What is a flat income tax state?

A flat tax state applies a single rate to all income, regardless of how much you earn. In 2026, 14 states use flat rates: Arizona 2.5% (Ariz. Rev. Stat. § 43-1011), Colorado 4.4% (Colo. Rev. Stat. § 39-22-104), Georgia 4.99% (O.C.G.A. § 48-7-20, cut by HB 463, heading to 3.99%), Illinois 4.95% (35 ILCS 5/201), Indiana 3.05% (Ind. Code § 6-3-2-1), Iowa 3.9% (Iowa Code § 422.5, transitioned 2026), Kentucky 3.5% (Ky. Rev. Stat. § 141.020, cut from 4.0% in 2026), Massachusetts 5.0% plus 4% surtax above $1M (Mass. Gen. Laws ch. 62 § 4 plus the Fair Share Amendment), Michigan 4.05% (MCL § 206.51), Mississippi 4.4% (Miss. Code Ann. § 27-7-5), North Carolina 3.99% (N.C. Gen. Stat. § 105-153.7, cut from 4.25% in 2026), North Dakota 1.95% (N.D. Cent. Code § 57-38-30.3), Pennsylvania 3.07% (72 P.S. § 7302), Utah 4.55% (Utah Code Ann. § 59-10-104). Per Tax Foundation State Tax Climate Index 2026.

Do any cities have their own income tax on top of state tax?

Yes. New York City charges up to 3.876% on top of New York State tax per N.Y. Tax Law § 1304, giving a combined top rate of 14.776% in NYC. Philadelphia charges 3.75% resident / 3.44% non-resident wage tax per 72 P.S. § 7302. Detroit charges 2.4% resident / 1.2% non-resident per MCL § 141.601. All 23 Maryland counties plus Baltimore City levy 1.75%-3.20% local income tax per Md. Code Ann., Tax-Gen. § 10-103. All 92 Indiana counties impose local income tax per Ind. Code § 6-3.6. 600+ Ohio municipalities collect via RITA or CCA per Ohio Rev. Code § 718. 2,500+ Pennsylvania EIT districts collect 1%-3% local Earned Income Tax. Per Federation of Tax Administrators local-tax notes.

How do state income taxes work for remote workers?

Remote workers generally pay income tax to their state of residence per the default state-source rule. 16 states have reciprocity agreements (e.g. New Jersey-Pennsylvania per Forms NJ-165 and REV-419, oldest US reciprocity dating to 1977) that let residents of one state work in another and file only in their home state. New York applies the convenience-of-employer rule per N.Y. Tax Law § 631 and TSB-M-06(5)I, which can require remote workers of NY employers to pay NY tax even when working from another state. Per IRS Publication 17 federal multi-state rules and each state's own residency statute.

Updated June 20262026 Brackets51 primary sources cited

Income Tax by State (2026)

Q: Which states do not tax Social Security income?

41 states plus DC do not tax Social Security benefits at all per state DOR publications cross-referenced to the Tax Foundation State Tax Climate Index 2026. The 9 states that do tax Social Security in 2026 are Colorado, Connecticut, Kansas, Minnesota, Montana, New Mexico, Rhode Island, Utah, and Vermont, each with income-based exemption thresholds. Most of these states phase out the exemption above an AGI ceiling defined in the state's own statute (e.g. Colo. Rev. Stat. § 39-22-104 allows a $24,000 retirement subtraction for taxpayers 65+). Per /social-security-tax-by-state for the full ledger.

Q: What are the 2026 state income tax changes?

Key 2026 changes per NCSL State Tax Actions 2025: Iowa completed its transition from graduated to a flat 3.9% rate per Iowa Code § 422.5 (was 8.53% top rate). Mississippi reduced its top rate from 4.7% to 4.4% per Miss. Code Ann. § 27-7-5, continuing a legislated glide path toward 3.5% by 2030. Georgia cut its flat rate from 5.19% to 4.99% per O.C.G.A. § 48-7-20 (HB 463, 2026), heading toward 3.99%. North Carolina reduced from 4.5% to 3.99% per N.C. Gen. Stat. § 105-153.7. Kentucky on glide path 4.0% to 3.5% per Ky. Rev. Stat. § 141.020. Indiana flat 3.05% per Ind. Code § 6-3-2-1. Per Tax Foundation State Tax Climate Index 2026 and FTA legislative tracking.

