Taxes
Individual Income Tax
Iowa's progressive income tax ranges from 0% to 8.98% of taxable incomeas follows:
Taxable Income
Iowa does not differentiate between filing as married or single.
Over |
But Not Over |
Tax Rate |
Of Excess Over |
|||
|---|---|---|---|---|---|---|
$0 |
$1,343 |
$4.83 |
+
|
0.36% |
x |
0 |
$1,343 |
$2,686 |
$14.50 |
+ |
0.72% |
x |
1,343 |
$2,686 |
$5,372 |
$14.50 |
+ |
2.43% |
x |
2,686 |
$5,372 |
$12,087 |
$79.77 |
+ |
4.50% |
x |
5,372 |
$12,087 |
$20,145 |
$381.95 |
+ |
6.12% |
x |
12,087 |
$20,145 |
$26,860 |
$875.10 |
+ |
6.48% |
x |
20,145 |
$26,860 |
$40,290 |
$1,310.23 |
+ |
6.80% |
x |
26,860 |
$40,290 |
$60,435 |
$2,223.47 |
+ |
7.92% |
x |
40,290 |
$60,435 |
over |
$3,818.95 |
+ |
8.98% |
x |
60,435 |
Exclusions to income include:
- 100% exclusion of Federal Income taxes
- 100% exclusion of some capital gains
- 100% exclusion of health insurance premiums
- $12,000 exclusion of pension/retirement income
- 100% exclusion of Federal itemized deductions except for Iowa income taxes.