Indiana Code § 6-1.1-10-16.8

Exemption of the basement area of dwellings located in a flood plain; factors for the exemption
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Sec. 16.8. (a) This section applies to a dwelling or other building that is situated in a special flood hazard area as designated by the Federal Emergency Management Agency in which the mandatory purchase of flood insurance applies.       (b) The basement of a dwelling or other building described in subsection (a) is exempt from property taxation if: (1) the basement floor level has been elevated to mitigate the risk of flooding; and (2) as a result, the basement is rendered unusable as living space.

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