Nine states levy no income tax [per Tax Foundation State Tax Climate Index 2026]. 14 use a flat rate. The other 27 states plus DC use graduated brackets ranging from 1.4% (Hawaii's first bracket per Haw. Rev. Stat. § 235-51) to 13.3% (California's top bracket per Cal. Rev. & Tax. Code § 17041). Your effective rate is determined by where you live, how much you earn, and how your state stacks local income tax on top of the state rate [per Federation of Tax Administrators].

9No-Tax States

14Flat-Rate States

27+DCGraduated States

0–13.3%Rate Range

Authority feed: Brackets, rates, standard deductions and retirement-income flags on this page are sourced from each state's Department of Revenue or Tax Commission, cross-checked against the Tax Foundation State Individual Income Tax Rates table and the Federation of Tax Administrators bracket table, and aligned against IRS Publication 17 for federal-state interaction. Last verified 2026-05-28; next annual pull November 2026. Full methodology and 51-state source ledger.

Quick Effective Rate Calculator

State

Annual Income

Filing Status

Effective Rate

4.0%

State Tax Due

$3,000

After State Tax

$72,000

Approximate estimate for single filers using standard deduction. Does not include federal tax or local income tax. Learn about marginal vs effective rate.

2026 State Tax Changes

Iowa completed its transition from a graduated system (top rate 8.53%) to a flat 3.9% effective January 1, 2026, per Iowa Code § 422.5 as amended by H.F. 2317. Mississippi reduced its rate from 4.7% to 4.4% per Miss. Code Ann. § 27-7-5 (H.B. 531), continuing a glide path toward 3.5% by 2030. Georgia cut its flat rate from 5.19% to 4.99% per O.C.G.A. § 48-7-20 (H.B. 463, 2026), heading toward 3.99%. North Carolina reduced to 3.99% per N.C. Gen. Stat. § 105-153.7. Indiana remains at 3.05% per Ind. Code § 6-3-2-1. Per NCSL State Tax Actions 2025.

All 50 States: Income Tax Overview

Click any state for 2026 brackets, an effective-rate calculator, local tax details, and filing information. Each state row is verified against the state's own Department of Revenue or Tax Commission publication and cross-checked against the Tax Foundation State Tax Rates table.

No income tax (9 states) Flat rate (14 states) Graduated brackets (27 states + DC)

2026 State Income Tax Comparison Table

Sort by any column. Filter by tax type. Effective rates computed bracket-by-bracket from each state's published rate schedule, single filer, standard deduction applied [methodology aligns with IRS Publication 17 bracket-build approach]. See /methodology for the 51-row source ledger.

Filter:

