Income Tax for Pennsylvania (2026)
Pennsylvania (PA) Key Facts
Top Marginal Rate
3.07%
Tax Structure
Flat rate
Filing Deadline
April 15
Has State Income Tax
Yes
Number of Brackets
1
How This Calculator Works in Pennsylvania
This calculator applies Pennsylvania's 2026 tax brackets and rates to estimate your state income tax liability. Enter your income and filing status to see your marginal rate, effective rate, and estimated tax owed.
Pennsylvania Overview
Pennsylvania levies a flat income tax of 3.07%, one of the lowest state rates in the Northeast. However, many municipalities and school districts add their own earned income taxes — Philadelphia adds roughly 3.75% and Pittsburgh about 3% — so the effective rate varies significantly by location. Pennsylvania stands out for fully exempting all retirement income from state tax and maintaining reciprocity agreements with six neighboring states.
How Pennsylvania Compares
Pennsylvania's top income tax rate of 3.07% compares to New York at 10.9% and New Jersey at 10.75%. The rate differences can meaningfully impact take-home pay for workers near state borders.
| State | Top Rate | Notes |
|---|---|---|
| New York | 10.9% | New York has an income tax rate of 10.9%. |
| New Jersey | 10.75% | New Jersey has an income tax rate of 10.75%. |
| Ohio | 3.5% | Ohio has an income tax rate of 3.5%. |
Pennsylvania's income tax rate of 3.07% compares to a national average of approximately 5.04%. This is below the national average.
Tips for Pennsylvania Residents
- 1Pennsylvania has a flat income tax rate of 3.07%, one of the lowest flat rates in the nation and the lowest among all states that border the Atlantic.
- 2Many Pennsylvania municipalities and school districts levy local earned income taxes (EIT) ranging from 1% to 3.8% on top of the state rate — check your specific locality.
- 3PA does not tax Social Security, 401(k)/IRA distributions, or pension income for retirees, making it extremely retirement-friendly.
- 4Unlike most states, Pennsylvania does not follow the federal standard deduction or itemized deduction system — the state simply taxes all eligible income at the flat 3.07% with limited exclusions.
- 5Pennsylvania has a reciprocal tax agreement with Indiana, Maryland, New Jersey, Ohio, Virginia, and West Virginia — if you live in PA and work in one of these states (or vice versa), you only pay income tax to your state of residence.