States with no state income tax
A handful of states choose not to tax wage income at all. People often look at these states when they
think about moving to lower their tax bill, but it is important to remember that other taxes often rise
to fill the gap.
- Alaska (AK)
- Florida (FL)
- Nevada (NV)
- New Hampshire (NH)
- South Dakota (SD)
- Tennessee (TN)
- Texas (TX)
- Washington (WA)
- Wyoming (WY)
These states may rely more heavily on sales taxes, tourism, energy production, property taxes, or
other revenue sources instead of taxing individual wage income.
Flat vs. progressive state systems
Many states now use flat income tax rates—one rate that applies to almost all taxable income. Others
maintain progressive brackets similar to the federal system.
- Flat tax examples: Arizona, Colorado, Georgia, Illinois, Indiana, Kentucky, Michigan, North Carolina, Pennsylvania, Utah.
- Highly progressive examples: California, New York, Hawaii, New Jersey, Oregon.
A flat system is simple to explain but does not change as your income rises. A progressive system is more
complex but can reduce the relative burden on lower‑income households.
Typical state income tax ranges
The table below mirrors the snapshot used in the calculator’s state overview. It is meant as a high‑level
guide only. Exact brackets, thresholds and local add‑on taxes vary, and states update their rules over time.
| State | Type | Rate range |
|---|
| Alabama (AL) | Progressive | 2% – 5% |
| Alaska (AK) | No state income tax | 0% |
| Arizona (AZ) | Flat | 2.5% |
| Arkansas (AR) | Progressive | 2% – 3.9% |
| California (CA) | Progressive | 1% – 13.3% |
| Colorado (CO) | Flat | 4.4% |
| Connecticut (CT) | Progressive | 2% – 6.99% |
| Delaware (DE) | Progressive | 2.2% – 6.6% |
| District of Columbia (DC) | Progressive | 4% – 10.75% |
| Florida (FL) | No state income tax | 0% |
| Georgia (GA) | Flat | 5.39% |
| Hawaii (HI) | Progressive | 1.4% – 11% |
| Idaho (ID) | Flat | 5.695% |
| Illinois (IL) | Flat | 4.95% |
| Indiana (IN) | Flat | 3% |
| Iowa (IA) | Flat | 3.8% |
| Kansas (KS) | Progressive | 5.2% – 5.58% |
| Kentucky (KY) | Flat | 4% |
| Louisiana (LA) | Flat | 3% |
| Maine (ME) | Progressive | 5.8% – 7.15% |
| Maryland (MD) | Progressive | 2% – 5.75% |
| Massachusetts (MA) | Progressive | 5% – 9% |
| Michigan (MI) | Flat | 4.25% |
| Minnesota (MN) | Progressive | 5.35% – 9.85% |
| Mississippi (MS) | Flat | 4.4% |
| Missouri (MO) | Progressive | 2% – 4.7% |
| Montana (MT) | Progressive | 4.7% – 5.9% |
| Nebraska (NE) | Progressive | 2.46% – 5.2% |
| Nevada (NV) | No state income tax | 0% |
| New Hampshire (NH) | No state income tax | 0% |
| New Jersey (NJ) | Progressive | 1.4% – 10.75% |
| New Mexico (NM) | Progressive | 1.5% – 5.9% |
| New York (NY) | Progressive | 4% – 10.9% |
| North Carolina (NC) | Flat | 4.25% |
| North Dakota (ND) | Progressive (low) | 1.95% – 2.5% |
| Ohio (OH) | Progressive (low) | 2.75% – 3.5% |
| Oklahoma (OK) | Progressive | 0.25% – 4.75% |
| Oregon (OR) | Progressive | 4.75% – 9.9% |
| Pennsylvania (PA) | Flat | 3.07% |
| Rhode Island (RI) | Progressive | 3.75% – 5.99% |
| South Carolina (SC) | Progressive | 0% – 6.2% |
| South Dakota (SD) | No state income tax | 0% |
| Tennessee (TN) | No state income tax | 0% |
| Texas (TX) | No state income tax | 0% |
| Utah (UT) | Flat | 4.55% |
| Vermont (VT) | Progressive | 3.35% – 8.75% |
| Virginia (VA) | Progressive | 2% – 5.75% |
| Washington (WA) | No wage income tax | 0% on wages |
| West Virginia (WV) | Progressive | 2.22% – 4.82% |
| Wisconsin (WI) | Progressive | 3.5% – 7.65% |
| Wyoming (WY) | No state income tax | 0% |
Always confirm details with your state’s Department of Revenue or equivalent agency, especially if you have
business income, capital gains, or local city/county income taxes on top of state rules.
Using this page with the calculator
The calculator on the home page focuses on federal income tax only. When you select your state in the
calculator, it pulls a short summary from this same dataset so you can see the type and rough range of
tax rates where you live.
By combining the bracket breakdown with this state overview, you can start to estimate your full
tax picture—then follow up with official tools or a professional for precise numbers.
Questions to ask before moving for tax reasons
It is tempting to focus only on income tax rates when comparing states, but a move is a big decision.
Before you uproot your life primarily for tax reasons, consider asking:
- How do property taxes compare between my current area and the new one?
- Will I pay higher sales taxes on everyday purchases and big-ticket items?
- Are there local city or county income taxes that sit on top of state rules?
- How do housing costs, utilities, and insurance premiums differ?
- Would I be able to maintain or improve my income in the new location?
Using this page as a starting point, you can combine state tax ranges with those broader cost-of-living
questions to decide whether a move truly improves your financial picture.
State tax credits and special programs
Many states offer targeted credits or deductions for things like education expenses, child and dependent
care, retirement income, or low- and moderate-income households. These can significantly change your
real-world state tax bill beyond the basic rate ranges listed here.
If your income is near the lower end of a state’s bracket system, or if you are a retiree or student,
it is worth checking your state revenue department’s website for credits and programs that might apply
to you specifically.
Remote work and multi-state situations
More people now work remotely for employers located in other states. This can create situations where
you have to think about tax rules in both the state where you live and the state where your company
operates or where you perform the work.
Some states have reciprocal agreements that simplify withholding, while others may require nonresident
returns. If you live and work in different states, it is especially important to review each state’s
guidance or talk with a professional so nothing falls through the cracks.