May 10, 2005 |
2005-R-0472 | |
STATE INCOME TAX RATES | ||
| ||
By: Judith Lohman, Chief Analyst | ||
You asked for the income tax rates and tax brackets in states with personal income taxes.
SUMMARY
Of the 42 states with broad-based personal income taxes, 34 states and the District of Columbia have progressive taxes and seven have flat taxes. Two additional states, New Hampshire and Tennessee, tax only interest and dividend income and do so at a flat rate
Progressive income taxes have two or more income brackets with higher tax rates on income over certain thresholds. The number of tax brackets ranges from two in Connecticut to 10 in Missouri. New Jersey is the only state to have a different number of brackets based on filing status. New Jersey has seven tax brackets for married taxpayers filing jointly and heads of household and six for singles and married couples filing separately.
Of the 34 states and the District of Columbia that have tax rates with brackets, Connecticut has the second lowest top rate (5%). Only Maryland’s is lower at 4. 75%. Mississippi and Alabama also have top rates of 5%. The 10 states with the highest top bracket rates are: Vermont (9. 5%), California (9. 3%), District of Columbia and Oregon (9. 0%), Iowa (8. 98%), New Jersey (8. 97%), Maine (8. 5%), Hawaii and North Carolina (8. 25%), and Minnesota (7. 85%).
Twenty-five states have lower tax rates for their lowest brackets than Connecticut’s 3%. The 10 states that start at the lowest rates are: Iowa (0. 36%); Oklahoma (0. 5%); Ohio (0. 743%); Arkansas, California, Georgia, and Montana (1%); New Jersey (1. 4%); and Missouri (1. 5%). Although Connecticut’s lowest rate is relatively high, its filing threshold is also the higher than any other state’s.
The tables below show the income tax rates, tax brackets, and filing thresholds for the 34 states and the District of Columbia that have progressive tax rates. States with flat taxes and those that tax only certain types of income are listed at the end of this report. The rates reported here were those in effect on January 1, 2005. Information comes from Commerce Clearinghouse, a multistate tax information service.
STATES WITH PROGRESSIVE INCOME TAX RATES
Alabama
Married Filing Jointly |
Single, Head of Household, Married Filing Separately | |||
FILING THRESHOLD |
$ 3,750 |
$ 1,875 | ||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
2. 0% |
$ 0 |
$ 1,000 |
0 |
$ 500 |
4. 0% |
$ 1,001 |
6,000 |
501 |
3,000 |
5. 0% |
Over $ 6,000 |
Over $ 3,000 | ||
Arizona
Married Filing Jointly |
Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
$ 11,000 |
$ 5,500 |
$ 5,500 | |||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
2. 87% |
0 |
$ 20,000 |
0 |
$ 20,000 |
0 |
$ 10,0000 |
3. 20% |
$ 20,001 |
50,000 |
$ 20,001 |
50,000 |
$ 10,001 |
25,000 |
3. 74% |
50,001 |
100,000 |
50,001 |
100,000 |
25,001 |
50,000 |
4. 72% |
100,001 |
300,000 |
100,001 |
300,000 |
50,001 |
150,000 |
5. 04% |
Over $ 300,000 |
Over $ 300,000 |
Over $ 150,000 | |||
Arkansas
All | ||
FILING THRESHOLD |
$ 15,500- Married filing jointly $ 12,100–Head of Household $ 7,800–Single $ 3,999-Married filing separately | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
1. 0% |
0 |
$ 3,400 |
2. 5% |
$ 3,401 |
6,799 |
3. 5% |
6,800 |
10,299 |
4. 5% |
10,300 |
17,099 |
6. 0% |
17,100 |
28,499 |
7. 0% |
Over $ 28,500 | |
California
Married Filing Jointly |
Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
Varies according to age and number of dependents | |||||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
1. 0% |
0 |
$ 12,294 |
0 |
$ 12,300 |
0 |
$ 6,147 |
2. 0% |
$ 12,295 |
2,142 |
$ 12,301 |
29,143 |
$ 6,148 |
14,571 |
4. 0% |
29,143 |
45,994 |
29,144 |
37,567 |
14,572 |
22,997 |
6. 0% |
45,995 |
