Indiana Form IN-OPT is an Indiana Electronic Filing Opt-Out Declaration used by individuals who do not wish to have their tax returns filed electronically by their paid preparer. This form is necessary for clients who refuse to allow their professional tax preparer to submit their 2025 Indiana individual income tax return electronically, as required by the state’s e-filing mandate. According to the mandate, professional preparers who file more than 10 individual income tax returns in a calendar year must file subsequent returns electronically. However, clients can opt out of this electronic filing requirement by completing and signing Form IN-OPT, which the paid preparer must retain for their records. This form ensures that no penalty is imposed for not filing the return electronically. It must not be mailed to the Indiana Department of Revenue but kept on file by the preparer for five years.
How to File Indiana Form IN-OPT
To file Indiana Form IN-OPT, follow these steps:
- Complete the Form: The taxpayer and their spouse (if applicable) must fill out the form, providing all necessary details such as names, Social Security numbers (SSN), and the professional preparer’s information.
- Sign the Form: Both the taxpayer and their spouse (if filing jointly) must sign and date the form to confirm their decision not to file electronically.
- Retain the Form: The paid preparer must retain the signed form for five years in their records. The form should not be submitted to the Indiana Department of Revenue.
- Keep for Your Records: The taxpayer should also keep a copy of the form for their personal records.
How to Complete Indiana Form IN-OPT: Line-by-Line Instructions
Section 1: Declaration of Opt-Out
Line 1: Your Signature
- The taxpayer must sign this line to declare that they do not wish their professional preparer to electronically file their 2025 Indiana individual income tax return.
Line 2: Spouse’s Signature (if Married Filing Jointly)
- If the taxpayer is married and filing jointly, the spouse must also sign this line to confirm the opt-out decision.
Line 3: Date (Your Signature)
- Enter the date on which the taxpayer signed the form.
Line 4: Date (Spouse’s Signature)
- If applicable, the spouse must enter the date on which they signed the form.
Section 2: Taxpayer and Spouse Information
Line 5: Your Name
- Enter the full name of the taxpayer (the person opting out of e-filing).
Line 6: Spouse’s Name (if Married Filing Jointly)
- If the taxpayer is married and filing jointly, enter the full name of the spouse.
Section 3: Professional Preparer Information
Line 7: Paid Preparer’s Firm Name (or Your Name if Self-Employed)
- If a professional preparer is being used, enter the name of the firm. If the taxpayer is self-employed as the preparer, enter their own name.
Line 8: Paid Preparer’s PTIN
- Enter the Preparer Tax Identification Number (PTIN) of the professional preparer. This number is required by the IRS for tax preparers.
Section 4: Social Security Numbers
Line 9: Your Social Security Number (SSN)
- The taxpayer must provide their SSN for identification purposes.
Line 10: Spouse’s Social Security Number (if Married Filing Jointly)
- If applicable, the spouse must provide their SSN. This is necessary for joint filings.
Additional Information and Important Notes
- Do Not Submit to the Indiana Department of Revenue: It is important to note that this form is not to be mailed to the Indiana Department of Revenue. The professional preparer must keep this form on file for five years.
- Penalties for Non-Electronic Filing: If a professional preparer fails to electronically file more than 10 returns in a year without a valid opt-out form, they could be penalized $50 for each return, up to a maximum of $25,000 annually.
- Eligibility for Opt-Out: The taxpayer must be aware that they are only eligible for the opt-out if they specifically do not want their professional preparer to file electronically. If the taxpayer does not object to e-filing, this form is unnecessary.