Bill > HB1042

This bill adds sales tax exemptions for adult diapers and feminine hygiene products in Indiana, effective July 1, 2025. The legislation defines "adult diapers" as diapers intended for adults, not children, and "feminine hygiene products" to include tampons, panty liners, menstrual cups, sanitary napkins, and similar items used during menstrual cycles. The bill specifically exempts these products from the state gross retail tax, meaning consumers will not have to pay sales tax when purchasing these essential personal care items. The tax exemption applies to retail transactions occurring after June 30, 2025, with some nuanced provisions allowing transactions initiated before that date to be taxed under the previous rules. The bill includes a sunset provision that expires the sections related to these tax exemptions on January 1, 2028, which means the legislature will need to renew or modify the exemption at that time to continue it beyond that date.

Budget and Finance

https://iga.in.gov/legislative/2025/bills/house/1042/details