This was the second cemetery for Winchester. It is called the Heaston Cemetery in the History of Randolph County, Indiana, 1818-1990. Tucker's 1882 history of the county refers to it as the Second Cemetery, giving it no other identifier. Many locals refer to it as the Old Winchester Cemetery.

It is located north of Huntsville Road on Western Avenue and beside the National Guard Armory.

Established in 1844 by David Heaston, southwest of town, in a bend of Mud Creek. Tucker's history states, "This ground, though in use as a cemetery for thirty-six years, was most unfit for the purpose. The soil was wet, and to drain it was nearly an impossibility, yet several additions were made.... the citizens were unreconciled to the inconveniences of the place, and, while on th one hand many took the bodies of their friends elsewhere for burial, on the other efforts were made to obtain a more suitable location."

In 1877 a petition was presented to the town authorities and a committee established. This proved a failure and nothing was accomplished. Then in 1880, General Ashel Stone purchased 40 acres south of town, had it laid out as a new cemetery and deeded it to the town, (the current Fountain Park Cemetery). Several bodies were removed and reinterred there.

Many bodies remained at Heaston Cemetery. Over time drainage in the area improved and a few burials occurred here after 1900. After decades of neglect the grounds were restored in about 2000. An iron entrance arch and fence were erected and in 2005 a monument was installed to commemorate the early settlers and soldiers buried here.

Buried here are Paul Way, who platted the city of Winchester; and David Wysong, who built the first brick courthouse.

On14 March 2024, the grounds were in the path of an EF-3 tornado with wind gusts up to 165 mph. Many homes were severely damaged or flattened surrounding the cemetery. No reports were made regarding damage to the cemetery grounds. It possibly had some damage, as another cemetery in the county in the direct path of the tornado had many tombstones toppled and thrown off their foundations.