Tax Bracket for Kentucky (2026)
Last updated: January 15, 2026
Kentucky (KY) Key Facts
Tax Structure
Flat rate
Top Marginal Rate
4%
Number of Brackets
1
Tax Year
2,026
How This Calculator Works in Kentucky
This calculator shows which Kentucky tax bracket your income falls into. Enter your income and filing status to see marginal and effective rates.
Kentucky Overview
Kentucky levies a flat income tax rate of 4% on all taxable income. Unlike progressive states with multiple brackets, every dollar earned in Kentucky is taxed at the same rate, making calculations predictable and straightforward.
How Kentucky Compares
Kentucky's top rate of 4% compares to Tennessee at 0% and Virginia at 5.75%. Comparing effective rates is more meaningful than top rates alone.
| State | Top Rate | Notes |
|---|---|---|
| Tennessee | 0% | Tennessee has an income tax rate of 0%. |
| Virginia | 5.75% | Virginia has an income tax rate of 5.75%. |
| Indiana | 3.05% | Indiana has an income tax rate of 3.05%. |
Kentucky's income tax rate of 4% compares to a national average of approximately 5.04%. This is below the national average.
Tips for Kentucky Residents
- 1Kentucky uses a flat income tax rate of 4%, meaning all taxable income is taxed at the same rate regardless of how much you earn.
- 2With a flat tax, your marginal rate and effective state rate are the same—4%.
- 3Federal brackets still apply progressively on top of Kentucky's flat 4% rate.
- 4Pre-tax retirement contributions reduce both your federal bracket and the income subject to Kentucky's flat 4%.
- 5Kentucky's flat 4% is below the national average of about 5%, making withholding calculations straightforward.