Location Highlights
Indiana Transportation, distribution & Logistics overview
Indiana is a global logistics leader and offers a strong competitive advantage when it comes to reaching North American markets.
Known as the “Crossroads of America,” Indiana is home to the second largest FedEx hub in the world and provides access to 80% of the U.S. and Canadian populations within a one day drive making it second in the nation in the number of people accessible within one day. With 14 Interstates, Indiana ranks second in the nation for highway access.
- Indiana has the fourth lowest cost of living in the country
- Indiana ranks first in the Midwest and sixth in the nation for “Best States for Business” (Chief Executive, May 2015)
- Indiana ranks 10th in the country and best in the Midwest in the State Business Tax Climate (2015 Tax Foundation)
- Indiana ranks 6th in infrastructure and global access and tied with Georgia and Texas for third, in Distribution/Supply Chain Hubs.
- Home to the second largest rail switching yard in the nation (Elkhart Rail Yard)
- Indiana is home to 3 ports and ranks seventh in U.S. waterborne shipping and 15th in total foreign and domestic waterborne shipping
Doing Business in Indiana
Business Cost Comparison
|
Taxes & Factors |
IN |
IL |
|
Corporate Income Tax Rate (a) |
6.0% |
7.75% |
|
State Apportionment of Corporate Income |
Single Sales Factor |
Single Sales Factor |
|
Individual Income Tax Rate (a) |
3.23% |
3.75% |
|
Local Average Individual Income Tax Rate (b) |
1.56% |
None |
|
Local Average & Sales Tax Rate |
7.00% |
8.64% |
|
Unemployment Insurance Tax Rate times State Wage Base |
$237.50 |
$447.12 |
|
Workers’ Compensation Premium Rate Index (Per $100 of payroll) |
$1.05 |
$2.23 |
|
Mean Hourly Wage |
$21.21 |
$27.07 |
|
Cost of Living Index |
99.1 |
112.1 |
|
Right To Work |
YES |
No |
- The corporate income tax rate and individual income tax rate decreases are effective July 1 of each year noted.
- The effective local income tax rate is calculated by taking the mean of the income tax rate in the most populous city and the capital city.
Indiana Rankings
FIRST Nationally for Cost of Doing Business FIRST Nationally for Infrastructure
FIRST Nationally for Best Regulatory Environment FIRST in the Midwest for Low Taxes, 8th Nationally SECOND Nationally for Availability of Skilled Labor
SECOND Forbes Best States for Business & Careers Regulatory Environment
AAA Bond Rating
Tax Rates Decreasing
Corporate Income Tax 6.0% reducing to 4.9% Indiana’s corporate income tax rate is decreasing from 6.0% in 2017 to 4.9% by 2021.
July 2017 - 6.0%
July 2018 - 5.75%
July 2019 - 5.5%
July 2020 - 5.25%
July 2021 - 4.9%
Single Sales Factor Apportionment - The Indiana portion of a corporation’s tax liability is based solely on the portion of the company’s sales in Indiana.
Individual Income Tax 3.3% to 3.23% in 2017 Individual income tax rate decreased from 3.3% to 3.23% in 2017 and beyond.
Manufacturing/Logistics
- Indiana has about 8,500 manufacturing establishments.
- Manufacturing employs one in every five Hoosiers.
- With a GDP of $15.B, Indiana’s motor vehicle manufacturing industry is the 2nd highest in the US.
- Indiana has received straight A’s in manufacturing, tax climate, and global reach since 2008, in the nationwide Manufacturing + Logistics Report.
Hammond is the 5th largest city in the State of Indiana and is located at the very Northwestern corner of the state. Hammond is part of the greater Chicago metropolitan area
Driving Distances
.5 miles to I-90 interchange 16 miles to I-65 interchange
6 mile to Chicago South Business District
9 miles to I-80/94 I-57 interchanges
15 miles to Chicago Loop and 20 miles to Chicago Midway Airport
- Right-to-work state
- Lower Workman’s Compensation and Unemployment Insurance compared to Illinois.
- Property taxes significantly lower than most South Cook County municipalities.
5555 Dylan Drive, South Bend, IN 46628
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