InĀ Indiana, a sublease agreement lets a tenant rent out their leased property to a new tenant, who must follow the sublease and original lease terms. If the subtenant fails to pay rent or damages the property, the original tenant is responsible for resolving these issues.
Tenants should get their landlord’s written permission before subletting, adhering to any lease requirements for authorization, such as notice periods or subtenant qualifications like income verification or no criminal history.
Laws & Requirements
Sublease and Assignment Provision Laws: No.
Landlord-Tenant Laws: Title 32, Article 31 of the Indiana Code (Landlord-Tenant Relations).
Security Deposit Obligations: The security deposit must be returned within 45 days of the end of the sublease.
Notices: In Indiana, sublessors must give subtenants ten days’ written notice to pay rent or leave. They also need to provide 30 days’ written notice of their intent not to renew the sublease and/or original lease.
Permission to Sublet
In Indiana, tenants need written permission from their landlord to sublet their rental.
- Laws: Indiana does not have specific laws regarding a tenant’s right to sublet. Whether subletting is allowed is determined by the lease agreement.
- Explicit Written Consent: Yes, unless the lease states otherwise.
- Landlord’s Right to Reject: A landlord can forbid subletting unless they’ve given prior written permission.
Tax Obligations
Lodgings Tax
- Short-term rentals are defined as parts of properties rented for less than 30 days via rental platforms, and they are subject to state sales tax and possible additional county taxes.
- 7% state sales tax [1]
- Innkeeper’s tax (varies by county)
Tax Rates by County
- 4% Tax Rate: Orange (Historical Hotels Supp.)
- 3% Tax Rate: Wells
- 8% Tax Rate: Marion, St. Joseph 7, Vigo 1, 5, Hendricks, Howard 1, 4
- 5% Tax Rate: All other counties [2] .
Sample
Below, you can download our free Indiana sublease agreement in PDF or Word format:
Related Forms
Rental Application
Vet potential tenants properly before signing a lease.