2026 U.S. State Income Tax Guide | YebboTax Knowledge Center

YebboTax Knowledge Center

2026 U.S. State Income Tax Guide

An educational, state-by-state guide showing which states have no personal income tax and the tax-rate percentage for states that do tax personal income.

Last reviewed: June 12, 2026 • Educational use only, not tax or legal advice.

9

No broad wage income tax

States generally taxing wages at 0%.

16

Flat-rate states

One main rate, with some exceptions and thresholds.

25

Graduated-rate states

Rates increase as taxable income rises.

13.3%

Highest listed top rate

California top marginal individual income tax rate, before separate payroll taxes.

What does “state income tax” mean?

No tax

0% on wage income

These states do not charge a broad personal income tax on wages or salaries. However, residents may still pay other taxes such as sales tax, property tax, business taxes, gas taxes, or special taxes.

Flat tax

One main percentage

A flat-tax state uses one main tax rate for taxable income. Some flat states still have exemptions, deductions, thresholds, or high-income surtaxes.

Graduated

Different brackets

A graduated or progressive tax does not tax all income at the top rate. Only the dollars inside each bracket are taxed at that bracket’s percentage.

Important: This table focuses on state-level personal income tax rates. It does not include federal income tax, Social Security/Medicare tax, local city/county income taxes, unemployment payroll taxes, deductions, exemptions, credits, or special rules for retirement income, business income, capital gains, nonresidents, or part-year residents.

States with no broad state income tax on wages

These states are commonly listed as having no state income tax on wages and salaries:

Alaska Florida Nevada New Hampshire South Dakota Tennessee Texas Washington Wyoming

All 50 states: 2026 state personal income tax rates

State	Tax system	2026 income tax rate	Educational note

Special state notes

New Hampshire

New Hampshire no longer has its Interest & Dividends Tax for tax periods beginning on or after January 1, 2025. That is why it is now commonly included with the no-income-tax states.

Washington

Washington does not tax wages through a broad personal income tax, but it does tax certain long-term capital gains. The capital gains rate is generally 7%, with a higher 9.9% tier for taxable capital gains over $1 million.

California & Massachusetts

California’s top marginal rate can reach 13.3% because of its additional tax on income over $1 million. Massachusetts is generally 5%, but a 4% surtax applies over its high-income threshold, creating a 9% top marginal rate on income above that threshold.

Sources and review notes

Rate table prepared from publicly available 2026 state tax-rate summaries and state tax-agency notes. Key references used:

• Paycor — 2026 State Income Tax Rates by State
• Tax Foundation — State Individual Income Tax Rates and Brackets, 2026
• New Hampshire Department of Revenue Administration — repeal of Interest & Dividends Tax
• Washington Department of Revenue — capital gains tax tiered rates
• Massachusetts Department of Revenue — 2026 tax rates and surtax

Reminder: Tax rates can change by legislation. Always confirm with the state tax agency before filing or advising a client.

YebboTax • Educational State Tax Reference

Prepared for client education and quick comparison.