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COST OF DOING BUSINESS

RANKINGS AND FACTS (2023)

  • AAA Bond Rating from S&P (Clinton)

  • #1 Best State for Business (Indiana)

  • #1 Manufacturing State in the Nation (Indiana)

  • Lowest Municipal Tax Rate of Indiana Cities (Clinton)

  • #1 for State Infrastructure (Indiana)

  • Indiana is a Right To Work State

  • Indiana is the #1 manufacturing state in the nation (Indiana)

  • Indiana ranks #1 in the US for property tax rates (Indiana)

Sources: CNBC, State of Indiana, Tax Foundation, US Dept. of Energy

WAGES & LABOR FORCE

MUNICIPAL TAX RATES (‘22 Pay '23)

Clinton Property Tax Rate                                                         1.4092%

Local Option Income Tax                                                                  1.5%

PERSONAL INCOME TAX

Current State Rate                                                                           3.05%

Resident- Vermillion County                                                             1.5%

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STATE SALES TAX

Indiana Sales and Use Tax                                                                  7%

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Exemptions include: Manufacturing raw materials, manufacturing equipment, utilities and other consumables used in production and environmental control equipment used by manufacturers. Most services are not subject to tax. Source: Tax Foundation, 2015

INDIANA CORPORATE INCOME TAX

Current State Rate                                                                             4.9%

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INDIANA WORKERS’ COMPENSATION

Average Rate for Office                                                                    $0.26

Average Rate for All Industry Classes                                           $1.31

 

Source: Indiana Compensation Ratings Bureau, 2015

Indiana’s Business Climate Overview

As one of the best states in the US for doing business, Indiana has created a business-forward environment designed to aid in your long-term success. Consistently ranked as one of the top 1 or 2 states in the nation for starting or doing business, Indiana is a Right-to-Work state with no gross receipts tax or inventory tax.


Corporate Income Tax

Indiana’s corporate adjusted gross income tax rate is a flat rate of 4.9%. This method of determination simplifies tax calculations for corporations and does not apply to S-corporations and not-for-profit organizations.
 

Single-Sales Factor

Indiana now uses as single-sales factor for apportioning corporate income tax. The single-sales factor will calculate the Indiana portion based solely on the portion of a company’s sales in Indiana.
 

Sales and Use Tax

Indiana’s Sales and Use Tax is calculated at a rate of 7% and does not levy any local sales taxes. The sale of manufacturing machinery, tools, equipment, and utilities used in the direct production of the manufacturer's product or process are exempt from sales and use taxes. In addition, research and development property purchased for the purpose of R&D activities is also exempt from sales and use taxes.
 

Property Tax

Real and personal property tax is assessed at 100% of market value, with certain deductions and/or exemptions available. Property tax rates in Indiana vary among local jurisdictions but are capped at 3.0% for business property pursuant to state law. The rates for Clinton range from 0.90% - 1.42%.

 
Individual Income Tax

Indiana's personal income tax is 3.05% (2024) of federal adjusted gross income. Vermillion County's personal income tax is .015% for anyone working in Vermillion County.

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