Local Income Tax Rates by City and County, 2026

Every US jurisdiction that withholds its own income tax from wages, with the rate, the income it applies to, and the source. 3,194 jurisdictions in 14 states, verified against official publications.

Download the dataset: CSV · JSON · Hugging Face · Kaggle · free to reuse with attribution to worklets.ai.

Local income tax by state

State Jurisdictions Resident rates Who pays Base
Alabama 9 1% – 3% People who work there Gross wages, Medicare wages
Colorado 4 flat amounts People who work there Gross wages
Delaware 1 1.25% People who work there Gross wages
Indiana 92 0.5% – 3% Every resident, by county State taxable income
Iowa 282 1% – 20% of state tax Residents only Share of state income tax
Kentucky 28 1% – 2.75% People who work there Gross wages, Medicare wages
Maryland 24 2.25% – 3.3% Every resident, by county State taxable income
Michigan 24 1% – 2.4% People who work there W-2 Box 1 wages
Missouri 2 1% People who work there W-2 Box 1 wages
New Jersey 0 none on wages Employers only
New York 2 3.876% Residents only State taxable income, Share of state income tax
Ohio 466 0.5% – 3% People who work there Medicare wages
Oregon 2 1% – 4% Residents only State taxable income
Pennsylvania 2,552 0.312% – 3.75% People who work there Medicare wages
West Virginia 7 flat amounts People who work there Gross wages

Rates are the resident rate on taxable wages; bracketed localities show the top rate. Yonkers levies a surcharge on state tax rather than a rate on income and is listed on the New York page.

Highest local income tax rates

Jurisdiction Residents Non-residents Base
Portland , OR 4% — State taxable income
New York City , NY 3.876% — State taxable income
Chester , Delaware County, PA 3.75% 2% Medicare wages
Philadelphia , Philadelphia County, PA 3.735% 3.425% Medicare wages
Reading , Berks County, PA 3.6% 1% Medicare wages
Scranton , Lackawanna County, PA 3.4% 1% Medicare wages
Dorchester County , MD 3.3% — State taxable income
Kent County , MD 3.3% — State taxable income
Allegany County , MD 3.2% — State taxable income
Anne Arundel County , MD 3.2% — State taxable income
Baltimore City , MD 3.2% — State taxable income
Baltimore County , MD 3.2% — State taxable income
Calvert County , MD 3.2% — State taxable income
Caroline County , MD 3.2% — State taxable income
Frederick County , MD 3.2% — State taxable income

How local income taxes work

A local income tax is withheld by a city, county, or school district on top of federal and state income tax. Employers withhold it based on where you live and where you work, and the two questions matter separately: Indiana and Maryland tax by county of residence only, New York City taxes its residents only, while Ohio, Pennsylvania, Kentucky, Michigan, Missouri, Alabama, and Delaware tax both residents and non-resident workers, usually crediting one against the other.

The rate is only half the answer. What the rate applies to differs by state. New York City, Indiana, Maryland, and Portland tax state taxable income, so a 401(k) deferral lowers the local bill. Michigan cities and the Missouri earnings taxes use W-2 Box 1 wages. Every Ohio municipality, all Pennsylvania earned income tax, Louisville, and Birmingham tax Medicare wages, so a 401(k) deferral does not help but a Section 125 health premium does. Lexington and Wilmington tax gross wages before any deduction.

Two taxes here are not rates on income at all. Yonkers residents pay 16.75% of their New York State income tax. Pennsylvania municipalities also levy a flat local services tax, up to $52 a year, which the dataset records but the calculator does not model.

Sources and method

Each row cites the document its rate was checked against: Indiana DOR Departmental Notice #1 (all 92 counties), the Maryland Comptroller's 2026 withholding memo (all 24 jurisdictions), Pennsylvania DCED's official EIT register of June 15, 2026 (all 2,627 municipality and school district combinations), the RITA and CCA 2026 rate tables for Ohio, and each remaining city's own revenue page or ordinance. Where a register and a city disagree, the city's own notice wins; Philadelphia's July 1, 2026 rate cut is the example.

Non-resident rates are recorded where a jurisdiction publishes one. Credits for tax paid to another municipality are recorded for Ohio. Records were last verified 2026-09-08; rates that change mid-year (Philadelphia every July) carry the current withholding rate. Corrections are welcome: every calculator page links its source line so you can check it yourself.

FAQ

Which states have local income taxes?

In 2026, 14 states have at least one city, county, or school district that taxes wages: Alabama, Colorado, Delaware, Indiana, Iowa, Kentucky, Maryland, Michigan, Missouri, New York, Ohio, Oregon, Pennsylvania, West Virginia. Pennsylvania and Ohio have by far the most jurisdictions; Indiana and Maryland tax every resident through a county rate.

Do I pay local income tax where I live or where I work?

It depends on the state. Indiana and Maryland tax by county of residence only. New York City taxes residents only. Ohio, Pennsylvania, Kentucky, Michigan, Missouri, Alabama, and Delaware tax both residents and anyone who works in the jurisdiction, usually with a credit so a commuter is not taxed twice on the same wages.

What income does a local income tax apply to?

Four different bases appear in this dataset. State taxable income, after the state standard deduction (New York City, Indiana, Maryland, Portland). W-2 Box 1 wages, after 401(k) deferrals and Section 125 premiums (Michigan cities, Kansas City, St. Louis). Medicare wages, so 401(k) deferrals are still taxed (every Ohio municipality, all Pennsylvania earned income tax, Louisville, Birmingham). Gross wages before any deduction (Lexington, Wilmington).

Which city has the highest local income tax?

Portland, Oregon at 4% for residents, followed by New York City, New York (3.876%) and Chester, Pennsylvania (3.75%). Yonkers, New York is not on that list because its tax is a 16.75% surcharge on state tax rather than a rate on income.

Is local income tax withheld from my paycheck automatically?

Usually, based on the home and work addresses your employer has on file. Ohio and Pennsylvania employers withhold for the work location and, in Pennsylvania, the higher of the resident and non-resident rates. If your employer does not withhold your home city or county tax, you still owe it with your state return.

Where does this data come from and can I reuse it?

Every row cites its source: the jurisdiction's own published rate, the state register (Pennsylvania DCED, Indiana DOR Departmental Notice #1, Maryland Comptroller), or the collecting agency's rate table (RITA and CCA in Ohio). Records were last verified 2026-09-08. The dataset is free to reuse with attribution to worklets.ai; download it as CSV or JSON below.

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