Filing a state tax return for a prior year may seem unnecessary, but doing so is essential, especially if you lived or worked in Indiana during the 2015 tax year. Whether you're a full-year resident, a part-year resident, or a nonresident who earned income from Indiana sources, submitting your 2015 Indiana state tax forms ensures you're in compliance with tax laws and may help you claim a refund or avoid future penalties.

Indiana’s income tax system is relatively straightforward compared to other states. For the 2015 tax year, the state reduced its individual income tax rate from 3.4% to 3.3%, giving taxpayers slight relief. However, even a small rate change can impact how much you owe or how much you're refunded—especially for individuals and small business owners managing multiple deductions, credits, or county taxes.

This guide offers clear instructions for preparing and filing your 2015 Indiana tax return, including what forms you’ll need, how to apply for refunds or payment plans, and what deadlines still matter. If you didn’t file on time or are unsure about your obligations, this article will walk you through the process step by step. It’s designed for general taxpayers, sole proprietors, and anyone who wants to confidently catch up on their 2015 Indiana filing requirements.

Who is required to file a 2015 Indiana Tax Return?

Not everyone is required to file a 2015 Indiana state return, but many individuals still qualify—especially those who earned income in Indiana or had taxes withheld that year. Understanding the filing requirements helps ensure you meet your obligations and claim any refund you’re due.

Full-Year Residents

You must file a 2015 Indiana tax return if you:

  • Lived in Indiana for the entire tax year and
  • Had gross income greater than your total exemptions

Gross income includes all income before deductions and credits. Even if you are not required to file a tax return, you might still want to do so if state or county taxes were withheld from your income and you qualify for a refund.

Part-Year Residents

You are considered a part-year resident if you moved into or out of Indiana during 2015. You must file a state return if:

  • Your Indiana-source income exceeded your total exemptions while living in the state
  • You had taxes withheld while living in Indiana

Use Form IT-40PNR to allocate income between your time as a resident and nonresident.

Nonresidents

You are required to file if you:

  • Lived outside Indiana but earned income from Indiana sources (e.g., wages, rental property, or business income)
  • Want to claim a refund of Indiana state or county tax withheld

Residents of reciprocal states (Kentucky, Michigan, Ohio, Pennsylvania, and Wisconsin) should use Form IT-40RNR if they only earned wage income from Indiana.

Filing Joint vs. Separate Returns

  • If you and your spouse filed a joint Indiana return, you must file a joint federal return.
  • If you filed separate federal returns, file separate Indiana returns.

You cannot mix joint and separate statuses between federal and state returns.

When Filing Is Optional but Beneficial

You may want to file even if you aren’t required if:

  • Your employer withheld taxes from your paycheck
  • You qualify for refundable credits (e.g., Earned Income Credit)
  • You want to preserve your right to claim a refund before the statute of limitations expires.

Key Tax Law Changes in Indiana for 2015

Several vital updates took effect during the 2015 tax year that could affect how much tax you owed—or how much of a refund you received. Understanding these changes can help you correctly prepare your state return and avoid claiming outdated or repealed benefits.

1. Tax Rate Reduction

One of the most notable changes for 2015 was a reduction in Indiana’s individual income tax rate:

  • Old rate: 3.4%
  • New rate: 3.3%

While a 0.1% drop may seem minor, it directly affects your state return calculation. Apply the correct income tax rate when computing what you owe.

2. Expanded Deductions and Credits

The state introduced or updated several deductions and credits for individuals and small business owners:

  • Civil Service Annuity Deduction:
    The Civil Service Annuity Deduction has been increased to $8,000 from its previous limit and expanded to include surviving spouses.
  • Lake County Residential Income Tax Credit:
    The calculation now uses your Indiana adjusted gross income, resulting in credit amounts different from those of prior years.
  • Public School Educator Expense Credit:
    A new credit of up to $100 for public school teachers who purchased classroom supplies.
  • Public K–12 Education Fund Donation:
    Taxpayers could elect to donate part or all of their refund to this new education fund.

3. Repealed Credits

As of 2015, several credits were discontinued and are no longer valid on your return:

  • New Employer Credit
  • Riverboat Building Credit
  • Blended Biodiesel Credit
  • Ethanol Production Credit

If you claimed any of these credits on a previous year’s return, do not include them on your 2015 filing.

4. Statute of Limitations Extended

Indiana extended the statute of limitations for claiming a refund from two years to three years. If you're filing now, you may still be eligible for a refund if your return falls within this window.

What Forms Do You Need to File?

Filing your 2015 Indiana tax return starts with selecting the correct form based on your residency status and tax situation. Correct Indiana tax forms are essential to avoid delays, incorrect processing, or missed refunds.

