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State Income Tax Rates | Highest & Lowest Income Taxes By State

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Even though taxes aren’t a fun topic, everybody loves a good list! Today we’re going to rank each state income tax and show you the 7 states with the lowest income tax rates and the 7 states with the highest income tax rates.

If you ever wanted to know “How much is the state income tax in California” or “What is the state with the highest income tax?” you can easily find the answer below [answers: a.) 1% – 13.3%, b.) Connecticut].

7 States With No Income Taxes

Did you know there were 7 states in the U.S. that don’t have any state income tax? That’s right! If you live in either of the states below you don’t have to pay a dime of income tax to the state. Of course, you still may owe plenty of money on a Federal Income Tax Return, but at least you won’t have to add to it with state taxes (Sorry California Residents!)

  • Alaska
  • Florida
  • Nevada
  • South Dakota
  • Texas
  • Washington State
  • Wyoming

7 States With The Highest Income Taxes

Here are 7 states that offer the highest state income taxes. This doesn’t necessarily mean they are the state with the highest overall taxes, for instance, Oregon has no sales tax, however, these are still the highest income tax states and this adds up when you compound these rates with Federal rates and self-employment tax if you’re self-employed.

  • California: 13.3%
  • Oregon: 9.9%
  • Minnesota: 9.85%
  • Iowa: 8.98%
  • New Jersey: 8.97%
  • Vermont: 8.95%
  • District Of Columbia: 8.95%

StateBottom RateHighest RateAverage Fed Tax PaidNational Avg. By State
National Average10%37%$14,051$14,051
Alabama2%5%$10,000-$4,050
AlaskaNo Income TaxNo Income Tax$12,266-$1,784
Arizona2.59%4.54%$11,264-$2,786
Arkansas0.9%6.9%$10,300-$3,750
California1%13.3%$16,996+$2,945
Colorado4.63% (Flat Tax Rate)4.63% (Flat Tax Rate)$14,244+$193
Connecticut3%6.99%$22,785+$8,734
Delaware2.2%6.6%$11,290-$2,760
District Of Columbia4%8.95%$20,563+$6,512
FloridaNo Income TaxNo Income Tax$14,750+$699
Georgia1%6%$12,471-$1,579
Hawaii1.4%8.25%$9,852-$4,198
Idaho1.6%7.4%$9,362-$4,688
Illinois3.75% (Flat Tax Rate)3.75% (Flat Tax Rate)$15,097+$1,046
Indiana3.3% (Flat Tax Rate)3.3% (Flat Tax Rate)$9,930-$4,120
Iowa0.36%8.98%$9,988-$4,062
Kansas2.9%5.2%$12,160-$1,890
Kentucky2%6%$9,195-$4,855
Louisiana2%6%$12,331-$1,719
Maine5.8%7.15%$8,630-$5,420
Maryland2%5.75%$14,239+$188
Massachusetts5.1% (Flat Tax Rate)5.1% (Flat Tax Rate)$18,997+$4,946
Michigan4.25% (Flat Tax Rate)4.25% (Flat Tax Rate)$11,252-$2,798
Minnesota5.35%9.85%$12,889-$1,161
Mississippi3%5%$8,747-$5,303
Missouri1.5%6%$10,874-$3,176
Montana1%6.9%$9,964-$4,086
Nebraska2.46%6.84%$11,213-$2,837
NevadaNo Income TaxNo Income Tax$12,700-$1,350
New Hampshire5% (Flat Tax Rate)5% (Flat Tax Rate)$13,110-$940
New Jersey1.4%8.97%$18,367+$4,316
New Mexico1.7%4.9%$9,630-$4,420
New York4%8.82%$19,782+$5,731
North Carolina5.75% (Flat Tax Rate)5.75% (Flat Tax Rate)$10,958-$3,092
North Dakota1.1%2.9%$14,823+$772
Ohio0.5%5%$10,250-$3,800
Oklahoma0.5%5%$11,744-$2,306
Oregon5%9.9%$10,715-$3,335
Pennsylvania3.07% (Flat Tax Rate)3.07% (Flat Tax Rate)$12,605-$1,445
Rhode Island3.75%5.99%$11,901-$2,149
South Carolina0%7%$9,619-$4,431
South DakotaNo Income TaxNo Income Tax$11,842-$2,208
Tennessee5%5%$11,192-$2,858
TexasNo Income TaxNo Income Tax$16,029+$1,978
Utah5%5%$10,953-$3,097
Vermont3.55%8.95%$9,793-$4,257
Virginia2%5.75%$14,197 +$146
WashingtonNo Income TaxNo Income Tax$14,664+$613
West Virginia3%6.5%$8,607-$5,443
Wisconsin4%7.65%$10,618-$3,432
WyomingNo Income TaxNo Income Tax$16,329+$2,278

Tips On Reducing Your Income Tax Rate

While you can’t avoid paying income in most states, you still have an option for lowering your tax rates and this is by taking as many applicable deductions as possible.

For instance, if you’re self-employed or you drive for work and aren’t reimbursed for the expenses you can use Everlance to keep an accurate mileage log of all of your trips and add expenses or any revenue as well.

Everlance saves an average of $6,500 per year for each of our users. Join over 300k smart people and download Everlance for free today and start tracking your mileage & expenses all in one simple app!

 

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Dan Trapp is a longtime Internet marketer that works on Content @Everlance. When he's not busy tapping keys for the Everlance blog he's attempting to convert clicks into happy users.

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