Indiana Real Estate Hub: Sellers

Indiana Has No State Realty Transfer Tax, but a $20 Sales Disclosure Form Is Required to Record a Deed

Thu, 12 Nov 2026 14:00:00 GMT

Indiana Has No State Realty Transfer Tax, but a $20 Sales Disclosure Form Is Required to Record a Deed

Indiana does not levy a statewide realty transfer tax on the sale price of a home. Most conveyances still require a sales disclosure form, generally with a $20 filing fee paid to the county auditor, and the county recorder will not record the deed without evidence that the approved form was filed.

What the sales disclosure form is for

IC 6-1.1-5.5 requires a sales disclosure form for a conveyance, which the statute defines as a transfer of a real property interest for valuable consideration. The form is prescribed by the Department of Local Government Finance (DLGF) as Form 46021. Parties complete and sign it, and, before filing with the county auditor, submit it for review of accuracy and completeness as the statute describes. The auditor reviews the form, processes any deduction for which the buyer is applying, and forwards information used in the assessment system. A person who signs the form must attest in writing, under penalties of perjury, that to the best of that person's knowledge and belief the information is true and correct.

This form is not the same document as the seller's residential property condition disclosure under IC 32-21-5. The sales disclosure form is a tax-and-assessment filing tied to the conveyance. The residential disclosure is about the known physical condition of a one-to-four-unit home. A closing may involve both.

IC 6-1.1-5.5-4 says a person filing the sales disclosure form shall pay a fee of $20 to the county auditor, except as provided in subsection (b). No fee is due if the conveyance is to a charity, or if it is under a conveyance document described in section 2(a)(2) or 2(a)(3) of the chapter. Half of the fee revenue stays in a county sales disclosure fund; half goes to a state assessment training fund. Ask the closing attorney or the auditor if you believe an exception applies.

The form also matters for recording. IC 6-1.1-5.5-6 says the county auditor may not accept a conveyance document if the signed, attested sales disclosure form is not included, or if the form lacks required information. The county recorder shall not record a conveyance document without evidence that the parties have filed with the auditor a sales disclosure form approved as eligible for filing. In practical terms, a deed that is otherwise ready still will not be recorded until this filing is done.

What you may still pay at the recorder, and how to read the settlement statement

The $20 sales disclosure fee is not a transfer tax calculated on the purchase price, and it is not the recorder's fee for recording the deed or a mortgage. Recording fees are charged by the county recorder under separate rules and can include per-document or per-page amounts. Some counties may also collect other local charges. Those amounts are not a statewide tax of $0.37 per $100, or any similar percentage of the price. If a settlement statement uses the words "transfer tax" or "stamps," ask the closing attorney which official fee is actually being collected.

The sales disclosure form can also be used, in the section the DLGF identifies, to apply for the homestead standard deduction at the time of the sale. That deduction, and the 1% circuit-breaker cap that depends on it, are separate from the $20 filing fee. Buyers who will occupy the home as a principal residence should ask whether the homestead application is being made on the sales disclosure form or on Form HC-10 with the county auditor, and should calendar the filing deadline.

Knowingly and intentionally falsifying the value of transferred real property, or omitting or falsifying required information on the form, is a Level 5 felony under IC 6-1.1-5.5-10. Use the actual consideration and the information the form requires. A licensed local real estate agent and the closing attorney can help assemble the form, but the parties sign it.

Knowingly falsifying the sales price or other required information on the form is a Level 5 felony under IC 6-1.1-5.5-10. That is one reason closing staff will ask both parties to review the numbers carefully before they sign. The form can also be used to start a homestead standard deduction application, which matters if you will occupy the home as your principal residence and want the 1% circuit-breaker cap. Recording fees charged by the county recorder are separate from the $20 sales disclosure fee, and they are local charges. Indiana does not impose a statewide transfer tax calculated as a percentage of the sale price, and unofficial articles that quote a uniform per-$100 tax or a single statewide deed fee are not describing this statute.

FAQ

Does Indiana charge a state tax on the sale price when a house is sold?

No statewide realty transfer tax applies to the purchase price. The usual state-required charge at this step is the $20 sales disclosure form fee paid to the county auditor, unless a statutory exception applies.

Can the deed be recorded without the sales disclosure form?

No. The auditor may not accept the conveyance document without the completed form, and the recorder shall not record it without evidence that the approved form was filed.

Is the $20 fee the same as the recorder's recording fee?

No. The $20 fee is for filing the sales disclosure form with the auditor. Recording the deed or mortgage is a separate recorder charge.

Are there exceptions to the $20 fee?

Yes. IC 6-1.1-5.5-4 waives the fee for a conveyance to a charity and for certain conveyance documents described in section 2(a)(2) or 2(a)(3). Ask the auditor or closing attorney if you think an exception applies.

Next step

Ask your closing attorney or a licensed local real estate agent to show the $20 sales disclosure fee, any recorder charges, and any homestead application on a draft settlement statement before you close.

