Residency Migration Reference
Moving from Kansas to Indiana: Residency, Taxes, and What to Prove
The top income tax rate drops from 5.58% in Kansas to 2.95% (flat, state) + county income tax in Indiana. Establishing Indiana residency correctly is what protects that benefit.
Residency Tests Side by Side
Kansas does not use a simple day-count threshold; it applies a facts-and-circumstances test instead. Indiana's statutory residency test uses a 183-day threshold.
| Factor | Kansas | Indiana |
|---|---|---|
| Statutory Residency Test | Kansas does not run a separate day-count statutory residency test layered on top of domicile the way New York or California do. Kansas Department of Revenue guidance defines a Kansas resident for income tax purposes as anyone who lives in Kansas, regardless of where they are employed, and an individual who is away from Kansas for a period of time but intends to return remains a Kansas resident the entire time they are away. K.S.A. 79-32,109 supplies the underlying statutory definition of resident individual that KDOR guidance implements. | Indiana Code 6-3-1-12 and 45 IAC 3.1-1-21 define a resident two independent ways: an individual domiciled in Indiana during the tax year, or an individual who is not domiciled in Indiana but maintains a permanent place of residence in the state and spends more than 183 days of the taxable year in Indiana. Indiana guidance explicitly notes the 183-day/permanent-residence test is a separate, independent basis for residency, not itself a test for domicile. |
| Domicile Test | Kansas weighs the usual facts-and-circumstances domicile factors under Kansas Administrative Regulation 92-12-4: where the taxpayer's permanent home is, where they are registered to vote, where their driver's license and vehicle registration are held, where they claim the Kansas Homestead Refund, and the location of family, employment, and financial accounts. No single factor is dispositive; KDOR and the Board of Tax Appeals weigh the whole pattern of conduct. | Under 45 IAC 3.1-1-22.5, Indiana presumes a person has not abandoned Indiana domicile if they maintained a permanent residence in Indiana and satisfy at least one of: claiming a homestead deduction or military tax exemption on an Indiana home, voting in Indiana, occupying an Indiana residence more days of the year than any other single state, claiming a federal tax benefit based on Indiana being the principal residence, or having a place of employment or business in Indiana. Supplementary factors include driver's license and vehicle registration location, dependent claims, mailing address, bank accounts, organizational memberships, and where professional services and valuables are located. |
| Day Count Threshold | No fixed threshold | 183 days |
| Any Part of a Day Rule | Not applicable. Kansas has no statutory day-count test, so there is no rule treating a single hour of physical presence as a full day the way California and New York do for their own statutory residency tests. A Kansas domicile dispute turns on intent and conduct, not a day tally. | Indiana's statute uses 'more than 183 days,' which mirrors New York's and Illinois's phrasing; Indiana guidance does not publish a specific carve-out exempting partial days, and practitioners treat any day with meaningful Indiana presence as counting toward the total absent a documented exception like medical treatment or transit. |
| Presumptions | None published | 45 IAC 3.1-1-22.5 creates a presumption against abandonment of Indiana domicile whenever a person kept a permanent Indiana residence and meets at least one of the five primary factors listed above (homestead claim, voting, most-days-in-state, federal filing benefit, or Indiana employment); this presumption is rebuttable but places real weight on continuing to hold any one of those Indiana connections. |
| Safe Harbors | None published | None published |
Leaving Kansas
Kansas is not named among the handful of aggressive exit-audit states that practitioners and Reddit's r/tax regulars flag most often, a list that consistently runs to New York, California, New Jersey, Connecticut, Maryland, and Minnesota. The real Kansas exit friction shows up locally in the Kansas City metro, which straddles the Kansas-Missouri state line: households who move a few miles from Overland Park or Olathe (Kansas) to the Missouri side of the metro but keep a Kansas driver's license, Kansas voter registration, or a Kansas Homestead Refund claim on a house they've converted to a rental are the pattern most likely to draw a residency inquiry, because those records are the ones KDOR can cross-check without a full field audit.
