State Income Tax Rates for 2023-2024

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The federal income tax collected by the IRS applies to all Americans regardless of where you live, but the rules for state income tax rates and how those taxes are paid can be vastly different. What you end up paying to the IRS in individual income taxes will not only depend on your income level but also on your state’s income tax structure. 

Learn More: What To Do if You Owe Back Taxes to the IRS

State income tax systems fall into three broad categories: fixed or flat income taxes, progressive income taxes and no income taxes.

State Income Tax Rates: An Overview

Fixed rates or flat rates, as the name implies, have a single tax bracket regardless of how much you make. Progressive income tax, the most commonly used system, refers to tax rates that increase incrementally for people with more taxable income. Some states, like Alaska and Florida, have high sales tax or property taxes to compensate for the fact that they are among the few states with no income tax.

State Income Rates

State Tax Rate or Range
Alabama 2% to 5%
Alaska No State Income Tax
Arizona 2.5%
Arkansas  2% to 4.9%
California 1% to 12.3%
Colorado 4.40%
Connecticut 3% to 6.99%
Delaware 0% to 6.6%
District Of Columbia 4% to 10.75%
Florida No State Income Tax
Georgia 1% to 5.75%
Hawaii 1.4% to 11%
Idaho 5.80%
Illinois  4.95%
Indiana 3.15%
Iowa  4.4% to 6%
Kansas 1% to 5.7%
Kentucky 4.5%
Louisiana  1.85% to 4.25%
Maine  5.8% to 7.15%
Maryland 2% to 5.75%
Massachusetts 5%
Michigan 4.25%
Minnesota  5.35% to 9.85%
Mississippi 0% to 5%
Missouri  0% to 4.95%
Montana  1% to 6.75%
Nebraska  2.46% to 6.64%
Nevada No State Income Tax
New Hampshire 5% State Tax on Dividends and Interest Income Only
New Jersey 1.4% to 10.75
New Mexico 1.7% to 5.9%
New York 4% to 10.9%
North Carolina 4.75%
North Dakota 1.1% to 2.9%
Ohio  0% to 3.99%
Oklahoma 0.25% to 4.75%
Oregon  4.75% to 9.9%
Pennsylvania 3.07%
Rhode Island 3.75% to 5.99%
South Carolina  0% to 6.4%
South Dakota No State Income Tax
Tennessee No State Income Tax
Texas No State Income Tax
Utah 4.85%
Vermont 3.35% to 8.75%
Virginia 2% to 5.75%
Washington No State Income Tax
West Virginia 3% to 6.5%
Wisconsin 3.54% to 7.65%
Wyoming No State Income Tax
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States With Flat Tax Rates

With flat tax rates, you pay the same tax rate no matter how much income you have. Many states have moved away from flat-tax structures because critics claim that they unfairly burden low- and middle-class taxpayers.

Illinois, however, which imposes a 4.95% fixed tax, has a flat tax because when the tax was first implemented, it was unclear whether a progressive income tax was constitutional under the state constitution, and the law hasn’t been changed since then.

Here are the states that impose a flat tax rate on their citizens:

  • Arizona: 2.5%
  • Colorado: 4.4%
  • Idaho: 5.8%
  • Illinois: 4.95%
  • Indiana: 3.15%
  • Kentucky: 4.5%
  • Massachusetts: 5%
  • Michigan: 4.25%
  • New Hampshire: 4% flat tax on dividends and interest income only
  • North Carolina: 4.75%
  • Pennsylvania: 3.07%
  • Utah: 4.85%
  • Vermont: 3.35%

States With Graduated-Rate Income Taxes

With progressive or graduated tax rates, most states have separate tax brackets that depend on how much you earn. The idea is that people in higher income brackets can afford to pay more taxes. More brackets can lead to more complexity.