State	Tax Type	Top Rate ↓	Effective @ $75K	Effective @ $100K	Local Tax
California	Graduated	13.3%	4%	5.8%	Yes	View →
Hawaii	Graduated	11%	6.6%	7.2%	No	View →
New York	Graduated	10.9%	5.5%	6.1%	Yes	View →
New Jersey	Graduated	10.75%	4.5%	5.5%	No	View →
Washington DC	Graduated	10.75%	6.2%	7%	No	View →
Oregon	Graduated	9.9%	7.6%	8.4%	No	View →
Minnesota	Graduated	9.85%	6.2%	6.8%	No	View →
Massachusetts	Flat	9%	4.5%	4.7%	No	View →
Vermont	Graduated	8.75%	5.2%	5.9%	No	View →
Wisconsin	Graduated	7.65%	5%	5.4%	No	View →
Maine	Graduated	7.15%	5.9%	6.4%	No	View →
Connecticut	Graduated	6.99%	4.2%	5%	No	View →
Montana	Graduated	6.75%	5.8%	6.2%	No	View →
Delaware	Graduated	6.6%	5.5%	5.9%	No	View →
West Virginia	Graduated	6.5%	5.1%	5.5%	No	View →
Rhode Island	Graduated	5.99%	4.5%	5%	No	View →
New Mexico	Graduated	5.9%	4.3%	4.8%	No	View →
Nebraska	Graduated	5.84%	5.1%	5.4%	No	View →
Maryland	Graduated	5.75%	5%	5.3%	Yes	View →
Virginia	Graduated	5.75%	5%	5.3%	No	View →
Kansas	Graduated	5.7%	4.9%	5.2%	Yes	View →
Idaho	Graduated	5.3%	4.6%	4.8%	No	View →
South Carolina	Graduated	5.21%	4.5%	4.7%	No	View →
Alabama	Graduated	5%	4%	4.3%	Yes	View →
Georgia	Flat	4.99%	4.4%	4.5%	No	View →
Illinois	Flat	4.95%	4.4%	4.6%	No	View →
Missouri	Graduated	4.8%	4.2%	4.5%	Yes	View →
Oklahoma	Graduated	4.75%	4.2%	4.4%	No	View →
Utah	Flat	4.55%	4%	4.1%	No	View →
Colorado	Flat	4.4%	3.9%	4%	No	View →
Mississippi	Flat	4.4%	3.8%	3.9%	No	View →
Michigan	Flat	4.05%	3.6%	3.7%	Yes	View →
North Carolina	Flat	3.99%	3.5%	3.6%	No	View →
Arkansas	Graduated	3.9%	3.3%	3.5%	No	View →
Iowa	Flat	3.9%	3.4%	3.6%	Yes	View →
Kentucky	Flat	3.5%	3.2%	3.2%	Yes	View →
Pennsylvania	Flat	3.07%	2.7%	2.8%	Yes	View →
Indiana	Flat	3.05%	2.7%	2.8%	Yes	View →
Louisiana	Graduated	3%	2.7%	2.8%	No	View →
Ohio	Graduated	2.75%	2.3%	2.4%	Yes	View →
Arizona	Flat	2.5%	2.1%	2.2%	No	View →
North Dakota	Flat	1.95%	1.6%	1.7%	No	View →
Alaska	No Tax	0%	0%	0%	No	View →
Florida	No Tax	0%	0%	0%	No	View →
Nevada	No Tax	0%	0%	0%	No	View →
New Hampshire	No Tax	0%	0%	0%	No	View →
South Dakota	No Tax	0%	0%	0%	No	View →
Tennessee	No Tax	0%	0%	0%	No	View →
Texas	No Tax	0%	0%	0%	No	View →
Washington	No Tax	0%	0%	0%	No	View →
Wyoming	No Tax	0%	0%	0%	No	View →

Effective rates for single filers with standard deduction. Click column headers to sort. Source: state DORs, Tax Foundation. Last updated June 2026.

The 9 No-Income-Tax States: Statutes

Full 9-state comparison →

Each of the nine states without a personal income tax is grounded in a constitutional or statutory provision. Two states completed phase-outs of partial income taxes in this decade (Tennessee's Hall tax, New Hampshire's interest-and-dividends tax) and now levy zero income tax. Per Tax Foundation State Tax Rates and each state's primary publication.

State	Constitutional / statutory citation	Primary DOR source
Alaska	Alaska Stat. § 43.20	tax.alaska.gov/
Florida	Fla. Const. art. VII § 5	floridarevenue.com/
Nevada	Nev. Const. art. 10	tax.nv.gov/
New Hampshire	N.H. Rev. Stat. § 77 (I&D tax repealed 2025)	www.revenue.nh.gov/
South Dakota	S.D. Const. art. XI	dor.sd.gov/
Tennessee	Tenn. Code Ann. § 67-2-102 (Hall tax repealed 2021)	www.tn.gov/revenue.html
Texas	Tex. Const. art. VIII § 24	comptroller.texas.gov/
Washington	Wash. Const. art. VII § 1	dor.wa.gov/
Wyoming	Wyo. Const. art. 15	revenue.wyo.gov/

Explore by Category

No Tax

9 States With No Income Tax

Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, Wyoming. Each grounded in constitutional or statutory provision; per Tax Foundation 2026 and state DOR.

