FARMERSBURG, Ind. (WTWO/WAWV)— On Monday, Governor Mike Braun announced that he would be signing an executive order to remove policies that “disincentivize” marriage.
The order is called Executive Order 25-51, titled Removing Government-Imposed Tax Penalties on Marriage. According to the news release from the Governor’s Office, they believe that marriage is the foundation of families and communities and provides “clear economic benefits”. The news release states that married people earn more over their lifetime. It also states that data analytic research states that the biggest predictor to upward mobility for children was directly related to the number of intact families are around them.
The news release states that marriage rates around the country are on the decline. Indiana is rated number 15 in highest marriage rates, though the Governor’s Office says more can be done to remove penalties.
“Marriage is the fundamental cornerstone of strong families and strong communities, and we need to make sure Indiana’s tax and benefits systems aren’t penalizing Hoosiers for getting married,” said Gov. Braun. “Signed in time for Tax Day, this executive order will make sure Indiana’s policies are providing an incentive for Hoosiers to build strong families, rather than getting in the way.”
The release states that Indiana’s tax system gives disadvantages to married couples, such as including exemption caps that remain the same for single and married taxpayers filing jointly. The release goes on to give an example:
a single filer can deduct up to $3,000 in rent, but a married couple filing jointly also gets only $3,000—not double. Also, a single filer and a married couple get the same $1,500 max credit on 529 contributions.
Griffin Reid of the Office of Governor Mike Braun
The executive order will direct the Indiana Department of Revenue, among all executive state agencies that administer welfare or other benefit programs, to evaluate and identify laws or policies that disadvantage married couples. These agencies will be required to provide detailed reports by July 1, 2025, for tax policies and July 1, 2026, for benefit programs. These reports will come with recommendations for changes to remove any penalties on married couples.