On July 27, the Indiana Department of Revenue found that a taxpayer had abandoned her Indiana domicile and was therefore no longer subject to Indiana state income despite the taxpayer erroneously listing her permanent address with her employer as her old Indiana-based address.

The taxpayer protested the imposition of Indiana income tax and provided the following documentation supporting her position that she had abandoned her Indiana domicile beginning in January 2019: (1) a mortgage statement showing that she lived with her mother in Nevada, (2) student loan documents, (3) bank statements, (4) utility bills, (5) insurance policies and (6) a Nevada driver’s license. The Department ultimately granted the taxpayer’s protest, finding that she met her burden of proving the proposed assessment wrong by showing that she took steps to establish domicile in another state.

Letter of Findings: 01-20210028, Indiana Department of State Revenue (July 27, 2021).