By MICHAELA SPRINGER
WISH-TV | wishtv.com
Tax season is fast approaching, and starting this season, Indiana National Guardsmen will no longer have to pay state income tax.
Starting with the 2023 tax returns, approximately 12,000 troops will be exempt from the tax, Indiana Gov. Eric Holcomb said in a release made Monday.
Holcomb signed the military exemption law into effect on May 1, and said in a statement that doing so “demonstrates the state’s enduring appreciation for the exemplary people who serve our local communities, state, and nation in the Indiana National Guard.”
The exemption applies to all Indiana National Guard members, including “traditional members, military technicians, and full-time National Guard soldiers and airmen.”
The exemption also includes wages earned as a dual-status military technician. According to the release, exemptions do not apply to nondual-status technicians, independent military contractors, or wages earned from work outside of military service.
Military members are still required to file an Indiana income tax return if their gross income exceeds their exemptions and even if the income is deducted in full for state tax purposes.