Flat Tax

14 Flat Income Tax States

One rate for all income. Ranges 1.95% (North Dakota per N.D. Cent. Code § 57-38-30.3) to 5% (Massachusetts); Georgia cut its flat rate to 4.99% in 2026 per O.C.G.A. § 48-7-20 (HB 463). Iowa joined the flat-tax club in 2026 per Iowa Code § 422.5.

Highest

10 Highest Income Tax States

California 13.3% per Cal. Rev. & Tax. Code § 17041, but Oregon's 9.9% per Or. Rev. Stat. § 316.037 wins at $250K because of compressed brackets. Top marginal misleading without bracket context.

Local Tax

Local Income Taxes: NYC, Philly, Detroit, Ohio

16 states allow cities and counties to levy income tax. NYC combined rate per N.Y. Tax Law § 1304 can hit 14.776%. All 92 Indiana counties per Ind. Code § 6-3.6. The complete reference.

Cross-State Comparisons & Filing-Status References

State-vs-state comparisons for canonical commuter and relocation pairs. Bracket-structure references for MFJ, HoH, and the 2026 rate-change changelog.

California vs New York

13.3% top per Cal. Rev. & Tax. Code § 17041 vs 14.776% NYC combined per N.Y. Tax Law § 1304. Worked examples at $75K-$1M.

Oregon vs Washington

9.9% income tax per Or. Rev. Stat. § 316.037 + 0% sales vs 0% income + 9.2% sales + 7% cap gains per Wash. Rev. Code § 82.87.

New Jersey vs New York

NJ commuter math per N.J. Stat. Ann. § 54A:2-1, NJ-COJ credit, NYC city tax escape.

Maryland vs Virginia

DC Beltway: MD county stack per Md. Code Tax-Gen. § 10-103 vs VA compressed brackets per Va. Code § 58.1-320.

Illinois vs Indiana

Chicago suburbs: IL 4.95% flat per 35 ILCS 5/201 vs IN 3.05% + county per Ind. Code § 6-3.6. Property tax dominates.

2026 State Tax Changes

Iowa flat 3.9% per Iowa Code § 422.5, Mississippi to 4.4%, Georgia to 4.99% (HB 463), NC to 3.99%. Master changelog with statutes.

MFJ by State

Which states double single brackets, which produce a marriage penalty. Per state DOR.

HoH by State

Around 12 states have separate HoH brackets. The other 38 default to single per state filing instructions.

State Standard Deductions

From $0 (PA per 72 P.S. § 7302) to $29,200 MFJ (federal-conforming). Single, MFJ, HoH map per state.

State Personal Exemptions

Federal exemption suspended under IRC § 151 through 2025; 21 states still maintain state-level exemptions.

State Capital Gains Tax

41 states tax as ordinary income. WA's 7% surcharge above $250K per Wash. Rev. Code § 82.87 is unique.

States That Tax Social Security

9 states still do (CO, CT, KS, MN, MT, NM, RI, UT, VT). MO and NE eliminated 2024 per state DOR.

State Tax Reciprocity Agreements

All 17 active US bilateral reciprocity agreements with forms cited. Oldest: NJ-PA (1977).

NJ-PA Reciprocity

Oldest US reciprocity (1977). Forms NJ-165 per N.J.A.C. 18:35-5.1 and REV-419 per 72 P.S. § 7301. Philadelphia trap.

NY Convenience Rule

How NY taxes remote workers of NY employers in other states per N.Y. Tax Law § 631 and TSB-M-06(5)I. Audit risk.

Marginal Rate vs Effective Rate: A Common Confusion

California's highest bracket is 13.3% per Cal. Rev. & Tax. Code § 17041. That does not mean a Californian earning $100,000 pays 13.3% of their income. Only the dollars above each bracket threshold get taxed at that bracket's rate, the same bracket-build mechanic the IRS uses for federal tax per IRS Publication 17, Chapter 1.