Indiana Individual Tax Forms (2015)

  • IT-40: This form is for full-year Indiana residents. It is the standard individual income tax form used by those who live in Indiana for the entire year.
  • IT-40EZ: This simplified version is intended for full-year residents with basic tax situations, such as only wage and limited interest income, and claiming only standard deductions.
  • IT-40PNR: This form should be used by part-year residents or nonresidents. It allows you to allocate income earned both inside and outside of Indiana.
  • IT-40RNR: This form is for residents of reciprocal states (Kentucky, Michigan, Ohio, Pennsylvania, and Wisconsin) who earned wage-only income in Indiana. It allows them to report and file only on those specific earnings.

These forms can be downloaded directly from the Indiana Department of Revenue (DOR) website. You must report your Social Security number, income details, and applicable deductions when completing them.

Required Schedules and Attachments

Many taxpayers must also submit supporting schedules along with their primary form. Here's what they cover:

  • Schedule 1: Add-Backs – Use this if you claimed deductions on your federal return that Indiana does not allow.
  • Schedule 2: Deductions – Report deductions such as renter’s deduction, property tax deduction, or civil service annuity.
  • Schedules 3 and 4: Exemptions and Other Taxes— These are required for most filers and help calculate exemptions and state tax liabilities.
  • Schedule 5: Credits—Used to claim withholding, Earned Income Credit, and other refundable or nonrefundable credits.
  • Schedule 6: Offset Credits—This is required if you apply for offset credits, such as college credits.
  • Schedule 7: Additional Required Information—Always needed for IT-40 filers; includes identity verification fields.
  • CT-40: County Tax Schedule – Required to calculate county tax, which varies by your county of residence or employment.

Forms for Sole Proprietors and Small Business Owners

If you operate a business, you may need to file additional state forms:

  • IT-40 – Sole proprietors report business income on Schedule C of their federal return and carry it to the Indiana form.
  • IT-65—Required for partnerships and LLCs taxed as partnerships.
  • WH-1 – To submit withholding tax payments if you have employees.
  • WH-3 – Annual reconciliation of all employee withholding submitted.
  • ST-103 – File this if you collect and remit Indiana sales tax.

Each form has its own instructions and submission deadlines. Always double-check which documents are required for your situation.

Step-by-Step Guide to Completing Your Indiana Return

Filing your 2015 Indiana state return requires careful attention to detail. This section walks you through the process, from gathering documents to calculating your taxes and applying for credits. Whether you're filing as an individual or sole proprietor, follow these steps to ensure accuracy and compliance.

Step 1: Gather Required Documents

Before you begin, collect all necessary forms and records:

  • W-2s and 1099s showing your 2015 income
  • Your completed federal tax return (Form 1040, Schedule C if applicable)
  • Records of deductible expenses (e.g., mortgage interest, property tax, rent)
  • Social Security numbers for yourself and dependents
  • Documentation for credits (e.g., school supply receipts for educators)

Having this information on hand helps you complete the application efficiently.

Step 2: Complete Your Federal Return First

Indiana begins its tax calculations with your federal adjusted gross income (AGI). You must complete your federal return before filing your state forms. This ensures accurate income reporting and eligibility for offset credits or deductions.

Step 3: Choose the Correct Indiana Form

Select the correct Indiana tax form based on your residency and income type:

  • IT-40 – Full-year residents
  • IT-40EZ – Full-year residents with basic tax situations
  • IT-40PNR – Part-year residents or nonresidents
  • IT-40RNR – Residents of reciprocal states earning only Indiana wages

Step 4: Enter Income, Deductions, Exemptions, and Credits

Use your federal AGI to begin filling out your state form. Then complete the relevant schedules:

  • Schedule 1 (Add-Backs): Report any deductions from your federal return that Indiana doesn’t allow
  • Schedule 2 (Deductions): Include Indiana-specific deductions like renter’s deduction, property tax, and the civil service annuity
  • Schedules 3 & 4 (Exemptions & Other Taxes): Required to calculate exemptions and additional taxes
  • CT-40: Complete your county tax calculation
  • Schedule 5 (Credits): Report withholding, earned income credit, and any other available refund credits
  • Schedule 6 (Offset Credits): Claim credits like the Indiana College Credit if eligible
  • Schedule 7: Provide additional required taxpayer information

Each schedule includes instructions on completing and attaching it to your primary return.

Step 5: Calculate State and County Taxes

Use the following formula to compute your Indiana state tax:

Indiana adjusted income × 3.3% (0.033) = State tax owed

Then, calculate your county tax using the CT-40 form and your county’s specific tax rate.

Step 6: Determine Refund or Amount You Owe

  • If your credits and withholdings exceed the amount of taxes you owe, you’ll receive a refund.
  • You must pay the remaining balance if your tax liability exceeds your credits and withholdings.

