Bitcoin in Indiana: what to know
Indiana bans crypto ATMs (kiosks) since Mar 9, 2026. Crypto gains are taxed under Indiana's flat state income tax plus county income tax. The state does not accept crypto for tax payments.
Bitcoin has one price in US dollars across the country: the price on this page is the same as on the bitcoin price in the United States page, where federal tax rules are covered in full. What differs in Indiana is state law and tax, explained below.
Crypto ATMs in Indiana
HEA 1116 (signed March 9, 2026, effective on signing) bans operating crypto kiosks anywhere in Indiana, the first statewide ban. Violators face Deceptive Consumer Sales Act penalties, and knowing violators can forfeit fees collected and their kiosks. Scammers often tell victims to pay through crypto ATMs: no government agency, bank or utility asks for payment in bitcoin. See how bitcoin ATM scams work.
Buying bitcoin in Indiana
Exchanges and other crypto businesses serving Indiana residents generally need a state money-transmitter license. Buying bitcoin carries no sales tax; you pay the exchange's spread and fees.
Tax on bitcoin in Indiana
Crypto gains are taxed under Indiana's flat state income tax plus county income tax. The state does not accept crypto for tax payments. Federally, the IRS treats bitcoin as property: selling, trading or spending it is a taxable event, with short-term gains (held a year or less) taxed as ordinary income and long-term gains at 0%, 15% or 20%; bitcoin received as pay or from mining is income. Exchanges and other custodial brokers report sales on Form 1099-DA: gross proceeds for sales from 1 January 2025, and cost basis for many sales from 1 January 2026. Every Form 1040 asks whether you received or disposed of a digital asset.
Other crypto laws in Indiana
HEA 1042 (2026) requires certain state retirement and savings plans, including Hoosier START, to offer a self-directed brokerage option with at least one cryptocurrency investment.
Legal and tax information last reviewed October 2026. Crypto rules change quickly — check with the regulator or tax authority, or a qualified adviser, before acting. This is not tax, legal or investment advice.