A single filer earning $100,000 in California in 2026, after the state's $5,540 standard deduction per FTB Form 540 instructions, pays approximately $5,800 in state income tax, an effective rate of 5.8%. The 13.3% rate only applies to income above $1,000,000 per Cal. Rev. & Tax. Code § 17041 plus the 1% mental-health surcharge under Proposition 63.

Full explanation with worked examples →

California 2026 Brackets (Single Filer)

Per Cal. Rev. & Tax. Code § 17041 and California FTB Form 540 tax tables.

$0 - $10,7561%

$10,756 - $25,4992%

$25,499 - $40,2454%

$40,245 - $55,8666%

$55,866 - $70,6068%

$70,606 - $360,6599.3%

At $100K income: effective rate is ~5.8%, not 9.3%.

Retirement Income Tax by State

How states treat Social Security, pensions, 401(k) withdrawals, and military pensions varies enormously per each state's retirement-income statute.

Full 50-state scorecard →

State	SS Benefits	Pension Income	401(k)/IRA	Military Pension	Source
California	Exempt	Taxed	Taxed	Taxed	Cal. Rev. & Tax. Code § 17041
Illinois	Exempt	Exempt	Exempt	Exempt	35 ILCS 5/203(a)(2)
Georgia	Exempt	Partial	Partial	Exempt	O.C.G.A. § 48-7-27 ($65K retirement exclusion 65+)
Florida	Exempt	Exempt	Exempt	Exempt	Fla. Const. art. VII § 5 (no income tax)
New York	Exempt	Partial	Partial	Exempt	N.Y. Tax Law § 612(c)(3)
Pennsylvania	Exempt	Exempt	Exempt	Exempt	72 P.S. § 7302 (retirement income excluded)

9 states tax Social Security benefits in 2026 (Colorado, Connecticut, Kansas, Minnesota, Montana, New Mexico, Rhode Island, Utah, Vermont) per each state's own statutory exemption-phase-out per Tax Foundation State Tax Climate Index 2026. The other 41 states plus DC fully exempt Social Security from state income tax.

Filing Edge Cases

Working in two states this year?

How multi-state filing works →

Per state non-resident filing rules and IRS Publication 17 multi-state income guidance.

Live in NJ, work in PA?

How reciprocity affects you →

Per N.J. Form NJ-165 and PA Form REV-419; oldest US reciprocity since 1977.

Remote worker for a NY employer?

NY convenience-of-employer rule →

Per N.Y. Tax Law § 631 and DTF TSB-M-06(5)I; audit risk for out-of-state remote workers.

All States A-Z

Quick lookup for every state's income tax page. Each page cites the state's own Department of Revenue or Tax Commission publication.

Frequently Asked Questions

Which states have no income tax?

Nine states have no state income tax in 2026: Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. New Hampshire's interest-and-dividends tax phased out completely by 2025 per N.H. Rev. Stat. § 77. Tennessee's Hall tax fully repealed 2021 per Tenn. Code Ann. § 67-2-102. Per Tax Foundation State Tax Climate Index 2026 and each state's primary publication.

What state has the highest income tax?

California has the highest top marginal rate at 13.3% on income above $1,000,000 per Cal. Rev. & Tax. Code § 17041 (includes the 1% mental-health surcharge under Proposition 63). At $250,000 income Oregon's effective rate of 9.2% per Or. Rev. Stat. § 316.037 actually exceeds California's 8.2%; New Jersey reaches 10.75% on income above $1M per N.J. Stat. Ann. § 54A:2-1. The highest rate depends on income level. Per Tax Foundation State Business Tax Climate Index 2026.

What state has the lowest income tax?

Among states that levy income tax, North Dakota is the lowest at 1.95% flat per N.D. Cent. Code § 57-38-30.3. Arizona follows at 2.5% flat per Ariz. Rev. Stat. § 43-1011, Indiana at 3.05% flat per Ind. Code § 6-3-2-1, and Pennsylvania at 3.07% flat per 72 P.S. § 7302. Per Federation of Tax Administrators state rate table.