You’ll also report any underpayment penalties if you failed to submit estimated payments during the year.

Additional Notes for Sole Proprietors and Business Owners

  • Include Schedule C income from your federal return on line 1 of your IT-40
  • Report sales tax collected using Form ST-103, and submit WH-1 or WH-3 for employee withholding
  • Keep proper records to support deductions and offset credits
  • If you paid estimated taxes during 2015, report them on Schedule 5

Properly reporting business income is critical to avoid underreporting or compliance issues with the Indiana DOR.

How to File Your Return

After completing your 2015 Indiana state return, the next step is choosing how to submit it. Depending on your eligibility and preferences, you may file electronically or on paper. Each method has specific instructions and benefits.

Electronic Filing (E-file)

E-filing is the fastest, most secure way to file your return. For 2015 returns, Indiana offered INfreefile, a no-cost online filing option for eligible taxpayers.

Benefits of E-Filing

  • Faster refunds (usually within 10–14 days)
  • Fewer errors and math mistakes
  • Immediate confirmation that your return was received
  • Safer transmission of your Social Security number and other personal data

How to E-File Your 2015 Return

  • Visit www.freefile.dor.in.gov
  • Review eligibility criteria for INfreefile (generally for incomes under $62,000)
  • Select a participating software provider
  • Complete your application and submit it electronically
  • Save the confirmation for your records

Note: As of 2025, INfreefile is no longer available for filing 2015 returns, but many commercial software services still allow back-year filing for a fee.

Paper Filing

If you prefer mailing your return, follow these guidelines:

What to Include

  • Completed Form IT-40 (or the applicable form)
  • All required schedules and attachments
  • W-2s and 1099s (attached to the front of your return)
  • Check or money order if you owe a balance

Do not staple or paperclip documents. Do not include your federal return unless specifically instructed.

Mailing Addresses for 2015 Indiana Tax Returns

  • If you owe taxes or are filing an amended return, please follow the instructions below:
    • Send your return and payment to:
      Indiana Department of Revenue
      P.O. Box 40,
      Indianapolis, IN 46206-0040
  • If You Are Expecting a Refund or Have a Zero Balance:
    • Mail your return to:
      Indiana Department of Revenue
      P.O. Box 40,
      Indianapolis, IN 46206-0040

All 2015 returns must have been postmarked by April 18, 2016, to be considered timely.

Filing for an Extension

If you missed the original deadline, you may have filed:

  • Form IT-9 (Indiana extension)
  • IRS Form 4868 (federal extension)

Even if you filed an extension, payment was due by April 18, 2016, to avoid penalties and interest.

How to Pay Any Taxes Owed

If your 2015 Indiana tax return shows a balance due, paying it promptly—even if you’re filing late—is essential. Indiana offers multiple payment options for individuals and small business owners. Choosing the correct method can help you avoid interest, penalties, and potential collection actions by the Department of Revenue (DOR).

Electronic Payment Options

You can pay your 2015 state taxes securely online through the Indiana DOR:

  • eCheck
    Pay directly from your checking or savings account. A small fee (typically $1) may apply.
  • Credit or Debit Card
    Accepted cards include Visa, MasterCard, Discover, and American Express. A convenience fee based on the amount owed applies.
  • Electronic Funds Transfer (EFT)
    It is recommended for businesses or taxpayers making large payments. A setup is available via the state’s payment portal.

To submit your electronic payment, visit in.gov/dor and click “Make a Payment.”

Paying by Check or Money Order

If you choose to mail your payment:

  • Make it payable to: Indiana Department of Revenue
  • Include your Social Security number
  • Write “2015 Tax Year” on the memo line
  • Never send cash

You should include the payment with your paper return or use a payment voucher if you are mailing it separately.

Mailing address for payments:

Indiana Department of Revenue
P.O. Box 40
Indianapolis, IN 46206-0040

Setting Up a Payment Plan

  • If you can’t pay in full, Indiana allows eligible taxpayers to request a payment plan:
  • File your return—even if you cannot pay right away
  • Wait to receive your tax bill from the DOR
  • Visit www.intaxpay.in.gov
  • Click “Individual Eligibility” and follow the prompts to apply

Keep in mind:

  • Interest and penalties continue to accrue on unpaid balances
  • Your plan may be canceled if you miss payments

How to Track Your Refund or Balance Due

After you've filed your 2015 Indiana tax return, check your refund status or verify whether you still owe any taxes. Indiana offers several ways to track both your refund and outstanding balance.

How to Track Your Refund

To check the status of your refund, you’ll need your:

  • Social Security number
  • Exact refund amount listed on your return

Tracking Methods

  • Online:
    Visit www.in.gov and click “Check the Status of Your Refund.”
  • Automated Phone System:
    Call (317) 233-4018. This 24/7 service requires your SSN and refund amount.
  • Live Representative:
    Call (317) 232-2240 during business hours (Monday–Friday, 8 a.m. to 4:30 p.m.).

