Advertiser Disclosure
GOBankingRates works with many financial advertisers to showcase their products and services to our audiences. These brands compensate us to advertise their products in ads across our site. This compensation may impact how and where products appear on this site. We are not a comparison-tool and these offers do not represent all available deposit, investment, loan or credit products.
13 States Where Americans Will Pay Less in Taxes This Year
Written by
Gabrielle Olya
Edited by
Gary Dudak

Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 YearsHelping You Live Richer
Reviewed by Experts
Trusted by Millions of Readers
Several states have implemented tax laws that went into effect on January 1, 20024, including a number of states that have lowered individual income taxes. According to the Tax Foundation, this is in line with ongoing trends: “The past several years have seen a wave of significant tax reforms, including rate reductions and tax cuts, as states emerged from the pandemic with revenue surpluses and stared down inflation.”
See if your state is among the lucky ones that lowered taxes this year.
Arkansas
- 2023 personal income tax (top marginal rate): 4.9%
- 2024 personal income tax (top marginal rate): 4.4%
Georgia
- 2023 personal income tax (top marginal rate): 5.75%
- 2024 personal income tax (top marginal rate): 5.49%
Indiana
- 2023 personal income tax (top marginal rate): 3.15%
- 2024 personal income tax (top marginal rate): 3.05%
Iowa
- 2023 personal income tax (top marginal rate): 6%
- 2024 personal income tax (top marginal rate): 5.7%
Kentucky
- 2023 personal income tax (top marginal rate): 4.5%
- 2024 personal income tax (top marginal rate): 4%
Mississippi
- 2023 personal income tax (top marginal rate): 5%
- 2024 personal income tax (top marginal rate): 4.7%
Missouri
- 2023 personal income tax (top marginal rate): 4.95%
- 2024 personal income tax (top marginal rate): 4.8%
Montana
- 2023 personal income tax (top marginal rate): 6.75%
- 2024 personal income tax (top marginal rate): 5.9%
Nebraska
- 2023 personal income tax (top marginal rate): 6.64%
- 2024 personal income tax (top marginal rate): 5.84%
New Hampshire
- 2023 personal income tax (top marginal rate): 4%
- 2024 personal income tax (top marginal rate): 3%
Note: The New Hampshire rate change applies to tax on interest and dividend income only.
North Carolina
- 2023 personal income tax (top marginal rate): 4.75%
- 2024 personal income tax (top marginal rate): 4.5%
Ohio
- 2023 personal income tax (top marginal rate): 3.99%
- 2024 personal income tax (top marginal rate): 3.5%
South Carolina
- 2023 personal income tax (top marginal rate): 6.5%
- 2024 personal income tax (top marginal rate): 6.4%
More From GOBankingRates
- Mark Cuban Just Exposed a Social Security Flaw That Every Senior Needs To Watch For
- What 2026 Senior Tax Deduction Means for Social Security and Retirement Planning
- How Middle-Class Earners Are Quietly Becoming Millionaires -- and How You Can, Too
- 6 Safe Accounts Proven to Grow Your Money Up to 13x Faster
Share This Article:
You May Also Like
I Asked ChatGPT Which Tax Changes in 2026 Could Affect Your Refund the Most -- Here's What It Said
March 06, 2026
2 min Read
I Asked ChatGPT for Specific Steps for Lowering My Tax Bill Before I File -- Here's What It Said
March 03, 2026
2 min Read
I Asked ChatGPT Which Common Errors Can Delay Your Tax Refund -- Here's What It Said
March 05, 2026
2 min Read
I Asked ChatGPT What Documents I Need for Tax Season -- Here's the Full List
March 05, 2026
2 min Read
The Most Misreported Income Types on Tax Returns, According to Tax Preparers
March 04, 2026
2 min Read
I'm a Financial Advisor: These 7 Capital Gains Moves Can Quietly Increase Your Tax Bill
March 02, 2026
2 min Read
I Asked ChatGPT the Best Way To Organize My Documents Before Meeting With My CPA
March 05, 2026
2 min Read
Make your money work for you
Get the latest news on investing, money, and more with our free newsletter.
By subscribing, you agree to our Terms of Use and Privacy Policy. Unsubscribe at any time.

Thanks!
You're now subscribed to our newsletter.
Check your inbox for more details.

Sending you timely financial stories that you can bank on.
Sign up for our daily newsletter for the latest financial news and trending topics.
For our full Privacy Policy, click here.
Looks like you're using an adblocker
Please disable your adblocker to enjoy the optimal web experience and access the quality content you appreciate from GOBankingRates.
- AdBlock / uBlock / Brave
- Click the ad blocker extension icon to the right of the address bar
- Disable on this site
- Refresh the page
- Firefox / Edge / DuckDuckGo
- Click on the icon to the left of the address bar
- Disable Tracking Protection
- Refresh the page
- Ghostery
- Click the blue ghost icon to the right of the address bar
- Disable Ad-Blocking, Anti-Tracking, and Never-Consent
- Refresh the page




