Taxes in Terre Haute, Indiana
Complete tax guide for Terre Haute, IN. State income tax up to 3.05%, 0.85% property tax, 8.43% sales tax. Calculate your total tax burden.
State Income Tax
3.05%
Indiana
Property Tax
0.85%
Effective rate
Sales Tax
8.43%
Combined rate
Tax Burden
Moderate
Terre Haute, IN Tax Overview
Population
58,389
Median Income
$35,000
Cost of Living
80.2 (100 = avg)
State Income Tax
3.05%
Local Income Tax
2.98%
Median Home Price
$115,000
Terre Haute Tax Calculator
Pre-filled with Terre Haute median: $35,000
Total Tax Burden in Terre Haute
$6,950
Take-Home: $28,051 · Effective Rate: 19.86%
Federal Tax
$2,162
6.18% eff.
IN State + Local
$2,111
6.03% eff.
FICA
$2,678
7.65% eff.
Take-Home
$28,051
80.14% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $35,000.00 | $2,916.67 |
| Federal Income Tax | -$2,161.50 | -$180.13 |
| Indiana State Tax | -$1,067.50 | -$88.96 |
| Terre Haute Local Tax (2.98%) | -$1,043.00 | -$86.92 |
| Social Security (6.2%) | -$2,170.00 | -$180.83 |
| Medicare (1.45%) | -$507.50 | -$42.29 |
| Take-Home Pay | $28,050.50 | $2,337.54 |
Property Tax in Terre Haute
Median Home
$115,000
Annual Tax
$978
Monthly Tax
$81
Effective Rate
0.85%
Sales Tax in Terre Haute
Combined Rate
8.43%
State Portion
~5.9%
Local Portion
~2.5%
The combined sales tax rate in Terre Haute is 8.43%, which is above the national average of 7.12%. On a $100 purchase, you would pay $8.43 in sales tax.
Tax Burden Comparison
| Tax Type | Terre Haute | Indiana Avg | National Avg |
|---|---|---|---|
| Income Tax | 3.05% + 2.98% | 3.05% | 4.6% |
| Property Tax | 0.85% | ~0.85% | 1.1% |
| Sales Tax | 8.43% | ~8.43% | 7.12% |
| Overall Burden | Moderate | — | Moderate |
Tax Saving Tips for Terre Haute Residents
- Indiana's income tax rate of 3.05% is competitive. You may still benefit from maximizing 401(k) contributions ($23,500 limit) to reduce your taxable income at both state and federal levels.
- Terre Haute has a local income tax of 2.98%. If you work remotely, verify whether you owe city tax based on where you work or where you live. Some cities only tax people who work within city limits.
- Property tax in Terre Haute (0.85%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- The combined sales tax rate of 8.43% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
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LowCalculate Your Full Indiana Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Terre Haute, IN?
Terre Haute, Indiana has a state income tax rate up to 3.05%, plus a local income tax of 2.98%. The property tax rate is 0.85% and the combined sales tax rate is 8.43%.
How much is property tax in Terre Haute?
The effective property tax rate in Terre Haute is 0.85%. On the median home price of $115,000, this equals approximately $978 per year or $81 per month. This is below the national average of 1.1%.
What is the sales tax rate in Terre Haute?
The combined sales tax rate in Terre Haute is 8.43%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.
How does Terre Haute's tax burden compare to other cities?
Terre Haute has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 26.6%. The combination of 3.05% state income tax, 0.85% property tax, and 8.43% sales tax determines the total burden. Cost of living index is 80.2 (100 = national average).
Are there any local taxes in Terre Haute?
Yes. Terre Haute imposes a local income tax of 2.98% in addition to the state income tax of 3.05%.