Real property is defined as land and improvements considered permanent fixtures.

Personal property is considered tangible property not permanently affixed to and a part of real estate. These include credits for alternative energy sources, historic rehabilitation, and for venture capital investments. This tax is valid for all real property and for certain types of personal property. Items withdrawn from inventory for personal use or to give away. All individuals, partners, stockholders in subchapter S corporations, trusts, estates, and nonresidents with income from sources in Indiana are subject to the personal income tax. Purchases of things used directly in the production process, including raw materials, machinery, tools and equipment directly used in direct production. Real property is defined as land and improvements considered permanent fixtures.

The taxable amount is the market value of the property. Items used in the preparation of food for immediate consumption. Pollution-abatement equipment if required by federal, state or local law. Catalog purchases by phone or mail from out-of-state vendors. Income of insurance companies who pay the Insurance Premium Tax.