Sec. 37.5. (a) A person who is entitled to a standard deduction from the assessed value of property under section 37 of this chapter is also entitled to receive a supplemental deduction from the assessed value of the homestead to which the standard deduction applies after the application of the standard deduction but before the application of any other deduction, exemption, or credit for which the person is eligible.

     (b) The amount of the deduction under this section is equal to the sum of the following:

(1) For property taxes first due and payable:

(A) before January 1, 2024, thirty-five percent (35%);

(B) in 2024, forty percent (40%);

(C) in 2025, thirty-seven and five-tenths percent (37.5%); and

(D) after December 31, 2025, thirty-five percent (35%);

of the assessed value determined under subsection (a) that is not more than six hundred thousand dollars ($600,000).

(2) For property taxes first due and payable:

(A) before January 1, 2024, twenty-five percent (25%);

(B) in 2024, thirty percent (30%);

(C) in 2025, twenty-seven and five-tenths percent (27.5%); and

(D) after December 31, 2025, twenty-five percent (25%);

of the assessed value determined under subsection (a) that is more than six hundred thousand dollars ($600,000).

     (c) The auditor of the county shall record and make the deduction for the person qualifying for the deduction.

     (d) The deduction granted under this section shall not be considered in applying section 40.5 of this chapter to the deductions applicable to property. Section 40.5 of this chapter does not apply to the deduction granted under this section.

As added by P.L.146-2008, SEC.116. Amended by P.L.239-2023, SEC.2.