Here are the standard tax brackets for the states with progressive income tax rates:

State Tax Rate Range Income Range for Tax Brackets
Alabama 3 Brackets: 2% to 5% $500 to $3,001
Arkansas  5 Brackets: 2% to 4.9% $5,100 to $87,000
California 9 Brackets: 1% to 12.3% $10,099 to $677,275
Connecticut 7 Brackets: 3% to 6.99% $10,000 to $500,000
Delaware 7 Brackets: 0% to 6.6% $2,000 to $60,001
District Of Columbia 7 Brackets: 4% to 10.75% $10,000 to $1 million
Georgia 6 Brackets: 1% to 5.75% $750 to $7,001
Hawaii 12 Brackets: 1.4% to 11% $2,400 to $200,000 
Iowa  4 Brackets: 0.4% to 6% $6,000 to $75,000 
Kansas 3 Brackets 1% to 5.7% $15,000 to $30,000
Louisiana  3 Brackets: 1.85% 4.25% $12,500 to $50,001
Maine  3 Brackets: 5.8% to 7.15% $24,500 to $58,050
Maryland 8 Brackets: 2% to 5.75% $1,000 to $250,000
Minnesota  4 Brackets: 5.35% to 9.85% $30,070 to $183,341
Mississippi 2 Brackets: 0% to 5% $10,001 and over is subject to a 5% flat rate.
Missouri  8 Brackets: 0% to 4.95% $1,207 to $8,449
Montana  7 Brackets: 1% to 6.75% $3,600 to $21,600
Nebraska  4 Brackets: 2.46% to 6.64% $3,700 $35,730
New Jersey 7 Brackets: 1.4% to 10.75 $20,000 to $1 million
New Mexico 5 Brackets: 1.7% to 5.9% $5,500 to $210,000
New York 9 Brackets: 4% to 10.9% $8,500 to $25 million
North Dakota 3 Brackets: 1.1% to 2.9% $44,775 to $225,975
Ohio  4 Brackets: 0% to 3.99% $26,050 to $115,300
Oklahoma 6 Brackets; 0.25% to 4.75% $1,000 to $7,200
Oregon  4 Brackets: 4.75% to 9.9% $4,050 to $125,000
Rhode Island 3 Brackets: 3.75% to 5.99% $73,450 to $166,950
South Carolina  3 Brackets: 0% to 6.4% $3,200 to $16,040
Vermont 4 Brackets: 3.35% to 8.75% $45,400 to $229,500
Virginia 4 Brackets: 2% to 5.75% $3,000 to $17,001
West Virginia 5 Brackets: 3% to 6.5% $10,000 to $60,000
Wisconsin 4 Brackets: 3.54% to 7.65% $13,810 to $304,170
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States With No Income Tax

Currently, nine states don’t impose a state income tax. However, be aware that the state sales tax rates, property tax rates and capital gains taxes will typically be higher in these locations. When it comes to filing taxes on your earned income, there is no getting out scott-free, but you can weigh the benefits and drawbacks of your individual taxes versus your local sales tax.

When you break down your tax year you might find no-income-tax state to be better for you. If you live in any of the following states you won’t have to pay income taxes:

  • Alaska
  • Florida 
  • Nevada
  • New Hampshire
  • South Dakota
  • Tennessee 
  • Texas
  • Washington
  • Wyoming

If you have further questions about items such as FICA tax rate as it relates either state or federal taxes, be sure to consult with a tax professional.

How To Calculate Tax Burden

Though you can measure tax burden by looking at which states have the highest income tax, property tax, sales tax or other additional taxes, to calculate the actual tax burden of a state you divide the actual collections by capacity for each revenue source and for all sources as a whole. States approach collecting revenue in varying ways. Here is a look at which states have the highest and lowest tax burdens.

States With Highest Tax Burden

The states with the highest overall tax burden are:

  • New York: 12.47%
  • Hawaii: 12.31%
  • Maine: 11.14%
  • Vermont: 10.28%
  • Connecticut: 9.83%
  • New Jersey: 9.76%
  • Maryland: 9.44%
  • Minnesota: 9.41%
  • Illinois: 9.38%
  • Iowa: 9.15%
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States With the Lowest Tax Burden

The states with the lowest tax burden are:

  • Alaska: 5.06%
  • Delaware: 6.12%
  • New Hampshire: 6.14%
  • Tennessee: 6.22%
  • Florida: 6.33%
  • Wyoming: 6.42%
  • South Dakota: 6.69%
  • Montana: 6.93%
  • Missouri: 7.11%
  • Oklahoma: 7.12%

Final Take To GO

The bottom line is that knowing the difference between state and federal income taxes can serve you well when creating a budget or considering a move. All states have a unique tax structure and rates so before you buy property somewhere else make sure you know exactly what it will cost you. Remember, it’s always a good idea to consult with your tax professional if you have questions about this, or other specific items, such as about deductions or credits and tax refunds.

Brian Nelson and John Csiszar contributed to the reporting for this article.

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