Typical Processing Times

  • E-filed returns: 10–14 business days
  • Paper returns: Up to 10–12 weeks
  • Bank processing: Add up to 7 days for direct deposit to post

Your refund may be delayed if:

  • Your return contains errors
  • You didn’t include all the required documents
  • Your return is selected for identity verification

If you receive an identity verification letter, please follow the instructions promptly to prevent further delays.

How to Check Your Balance Due

If you suspect you still owe Indiana taxes:

  • Wait for your tax bill to arrive by mail (usually within 4–6 weeks of filing)
  • Or call (317) 232-2240 to speak with an Indiana DOR representative

Staying on top of your state return status helps you avoid penalties and keep your account current.

Final Filing Checklist

Before submitting your 2015 Indiana tax return, use this checklist to ensure you’ve included all required forms, attachments, and documentation. Missing even one item could delay your refund or result in penalties if you owe taxes.

Individual Filing Checklist

  • Complete your federal return before starting your Indiana filing
  • Use the correct state form (IT-40, IT-40EZ, IT-40PNR, or IT-40RNR)
  • Attach all W-2s, 1099s, and withholding statements
  • Include all required schedules (Schedules 1–7, CT-40, etc.)
  • Double-check your math calculations and county tax rate
  • Enter your correct Social Security number
  • Sign and date your return (both spouses must sign if filing jointly)
  • Use the correct mailing address if submitting by paper
  • Apply sufficient postage and don’t staple or clip documents
  • Retain a copy of your return for your records

Additional Checklist for Small Business Owners

  • Include all Schedule C business income on your federal return
  • Report estimated tax payments (if any) on Schedule 5
  • File all required withholding forms (WH-1, WH-3)
  • Submit sales tax returns (ST-103), if applicable
  • Check for applicable business deductions or offset credits
  • Ensure you’ve reported all gross income from Indiana sources

This checklist helps reduce filing errors and ensures your tax return is processed without unnecessary delays. It also enables you to comply with Indiana DOR requirements for individuals and small businesses.

Frequently Asked Questions (FAQs)

What if I didn't meet the deadline of April 18, 2016?

If you missed the 2015 Indiana tax return deadline, you should still file as soon as possible. Penalties and interest accrue on any unpaid taxes, and filing late may limit your eligibility for a refund. Use Form IT-40 and indicate the tax year. While you cannot avoid interest, you can reduce penalties by filing voluntarily rather than waiting for a DOR notice.

Can I still e-file my 2015 Indiana tax return?

While INfreefile is no longer available for 2015 returns, some commercial providers still offer back-year e-filing for a fee. If e-filing is unavailable, you can manually complete the return using tax forms from Indiana's DOR website and mail them to the appropriate address. E-filing is faster and more accurate, but paper filing is still accepted for prior-year returns.

What deductions are commonly missed on Indiana returns?

Taxpayers often forget valuable Indiana deductions such as the renter’s deduction (up to $3,000), the property tax deduction (up to $2,500), and the civil service annuity deduction (up to $8,000 in 2015). Other overlooked deductions include contributions to Indiana’s 529 College Savings Plan and the public school educator expense credit. Reviewing Schedule 2 and reading the official instructions can help avoid missing these opportunities.

How do I request a filing extension?

To request an extension for your 2015 return, you could file Form IT-9 by April 18, 2016. Filing a federal extension using IRS Form 4868 also automatically extends your Indiana deadline; however, the extension applies only to filing—not payment. Any tax owed was still due by April 18 to avoid penalties. Late payments are subject to underpayment interest and additional fees.

Can I file jointly if my spouse lives out of state?

Yes, if you filed a joint federal return, you must also file a joint Indiana state return, even if one spouse lived outside Indiana. Use Form IT-40PNR if one spouse was a nonresident or part-year resident. This form allows you to allocate income based on residency. If you filed separate federal returns, you must file separate Indiana returns to comply with state filing rules.

Do I need to file a separate return for my business?

If you're a sole proprietor, your business income is reported directly on your personal Indiana return (usually IT-40 or IT-40PNR). You do not need to file a separate business return. However, if your business is a partnership or LLC taxed as a partnership, you must file Form IT-65. Furthermore, file any withholding (WH-1, WH-3) and sales tax (ST-103) forms separately as required.

How long should I keep my 2015 tax records?

You should keep your 2015 tax return records for at least three years from the original filing date or two years from when the tax was paid—whichever is later. This aligns with Indiana’s updated statute of limitations for requesting a refund or correcting errors. For added protection, many tax professionals recommend keeping records for seven years, especially if your return involved complex deductions or business activity.