How to Fill Out an Indiana WH-4 Form

Indiana’s Form WH-4, the “Employee’s Withholding Exemption and County Status Certificate,” is a required document for employees. Its purpose is to establish the correct amount of state and county income tax your employer should withhold from each paycheck. All new hires must complete this form. Properly completing this form ensures that your tax withholding aligns with your actual tax liability, helping to avoid a large bill or a significant refund come tax season.

Information Needed to Complete Form WH-4

Before filling out the form, you must gather specific personal details. You will need your full name as it appears on your Social Security card, your complete home address, and your Social Security number.

A central component of the WH-4 involves determining your exemptions, which reduce your taxable income. Indiana’s state income tax rate is 3.00%. You can claim a personal exemption for yourself and one for your spouse if they do not claim it themselves. You are also permitted one exemption for each dependent you support.

Determining your county tax status is an important feature of the Indiana WH-4. Your withholding is based on the county where you reside and the county where you have your principal place of employment as of January 1 of the current year. If you live in an Indiana county on January 1, you are subject to that county’s tax rate, regardless of where you work. If you live outside the state but your main job is in an Indiana county on that date, you will be subject to the tax rate of your county of employment.

The Indiana Department of Revenue provides Departmental Notice #1, which lists the tax rates for all 92 counties. These rates are updated annually, so you should consult the current year’s notice for the most accurate information. The most current version of Form WH-4 is available on the Indiana Department of Revenue’s website.

Line-by-Line Instructions for Indiana Form WH-4

The next section guides you through calculating your total exemptions.
Line 1: Enter “1” for your personal exemption, which you can claim even if someone else claims you as a dependent on their federal return.
Line 2: Enter “1” to claim an exemption for your spouse, but only if they are not claiming their own exemption on their WH-4.
Line 3: Enter the number of dependents you are claiming.
Line 4: Claim additional exemptions if you or your spouse are age 65 or older, or are legally blind. Check the corresponding boxes and enter the total number of boxes checked on this line.
Line 5: Add the totals from lines 1 through 4 to determine your subtotal of exemptions.

On Line 6, you can enter the number of qualifying dependent children for an additional exemption. These dependents must have already been included on Line 3. The form also includes exemptions for dependents being claimed for the first time and for adopted children. Follow the form’s instructions to claim these if they apply to your situation.

The final portion of the form addresses any extra withholding you wish to have taken from your pay. There are separate lines for adding an optional additional dollar amount for state withholding and for county withholding. Entering amounts here will increase your total tax withholding each pay period, which can be useful for individuals with other sources of income. Once these lines are completed, you must sign and date the form to certify its accuracy.

Submitting Your Completed Form

After you have filled out and signed your Indiana WH-4, you must submit it directly to your employer. This is typically handled by the human resources or payroll department. Do not send this form to the Indiana Department of Revenue; it is for your employer’s records only. Your employer is responsible for using the information to calculate and remit the proper state and county taxes on your behalf.

Upon receiving your completed form, your employer will update its payroll system with your new withholding information. The changes should take effect on your next regular paycheck. It is good practice to review your first pay stub after submitting a new WH-4 to confirm that the state and county tax withholdings appear correct based on the exemptions and information you provided.

You should file a new WH-4 form whenever your personal or financial situation changes significantly. Events such as getting married or divorced, having or adopting a child, or a change in your dependency status can alter the number of exemptions you are eligible to claim. You must file a new form within 10 days if the number of exemptions you previously claimed decreases. Keeping your WH-4 updated ensures your tax withholding remains accurate throughout the year.