Trailing Income
Kansas continues to tax Kansas-source income earned by a nonresident after departure: wages for work physically performed in Kansas, income from a Kansas-based business, and gain on Kansas real property. Kansas has no published convenience-of-the-employer rule comparable to New York's, so a former Kansas resident who now works remotely from another state for a Kansas employer generally is not taxed by Kansas on those post-move wages solely because the employer is Kansas-based.
Part-Year Filing
Part-year residents file Form K-40 and complete Part B of Schedule S, which allocates income between the Kansas-resident portion of the year and the nonresident portion, and reports the specific dates Kansas residency began or ended.
Enforcement Methods
Common Exit Mistakes
Establishing Indiana Residency
| Action | Agency | Deadline |
|---|---|---|
| Transfer driver's license and register any vehicle kept in Indiana | Indiana Bureau of Motor Vehicles | within 60 days of establishing residency |
| Register to vote | Indiana Election Division | 29 days before Election Day for online, mail, and in-person registration |
| File Form HC10 for the Homestead Standard Deduction on a purchased primary residence | County Auditor | on or before January 1 of the assessment year for that year's deduction, or as part of the sales disclosure at closing |
Declaration of Domicile
Indiana has no county-level declaration-of-domicile filing like Florida. Domicile is established through the conduct listed in 45 IAC 3.1-1-22.5: buying or leasing a home, registering to vote, obtaining the Indiana license and plates, claiming the homestead deduction, and shifting where employment and business activity actually occur.
Homestead
The Homestead Standard Deduction reduces assessed value by the lesser of $48,000 or 60% of assessed value on an owner-occupied principal residence, with an additional supplemental deduction on the remaining assessed value. Because Indiana law specifically directs the Department of Local Government Finance and county auditors to develop procedures to catch homestead claimants whose actual principal residence is outside Indiana, claiming or removing this deduction is a real, checkable data point for anyone establishing or leaving Indiana domicile.
Voter Registration
Register online, by mail, or in person at least 29 days before Election Day; Indiana does not offer same-day registration. https://indianavoters.in.gov
Vehicle Registration Deadline
60 days
New Resident Tax Traps
A new full-year Indiana resident is taxed on worldwide income from the date Indiana residency begins, reported on Form IT-40PNR for the split year, which also requires sorting out the county income tax based on county of residence. New residents should identify their county's local tax rate promptly, since it stacks on top of the 2.95% state rate and varies substantially, from roughly 0.5% in some counties to over 3% in others.
What Changes on Tax
Kansas Top Rate
5.58%
Indiana Top Rate
2.95% (flat, state) + county income tax
Moving from Kansas to Indiana drops the top marginal income tax rate from about 5.58% to about 2.95%, a reduction of roughly 2.63 percentage points.
Withholding Reciprocity
Kansas and Indiana do not have a wage-withholding reciprocity agreement with each other, so this move follows ordinary source-state and resident-state filing rules rather than a reciprocity exception.
Community Property Transition
Kansas and Indiana both use common law, equitable-distribution marital property rules, so no community property transition applies to this move.
Beyond Income Tax
Kansas
Capital gains: Kansas has no separate capital gains rate. Gains flow through federal adjusted gross income into Kansas adjusted gross income and are taxed at the same 5.2%/5.58% rates as ordinary income.
Estate or inheritance tax: None. Kansas repealed its inheritance tax decades ago and has no separate estate tax; only the federal estate tax, with its much higher exemption, can reach a Kansas decedent's estate.
Property tax: Effective property tax rate on owner-occupied housing runs about 1.21%. Kansas does not use a Florida-style homestead exemption that reduces taxable value; instead it runs the Homestead Refund program (Form K-40H), an income-capped property tax rebate of up to $700 for qualifying homeowners who are 55 or older, blind or disabled, or have a dependent child under 18, and a separate 75% property tax refund (Form K-40PT) for homeowners 65 and older with lower household income.
