Need to know which states offer sales tax reciprocity with Indiana? Focus on these key states: Kentucky offers full reciprocity, meaning no Indiana sales tax on purchases made there by Indiana residents. Ohio provides partial reciprocity, with specific exemptions depending on the type of purchase and vendor. Illinois, however, doesn’t offer reciprocity, so expect to pay Indiana sales tax on Illinois purchases. This simplification clarifies your sales tax obligations.
Remember that rules change, so always verify directly with the relevant state’s tax authority before making significant purchases. Consult the Indiana Department of Revenue website for the most current information and detailed guidelines. Specifically, explore their official publications on interstate sales tax regulations to ensure accuracy.
Careful planning saves money. Understanding these reciprocal agreements allows for precise budgeting and avoids unexpected tax liabilities. By directly referencing official state resources, you gain control and confidence in your tax compliance. Keep in mind that specific regulations for businesses differ from those for individuals, so businesses should investigate business-specific resources available through Indiana’s Department of Revenue.