63,850 |
37,568 |
46. 594 |
22,998 |
31,925 |
8. 0% |
63,851 |
80,692 |
46,595 |
54,918 |
31,926 |
40,346 |
9. 3% |
Over $ 80,692 |
Over $ 54,918 |
Over $ 40,346 | |||
Connecticut
Married Filing Jointly |
Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
$ 24,000 |
$ 16,000 |
$ 12,500 – Single $ 12,000 - Married filing separately | |||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
3. 0% |
0 |
$ 20,000 |
0 |
$ 16,000 |
0 |
$ 10,000 |
5. 0% |
Over $ 20,000 |
Over $ 16,000 |
Over $ 10,000 | |||
Delaware
All | ||
FILING THRESHOLD |
Same as federal | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
2. 2% |
$ 2,000 |
$ 5,000 |
3. 9% |
5,001 |
10,000 |
4. 8% |
10,001 |
20,000 |
5. 2% |
20,001 |
25,000 |
5. 5% |
25,001 |
60,000 |
5. 95% |
Over $ 60,000 | |
District of Columbia
All | ||
FILING THRESHOLD |
Same as federal | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
5. 0% |
0 |
$ 10,000 |
7. 5% |
$ 10,001 |
30,000 |
9. 0% |
Over $ 30,000 | |
Georgia
Married Filing Jointly, Head of Household |
Married Filing Separately |
Single | ||||
FILING THRESHOLD |
Same as federal | |||||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
1. 0% |
0 |
$ 1,000 |
0 |
$ 500 |
0 |
$ 750 |
2. 0% |
$ 1,001 |
3,000 |
$ 501 |
1,500 |
$ 751 |
2,250 |
3. 0% |
3,001 |
5,000 |
1,501 |
2,400 |
2,251 |
3,750 |
4. 0% |
5,001 |
7,000 |
2,501 |
3,500 |
3,751 |
5,250 |
5. 0% |
7,001 |
10,000 |
3,501 |
5,000 |
5,251 |
7,000 |
6. 0% |
Over $ 10,000 |
Over $ 5,000 |
Over $ 7,000 | |||
Hawaii
Married Filing Jointly |
Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
If gross income exceeds personal exemptions and standard deductions or if doing business in Hawaii. | |||||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
1. 4% |
0 |
$ 4,000 |
0 |
$ 3,000 |
0 |
$ 2,000 |
3. 2% |
$ 4,001 |
8,000 |
$ 3,001 |
6,000 |
$ 2,001 |
4,000 |
5. 5% |
8,001 |
16,000 |
6,001 |
12,000 |
4,001 |
8,000 |
6. 4% |
16,001 |
24,000 |
12,001 |
18,000 |
8,001 |
12,000 |
6. 8% |
24,001 |
32,000 |
18,001 |
24,000 |
12,001 |
16,000 |
7. 2% |
32,001 |
40,000 |
24,001 |
30,000 |
16,001 |
20,000 |
7. 6% |
40,001 |
60,000 |
30,001 |
45,000 |
20,001 |
30,000 |
7. 9% |
60,001 |
80,000 |
45,001 |
60,000 |
30,001 |
40,000 |
8. 25% |
Over $ 80,000 |
Over $ 60,000 |
Over $ 40,000 | |||
Idaho
Married Filing Jointly, Head of Household |
Single, Married Filing Separately | |||
FILING THRESHOLD |
Same as federal | |||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
1. 6% |
$ 1 |
$ 2,258 |
$ 1 |
$ 1,129 |
3. 6% |
2,259 |
4,515 |
1,130 |
2,258 |
4. 1% |
4,516 |
6,773 |
2,259 |
3,387 |
5. 1% |
6,774 |
9,031 |
3,388 |
4,515 |
6. 1% |
9,032 |
11,288 |
4,516 |
5,644 |
7. 1% |
11,289 |
16,933 |
5,645 |
8,466 |
7. 4% |
16,934 |
45,153 |
8,467 |
22,577 |
7. 8% |
Over $ 45,153 |
Over $ 22,577 | ||
Iowa
All | ||
FILING THRESHOLD |
Iowa resident: Net income over $ 9,000 if single; $ 13,000 for other filing status; $ 5,000 if claimed as a dependent Nonresident or part-year resident: Iowa source income over $ 1,000 | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
0. 36% |
0 |
$ 1,242 |
0. 72% |
$ 1,243 |
2,484 |
2. 43% |
2,485 |
4,968 |
4. 5% |
4,969 |
11,178 |
6. 12% |
11,179 |
18,630 |
6. 48% |
18,631 |
24,840 |
6. 8% |
24,841 |
37,260 |
7. 92% |
37,261 |
55,890 |
8. 98% |
Over $ 55,890 | |
Kansas
Married Filing Jointly |
Single, Head of Household, Married Filing Separately | |||
FILING THRESHOLD |
Same as federal | |||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
3. 5% |
0 |
$ 30,000 |
0 |
$ 15,000 |
6. 25% |
$ 30,001 |
60,000 |
$ 15,001 |
30,000 |
6. 45% |
Over $ 60,000 |
Over $ 30,000 | ||
Kentucky
All | ||
FILING THRESHOLD |
$ 5,000 | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
2. 0% |
0 |
$ 3,000 |
3. 0% |
$ 3,001 |
4,000 |
