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In what states in the United States is there a duty to file a state income tax return for 2023?

In what states in the United States is there a duty to file a state income tax return for 2023?

All states have a federal tax filing requirement. However, tax filing requirement is also required at the state level. For individuals, 8 states in the United States have no state income tax. These states are:

State US state code
Florida FL
Texas TX
Nevada NV
Alaska AK
Washington WA (Except Capital Gains tax at rate 7% on earners above $250,000)
Wyoming WY
South Dakota





In addition, there is one state that tax interest and dividend income but not earned income:


State US state code Marginal Income Tax
New Hampshire NH  4%


  • New Hampshire residents must file an income tax return only if interest and dividend income exceeds $ 2,400 ($ 4,800 for married filing jointly) + additional exemptions due to age and disability.

If you are a resident of the other U.S. taxable states, and you have earned income in one of the tax-free states, this income must be reported in your state of residence.

For example, if you are a New York resident and have worked in Texas, you still have to report your Texas state income in the New York state tax return, in addition to the federal tax return.
If you are a resident of one of the tax-free states and you have earned income in one of the taxable states, you must file a tax return in the taxable state as Nonresident.
For example, if you are a Nevada resident and you earn money from work in California, you are required to file a tax return as a Nonresident in the state of California, in addition to the federal tax return.

The states in the United States that have a duty to file a state income tax return and their rates (updated 2023):

State income tax is levied at a fixed or progressive rate on the taxable income of individuals, companies and certain other entities. The rate varies between states.

For individuals:


State State Code Marginal Income Tax
California CA 1%-12.3%
Hawaii HI 1.4%-11%
New Jersey NJ 1.4%-10.75%
Oregon OR 4.75%-9.9%
Minnesota MN 5.35%-9.85%
Washington, D.C. DC 4%-10.75%
New York NY 4%-10.9%
Vermont VT 3.35%-8.75%
Iowa IA 4.4%-6%
Wisconsin WI 3.5%-7.65%
Maine ME 5.8%-7.15%
South Carolina SC 0%-6.4%
Connecticut CT 3%-6.99%
Idaho ID 5.8% flat
Montana MT 1%-6.75%
Arkansas AR 0%-4.7%
Nebraska NE 2.46%-6.64%
Delaware DE 0%-6.6%
West Virginia WV 2.36%-5.12%
Louisiana LA 1.85%-4.25%
Rhode Island RI 3.75%-5.99%
Maryland MD 2%-5.75%
Virginia VA 2%-5.75%
Georgia GA 1%-5.75%
Kansas KS 3.1%-5.7%
Missouri MO 0%-4.95%
North Carolina NC 4.75% flat
Massachusetts** MA 5%-9%
Mississippi MS 0%-5%
Alabama AL 2%-5%
Ohio OH 0%-3.75%
Oklahoma OK 0.25%-4.75%
Kentucky KY 4.5% flat
Illinois IL 4.95% flat
Utah UT 4.65% flat
New Mexico NM 1.7%-5.9%
Colorado CO 4.4% flat
Arizona AZ 2.5% flat
Michigan* MI 4.05% flat
Indiana* IN 3.15% flat
Pennsylvania* PA 3.07% flat
North Dakota ND 0%-2.5%


*Indiana – Additional income tax may apply in different counties in the state.

* Michigan – In some cities, additional income tax may apply.

* Pennsylvania – local taxes may apply in different areas in the state.

** Massachusetts – For most types of income.


In some U.S. states, local and municipal taxes are imposed. These states are:

California, Oregon, Colorado, Kansas, Iowa, Missouri, Alabama, Kentucky, Indiana, Michigan, Ohio, West Virginia, Pennsylvania, New York, Maryland, Delaware, and New Jersey.


C Corporations:

The federal corporate tax rate is 21% for 2023.

There are state-level corporate tax rates in the various states that are imposed on the taxable income of a C Corporation. As of 2023:

Nevada, Ohio, Texas, and Washington have no corporate tax but have gross receipts tax.

Wyoming and South Dakota have no corporate tax nor gross receipts tax.



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