A Westfield veteran has started a grassroots campaign to lobby elected leaders at the state level to increase the property tax deduction for veterans in Indiana.
Mike Madigan served in the U.S. Marine Corps in Vietnam. An Illinois native who lived in Wisconsin before moving to Indiana in 2020, Madigan said when he moved to Westfield, he was surprised to find the property tax exemption in the Hoosier State is far different from what was available in Wisconsin.
“I was 100 percent disability, and at 100 percent disability in Wisconsin, you don’t have to pay any property taxes,” Madigan said. “So, when we moved here, we were told there was a disability benefit. And then I got it, we built a home here. The first year was negligible because we were new. But the next year I got (my property tax bill) and I said, ‘Wait a minute, where is this discount?’ So I researched it. They instituted it back in 1975 when a house was worth $39,6000. And they haven’t really touched it since.”
According to the Indiana statute on taxation, veterans with a disability of at least 10 percent that is service-related and who served during World War II, Korea, Vietnam and the Gulf Wars may receive a property tax deduction of up $24,960 from the assessed value of taxable, tangible property.
Veterans with total disability or who are 62 or older with a partial disability who served at least 90 days are eligible for a deduction of up to $14,000.
Although the value limit of assessed property was increased from $200,000 to $240,000 in 2024, Madigan said that does not represent true home values, especially in areas north of Indianapolis.
According to a U.S. Department of Veterans Affairs state-by-state analysis compiled in 2021, 7 percent of Hoosiers are veterans, totaling 396,542 residents — ranking Indiana No. 16 in the nation for veteran population. Madigan said those veterans contribute to local and state economies. He said changing the property tax credit will entice more veterans to purchase homes in Indiana.
“We have a lot working for us, but we have to be able to attract these people,” he said. “We’re not doing very well on veterans’ benefits. The VA hospital is great down here, I have no qualms with that. But veterans can fall into these cracks and it’s very cumbersome to try and figure out. I’m challenging myself and everybody else (to support this).”
Madigan is in the process of presenting his petition for support to local veterans groups and municipalities, with the intention to bring it to lawmakers in 2025. The petition calls for increasing the property tax abatement to 100 percent for disabled veterans and 25 percent for all veterans, and raising the assessed value cap.
Those 18 and older interested in signing the petition can contact Madigan at [email protected].
