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State tax


State income tax comes in addition to any Federal income tax imposed by the IRS and it is administrated by each state Tax or Revenue Department. There are Seven states that have no income tax:

  • Alaska

  • Florida

  • Nevada

  • South Dakota

  • Texas

  • Washington

  • Wyoming

Two states have a limited income tax on individuals.  These states tax only dividend and interest income:

  • Tennessee

  • New Hampshire

Here's a listing of each state's highest income tax rate and how much income you'll have to make to pay that rate.

  • Alabama: 5% on income over  $3,000

  • Alaska: No income tax

  • Arizona: 4.54% on income over $150,000

  • Arkansas: 7% on income over  $32,600

  • California:10.55% on income over $1 million

  • Colorado: flat 4.63% of federal taxable income

  • Connecticut: 6.5% on income over $500,000

  • District of Columbia: 8.5% on income over $40,000          

  • Delaware: 6.95% on income over $60,000

  • Florida: No income tax

  • Georgia: 6% on income over $7,000

  • Hawaii: 11% on income over $200,000

  • Idaho: 7.8% on income over $26,418 

  • Illinois: flat 3% of federal AGI with modifications

  • Indiana: flat 3.4% of federal AGI with modifications

  • Iowa: 8.98% on income over $63,315

  • Kansas: 6.45% on income over $30,000

  • Kentucky: 6% on income over $75,000

  • Louisiana: 6% on income over $50,000

  • Maine: 8.5% on income over $20,150

  • Maryland: 6.25% on income over $1 millio

  • Massachusetts: flat 5.3% on all income 

  • Michigan: flat 4.35% of federal AGI with modifications

  • Minnesota: 7.85% on income over $74,780

  • Mississippi: 5% on income over $10,000         

  • Missouri: 6% on income over $9,000

  • Montana: 6.9% on income over $15,400 

  • Nebraska: 6.84% on income over $27,000

  • Nevada: no income tax

  • New Hampshire: 5% on interest and dividend income.  Wages are not taxed. 

  • New Jersey: 8.97% on income over $500,000

  • New Mexico: 4.9% on income over $16,000

  • New York: 8.97% on income over $500,000

  • North Carolina: 7.75% on income over $60,000

  • North Dakota: 4.86% on income over $373,650 

  • Ohio: 5.925% on income over $200,000

  • Oklahoma: 5.5% on income over $8,700

  • Oregon: 11% on income over $250,000

  • Pennsylvania: flat 3.07% on all income

  • Rhode Island: 9.9% on income over $373,650

  • South Carolina: 7% on income over $13,700 

  • South Dakota: no income tax

  • Tennessee: 6% on interest and dividend income.  Wages are not taxed.

  • Texas: no income tax  

  • Utah: flat 5% on all income

  • Vermont: 8.95% on income over $373,650

  • Virginia: 5.75% on income over $17,000

  • Washington: no income tax

  • West Virginia: 6.5% on income over $60,000

  • Wisconsin: 7.75% on income over $225,000

  • Wyoming: no income tax

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