4. 0% |
4,001 |
5,000 |
5. 0% |
5,001 |
8,000 |
6. 0% |
Over $ 8,000 | |
Louisiana
Married Filing Jointly |
Single, Head of Household, Married Filing Separately | |||
FILING THRESHOLD |
Same as federal | |||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
2. 0% |
0 |
$ 25,000 |
0 |
$ 12,500 |
4. 0% |
$ 25,001 |
50,000 |
$ 12,501 |
25,000 |
6. 0% |
Over $ 50,000 |
Over $ 25,000 | ||
Maine
Married Filing Jointly |
Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
Same as federal | |||||
TAX RATES |
TAXABLE INCOME | |||||
From |
To |
From |
To |
From |
To | |
2. 0% |
0 |
$ 8,900 |
0 |
$ 6,650 |
0 |
$ 4,450 |
4. 5% |
$ 8,901 |
17,700 |
$ 6,651 |
13,250 |
$ 4,451 |
8,850 |
7. 0% |
17,701 |
35,450 |
13,251 |
26,600 |
8,851 |
17,700 |
8. 5% |
Over $ 35,450 |
Over $ 26,600 |
Over $ 17,700 | |||
Maryland
All | ||
FILING THRESHOLD |
Same as federal | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
2. 0% |
0 |
$ 1,000 |
3. 0% |
$ 1,001 |
2,000 |
4. 0% |
2,001 |
3,000 |
4. 75% |
Over $ 3,000 | |
Minnesota
Married Filing Jointly |
Single | |||
FILING THRESHOLD |
Same as federal | |||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
5. 35% |
0 |
$ 29,070 |
0 |
$ 19,890 |
7. 05% |
$ 29,071 |
115,510 |
$ 19,891 |
65,330 |
7. 85% |
Over $ 115,510 |
Over $ 65,330 | ||
Head of Household |
Married Filing Separately | |||
FILING THRESHOLD |
Same as federal | |||
TAX RATES |
TAXABLE INCOME | |||
From |
To |
From |
To | |
5. 35% |
0 |
$ 24,490 |
0 |
$ 14,540 |
7. 05% |
$ 24,491 |
98,390 |
$ 14,541 |
57,760 |
7. 85% |
Over $ 98,390 |
Over $ 57,760 | ||
Mississippi
All | ||
FILING THRESHOLD |
$ 16,600 – Married filing jointly $ 12,900 – Head of household $ 8,300 – Single, Married filing separately | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
3. 0% |
0 |
$ 5,000 |
4. 0% |
$ 5,001 |
10,000 |
5. 0% |
Over $ 10,000 | |
Missouri
All | ||
FILING THRESHOLD |
Required to file a federal return and, if a Missouri resident, have at least $ 1,200 of Missouri income and, if a nonresident, have at least $ 600 of income from Missouri sources. | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
1. 5% |
0 |
$ 1,000 |
2. 0% |
$ 1,001 |
2,000 |
2. 5% |
2,001 |
3,000 |
3. 0% |
3,001 |
4,000 |
3. 5% |
4,001 |
5,000 |
4. 0% |
5,001 |
6,000 |
4. 5% |
6,001 |
7,000 |
5. 0% |
7,001 |
8,000 |
5. 5% |
8,001 |
9,000 |
6. 0% |
Over $ 9,000 | |
Montana
All | ||
FILING THRESHOLD |
$ 6,880- Married filing jointly, Head of household $ 3,440–Single, Married filing separately | |
TAX RATES |
TAXABLE INCOME | |
From |
To | |
1. 0% |
0 |
$ 2,300 |
2. 0% |
$ 2,301 |
4,100 |
3. 0% |
4,101 |
6,200 |
4. 0% |
6,201 |
8,400 |
5. 0% |
8,401 |
10,800 |
6. 0% |
10,801 |
13,900 |
6. 9% |
Over $ 13,901 | |
Nebraska
Married Filing Jointly |
Single | ||||||
FILING THRESHOLD |
Required to file a federal return or have at least $ 5,000 of Nebraska adjustments to federal AGI, including non-Nebraska state and local bond interest exempt from federal tax. | ||||||
TAX RATES |
TAXABLE INCOME | ||||||
From |
To |
From |
To | ||||
2. 56% |
0 |
$ 4,000 |
0 |
$ 2,400 | |||
3. 57% |
$ 4,001 |
30,000 |
$ 2,401 |
17,000 | |||
5. 12% |
30,001 |
46,750 |
17,001 |
26,500 | |||
6. 84% |
Over 46,750 |
Over $ 26,500 | |||||
TAX RATES |
TAXABLE INCOME | ||||||
From |
To |
From |
To | ||||
2. 56% |
0 |
$ 3,800 |
0 |
$ 2,000 | |||
3. 57% |
$ 3,801 |
24,000 |
$ 2,001 |
15,000 | |||
5. 12% |
24,001 |
35,000 |
15,001 |
23,375 | |||
6. 84% |
Over $ 35,000 |
Over $ 23,375 | |||||
New Jersey
Married Filing Jointly; Head of Household |
Single, Married Filing Separately | ||||
FILING THRESHOLD |
$ 20,000 |
$ 10,000 | |||
TAX RATES |
TAXABLE INCOME |
TAX RATES |
TAXABLE INCOME | ||
From |
To |
From |
To | ||
1. 4% |
0 |
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