Indiana News

State Leaders Remind You to Keep Track of Online Purchases for Use Tax

INDIANAPOLIS (WOWO): Cyber Monday shoppers are being reminded by the Indiana Department of Revenue to check if Indiana sales tax is collected with their purchases. Many online and catalog companies do not collect Indiana sales tax on Hoosier purchases. In our state, consumers making these purchases are required, by law, to pay a “use tax” if a sales tax is not collected. The use tax is a 7 percent tax on a purchase where the Indiana sales tax isn’t collected. When doing your taxes at the end of the year, you will total the purchases and take seven percent, which will be your use tax.

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