How much a landlord can charge, and which deductions are actually legal
This page covers how much a landlord may charge in Indiana, and which deductions from a residential deposit are lawful. It assumes the tenancy has ended and the question is what may be withheld.
It does not cover:
No statutory cap under state law (a landlord may charge whatever amount the lease specifies).
Caps frequently carry exceptions — smaller landlords, furnished units, or pets are treated differently in most states. Read the provision itself rather than relying on the headline figure.
| Claimed deduction | Permitted in Indiana |
|---|---|
| Accrued (unpaid) rent | Permitted, if substantiated |
| Damages suffered by the landlord from the tenant's noncompliance with the lease (beyond ordinary wear and tear) | Permitted, if substantiated |
| Unpaid utility or sewer charges the tenant was obligated to pay under the lease | Permitted, if substantiated |
| Claimed deduction | Permitted in Indiana |
|---|---|
| Ordinary wear and tear | Not permitted |
| Any deduction without the written itemized notice within 45 days (§ 32-31-3-15) | Not permitted |
Whether a specific charge is lawful depends on the facts — how old the damage is, whether the lease addressed it, and whether the landlord can document the cost. A charge being in the "permitted" column does not make it automatically collectable.
The landlord must itemize and justify each deduction in writing within 45 days. Failure to provide the itemized notice is deemed agreement that no damages are owed (§ 32-31-3-15), requiring return of the full deposit. The landlord may only deduct for accrued rent, damages beyond ordinary wear and tear, and unpaid utility/sewer charges.
In Indiana the burden sits with the landlord. This matters strategically: if the burden is theirs, your task is to request the documentation rather than to prove the deduction wrong. Ind. Code § 32-31-3-12 ↗
No statutory penalty beyond returning the deposit.
Indiana has NO 2x or 3x multiplier. The remedy is full recovery plus fees: if the landlord fails to return the deposit or provide the itemized statement within 45 days (after the tenant supplied a written mailing address), the tenant may recover ALL of the security deposit due plus reasonable attorney fees. Separately, § 32-31-3-15 provides that a landlord who fails to provide the itemized notice is deemed to have agreed no damages are due, requiring return of the full deposit.
Ind. Code § 32-31-3-12(b) ↗The tenant may recover the landlord's attorney fees.
Attorney fees are recoverable by statute: § 32-31-3-12(b) entitles a tenant to "reasonable attorney's fees" upon the landlord's failure to comply. No separate bad-faith finding is required.
Ind. Code § 32-31-3-12(b) ↗Indiana's § 32-31-3-15 is a powerful default: a landlord who does not deliver the itemized damages notice within 45 days is deemed to have agreed that no damages are due, requiring return of the full deposit. This flips the burden entirely onto the landlord's procedural compliance.
Ind. Code § 32-31-3-15 ↗§ 32-31-3-12(b) is not a multiplier but a full-recovery-plus-fees remedy: on the landlord's failure to comply, the tenant recovers ALL of the deposit due plus reasonable attorney fees. No bad-faith finding is required.
Ind. Code § 32-31-3-12(b) ↗““You never gave me a forwarding address.””
You are correct that the clock does not run until I supply a written mailing address — so here is my address, in writing, effective now. Once provided, the 45-day deadline to itemize and return my deposit runs from termination and delivery of possession.
Ind. Code § 32-31-3-12(a)
““I deducted for cleaning and damages.””
You must itemize any deduction in a written notice within 45 days. If you did not provide that itemized statement, Indiana law deems you to have agreed that no damages are owed, and I am entitled to the full deposit back.
Ind. Code § 32-31-3-12(a), § 32-31-3-15
““I will keep the deposit and you can sue me.””
If you fail to return the deposit or provide the itemized statement within 45 days, I may recover the entire deposit plus reasonable attorney fees under § 32-31-3-12(b).
Ind. Code § 32-31-3-12(b)
Some widely circulated summaries of Indiana deposit law state things the statute does not say. We list the disagreements rather than picking a side silently.
| Source | What it says |
|---|---|
| Some secondary checklists | 30 days |
| Ind. Code § 32-31-3-12(a) | 45 days after termination and delivery of possession (after written mailing address supplied) |
What we follow: 45 days
The statute plainly states 45 days. Reporting 30 days understates the tenant's window.
| Source | What it says |
|---|---|
| Generic multi-state checklists | 2x or 3x penalty |
| Ind. Code § 32-31-3-12(b) | Full deposit recovery + reasonable attorney fees (no multiplier) |
What we follow: Full recovery + attorney fees, no multiplier
Indiana has no statutory multiplier. The remedy is full recovery of the deposit plus fees on noncompliance.
Every figure on this page comes from the official text, not from a summary. The table below lists each provision used and the date it was last checked against the source.
| Statute | Last verified | Source |
|---|---|---|
| Ind. Code § 32-31-3-12(a) | 2026-10-15 | official text ↗ |
| Ind. Code § 32-31-3-12(b) | 2026-10-15 | official text ↗ |
| Ind. Code § 32-31-3-12 | 2026-10-15 | official text ↗ |
| Ind. Code § 32-31-3-15 | 2026-10-15 | official text ↗ |
Primary reference: Ind. Code §§ 32-31-3-12 to 32-31-3-16 (Security Deposits). Where the official text and a secondary summary disagree, this page follows the official text and says so. Amendments are recorded on the site changelog.
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Indiana Security Deposit Return
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The statute does not permit deductions for: ordinary wear and tear; any deduction without the written itemized notice within 45 days (§ 32-31-3-15).
The landlord. The landlord must itemize and justify each deduction in writing within 45 days. Failure to provide the itemized notice is deemed agreement that no damages are owed (§ 32-31-3-15), requiring return of the full deposit. The landlord may only deduct for accrued rent, damages beyond ordinary wear and tear, and unpaid utility/sewer charges.
No statutory cap under state law (a landlord may charge whatever amount the lease specifies).
No. Ordinary wear and tear