Indiana State Income Tax Withholding Information
State Abbreviation: |
IN |
State Tax Withholding State Code: |
18 |
Acceptable Exemption Form: |
WH-4 |
Basis for Withholding: |
State Exemptions |
Acceptable Exemption Data: |
0/Number of Exemptions/Number of Additional Exemptions |
TSP Deferred: |
Yes |
Special Coding: |
Determine the Total Number Of Allowances field as follows: |
Additional Resources: |
Withholding Formula (Effective Pay Period 01, 2015)
- Subtract the biweekly Thrift Savings Plan contribution from the gross biweekly wages.
- Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes dental and vision insurance program, and flexible spending account − health care and dependent care deductions) from the amount computed in Step 1.
- Add the taxable biweekly fringe benefits (taxable life insurance, etc.) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.
- Multiply the adjusted gross biweekly wages times 26 to obtain the annual wages.
- Determine the exemption allowance by applying the following guideline and subtract this amount from the result of step 4.
Exemption Allowance = $1,000 x Number of Exemptions1
1 Number of exemptions claimed for self, spouse, over age 65, blindness, and dependents. - Determine the additional allowance by applying the following guideline and subtract this amount from step 5 to compute the taxable income.
Additional Allowance = $1,500 x Number of Additional Exemptions2
2 Number of exemptions claimed for certain qualifying dependents. - Multiply the taxable income computed in step 6 by 3.3 percent to obtain the annual Indiana tax withholding.
- Divide the annual Indiana tax withholding by 26 to obtain the biweekly Indiana tax withholding.