Sources: IC 6-1.1-5.5, Sales Disclosure Forms; Department of Local Government Finance, Sales Disclosure Form Information.

Indiana Sellers Must Deliver a Disclosure Before an Offer Is Accepted, With a Two-Business-Day Rescission in Some Cases

Thu, 12 Nov 2026 14:00:00 GMT

Indiana Sellers Must Deliver a Disclosure Before an Offer Is Accepted, With a Two-Business-Day Rescission in Some Cases

Photo by Ellie Brown on Unsplash

An Indiana seller of one-to-four-unit residential property must complete, sign, and give the statutory disclosure form to a buyer before an offer is accepted. If a disclosure or an amended disclosure that discloses a defect arrives after the offer is accepted, the buyer may nullify the contract in writing within two business days and recover any deposits.

When the form is due, and what it is not

Indiana Code chapter 32-21-5 applies to a sale, exchange, or lease with option to buy of residential real estate with not more than four dwelling units. The official Seller's Residential Real Estate Sales Disclosure form, and IC 32-21-5-10, require the owner to complete and sign the form and submit it to a prospective buyer before an offer for the sale is accepted. Before closing, an accepted offer is not enforceable against the buyer until the owner and the prospective buyer have signed the disclosure form.

After closing, failure of the owner to deliver a disclosure form does not by itself invalidate the transaction. A buyer also may not invalidate a transaction or a purchase contract because the buyer failed to sign a seller's disclosure form that the buyer has already received or acknowledged. In other words, the early-delivery rule is real, but a missing signature after the buyer has the form, or a missing form discovered only after closing, is not an automatic unwind of a closed deal.

The form is not a warranty, and it is not a substitute for inspections or warranties the buyer or owner may later obtain, under IC 32-21-5-9. The representations are the owner's, not the agent's. The statutory form is based on the seller's current actual knowledge. The official form also lists transfers that generally do not require the disclosure, including certain court-ordered transfers, foreclosure and deed-in-lieu transfers, some fiduciary transfers, transfers between co-owners, certain transfers to a spouse or a lineal relative, tax sales, transfers to or from a governmental entity, the first sale of a dwelling that has not been inhabited, and transfers to a living trust.

If a material change in the physical condition of the property occurs after the form is delivered, IC 32-21-5-12 requires the owner, at or before settlement, to disclose that change or to certify that the condition is substantially the same as when the form was provided.

The two-business-day rescission, and how buyers should use it

IC 32-21-5-13 is the buyer-protection that many people miss. If a prospective buyer receives a disclosure form or an amended disclosure form after an offer has been accepted, and that form discloses a defect, the buyer may, after receiving it and within two business days, nullify the contract by delivering a written rescission to the owner or the owner's agent. The buyer is not liable for nullifying the contract under that section and is entitled to a return of any deposits made in the transaction.

"Defect" has a statutory meaning in this chapter, so the two-day clock is about a disclosed defect on a late or amended form, not about every typographical change. Calendar the date you received the form. Put the rescission in writing and deliver it within two business days if you intend to walk away. After two business days, that particular statutory right expires.

Buyers still benefit from a professional home inspection, and from reading the form line by line, including questions about the structure, systems, and any known methamphetamine contamination in a residential structure, which the statute requires the form to address. Sellers should complete every item, deliver the form before anyone treats an offer as accepted, and amend it in writing if they later learn of a material change. A licensed local real estate agent can coordinate delivery, but the legal duties sit with the owner and the buyer under the statute.

Download the official Seller's Residential Real Estate Sales Disclosure at forms.in.gov (form id 16805) rather than relying on a memory of last year's version. Use it as a checklist with the inspection, not as a reason to skip the inspection. If you are the seller, update the form when you learn of a new defect, and do not assume an old form from a prior listing still speaks to the property's current condition. If you are the buyer, calendar two business days from the date you receive a form or an amendment that first discloses a defect, and put any nullification in writing within that window. A licensed local real estate agent or an Indiana real estate attorney can help you meet that deadline without relying on a verbal objection alone.

FAQ

When must the Indiana seller's disclosure be delivered?

The owner must complete, sign, and submit the form to a prospective buyer before an offer for the sale is accepted, under IC 32-21-5-10.

Can a buyer cancel if a defect first appears on a disclosure received after the offer is accepted?

Yes. IC 32-21-5-13 gives the buyer two business days after receiving that disclosure or amended disclosure to deliver a written rescission and to recover deposits.

Does a missing form automatically void a closed sale?

No. After closing, failure to deliver the form does not by itself invalidate the transaction.

Is the disclosure a warranty or a substitute for an inspection?

No. IC 32-21-5-9 says the form is not a warranty and may not be used as a substitute for inspections or warranties.

Next step

Ask a licensed local real estate agent or an Indiana real estate attorney to confirm that the disclosure was signed and delivered before offer acceptance, and to calendar the two-business-day rescission period if a later form discloses a defect.

Sources: IC 32-21-5, Residential Real Estate Sales Disclosure; Indiana Seller's Residential Real Estate Sales Disclosure form.