Tax-Friendly for Retirees? (Indianapolis: sales, utilities, income)

[otterhere]

A recent poll I read rated Indiana one of the poorest states for retirees in terms of taxes, yet -- looking at the numbers -- it doesn't look all that bad, and those articles can't always be trusted. Opinions?

[DoseTheClowns5]

Originally Posted by otterhere

A recent poll I read rated Indiana one of the poorest states for retirees in terms of taxes, yet -- looking at the numbers -- it doesn't look all that bad, and those articles can't always be trusted. Opinions?

Indiana is a very good place to retire. Very underrated by most analysis if you ask me. The tax climate is very good as you have a 1% cap on property taxes, low sales taxes, and social security is exempt from Income tax. Utilities and cost of living are low and the Healthcare system here is robust.

[rrah]

It's impossible to determine the veracity of the article without reading it personally. That said, Indiana does have sales tax, except most food items. Some states I often see mentioned in those types of articles don't have sales tax. While Indiana property taxes are generally lower than some states, the over 65 deductions for property taxes are income based. Typically the articles I've read are looking at the entire tax picture.

[sheerbliss]

I'd look at the whole picture, not just taxes.

[otterhere]

Originally Posted by sheerbliss

I'd look at the whole picture, not just taxes.

Of course, but I'm trying to determine the veracity of this particular TAX rating to figure into all the other considerations. The report was by Kiplinger.

[ischyros]

Originally Posted by DoseTheClowns5

Indiana is a very good place to retire. Very underrated by most analysis if you ask me. The tax climate is very good as you have a 1% cap on property taxes, low sales taxes, and social security is exempt from Income tax. Utilities and cost of living are low and the Healthcare system here is robust.

Actually, as far as sales tax go, only California has a higher base sales tax than Indiana does. But some states have local taxes as well. In Indiana, prepared food in Indianapolis and many suburbs, for example, has a sales tax of 9%.

[ImmerLernen]

Here's a link I found:

Indiana Sales Tax Rate - 2018

[DoseTheClowns5]

Originally Posted by ischyros

Actually, as far as sales tax go, only California has a higher base sales tax than Indiana does. But some states have local taxes as well. In Indiana, prepared food in Indianapolis and many suburbs, for example, has a sales tax of 9%.

local sales taxes matter and Indiana doesn't have any at the grocery store. The Food and Beverage tax is easily avoidable by not eating out all the time which isn't good for you anyway.

[popcorn247]

Prepared foods are taxed at grocery stores.....fried chicken, rotisserie chicken, etc.

[DoseTheClowns5]

Originally Posted by popcorn247

Prepared foods are taxed at grocery stores.....fried chicken, rotisserie chicken, etc.

Actually I have gotten the prepared chicken dinners at Kroger before. The sales tax was 7%.
Now If i ate at a Subway or Mc Donalds inside the grocery store then yes it would be 9%.