Sales tax: State rate is 6.5%, with a statewide average combined rate (state plus local) of about 8.69%, one of the higher combined averages in the country because Kansas allows extensive city and county sales tax stacking.
Indiana
Capital gains: No preferential rate. Capital gains are taxed as ordinary income at the flat state rate plus the applicable county rate.
Estate or inheritance tax: Indiana has no state estate tax and no inheritance tax; Indiana repealed its inheritance tax effective 2013. Only the federal estate tax, with its roughly $15 million per-person exemption in 2026, can apply to an Indiana decedent's estate.
Property tax: Indiana's average effective property tax rate is around 0.8% of home value, among the lower rates in the Midwest. The Homestead Standard Deduction reduces assessed value by the lesser of $48,000 or 60% of assessed value for an owner-occupied principal residence, with an additional supplemental deduction on the remaining value; county auditors are directed to develop procedures specifically to catch owners whose actual principal residence is outside Indiana.
Sales tax: Indiana has a flat statewide 7% sales tax, sometimes called the Gross Retail Tax, with no additional local sales tax layered on top anywhere in the state.
Who This Move Applies To
Travel Nurses
In Kansas
Kansas has no statutory carve-out for travel nurses distinct from its general domicile test; a nurse's Kansas tax home question is resolved under IRS Publication 463's tax-home concept for federal stipend treatment, and Kansas residency then follows the same domicile-and-intent analysis as any other taxpayer. Kansas hospital systems in Wichita, Topeka, and the Kansas City metro draw a steady stream of travel nursing assignments, and a nurse who claims a tax home outside Kansas while spending most of the year in a Kansas rental apartment faces the same tax-home disallowance risk documented nationally on travel-nurse forums.
In Indiana
Indiana applies its ordinary domicile and 183-day/permanent-residence tests to a travel nurse the same as anyone else: a nurse not domiciled in Indiana who keeps a permanent Indiana residence and is present more than 183 days becomes an Indiana resident on worldwide income for that year, plus the applicable county tax. The more frequent exposure runs the other way, where a nurse claims a Florida or Texas tax home while actually renting in Indiana for most of an assignment; Indiana taxes nonresident wages for days actually worked in the state regardless of the claimed tax home.
Professional Athletes
In Kansas
Kansas is home to the Kansas Speedway and hosts Chiefs training-camp-adjacent business activity given the team's Kansas City, Missouri stadium sits just across the state line, but Kansas itself has no major-league franchise based in-state. Visiting athletes who play games in Kansas (at Kansas Speedway events or exhibition games) are subject to Kansas's duty-day apportionment framework for nonresident athlete income, consistent with how most states with an income tax administer the jock tax.
In Indiana
Indiana taxes nonresident professional athletes using the standard duty-day formula applied across nearly all income-tax states: total season compensation multiplied by the ratio of Indiana duty days (games, practices, and mandatory team functions in the state) to total duty days for the season. This applies to visiting NFL and NBA teams playing the Colts and Pacers in Indianapolis, and Indiana's flat, comparatively low rate means the dollar amount at stake per game is smaller than in higher-rate states, though the filing obligation is the same.
Snowbirds, Long Visitors, and RVers
In Kansas
Because Kansas has no day-count statutory residency test, a Kansas snowbird who winters in Arizona or Florida does not face a bright-line trigger the way a New York or California resident would; the question is simply whether the Kansas home remains the taxpayer's true domicile, judged on the same conduct factors (driver's license, voter registration, Homestead Refund claims) as any other Kansas residency question. The bigger snowbird risk runs the other direction: a Kansas Homestead Refund claim requires full-year Kansas residency, so a homeowner who spends a large part of the year in a warm-weather state should not claim it if they can't support full-year Kansas residency.
In Indiana
The Indiana snowbird risk runs through the same domicile-abandonment presumption that protects year-round Indiana residents: a retiree who keeps a permanent Indiana residence, continues to vote in Indiana, or keeps the homestead deduction active while wintering in Florida is presumed not to have abandoned Indiana domicile. Separately, spending more than 183 days in Indiana in a year while maintaining a permanent Indiana residence independently triggers Indiana residency regardless of domicile intent.
