Indiana gov. seeks to nix tax insurance policies disincentivizing marriage

By Ryan Foley, Christian Publish Reporter Wednesday, April 16, 2025

The governor of Indiana has signed an government order designed to make sure that the state’s tax insurance policies don’t disincentivize residents from getting married.

In a assertion Monday, Indiana’s Republican Gov. Mike Braun introduced that he signed Govt Order 25-51: Eradicating Authorities-Imposed Tax Penalties on Marriage.

“Marriage is the basic cornerstone of robust households and robust communities, and we want to verify Indiana’s tax and advantages techniques aren’t penalizing Hoosiers for getting married,” he wrote.

Braun’s workplace listed increased earnings for married folks all through their lifetime as one of many advantages of marriage. It additionally cited analysis findings that “the highest predictor of upward mobility for kids was the variety of intact households round them.”

The governor recognized marriage as “the basic constructing block of households and society for millennia” and a part of a “success sequence” consisting of graduating from highschool, acquiring full-time employment and ready till no less than the age of 21 earlier than getting married and having youngsters.

“Analysis initially carried out throughout the Clinton administration discovered solely 2% of American adults who comply with the ‘success sequence’ are in poverty and practically 75% are within the center class,” the order acknowledged. “More moderen analysis discovered that 97% of Millennials who comply with the success sequence aren’t poor by the point they attain their prime younger grownup years (ages 28-34), however 53% of younger adults who didn’t comply with this sequence in any respect are in poverty.”

The chief order additionally stated The Private Duty and Work Alternative Reconciliation Act of 1996 “eradicated a few of the disincentives to marriage in federal welfare applications, however disincentives persist because of how revenue of a cohabiting companion or partner is factored into eligibility.”

Braun’s workplace listed examples of what it says are Indiana’s tax insurance policies that fail to incentivize marriage, noting that single people can deduct as much as $3,000 in hire bills from their taxes whereas a married couple submitting collectively has an an identical exemption cap of $3,000.

Equally, married and single folks have the identical most credit score of $1,500 for his or her 529 contributions.

The chief order directed the Indiana Division of Income, in addition to all different state businesses that administer both welfare or profit applications, to “estimate the quantity of economic disincentive the present legal guidelines and insurance policies place on marriage” and “advocate modifications to the tax legal guidelines and insurance policies that incentivize marriage and take away further burdens being positioned on these [who] are married.”

Businesses that cope with tax insurance policies should present a report by July 1 outlining beneficial modifications to take away marriage penalties, whereas businesses centered on profit applications should do the identical by July 1, 2026.

The chief order additionally expressed concern that “disincentives live on as welfare participation reduces the probability of marriage whereas the mom is receiving advantages.”

“Signed in time for Tax Day, this government order will make certain Indiana’s insurance policies are offering an incentive for Hoosiers to construct robust households, somewhat than getting in the way in which,” Braun wrote.

Ryan Foley is a reporter for The Christian Publish. He might be reached at: [email protected]