Dearborn County's local income tax has doubled from 0.6 percent to 1.2 percent of each paycheck.
(Dearborn County, Ind.) - People who live and work in Dearborn County are now paying more in income tax.
Dearborn County is among eight Indiana counties which have increased their local option income tax rates this year. The higher tax rates took effect January 1, 2019.
Last September, Dearborn County Council approved raising the local income tax rate from 0.6 percent to 1.2 percent to fund public safety and jail operations in the face of declining riverboat gaming revenues in the county's coffers. The new, higher income tax rate is still lower than about 75 of Indiana’s 92 counties.
According to the Indiana Department of Revenue, “These tax rates affect businesses with employees who live or work in any of these counties and have income tax withholdings. County tax rates for individuals is based on the employee’s Indiana county of residence as of January 1, 2019.”
Employers with questions about these county income tax rates can contact DOR at (317) 233-4016, Monday through Friday, 8:00 a.m. until 4:30 p.m.
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