Indiana
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Overall Free to Give Index 7.35/10
Rank 5th
Category Score (0–10) Rank (50 states)
Overall Free to Give Index 7.35 5th
Broad Policy Environment 6.83 5th
Nonprofit Freedom 8.34 9th
Donor Confidence 6.88 9th

Highlights

  • Strong broad policy climate: Indiana ranks 5th in the Broad Policy Environment, benefiting from favorable occupational licensing rules, a competitive tax structure, and moderately high levels of economic freedom.
  • High nonprofit freedom: The state ranks 9th in Nonprofit Freedom, with no registration requirement, no filing fees, minimal reporting obligations for charities and fundraising professionals, and no audit requirements.
  • Solid donor confidence: Indiana ranks 8th in this category, supported by donor privacy protections, a general sales tax exemption, and a predictable regulatory process.
  • Lack of donor standing: Indiana provides no donor standing, limiting recourse for donors in disputes involving restricted gifts.
  • Weak UPMIFA protections: The state’s UPMIFA safeguards are classified as weak, offering less robust protection for charitable endowments compared with higher-performing states.
  • Limited tax incentives beyond sales tax deductibility: Although charities are exempt from paying sales tax, Indiana offers only a few tax credits for highly-specific charitable contributions and no general deduction for donors to charities.

Detailed Scorecard

1. Broad Policy Environment

1A. Occupational Freedom (rescaled 0 to 10) 8.00
1B. Tax Competitiveness (rescaled 0 to 10) 4.99
1C. EFNA (0 to 10) 7.51

2. Nonprofit Freedom

2A. Charitable Startup Regulations

Requires charitable registration? No
Top Registration Fee $0.00
Minimum Registration Fee $0.00
Top Incorporation Fee $30.00
Minimum Incorporation Fee $30.00

2B. Charitable Reporting Regulations

Requires Annual Report? No
Top Annual Fee $0.00
Minimum Annual Fee $0.00
Requires Additional Corporate Filings Periodic
Other Fees $0.00
Tiered Fee Structure No
Overlapping Regulators No

2C. Paid Solicitor Requirements

Commercial Fundraisers Must Register with the State Yes
Paid Solicitor Registration Fee $1,000.00
Paid Solicitor Renewal Fee $50.00
Surety Bond for Professional Fundraisers $0.00
Are Paid Solicitors Required to Report to the State in Order to Start Fundraising? Yes
Fundraising Consultant Registration Required Yes
Annual Financial Reporting by Commercial Fundraisers Required No
Must File Contracts Between Charities and Commercial Fundraisers Yes
Individual Solicitors Employed by Professional Fundraisers Must Register Separately? No

2D. General Audit threshold (revenue)

General Audit threshold (revenue) N/A

3. Donor Confidence

3A. State has Never Introduced Disclosure Yes
3B. State has Privacy Law Yes
3C. State gives Donors Standing No
3D. State has UPMIFA Protections Yes (weak)
3E. Donations are Generally Deductible No
3F. General Sales Tax Exemption Yes
3G. State has Never Proposed DAF Restrictions Yes
3H. New Regulations Require Legislative Approval Yes