physically present in Indiana the entire year. However, if you have any questions, you may want to review the residency definitions on DOR’s Individual Income Tax Overview page. Consulting a tax professional can help you navigate the specifics of residency, tax benefits, and deductions.