US Income Tax by States [Report 2021]

In respect of the profits or income earned by the citizens, a direct tax is imposed by the government, known as income tax. It is computed as the product of tax rate times the taxable income. Companies mainly give corporate tax, which taxed at a flat rate, whereas individual income tax levied at a progressive rate. The tax rate depends solely on the income.

The United States of America has some policy regarding tax rate. In the fiscal year 2018, individual income taxes collect about 38% of state government revenue. Individual Income Tax can be given in two way – 1) Single Filer and 2) Marriage Filing Jointly. The tax rate increases with income. Currently, eight states have no income taxes, ten states have a flat income tax, and the rest have a graduated-rate income tax. 

Data of Income Tax by States

A complete list of tax rates for every state in the union and learn which states have the highest tax rates:

1. California13.3% 
2. Hawaii11.0%
3. New Jersey10.75%
4. Oregon9.9%
5. Minnesota9.85%
6. New York8.82%
7. Vermont8.75%
8. Iowa8.53%
9. Wisconsin7.6%
10. Maine7.15%
11. South Carolina7.0%
12. Connecticut6.99%
13. Idaho6.925%
14. Montana6.90%
15. Nebraska6.84%
16. Arkansas6.6%
17. Delaware6.6%
18. West Virginia6.5%
19. Louisiana6.0%
20. Rhode Island5.99%
21. Maryland5.75%
22. Virginia5.75%
23. Georgia5.75%
24. Kansas5.7%
25. Missouri5.4%
26. North Carolina5.25%
27. Massachusetts5.0%
28. Kentucky5.0%
29. Oklahoma5.0%
30. Mississippi5.0%
31. Alabama5.0%
32. Utah4.95%
33. Illinois4.95%
34. New Mexico4.9%
35. Ohio4.797% 
36. Colorado4.63%
37. Arizona4.5%
38. Michigan4.25%
39. Indiana3.23%
40. Pennsylvania3.07%
41. North Dakota2.9%
42. Alaska0%
43. Florida0%
44. Nevada0%
45. New Hampshire0%
46. South Dakota0%
47. Tennessee0%
48. Texas0%
49. Washington0%
50. Wyoming0%

Tax laws are heavily dependent on the legislation, which can be changed at any time which applies in the fiscal year. The change also has some effects on people as well as the government. However, it is an important tax that matters states government and the citizen.

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