Indy Standard

State Representatives J.D. Prescott and Elizabeth Rowray lent their support to Senate Enrolled Act 1, a new legislative initiative aimed at providing significant property tax relief and enacting reforms for Hoosier homeowners. The act has been officially signed into law.

SEA 1 promises to deliver $1.3 billion in property tax savings over the next three years for Hoosier homeowners. The law includes measures such as a 10% property tax credit up to $300 beginning in 2026 and stackable credits for seniors on fixed incomes and disabled veterans. It's noted that two-thirds of homeowners will encounter a reduced tax bill in 2026 compared to 2025.

"I'm glad that this legislation will provide relief for Hoosiers who have been struggling with these rising costs," Rep. Rowray stated. "Reforms to our property taxes will also bring additional savings and transparency for the foreseeable future."

In addition to tax credits, the act aims to alleviate taxes for small businesses and farmers, saving approximately $125 million over three years. Further measures include reducing the local income tax cap from 3.75% to 2.9%, and introducing a Property Tax Transparency Portal for taxpayers.

“This legislation will deliver much-needed tax relief for the majority of homeowners across the state," said Rep. Prescott. "These cuts are also being done in a responsible manner that does not shift more of the tax burden to agriculture."

SEA 1 has tightened controls on local government debt and mandates that referenda be conducted during general elections for enhanced transparency. For more information, residents can visit iga.in.gov to follow the legislative session.