Remote Workers
In Kansas
Kansas has no published convenience-of-the-employer rule, so a genuine Kansas resident working remotely for an out-of-state employer is taxed by Kansas as a resident regardless of the employer's location, and a nonresident working remotely for a Kansas employer generally is not pulled into Kansas tax solely because the employer is headquartered there. The recurring Kansas-specific version of this issue is Kansas City metro commuters: someone who lives on the Kansas side and works, even partly remotely, for a Missouri-based employer (or vice versa) has to track actual work-location days carefully, since neither state applies a convenience rule to override where the work was physically performed.
In Indiana
Indiana has no convenience-of-the-employer rule. A nonresident who works remotely from another state for an Indiana-based employer is generally not taxed by Indiana on those wages, since Indiana sources employee compensation to where the work is physically performed rather than to the employer's location.
Military
In Kansas
Kansas follows the federal Servicemembers Civil Relief Act and Military Spouses Residency Relief Act. A servicemember whose home of record is Kansas remains a Kansas domiciliary and taxpayer regardless of duty station, and Kansas does not tax the military pay of a nonresident servicemember stationed in Kansas solely because of orders. Fort Riley and McConnell Air Force Base are the state's major installations, and Kansas allows a nonmilitary spouse to elect the servicemember's state of legal residence under MSRRA for Kansas tax purposes.
In Indiana
Indiana follows the federal Servicemembers Civil Relief Act and Military Spouses Residency Relief Act. A servicemember whose domicile was Indiana before entering service remains an Indiana domiciliary regardless of duty station unless they affirmatively establish a new domicile, while a servicemember stationed in Indiana on orders, and a qualifying spouse, does not become an Indiana resident solely because of the posting; Indiana also allows a deduction for certain military retirement income.
Airline Crew
In Kansas
Federal law (49 U.S.C. §40116) limits any state's ability to tax an air carrier employee's pay to the employee's state of residence and any state where more than 50% of pay is earned. Wichita is home to significant aviation manufacturing (Textron Aviation, Spirit AeroSystems) but is not a major airline crew base; crew based elsewhere who happen to be Kansas domiciliaries are protected by the federal carve-out from having their full income pulled into a duty-station state's tax.
In Indiana
Federal law (49 U.S.C. §40116) limits states to taxing airline employee compensation only in the employee's state of residence and any state where more than 50% of pay is earned, protecting flight crew based at Indianapolis International who are domiciled outside Indiana from full-income Indiana taxation based solely on their duty station.
Tools for This Move
Kansas to Indiana FAQ
Does Kansas use a 183-day rule like some other states?+
No. Kansas has no statutory day-count test at all. A Kansas resident for tax purposes is simply anyone who lives in Kansas, and someone who is temporarily away from Kansas but intends to return is still treated as a Kansas resident the entire time, regardless of how many days that absence lasts.
Does Indiana have a 183-day rule separate from domicile?+
Yes, and Indiana is explicit that the two are independent tests. Under IC 6-3-1-12 and 45 IAC 3.1-1-21, you're an Indiana resident if you're domiciled in Indiana, or separately, if you're not domiciled in Indiana but maintain a permanent Indiana residence and spend more than 183 days in the state during the year. Indiana's own guidance says the 183-day test is not itself a test for domicile, so you can fail one and still be caught by the other.
I moved from the Kansas side of Kansas City to the Missouri side but kept my old Kansas driver's license. Is that a problem?+
Yes, it's the single most common Kansas residency issue given how many households move within the KC metro across the state line. A Kansas driver's license, Kansas voter registration, or a Kansas Homestead Refund claim on your old house are all direct evidence of continued Kansas domicile, and the Homestead Refund specifically requires full-year Kansas residency, so keeping that claim after moving to Missouri is a clear contradiction if the state ever checks.
