How Is State Income Tax Money Used

Want to know where your Indiana state tax dollars go? You've come to the right place. With over $20 billion in tax revenue being processed each year by the Indiana Department of Revenue (DOR) from 65 different tax types, we want you to know how these funds are used.

Once processed, funds collected on behalf of the state are made available for use by the 92 state agencies subject to oversight by the State Budget Agency. Taxes collected on behalf of local units of government are distributed to those units for such diverse activities as public safety, economic development, education and many others.

Did you know your tax dollars are used to help veterans, support K-12 education and encourage clean water and air, to name a few? The graphic to the right shows where taxes that are collected by DOR are used to serve the state of Indiana.

To view more in-depth information you can access the state's transparency portal or the budget report. You can also follow DOR on social media @INRevenue to learn more about how your tax dollars are being used by different agencies throughout the year.

Want more specifics?

Subscribe to our Tax Talk blog for our Money Monday series and see previous blogs below.

We'll be highlighting the following state agencies in 2021:

Indiana Civil Rights Commission (January)
Department of Workforce Development (February)
Management Performance Hub (March)
Auditor of the State (April)
Indiana Board of Animal Health (May)
Indiana Economic Development Corporation (June)
Indiana War Memorial (July)
Indiana Housing and Community Development Authority (August)
Indiana State Personnel Department (September)
Treasurer of State (October)
Secretary of State (November)
Indiana Department of Child Services (December)

Tax Talk Blogs 2021

Protecting Hoosiers With Your Tax Dollars: The Indiana Civil Rights Commission
Helping Hoosiers With Employment: The Department of Workforce Development
Management Performance Hub: Making the Data Work For You!
The Indiana Auditor of State: Where Your Tax Refund Comes From

State Agencies Highlighted in 2020

Introducing Money Mondays: Learn How State Tax Dollars Are Used
Money Monday: How the Indiana Department of Natural Resources Uses Tax Dollars
Money Monday: How the Family and Social Services Administration Uses Tax Dollars
Money Monday: How the Indiana Department of Environmental Management Uses Tax Dollars
Money Monday: How the Indiana State Police Use Tax Dollars
Money Monday: How the Indiana Department of Correction Uses Tax Dollars
Money Monday: Class is in Session for the Indiana Department of Education
Money Monday: Seeing New Possibilities with the Indiana School for the Blind and Visually Impaired
Investing in Your Health: How The Indiana State Department of Health Uses State Tax Dollars
Money Monday: How the Indiana State Library Uses Tax Dollars
Helping Hoosier Veterans with State Tax Dollars: the Indiana Department of Veterans Affairs
Providing Emergency Services and Keeping Buildings Safe with the Indiana Department of Homeland Security