What is the difference between a marginal and effective tax rate?

Your marginal rate is the rate applied to your last dollar of income. Your effective rate is total tax paid divided by total income. In California a $100,000 single filer has a 9.3% marginal rate but only a ~5.8% effective rate per Cal. Rev. & Tax. Code § 17041 bracket structure (1%, 2%, 4%, 6%, 8% before the 9.3% bracket at $70,606). Same bracket-build mechanic the IRS uses federally per IRS Publication 17 Chapter 1.

What are the 2026 state income tax changes?

Iowa transitioned to flat 3.9% per Iowa Code § 422.5 (was graduated up to 8.53%). Mississippi reduced from 4.7% to 4.4% per Miss. Code Ann. § 27-7-5. Georgia reduced from 5.19% to 4.99% per O.C.G.A. § 48-7-20 (HB 463, 2026). North Carolina reduced to 3.99% per N.C. Gen. Stat. § 105-153.7. Indiana remains at 3.05% per Ind. Code § 6-3-2-1. Per NCSL State Tax Actions 2025.

Do any cities have their own income tax?

Yes. New York City charges up to 3.876% on top of state tax per N.Y. Tax Law § 1304. Philadelphia charges 3.75% wage tax per 72 P.S. § 7302. Detroit charges 2.4% resident / 1.2% non-resident per MCL § 141.601. All 23 Maryland counties levy 1.75%-3.20% local tax per Md. Code Ann., Tax-Gen. § 10-103. All 92 Indiana counties levy local income tax per Ind. Code § 6-3.6. Per Federation of Tax Administrators local-tax notes.

Which states do not tax Social Security income?

41 states plus DC do not tax Social Security benefits in 2026 per state DOR publications. The 9 that do are Colorado, Connecticut, Kansas, Minnesota, Montana, New Mexico, Rhode Island, Utah, and Vermont, each with income-based phase-out thresholds per their own state statutes. Per Tax Foundation State Tax Climate Index 2026.

Is a no-income-tax state always cheaper overall?

Not necessarily. States without income tax often have higher property taxes (Texas averages 1.74% per Tax Foundation property data), sales taxes (Washington 6.5% state plus 7% capital gains over $250K per Wash. Rev. Code § 82.87), or other levies. The total tax burden depends on income, home value, and spending. See noincometaxstates.com for the 9-state burden comparison.

Authority feed

Every state income tax bracket, rate, standard deduction, personal exemption, local-income-tax notation and retirement-income flag on this page is sourced from the state's own Department of Revenue or Tax Commission, cross-checked against Tax Foundation State Tax Rates and Federation of Tax Administrators, and aligned against IRS Publication 17 for federal-state filing interaction. Data last verified 2026-05-28. The next full 51-state audit is scheduled for November 2026, immediately after most states gazette inflation-indexed bracket schedules for the following tax year. Mid-year legislative diffs are flagged quarterly against the state DOR bracket-table URLs.

Primary sources cited on this page: IRS Publication 17, IRS Notice 2025-67 (2026 inflation adjustments), Tax Foundation State Business Tax Climate Index 2026, Federation of Tax Administrators bracket table, NCSL State Tax Actions 2025, 51 state Department of Revenue / Tax Commission publications.

Methodology & 51-state source ledger · Disclaimer (not tax advice)

Related Resources

noincometaxstates.comDeep dive on the 9 zero-tax states: total tax burden, residency rules, relocation guides.effectivetaxratecalculator.comFederal effective rate calculator to pair with your state calculation.aftertaxincomecalculator.comSee your full take-home pay including federal income tax and FICA.paycheckcalculatorforcalifornia.comCalifornia paycheck calculator with payroll-cycle granularity (weekly, bi-weekly, monthly).costoflivingbystate.comCompare the full cost of living by state, including housing, healthcare, and groceries.incometaxcalculatoruk.comUK income tax reference and calculator for international comparison.