Income Tax for New Hampshire (2026)
New Hampshire (NH) Key Facts
Top Marginal Rate
0%
Tax Structure
Flat rate
Filing Deadline
April 15
Has State Income Tax
No
How This Calculator Works in New Hampshire
This calculator confirms that New Hampshire has no state income tax and helps you compare your overall tax situation with neighboring states. It can help you understand the tax savings of living in a no-income-tax state.
New Hampshire Overview
New Hampshire imposes no personal income tax — its former Interest & Dividends Tax was fully repealed in 2025 after a multi-year phaseout. The state also has no general sales tax, making it one of only two states (with Alaska) that levy neither. New Hampshire funds itself through some of the nation's highest property taxes (~2.18% average effective rate), business taxes, and the meals and rooms tax on hospitality.
How New Hampshire Compares
New Hampshire's top income tax rate of 0% compares to Maine at 7.15% and Vermont at 8.75%. The absence of income tax makes it one of the most favorable states for high earners.
| State | Top Rate | Notes |
|---|---|---|
| Maine | 7.15% | Maine has an income tax rate of 7.15%. |
| Vermont | 8.75% | Vermont has an income tax rate of 8.75%. |
| Massachusetts | 5% | Massachusetts has an income tax rate of 5%. |
New Hampshire's income tax rate of 0% compares to a national average of approximately 5.04%. This is below the national average.
Tips for New Hampshire Residents
- 1New Hampshire has no income tax on wages or salaries, and its former 5% Interest & Dividends Tax was fully repealed effective January 1, 2025, after a multi-year phaseout.
- 2New Hampshire also has no general sales tax, making it one of only two states (with Alaska) that have neither an income tax nor a sales tax.
- 3The state relies heavily on property taxes — New Hampshire's average effective rate of about 2.18% is among the highest in the nation, funding both local services and public schools.
- 4Business profits are taxed through the Business Profits Tax (7.5%) and Business Enterprise Tax (0.5%), so business owners still face state-level taxation even though personal income is untaxed.
- 5New Hampshire's 'Live Free or Die' philosophy extends to its tax code, but the high property taxes and business taxes mean the state is not entirely tax-free.