taxes

State Income Tax Across the Map

September 19, 2024

Seven states have no state income tax. Of the 43 states with a state income tax (and the District of Columbia), the top marginal income tax rate ranges from 2.5% to 13.3%. Most states (and D.C.) with an income tax have multiple tax brackets with graduated rates; 14 states have only a single tax rate. New Hampshire only taxes interest and dividends, and Washington only taxes capital gains.

State individual income tax: top marginal rate

No income tax

  • Alaska
  • Florida
  • Nevada
  • South Dakota
  • Tennessee
  • Texas
  • Wyoming

2.5% to 5%

  • Alabama
  • Arizona
  • Arkansas
  • Colorado
  • Illinois
  • Indiana
  • Kentucky
  • Louisiana
  • Michigan
  • Mississippi
  • Missouri
  • New Hampshire
  • North Carolina
  • North Dakota
  • Ohio
  • Oklahoma
  • Pennsylvania
  • Utah

More than 5% to 7%

  • Connecticut
  • Delaware
  • Georgia
  • Idaho
  • Iowa
  • Kansas
  • Maryland
  • Montana
  • Nebraska
  • New Mexico
  • Rhode Island
  • South Carolina
  • Virginia
  • Washington
  • West Virginia

More than 7% to 9%

  • Maine
  • Massachusetts
  • Vermont
  • Wisconsin

More than 9% to 13.3%

  • California
  • Hawaii
  • Minnesota
  • New Jersey
  • New York
  • Oregon

Source: Tax Foundation, February 2024

 

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