The refund will come after Hoosiers file their 2021 taxes.

INDIANAPOLIS - Governor Eric J. Holcomb announces today an estimated 4.3 million taxpayers will receive a $125 refund after they file their 2021 taxes.
“Despite a pandemic, Indiana exceeded all expectations and closed the state fiscal year with an unprecedented amount in reserves,” said Gov. Holcomb. “We have an obligation to put this money back in the hands of taxpayers instead of leaving it in the hands of government.”
An estimated $545 million will be returned to Hoosiers after taxpayers file their 2021 state taxes. The Governor is working with leaders of the general assembly on legislation that will streamline the process and make an additional 910,000 taxpayers eligible for the credit. The typical taxpayer liability is approximately $1000. This payment represents a 12-13% one-time tax cut.
Once legislation passes, the Department of Revenue (DOR) will begin processing payments for taxpayers.
The form of taxpayer payments will be based on how the 2021return was filed. Taxpayers who apply for an extension will receive the payment after filing their return.
DOR expects to complete refunds for taxpayers filing by the April 18, 2022, filing deadline by May 1, 2022. One the details are finalized DOR will provide additional information in 2022.

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