County Income Taxes (Marion, Hamilton: live in, move to, suburb)

[1grin_g0]

Can someone explain to me how I'd be taxed if I worked in Marion County, but lived in a suburb in a different county? I've been doing a little research for a probable move to Indy this fall. I came across the link below, but I didn't understand the language. It shows Hamilton and Johnson at 1%, Hendricks and Boone at 1.5%, and Marion at 1.77% effective Jan. 1, 2017. I've never had to pay local income taxes before so this is all new to me. Thanks in advance for your help!


https://www.in.gov/dor/files/dn01.pdf

[Serious Conversation]

I worked in Marion County and lived in Hamilton County when I lived there. I'm pretty sure I paid Hamilton's tax rate.

[cobra86]

You pay county income tax for the county you live in, not work in. Your payroll department/person should know what to do.

[IndyDancer]

Originally Posted by Serious Conversation

I worked in Marion County and lived in Hamilton County when I lived there. I'm pretty sure I paid Hamilton's tax rate.

Originally Posted by cobra86

You pay county income tax for the county you live in, not work in. Your payroll department/person should know what to do.

^^^ Both of these.

[1grin_g0]

OK, thanks for the clarification. I see that the state rate is only 3.23% so even with the county rate tacked on, income taxes are still fairly low. I guess this method of taxation gives local governments more control over their revenue. Interesting.