Iowa Income Tax Rate 2023 - 2024
Iowa state income tax rate table for the 2023 - 2024 filing season has four income tax brackets with IA tax rates of 4.4%, 4.82%, 5.7% and 6% for Single, Married Filing Jointly, Married Filing Separately, and Head of Household statuses. The Iowa tax rate has decreased from last year, and, the number of income tax brackets have also decreased.
Current Iowa law contains a revised set of individual income tax brackets which went into effect on January 1, 2023. The revision now contains two sets of tax brackets, one for the Married Filing Jointly filing status, and another for all other filing statuses. Last year there were nine tax brackets with tax rates that progress from 0.33% to 8.53%. This year there are four tax brackets with Iowa tax rates which progress from 4.4% to 6%.
Iowa income tax rate and tax brackets shown in the table below are based on income earned between January 1, 2023 through December 31, 2023. Outlook for the 2024 Iowa income tax rate is for the highest rate to decrease further to 5.7% effectively eliminating the top bracket. Current Iowa law details income tax rate decreases and bracket consolidation through tax year 2026. The State of Iowa has a flat income tax rate of 3.9% as the target for 2026.
| Income Tax Bracket | Tax Rate 2023 | ||
|---|---|---|---|
| $0 | to | $6,000 | 4.4% |
| $6,001 | to | $30,000 | 4.82% |
| $30,001 | to | $75,000 | 5.7% |
| $75,001 | to | ∞ | 6% |
| Income Tax Bracket | Tax Rate 2023 | ||
|---|---|---|---|
| $0 | to | $12,000 | 4.4% |
| $12,001 | to | $60,000 | 4.82% |
| $60,001 | to | $150,000 | 5.7% |
| $150,001 | to | ∞ | 6% |
| Income Tax Bracket | Tax Rate 2023 | ||
|---|---|---|---|
| $0 | to | $6,000 | 4.4% |
| $6,001 | to | $30,000 | 4.82% |
| $30,001 | to | $75,000 | 5.7% |
| $75,001 | to | ∞ | 6% |
| Income Tax Bracket | Tax Rate 2023 | ||
|---|---|---|---|
| $0 | to | $6,000 | 4.4% |
| $6,001 | to | $30,000 | 4.82% |
| $30,001 | to | $75,000 | 5.7% |
| $75,001 | to | ∞ | 6% |
Source: 2023 Iowa Interest Rates and Tax Brackets, published by the Iowa Department of Revenue.
Please reference the Iowa tax forms and instructions booklet published by the Iowa Department of Revenue to determine if you owe state income tax or are due a state income tax refund. Iowa income tax forms are generally published at the end of each calendar year, which will include any last minute 2023 - 2024 legislative changes to the IA tax rate or tax brackets. The Iowa income tax rate tables and tax brackets shown on this web page are for illustration purposes only.
Iowa Tax Brackets 2023 - 2024
Looking at the tax rate and tax brackets shown in the tables above for Iowa, we can see that Iowa collects individual income taxes differently for Single versus Married filing statuses, for example. We can also see the progressive nature of Iowa state income tax rates from the lowest IA tax rate bracket of 4.4% to the highest IA tax rate bracket of 6%.
For single taxpayers living and working in the state of Iowa:
- Tax rate of 4.4% on the first $6,000 of taxable income.
- Tax rate of 4.82% on taxable income between $6,001 and $30,000.
- Tax rate of 5.7% on taxable income between $30,001 and $75,000.
- Tax rate of 6% on taxable income over $75,000.
For married taxpayers living and working in the state of Iowa:
- Tax rate of 4.4% on the first $12,000 of taxable income.
- Tax rate of 4.82% on taxable income between $12,001 and $60,000.
- Tax rate of 5.7% on taxable income between $60,001 and $150,000.
- Tax rate of 6% on taxable income over $150,000.
For the Single, Married Filing Jointly, Married Filing Separately, and Head of Household filing statuses, the IA tax rates remain the same. Notice also that the Single, Married Filing Separately, and Head of Household income tax brackets are all the same in the state of Iowa.
Last updated: December 3, 2023
References:
- House File 2317. Iowa Legislature, Committee on Ways and Means. Retrieved December 3, 2023.
- Individual Income Tax Rates 2023-2026. State of Iowa, Iowa Department of Revenue. Retrieved December 3, 2023.
- Iowa reduces its research activity credit, enacts contingent corporate rate reduction, and reduces individual tax rates. EY, Tax News Update. Retrieved December 3, 2023.
- Iowa governor signs legislation that changes corporate and individual income tax rates and overhauls the research activities credit. PWC, Tax research and insights. Retrieved December 3, 2023.
- 2023 Individual Income Tax Brackets. State of Iowa, Iowa Department of Revenue. Retrieved December 3, 2023.
- 2022 Individual Income Tax Brackets. State of Iowa, Iowa Department of Revenue. Retrieved December 3, 2023.