If I move to Florida but keep voting absentee or in person in Indiana, does that hurt my case?+
Yes, directly. Indiana's domicile-abandonment rule under 45 IAC 3.1-1-22.5 presumes you haven't given up Indiana domicile if you keep a permanent Indiana residence and continue voting in Indiana, among other listed factors. Re-registering to vote in your new state, and actually voting there, is one of the more concrete steps that supports a genuine domicile change.
Does Kansas tax my Social Security benefits?+
No, as of tax year 2024 Kansas fully exempts Social Security benefits regardless of income, after the 2024 tax reform package repealed the prior $75,000 federal AGI phase-out that used to tax benefits for higher earners.
Will keeping the homestead deduction on my Indiana house hurt me if I claim I moved to Florida?+
Yes. Indiana law specifically directs the Department of Local Government Finance and county auditors to develop procedures to identify homestead deduction claimants whose actual principal residence is outside Indiana, so continuing to claim it while filing as a nonresident elsewhere is exactly the kind of contradiction those procedures are built to catch. If you've genuinely moved, notifying your county auditor to remove the deduction is one of the concrete steps supporting your new domicile.
What form do I file if I only lived in Kansas part of the year?+
Part-year residents file Form K-40 along with Part B of Schedule S, which reports the specific dates Kansas residency began or ended and allocates income between the Kansas-resident and nonresident portions of the year.
How does Indiana's county income tax work if I move counties or move out of state mid-year?+
On top of the flat 2.95% state rate, every Indiana county levies its own income tax, ranging roughly from 0.5% to over 3%, and your county rate generally depends on your county of residence. When you move into or out of Indiana mid-year, Form IT-40PNR handles both the state and county allocation for the split year, which makes Indiana's exit-year filing meaningfully more involved than a state with a single flat rate and no local layer.
Is Kansas an aggressive state for residency audits like California or New York?+
No. Kansas is not on the short list of states practitioners and taxpayer forums consistently flag as aggressive on residency, a list dominated by New York, California, New Jersey, Connecticut, Maryland, and Minnesota. Kansas has no day-count test to enforce, so its residency disputes are narrower and concentrate on driver's license, voter registration, and Homestead Refund records rather than a multi-year presence reconstruction.
I live in Kentucky and work in Indiana. Do I owe Indiana income tax on my wages?+
No, not on wages. Indiana has reciprocity agreements with Kentucky, Michigan, Ohio, Pennsylvania, and Wisconsin, so a Kentucky resident's wages earned working in Indiana are taxed only by Kentucky, not Indiana, and Indiana withholding should not apply. Reciprocity covers wage income only; investment, rental, and business income from Indiana sources are still taxable by Indiana.
Does Kansas have a homestead exemption that lowers my property taxes?+
Not in the Florida sense of a value-reducing exemption. Kansas instead runs the Homestead Refund (Form K-40H), an income-capped rebate of up to $700 for qualifying homeowners who are 55 or older, blind or disabled, or have a dependent child under 18, plus a separate 75% property tax refund for homeowners 65 and older with lower income. Both require full-year Kansas residency to claim.
Does Indiana tax my Social Security or pension after I retire?+
Social Security is fully exempt from both Indiana state and county tax. Pension, 401(k), and IRA distributions are taxed as ordinary income at the flat state rate plus your county's local rate, since Indiana doesn't offer the kind of broad age-based retirement income exclusion that Illinois or Michigan provide, aside from a modest deduction for certain military and railroad retirement income.
Considering the reverse move?
Indiana to Kansas
Moving the other direction is a different fact pattern, not a mirror image: exit risk and establishment mechanics both flip.
View the Indiana to Kansas guideAlso Consider, Leaving Kansas
Kansas to Indiana Reading
Reviewed Against 13 Primary Sources
ResidencyIQ organizes public residency research into a reviewable reference. It does not provide legal or tax advice. Consult a qualified professional before making a residency decision.
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